We've compiled some key questions to support you through the migration. If you can’t find your answer here, contact us.
The migration process
All managed and listed investments will be migrated as an in-specie transfer without any assets having to be sold or repurchased. We will need to break term deposits earlier than the scheduled maturity date (1 June 2021) as part of this migration. We will pay the principal plus interest your client would’ve received if they had held the term deposit for its full term, ensuring they are not disadvantaged by this early break. This will be paid to clients’ Cash Account. After the move, you will be able to use this available cash to buy a new investment or purchase a new term deposit.
Whilst clients are migrating from one product to another, there is no change to the super fund or service operator, therefore no capital gains tax event will occur. All investment options that clients hold will be migrated as an in-specie transfer without any assets having to be sold or repurchased. As a result, clients will not incur any CGT consequences.
Existing pricing arrangements for clients in all migrating products (excluding LifeTrack) will either be maintained or reduced.
LifeTrack account fee structure consisted of administration, account keeping, expense recovery & expense reimbursement fees. We have simplified & standardised our fee structure to an administration and account keeping fee. For a small number of clients this has resulted in a fee increase, as the fees previously paid were very low. We have capped the fee increase at $150 pa, and usual Protecting Your Super rules apply. All clients have received an indication of their post-migration fees in their Significant Event Notice letter. For further details, please contact your Client Solutions Manager.
Where managed funds and listed securities are currently held, each tax parcel will be transferred separately to the new account with relevant CGT cost base information attached. Although assets will be transferred, not sold and re-bought, the transaction histories for both old and new accounts will show “sell” and “buy” transactions respectively with the same unit/asset cost, as at the migration date, for each of the parcels.
Pursuit Select accounts will not migrate until Q4 of 2021. Account holders and advisers will receive communications from IOOF well in advance of this second migration. Until then Pursuit Select will continue as-is, although from 25 June online applications will no longer be available. Portfolio Online (POL) has further information and links to the paper versions of Pursuit Select application forms. These can be used until Pursuit Select is also closed to new business, prior to its migration later in 2021.
All adviser service fee arrangements in place on existing accounts will be migrated. This includes start and end dates, and annual amounts. New adviser service fee agreements can be implemented on new accounts following migration.
Yes. We will provide margin lenders with new account details following migration. All existing margin loans will be transferred without any action required by adviser or client, and without any change in the terms and conditions of their existing margin loan.
If you decide to transfer prior to the migration, you will be required to complete and submit an application form for the new account before the 30 April transfer freeze.
If you do decide to transfer prior to the migration, any pensions will be classified as a new pension for Centrelink purposes.
Term deposits and annuities cannot be transferred between accounts prior to migration ie. they must be broken and the cash proceeds can be transferred.
No, only open accounts will be migrated. Closed accounts including historical transaction information will be available via Portfolio Online until the second half of 2022.
Yes, there will be a transaction freeze period to support the migration. The freeze period will be a temporary suspension on transactions to support the migration of data and assets. Withdrawals, contributions, transfers, and trade instructions will be temporarily suspended prior to the migration and until the migration has been completed.
Phase one transaction freeze period
|Transaction type||Cut-off date||What it means|
|Term deposits||1 April 2021||You will not be able to purchase a new term deposit in a new business application, buy or contribution transaction after this date|
|New business||11 April 2021||You will not be able to submit a new business application after this date|
|In-specie transfer||30 April 2021||Last day to submit an in-specie transfer in or out, including from Pursuit Focus to IOOF Essential|
|Switch (buy and sell)||24 May 2021||You will not be able to submit a switch after this date|
|Withdrawal||24 May 2021||You will not be able to submit a withdrawal after this date|
|Super to Pension transfer||24 May 2021||Last day to submit a super to pension transfer, eg. Focus Super to Focus Pension|
|Trade (buy or sell)||27 May 2021||You will not be able to submit a trade after this date|
|Contribution||10 June 2021||Contributions received after the trade freeze will be processed to cash. You cannot submit a contribution after this date|
There will be a transaction freeze prior to the migration to ensure there are no pending transactions at the time of migration.
Super and Pension Members
All existing pensions will continue. There will be no change to pension payment details and no impact on members’ Centrelink/ Department of Veteran's Affairs benefits.
Pension clients that are currently paid twice-monthly on the 14th and the 28th of each month will be paid on a fortnightly basis, with payments made every second Tuesday. The first fortnightly payment will be on 22 June 2021. The total annual payment will be the same amount as your existing pension payment.
