The planned alliance will result in creating a $10.3 billion superannuation fund with approximately 125,000 members.

QIEC Super’s chairperson Terry Burke said in the current regulatory and investment environment, QIEC Super needed to look beyond being a stand-alone fund and consider how the interests of its members could be strengthened and better serviced within a larger like-minded education and care industry fund.

NGS Super’s chairperson Dick Shearman said the proposed merger with QIEC had been driven by synergies between the two funds and is set to strengthen the fund’s position into the future.

“Our members’ interests are at the core of this alliance, which represents the continued growth and improved ability of our fund to secure the financial futures of all our members,” said Mr Shearman.

The partnering of the funds will ensure the future security and sustainability of benefits to the members of both funds and deliver improved economies of scale.

Mr Burke said QIEC Super has a strong and respected brand in Queensland, which will be retained in the merged entity, as a division of NGS Super.

“QIEC Super has $1.5 billion worth of assets under management and over 25,000 members,” said Mr Burke.

Mr Shearman added NGS Super has a strong presence in a number of other states with $8.8 billion worth of assets under management and around 100,000 members.

The two funds will merge on 1 November 2018, subject to finalisation of comprehensive due diligence and risk assessments.

Regulatory approval is pending to enable existing service providers of both funds to continue to meet the needs of members until integration on a single administration platform on 1 October 2019.

Members will continue to be informed of the progress of the alignment and partnering of the two funds.

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