Latest news with #MySuper
AU Financial Review
17 hours ago
- Business
- AU Financial Review
$46 billion better off: The ‘super' shifts that can redefine retirement
First, adopt age-based investment strategies. This is the simplest and most impactful place to start. Yet today, less than one-third of the MySuper accounts in Australia are invested in this way. Russell Investments' research shows that if all super funds had implemented suitable age-based investment strategies five years ago, Australians with MySuper accounts would be $46 billion better off — an average uplift of 6.6 per cent per person. Second, go beyond age to tailor investments to individuals' circumstances. Investment strategies should consider the amount of super saved, retirement timing, contribution rates and assets held outside super. Today, most Australians are still placed in default portfolios that overlook these inputs. Without more personalisation of their super, they risk falling into two traps come retirement: some may run out of money too early, while others may be overly cautious and miss out on the lifestyle they worked hard to afford. Third, use technology to make it easy for people to set retirement goals, track progress and adjust along the way. Planning for retirement shouldn't begin in the final few years of work. Just setting a goal and managing to it can enhance outcomes. This is an area where technology can be a powerful differentiator. Most Australians are familiar with technology that help track fitness, spending or habit formation; retirement planning should be no different. Russell Investments was one of the first in Australia to bring digital planning tools to superannuation, enabling fund members to assess how their projected retirement income aligns with their retirement goals. Data shows this approach is working. More than half of the members that set a retirement income goal are on track or ahead of their target — a 43 per cent increase since 2020. This goal-based feedback becomes a far more useful guidepost than an account balance, especially during periods of market volatility. It helps inform the actions to take (or avoid) to stay on track, including how to invest, how much to contribute, and when they might retire. For example, two people may be the same age and close to retirement but require very different strategies. One who is on track might benefit from reducing investment risk to protect their savings. Another who is tracking behind may need to increase contributions, take on more risk, or delay retirement to close the gap. Personalising super through age-appropriate investing, individualised strategies and goal-based guidance can help improve outcomes and close the retirement savings gap. It gives more Australians, not just those with access to a financial adviser, the ability to align their super with the life they want after work. If more super funds embrace these changes, Australia won't just maintain its position as a global leader in retirement savings, it will help define the future of retirement security.
The Advertiser
4 days ago
- Business
- The Advertiser
How will tariff increases affect your superannuation?
This is branded content for NGS Super. Global tariffs have been one of the big topics dominating news headlines lately, but what does it all mean for you? In this column, NGS Super's Chief Investment Officer, Ben Squires, breaks down what's happening, the potential effect on superannuation, and how NGS Super is responding. US President Donald Trump has implemented various policies impacting the global economy, including tariffs on products imported into the US. Australia isn't exempt from the new tariffs, including on our steel and aluminium. The impact is small, less than one per cent of our exports go to the US, however, Australia can't completely escape the consequences - the effects are being felt globally, with trade slowing down, and share markets fluctuating. At NGS, our priority remains protecting and growing members' wealth with a diversified portfolio that can navigate different market environments, such as heightened volatility and equity downturns. By diversifying across asset classes, NGS does not rely solely on share markets for returns. While equities remain a core driver of growth, we actively manage risk through defensive strategies. Our international share portfolio declined only three per cent since February 19 to May 13, 2025, compared to a four per cent drop in the S&P 500 over the same period. To mitigate downside risk, we have a multi-asset strategy that balances equities with defensive exposures including precious metals, government bonds, hedging strategies, alternative assets and diversifiers. In recent years, we've seen strong returns from markets, and a market pullback isn't entirely unexpected. While the Diversified MySuper option posted a negative 1.5 per cent return for March and share markets fell into correction territory of around a 10 per cent fall in the start of April, the Diversified MySuper option has recovered, delivering a Financial Year To Date return of 8.84 per cent, as at May 13, 2025. Despite the sharp declines in equity markets during February, March and into April, the US S&P 500 index made a strong recovery following the announcement of a 90-day pause on tariffs. Even though this was welcomed news, there is much uncertainty on the path of tariff negotiations, and this presents more downside risk for share markets until these matters are fully resolved. We therefore continue to maintain a balanced view on risk. If you'd like to review your investment strategy, it's a good idea to speak to a financial planner. Seeking advice is a way to plan for your future, mitigate risks and make the most of your saving opportunities. Education is integral to the planning process - staying informed will help you feel more confident about