Consumers still lost over choice
Super choice has failed to increase employee knowledge of superannuation in general or about their specific fund, according to a survey by transport industry fund TWUSuper.
The survey found 67 per cent of more than 5,000 NSW and Victorian employees have not learnt any more about superannuation as a result of the Federal Government’s newly introduced legislation.
TWUSuper fund Secretary and chief executive, Bill McMillin, said the survey findings stress the need for a more sustained approach to education on super choice.
"Poor financial literacy standards lead to general apathy towards superannuation and ultimately ill-informed investment choices,” he said.
Mr McMillin said the TWUSuper survey also revealed that advertising by industry funds “appears to have had an effect in educating the general public on industry funds”.
The survey showed almost two-thirds (61 per cent) of respondents were aware that they don't need to be working in a specific industry to invest in an industry fund, McMillin said.
The survey also found that more than half (55 per cent) of respondents currently in a retail fund would consider switching to an industry fund in the next 12 months.
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