How reassuring: the chief executive of a $92 billion union-linked superannuation fund believes Australians need to be protected from the dangerous idea of controlling their own money.
Great article Peter! I think however under the ALP super has become a back door strategy to substitute public capital markets for private ones where the allocation of capital is determined by woke elites rather than competition. Witness the tax changes in the last budget which punish private wealth and exempt super funds! Secondly the overtures for industry funds to
Invest ALP policies (Wind farms etc). Lastly the arguments you correctly criticise which portray individuals as financial cripples who need a government walking stick, are intended to drive the gullible into these forced savings schemes. In short they are becoming a mask which conceals state control of capital behind dubious noble intentions. Ken Phillips has written some great sub stacks making this point.
Of course, as is the case with any large amount of money, there will always be people wanting to get their hands on it. There is definitely a need to reform superannuation, but probably not in the way that fund managers would like.
Reform 1 - The minimum rate of return for any fund should be set at CPI + a percentage and any fund returning less than that should be disallowed from claiming fees for that year.
Reform 2 - Any fund that underperforms the industry average over a 3-year period should be dissolved.
Reform 3 - Money invested in Superannuation cannot be used by the trustees for any other purpose other than investment for the benefit of the members (no donations etc.)
Reform 4 - Corporate financial advisors (like the big banks) should be required to make members whole where an investment that they recommend goes belly up.
Reform 5 - Financial institutions must offer SMSFs the same investment interest rates as they offer any other customer.
Great article Peter! I think however under the ALP super has become a back door strategy to substitute public capital markets for private ones where the allocation of capital is determined by woke elites rather than competition. Witness the tax changes in the last budget which punish private wealth and exempt super funds! Secondly the overtures for industry funds to
Invest ALP policies (Wind farms etc). Lastly the arguments you correctly criticise which portray individuals as financial cripples who need a government walking stick, are intended to drive the gullible into these forced savings schemes. In short they are becoming a mask which conceals state control of capital behind dubious noble intentions. Ken Phillips has written some great sub stacks making this point.
Of course, as is the case with any large amount of money, there will always be people wanting to get their hands on it. There is definitely a need to reform superannuation, but probably not in the way that fund managers would like.
Reform 1 - The minimum rate of return for any fund should be set at CPI + a percentage and any fund returning less than that should be disallowed from claiming fees for that year.
Reform 2 - Any fund that underperforms the industry average over a 3-year period should be dissolved.
Reform 3 - Money invested in Superannuation cannot be used by the trustees for any other purpose other than investment for the benefit of the members (no donations etc.)
Reform 4 - Corporate financial advisors (like the big banks) should be required to make members whole where an investment that they recommend goes belly up.
Reform 5 - Financial institutions must offer SMSFs the same investment interest rates as they offer any other customer.
Very well said Peter. Couldn't agree more with you. The Uniparty has rarely wound the clock back.