your super and your retirement. You can speak to one of NGS's Super Specialists - it's complimentary, and they can answer general questions about super, investments, insurance or transition to retirement. To learn more or book your free chat with an NGS Super Specialist call NGS Super on 1300 133 177 or go online to This is general information only and does not take into account your objectives, financial situation or needs. Before acting on this information, or making an investment decision, consider whether it is appropriate to you and read NGS's Product Disclosure Statements and Target Market Determinations. Also consider obtaining financial, taxation and/or legal advice tailored to your personal circumstances. Financial products are issued by NGS Super Pty Ltd ABN 46 003 491 487 RSE Licence L0000567 and AFSL 233 154. Market projections and predictions are based on current assumptions and are subject to change. These are not guarantees of future results. Information current as at May 13. This is branded content for NGS Super. Global tariffs have been one of the big topics dominating news headlines lately, but what does it all mean for you? In this column, NGS Super's Chief Investment Officer, Ben Squires, breaks down what's happening, the potential effect on superannuation, and how NGS Super is responding. US President Donald Trump has implemented various policies impacting the global economy, including tariffs on products imported into the US. Australia isn't exempt from the new tariffs, including on our steel and aluminium. The impact is small, less than one per cent of our exports go to the US, however, Australia can't completely escape the consequences - the effects are being felt globally, with trade slowing down, and share markets fluctuating. At NGS, our priority remains protecting and growing members' wealth with a diversified portfolio that can navigate different market environments, such as heightened volatility and equity downturns. By diversifying across asset classes, NGS does not rely solely on share markets for returns. While equities remain a core driver of growth, we actively manage risk through defensive strategies. Our international share portfolio declined only three per cent since February 19 to May 13, 2025, compared to a four per cent drop in the S&P 500 over the same period. To mitigate downside risk, we have a multi-asset strategy that balances equities with defensive exposures including precious metals, government bonds, hedging strategies, alternative assets and diversifiers. In recent years, we've seen strong returns from markets, and a market pullback isn't entirely unexpected. While the Diversified MySuper option posted a negative 1.5 per cent return for March and share markets fell into correction territory of around a 10 per cent fall in the start of April, the Diversified MySuper option has recovered, delivering a Financial Year To Date return of 8.84 per cent, as at May 13, 2025. Despite the sharp declines in equity markets during February, March and into April, the US S&P 500 index made a strong recovery following the announcement of a 90-day pause on tariffs. Even though this was welcomed news, there is much uncertainty on the path of tariff negotiations, and this presents more downside risk for share markets until these matters are fully resolved. We therefore continue to maintain a balanced view on risk. If you'd like to review your investment strategy, it's a good idea to speak to a financial planner. Seeking advice is a way to plan for your future, mitigate risks and make the most of your saving opportunities. Education is integral to the planning process - staying informed will help you feel more confident about your super and your retirement. You can speak to one of NGS's Super Specialists - it's complimentary, and they can answer general questions about super, investments, insurance or transition to retirement. To learn more or book your free chat with an NGS Super Specialist call NGS Super on 1300 133 177 or go online to This is general information only and does not take into account your objectives, financial situation or needs. Before acting on this information, or making an investment decision, consider whether it is appropriate to you and read NGS's Product Disclosure Statements and Target Market Determinations. Also consider obtaining financial, taxation and/or legal advice tailored to your personal circumstances. Financial products are issued by NGS Super Pty Ltd ABN 46 003 491 487 RSE Licence L0000567 and AFSL 233 154. Market projections and predictions are based on current assumptions and are subject to change. These are not guarantees of future results. Information current as at May 13. This is branded content for NGS Super. Global tariffs have been one of the big topics dominating news headlines lately, but what does it all mean for you? In this column, NGS Super's Chief Investment Officer, Ben Squires, breaks down what's happening, the potential effect on superannuation, and how NGS Super is responding. US President Donald Trump has implemented various policies impacting the global economy, including tariffs on products imported into the US. Australia isn't exempt from the new tariffs, including on our steel and aluminium. The impact is small, less than one per cent of our exports go to the US, however, Australia can't completely escape the consequences - the effects are being felt globally, with trade slowing down, and share markets fluctuating. At NGS, our priority remains protecting and growing members' wealth with a diversified portfolio that can navigate different market environments, such as heightened volatility and equity downturns. By diversifying across asset classes, NGS does not rely solely on share markets for returns. While equities remain a core driver of growth, we actively manage risk through defensive strategies. Our