Answer:

Industry funds are run only to benefit members

Industry funds don’t pay:
• commissions to advisers, financial planners, sales agents or insurance companies
• dividends to stock holders.

They are run just for the benefit of members.

Industry funds have low fees and strong performance

Industry funds have lower fees and often better long-term investment returns than other types of super funds. Investing your super with an industry fund with lower fees and strong performance can make a big difference to how much money you retire with.

This graph shows that lower fees with strong investment performance results in almost $4,000 difference over a five-year period.

Imagine this difference over your whole working life…how will it affect your retirement lifestyle?

 

 ^{Source: SuperRatings - IFS Net Benefit to Member Research, 30 June 2009. See below for graph assumptions.}

Additional features

Many industry funds provide access to extra services for members, including:
• a range of personal insurance options
• low-cost banking with ME Bank*
• health insurance*, and
• affordable financial planning with Industry Fund Financial Planning*.

AustralianSuper

AustralianSuper is an industry fund anyone who is working and receiving superannuation contributions can join, no matter what industry they work in. It’s one of the largest industry superannuation funds in Australia, with over 1.4 million members from over 110,000 workplaces and more than $28 billion in funds under management.

Other types of funds

• Corporate fund – A corporate fund may be the employer sponsoring the plan, a professional trustee company, or a separate company.

• Master trust or master fund - allows a large number of unconnected individuals and/or companies to operate their super arrangements under a single common trust deed. Master trusts or funds are often called retail funds and are offered by banks, life companies and other specialist super providers.

• Self-Managed Superannuation Fund – has fewer than five members who are all trustees of the fund. Self Managed Super Funds are supervised by the Australian Taxation Office, and usually have high set-up and administrative costs.

 

Compare all types of super funds

Join AustralianSuper


^{*AustralianSuper does not recommend, endorse or accept responsibility for these products or services. Terms and conditions apply – these should be obtained from the relevant third-party organisation. AustralianSuper does not accept liability for any loss or damage caused by the products and services provided by these third parties. AustralianSuper may invest in these third parties but does not receive any commissions from these organisations as a result of members using their products and services.}

<sup>1 SuperRatings - IFS Net Benefit to Member Research, June 2009.
Asset based admin fee is also subject to different level of employer asset sizes (i.e. asset size discounts are used on each scenario, if applicable).
Assumptions as at 30 June 2009:
1. $20,000 Start Balance
2. $50,000 Salary
3. 3.5% pa Salary Increase
4. 9% SG Contribution
5. Investment returns assumed to be the same for both funds net of taxes but gross of fees
3.5% wage increased rate
9% Superannuation Guarantee contribution
7.225% is assumed as investment return constantly to retirement.
Fees are based on the average Retail Master Trust fees and the average AustralianSuper fees deducted from members accounts.</sup>