Going forward, pension clients on fortnightly payments will receive either 26 or 27 payments depending on the number of Tuesdays in the year. As a starting point, we will keep annual pension amounts the same, meaning a slightly lower payment per fortnight compared to the 24 payments under a twice-monthly arrangement. We will write to pension clients early in July confirming their 2021-22 pension amount (noting that pension minimums will be reverting to pre-Covid levels from 1/7/2021) and providing clients the opportunity to change the amount. Pension payments on frequencies other than fortnightly will continue at the current rate and frequency.
All death benefit nominations made by members through their existing product will be transferred to their new account. This includes expired nominations where a binding nomination has lapsed and become non-binding. The types of death benefit nominations offered by the Trustee and the terms under which they operate will remain the same.
We will report new account details to Centrelink but the transfer of your clients’ pensions will be treated as a continuation for social security purposes. As a result, there will not be any impact on clients’ Centrelink/ Department of Veteran's Affairs benefits or deeming. Clients do not need to advise Centrelink of their new account details.
Contributions received after the transaction freeze on 24 May but before migration will be held in the Cash Account until migrated. Contributions received for new eXpand or IOOF Essential accounts after migration will be applied to the new account. Contributions received in June, but after migration for closed accounts will be applied by our ClientFirst team to each member’s new account.
As soon as possible after members receive their Welcome Letter, they should provide their contributing employer with the new fund & account details provided.
A Notice of Intent to claim a tax deduction (section 290D notice) will be issued after the end of financial year for the total personal contributions made to both accounts during the 2020-21 financial year. This will be issued in August 2021.
Clients will receive confirmation of the migration including their new account details and closure of their previous account. This will be in the form of the following:
An Exit Statement from previous account
An Exit Statement from the previous account
A Welcome Letter (including new account number and how to register for online access)
A Welcome Letter (including new account number, Choice of Fund form and how to register for online access)
A Welcome Letter (including new account number, Centrelink Schedule and how to register for online access)
A final Quarterly Statement from the previous account
A Notice of intent to claim*
2020/21 Tax Statements for the previous and new accounts
2020/21 Annual Statement for the new account
*where a personal contribution has been made during 2020/21 financial year
The performance graph for your client will be shown once the account has been on the Evolve platform for 3 months or longer.
Clients will receive their new account number in their Welcome Letter, post migration. Alternately, they may contact their adviser, or ClientFirst on 1800 913 118. Advisers can see their clients’ new account numbers by logging into IOOF Online (see also how to register) and clicking on “Advanced Search” to view / select all client accounts.
Historical transaction information will be available via Portfolio Online until the second half of 2022. As we near migration we will communicate how you and your clients can access historical information.
You should continue to use Portfolio Online for your Pursuit Select clients who will be migrating in Phase 2 in December.
After June 14, all of your Phase One clients’ new accounts and features will be available on IOOF Online. You may wish to view Portfolio Online for historical data, which will be available until the second half of 2022.
Yes, clients will need to register for IOOF Online as their Portfolio Online registration will not be transferred. Each client will use their own email address to gain access to their new account on IOOF Online (only one client can use an individual email address). Details will be included in their Welcome Letter.
Yes, a new account number will be provided to all migrating clients. The new account number will appear on your clients’ Welcome Letters. Each client will require their own email address to view their new account on IOOF Online.
When you log in to IOOF Online after accounts are migrated on 14 June, you will be able to see all the new accounts of your clients.
We will provide details of clients’ new accounts to our three retail insurance partners and existing insurance will be linked to these shortly after migration. For several days after migration, insurance details will not be visible on IOOF Online, but clients will remain fully insured during that time. There will be no change to risk-commencement dates, waiting or benefit periods.
Where clients have a standalone super insurance policy (whether offered by one of our platform retail insurance partners, or another insurer) which is paid for by a partial rollover each year from an existing IOOF super account, the external insurer should be provided with updated USI and account details (as provided in client Welcome Packs), before the next annual premium is due.
Existing Group insurance held on our platforms will be transferred without change or interruption to the new Account.
We may require your assistance to ensure that your clients’ information is up to date before migration, and will contact you directly if required.
To further support you and your support staff, we are developing a series of demo videos to show you how to maximise the benefits of IOOF Online.