With US President Donald Trump overturning the 80-year world order, it has never been more imperative for Australia – including financial institutions – to nurture a better understanding of the Middle Kingdom.
CPA Australia has weighed into the debate about the cost to oversee the industry, adding its voice to those who argue the fee structure favours the larger funds.
A key architect of the compulsory retirement savings system lauds its many achievements, stretching from the national economy to the individual. Where it’s double faulting is in serving members – and it needs to be addressed promptly.
A Coalition Government will want to curb the union role in superannuation, especially in the industry funds – the largest superannuation sector at nearly $1.5 trillion. Setting up a royal commission to achieve this end will be overkill.
The ASIC report into death benefit claims revealing the devastating impact of poor industry practices on grieving Australians has again highlighted the pressing need for change. While some funds have taken up the cudgels, others are still playing hardball on improving their service offering.
The Coalition has pledged to give young Australians access to up to $50,000 in their retirement savings to get a toehold in the housing market. Super funds say it will only further inflate property prices.
Central banks have performed admirably to get economies back on track, but a public that is far less-trusting of big institutions and traditional asset classes remains unconvinced. US President Donald Trump’s trade policies are simply fuelling their fears.
While ESG and diversity have been caught up in the political headwinds in the US, this investment strategy, approaching $US2 trillion in funds under management, is well placed to not only survive but thrive.
If the regulator’s proposal to limit board tenure to 10 years takes effect, then many non-executive board members will be in the firing line, with industry funds likely to have the most casualties.
While equities came out of the blocks like Usain Bolt in January, propelled by strong domestic and international share markets, a White House committed to tariffs and slowing interest rate cuts could still derail investment returns in 2025.