international share portfolio declined only three per cent since February 19 to May 13, 2025, compared to a four per cent drop in the S&P 500 over the same period. To mitigate downside risk, we have a multi-asset strategy that balances equities with defensive exposures including precious metals, government bonds, hedging strategies, alternative assets and diversifiers. In recent years, we've seen strong returns from markets, and a market pullback isn't entirely unexpected. While the Diversified MySuper option posted a negative 1.5 per cent return for March and share markets fell into correction territory of around a 10 per cent fall in the start of April, the Diversified MySuper option has recovered, delivering a Financial Year To Date return of 8.84 per cent, as at May 13, 2025. Despite the sharp declines in equity markets during February, March and into April, the US S&P 500 index made a strong recovery following the announcement of a 90-day pause on tariffs. Even though this was welcomed news, there is much uncertainty on the path of tariff negotiations, and this presents more downside risk for share markets until these matters are fully resolved. We therefore continue to maintain a balanced view on risk. If you'd like to review your investment strategy, it's a good idea to speak to a financial planner. Seeking advice is a way to plan for your future, mitigate risks and make the most of your saving opportunities. Education is integral to the planning process - staying informed will help you feel more confident about your super and your retirement. You can speak to one of NGS's Super Specialists - it's complimentary, and they can answer general questions about super, investments, insurance or transition to retirement. To learn more or book your free chat with an NGS Super Specialist call NGS Super on 1300 133 177 or go online to This is general information only and does not take into account your objectives, financial situation or needs. Before acting on this information, or making an investment decision, consider whether it is appropriate to you and read NGS's Product Disclosure Statements and Target Market Determinations. Also consider obtaining financial, taxation and/or legal advice tailored to your personal circumstances. Financial products are issued by NGS Super Pty Ltd ABN 46 003 491 487 RSE Licence L0000567 and AFSL 233 154. Market projections and predictions are based on current assumptions and are subject to change. These are not guarantees of future results. Information current as at May 13.
7NEWS
4 days ago
- Business
- 7NEWS
Nick Bruining: Two million old and current customers up for slice of AMP class action over overcharges
More than two million current and former AMP customers have joined a class action against the wealth manager, which began in the Federal Court last week. Led by class action specialists Slater and Gordon and Maurice Blackburn Lawyers, the case alleges the trustees of several AMP super funds 'systematically' overcharged members of some popular products between 2008 and 2020. Around 2.5 million AMP customers have received invitations to join the class action over the past few weeks. Many have been contacting their financial advisers to ask whether they should participate. 'In some cases, the customers are concerned that the action will impact the financial advisers who may have sold them the product in the first place,' said one former AMP adviser, who asked not to be named. 'We can explain that the action is against the company and not AMP's former agents' The products include AMP's Flexible Lifetime Super and My Super products. In many cases, legacy superannuation products sold from the 1990s on were consolidated into these products over the years. The claim also includes an allegation AMP was overcharging investment fees on cash and term deposits when no other retail super fund was doing the same. Slater and Gordon head of class actions Emma Pelken-Caven said thousands of Australians trusted AMP with their retirement savings and instead lost thousands of dollars. 'We believe the evidence in this case will show that AMP was driven by profit and not the best interests of its superannuation members — made up of millions of hardworking Australians,' Ms Pelken-Caven said. An AMP spokesman told Your Money the firm was defending the class action. 'Our focus is on delivering quality investment returns, low fees and high standards of service and support to our super members,' he said. A class action is used by a group of people to sue someone or a company for injury, negligence or loss. In the main, class actions are launched by the larger legal firms, which typically take a sizeable clip from the proceeds if the action is successful. In a class action, a test case of an individual can become representative of people in a similar or identical situation, collectively known as members of the class action. The test case becomes the basis for the decision that affects all members of the action. There are variations where you might, for example, only benefit from a favourable decision if you've signed up to the class action. Alternatively, you might be able to use the decision of the class action in court as a basis to pursue your own legal action. You might do better in terms of the amount you receive going down this route, particularly if the class action's legal fees are steep and your circumstances warrant a greater amount. In many class action cases, there's no court decision because the defendant might elect to negotiate an out-of-court settlement. This is often a commercial decision that weighs up the likely costs of defending the action and the chance of success if it ends up in court. In this situation, only those who signed up to the class action would probably benefit. The case against AMP has been set down in the Federal Court to run for seven weeks.
