Attack on best performing super funds, why, its politics!Abbott government reforms aimed at forcing industry superannuation funds to have more independent directors is not about oversight, its about trying to hurt Labor.
These15 not-for-profit, low fee industry super funds deliver the best returns.
Surprise, surprise the finance sector welcomed the changes to Australia's $2 trillion super industry.
The new laws would require super funds - excluding self-managed funds - to have at least one-third independent directors on their boards and an independent chairman.
Union and employer representatives would have to make way for new board members. The fees directors on union-backed funds earn flow back to unions and the Labor party as well as to employers.
These funds have delivered superior returns to workers and employers for three decades.
It appears the Abbott government just obsessed with tearing into unions. The trustee governance structure, which shares board positions equally between employer and employee representatives, has been proven as the most effective model in Australian superannuation.
Industry Super Australia said it was being targeted when the focus should be on governance problems it had avoided - the consumer losses and scandals that had engulfed banks and wealth managers.
It is astounding that anyone would be seeking to interfere with the governance model of the all profits to members super funds that have driven two decades of strong returns, Nearly two per cent higher than for-profit funds."