Is sustainable income or steady capital your goal in a low interest rate environment?

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Retirees concerned about the impact of another cut to the official cash rate need to clearly identify their investment goals to help clarify whether capital stability or income sustainability is of greater importance, according to AMP Capital. The Reserve Bank has cut the official cash rate by 25 basis points to 2.0 per cent. This... Read more continue reading

The Yin and Yang of retirement income – Understanding two schools of thought on planning for retirement

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When it comes to advising clients, retirement is different. Generating an income stream for a client in retirement requires a different approach to helping them to accumulate wealth during their working life. There are also differences in the approach that can be taken in setting up a retirement income plan. Just as there can be... Read more continue reading

Centuria calls on Australians to consider their investment portfolio in light of the recent super debate

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While the recently released Tax Discussion Paper and Intergenerational Report created much needed debate around potential reforms of the superannuation system, a number of suggested changes may cause confusion among Australians when it comes to their retirement strategies. This is the view of Centuria Life General Manager, Neil Rogan, who says Australian investors need to... Read more continue reading

Australians overwhelmingly grateful for mandatory super

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Despite a lack of engagement with their superannuation, the overwhelming majority of Australians have no regrets about investing in super. This is one of the surprisingly strong findings from the 2014 Net Promoter Score Survey (the Survey), an annual joint initiative of the Fund Executives Association (FEAL), Customer Service Benchmarking Australia (CSBA) and Melbourne Business... Read more continue reading

Increasing voluntary superannuation contributions

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Rather than debating whether to let members have access to their superannuation savings for other uses, discussion should focus on encouraging additional superannuation savings, says Michael Hutton, head of wealth management at HLB Mann Judd Sydney. “At some point in their lives, most Australians should think about making additional contributions into their superannuation, and consider... Read more continue reading

Australian super funds look offshore for retail bargains 

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Australian superannuation funds continue to prioritise exposure to global property, with retail opportunities in particular catching the attention of local institutional investors, according to global real estate heavyweight TIAA Henderson Real Estate (TH Real Estate). TH Real Estate is one of the world’s largest real estate investment managers and the world’s leading retail investor with... Read more continue reading

Pauline Vamos – Flexible income stream products are the future of the superannuation industry

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Interview with Pauline Vamos, CEO of the Association of Superannuation Funds of Australia (ASFA) The compulsory superannuation guarantee system was introduced in 1992 and since then it has become the second-largest asset for the majority of Australian workers. As of the end of the December 2014 quarter, superannuation assets totaled AUD 1.64 trillion. In late... Read more continue reading

Breaking the retirement solutions impasse

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“Super funds will need to innovate to find good retirement solutions as large numbers of members move into the pension phase,” said Raewyn Williams, Director of Parametric’s Research & After-Tax Solutions. “The industry is in a ‘scale versus segregation impasse’.” said Ms Williams. “Traditionally super funds pooled their accumulation and pension assets to take advantage... Read more continue reading

SMSFs are thriving – and it’s time critics acknowledged it

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It is time for critics of SMSFs to finally acknowledge the sector is working well and giving Australians the opportunity to enjoy security and dignity in retirement, says Olivia Long, CEO of the SMSF administrators Xpress Super and SuperGuardian. “Both the recent the Financial System Inquiry, which followed the Cooper Review four years earlier, have... Read more continue reading

Implementing efficiency in equity portfolios is a must for all super funds

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There is growing interest among Australian super funds in the potential benefits of Centralised Portfolio Management (CPM)  says Raewyn Williams, Director of Parametric’s Research & After-Tax Solutions. Ms Williams said that recent research, in particular a Towers Watson paper, shows how CPM is designed to capture value lost from tax, and implement efficiency in equity... Read more continue reading