A message from Jason Marler, GM Workplace Super
Welcome to our March edition of Employer News.
2023 has kicked off with a cracking start highlighted by investment performance results emphasising the benefits of portfolio diversification in times of market volatility.
We’re committed to delivering strong outcomes for our members and we appreciate your continued support. We don’t take being your chosen super fund lightly, we value your business and continually look to innovate, invest and achieve the best possible outcomes. Our performance results, the expansion of member tools, our guidance services for members and recent awards, highlight our commitment to continuing to deliver for you and your employees.
2022 Annual Members' Meeting
It was great to see so many Members join our recent Annual Members' Meeting (AMM), taking the opportunity to hear directly from the Chair of the Trustee Board, key members of the Executive Team and learn first-hand about the performance and operations of the fund.
The AMM received 800 member questions with two of the hot topics being personal investment impacts during market volatility and data security. We’ve now responded to all questions raised and we thank our Members and Employers for the invaluable opportunity to gain insight into how we can continue to deliver better outcomes.
If you missed the AMM you can view the recap here.
2023 International Women’s Day
International Women’s Day (IWD) is an important day for the fund. We proudly recognise gender equity and provide our members with meaningful tools and resources to support better financial wellness and retirement goals.
Our business strongly believes that “equity isn’t a nice to have, it’s a must have”, and to really make a difference and “crack the code”, we need to embrace equity. Equity means leveling the playing field, working together to address systemic inequities, and ensuring each of us belongs by embracing equity, diversity, and inclusion.
We've developed a host of content this year including our IWD member webinar ‘Bridging the super gap’, interactive infographics and articles - to drive members to our great tools, calculators and online information hubs.
Look out for the IWD content throughout March.
Whilst winning awards isn’t everything, it’s great to see that doing the right thing has paid off. We’re proud to regularly receive industry awards and ratings, this recognition supports our strong position in the workplace superannuation market. Most recently we’ve been awarded The Heron Partnership 5-star rating for IOOF Employer Super.1
Super on their minds
With the start of the new year we are starting to see the new Government turn their minds to super. Originally introduced as a Bill back in 2016, the Treasurer has proposed the objective of super be stated as preserving savings to deliver income for a dignified retirement, alongside Government support, in an equitable and sustainable way. The Government has also announced a policy to reduce tax concessions on super balances over $3m, expecting to take effect from 1 July 2025. At the moment this has not been legislated, so we don’t know the specifics of how this will work.
We’ve also seen the release of the long-awaited Quality of Advice Review. Whilst most of the review focuses on the delivery of personal financial advice, an important aspect of the proposal is allowing super funds to provide more assistance to their members without having to provide formal holistic advice. The review as a whole is a significant change from how financial advice has been regulated in the last 20 years, and the Government has stated a willingness to consult on the proposed changes before implementing any changes to law.
One change that is already locked in is the increase of the Super Guarantee rate to 11% from 1 July 2023 – and the current Government has not given any indication of wanting to change or defer this increase. As to what else we can expect to change, the discussion and consultation undertaken by the Government indicates the May Federal budget could contain some significant industry reforms.
In January 2023, we released the IOOF app, available for download in the Google Play Store and Apple App Store. Using the app, members can review their account details, manage their investments and beneficiaries, consolidate their super, and much more. We’ll soon reach out to all members to let them know how to download the app.
Member communications in February 2023
In February 2023, we let members know about some changes to IOOF accounts, including:
- addition of 5 MLC investment options to all super/pension products
- reduction of the brokerage charge on trades in ASX-listed shares
- change to Protecting Your Super (PYS) refunds for balances under $6,000
- increase to the interest we retain in Cash Accounts
- Increase to the estimated Administration costs paid from the reserve.
Employers don’t need to do anything. The changes will automatically take effect for member accounts from 31 March 2023.
In closing, I want to thank you for your partnership and collaboration. We value you and your employees, and recognise that your continued support relies upon us continuing to achieve the best possible outcomes for you and your employees. Thank you for the trust you have in our people and our funds, and we look forward to continuing our relationship for the long term.
This document has been prepared by IOOF Investment Management Limited (IIML) ABN 53 006 695 021, AFS Licence No. 230524 as Trustee of the IOOF Portfolio Service Superannuation Fund ABN 70 815 369 818 (Fund). IOOF Employer Super is a Division of the Fund. IIML is part of the Insignia Financial of companies, consisting of Insignia Financial Ltd ABN 49 100 103 722 and its related bodies corporate. This is general advice only and does not take into account your financial circumstances, needs and objectives. Before making any decision based on this document, you should assess your own circumstances or seek advice from a financial adviser and seek tax advice from a registered tax agent. Please obtain and consider the PDS and the Target Market Determination (TMD) both of which are available for consumers to better understand products before making any decision about whether to acquire a financial product. Information is current at the date of issue and may change.
Past performance is not an indicator of future performance. Ratings and awards should not be the sole consideration when making an investment decision.
Apple is a trademark of Apple Inc., registered in the U.S. and other countries and regions. App Store is a service mark of Apple Inc.
Google Play is a trademark of Google LLC.