The Superannuation Story – Part 5 – Investment Platforms

In previous posts we looked at aspects of superannuation in Australia, from the perspective of investment fund performance, fees, consumer attitudes to super and self-managed super. Today we look at the role of investment platforms, an element in the superannuation value chain which is often overlooked by investors, but recommended by financial advisors as part … Continue reading “The Superannuation Story – Part 5 – Investment Platforms”

The Superannuation Story, part 4

Continuing our series on superannuation, today we look at Self Managed Super Funds (SMSFs). Growth in SMSFs is probably the most significant event in the superannuation industry, leading not unsurprisingly for calls for greater regulation or a clamp-down from many industry players. We will be referring to the recently published 2011-12 SMSF data from the … Continue reading “The Superannuation Story, part 4”

The Superannuation Story, part 3

Continuing our series on Superannuation, after looking at performance and fees, today we look at consumer attitudes to Superannuation, based on the DFA household surveys. We collect data on an ongoing basis, and maintain a statistically robust sample. We include a number of specific questions to enable us to assess how connected households are with … Continue reading “The Superannuation Story, part 3”

The Superannuation Story, part 2

Yesterday we started our series on Superannuation, and showed that performance varied by type of fund, and across funds in an unpredictable way. Today we look at the industry from a consumer perspective. This is important because the overall returns as reported by APRA do not necessarily translate into the experience of individual superannuation accounts. … Continue reading “The Superannuation Story, part 2”

The Superannuation Story, part 1

In our first post for the new year, we begin a multi-part examination of superannuation, using the recently released data from APRA on industry and fund level performance to June 2013, together with DFA’s own research. Superannuation has become big business, with total assets now worth over $1.62 trillion (compare this with the $5 trillion … Continue reading “The Superannuation Story, part 1”

A history of failed reform: why Australia needs a banking royal commission

From The Conversation. The move for an inquiry into how banks treat small business customers should not overshadow the ongoing call for a broader royal commission on banks. Several financial inquries (outlined below) have failed to tackle the growing concentration in the Australian finance sector, or the need to separate general banking from investment banking … Continue reading “A history of failed reform: why Australia needs a banking royal commission”

Wealth inequality shows superannuation changes are overdue

From The Conversation. The government is still consulting on superannuation after concerns raised by backbenchers over changes made in the budget. However these changes are more important than ever, as evidenced by the 2016 HILDA statistics on wealth and superannuation. The statistics highlighted changes in the distribution of wealth of Australians since the survey commenced … Continue reading “Wealth inequality shows superannuation changes are overdue”

Super Fees Too High – The Grattan Institute

When we discussed the superannuation sector recently, in our series, the Superannuation Story, we highlighted the impact of fees on performance. The Grattan Institute has just published their report “Super Sting – how to stop Australians paying too much for superannuation“. “Australians pay far too much for superannuation. They pay about $20 billion in fees … Continue reading “Super Fees Too High – The Grattan Institute”

Super Fund Balances Now At $1.8 trillion

APRA today released its quarterly superannuation statistics. They report that total estimated assets, which include the assets of self-managed superannuation funds and the balance of life office statutory funds, rose to $1.8 trillion at 31 December 2013.  Read about superannuation in our series of posts, The Superannuation Story. Self managed superannuation rose by $11 bn, … Continue reading “Super Fund Balances Now At $1.8 trillion”

Immigration, Unemployment, Wages and House Prices

From The Conversation. Australia should cut its immigration intake, according to Tony Abbott in a recent speech at the Sydney Institute. Abbott explicitly cites economic theory in his arguments: “It’s a basic law of economics that increasing the supply of labour depresses wages; and that increasing demand for housing boosts price.” But this economic analysis … Continue reading “Immigration, Unemployment, Wages and House Prices”