ASFA sees merit in post-tax reporting

capital-gains/superannuation-fund/capital-gains-tax/disclosure/superannuation-fund-members/superannuation-funds/ASFA/

10 April 2008
| By Mike Taylor |

Superannuation fund members would be better informed if investment managers and custodians provided information on post-tax returns, according to a background paper developed by the Association of Superannuation Funds of Australia.

The background paper, released this week, looks at the effect of tax on superannuation fund investment returns and concludes that the development of an industry standard for post-tax reporting would help encourage the introduction of reporting on this basis.

It said that investment managers and custodians should be encouraged to provide post-tax returns for both individual and pooled portfolios for each financial year and for longer terms of consecutive financial years.

The background paper suggested that post-tax returns be quoted on two bases — one excluding the unrealised capital gains tax liability and the other including the capital gains tax liability.

It said that quotation of the post-tax returns on two bases should increase the transparency of the calculations and assist in understanding the composition of post-tax returns.

“Disclosure of the post-tax returns of investment managers should encourage managers to focus on strategies to enhance their post-tax returns within their stated investment style and process,” it said.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

So we are now underwriting criminal scams?...

2 months 3 weeks ago

Glad to see the back of you Steve. You made financial more expensive, not more affordable as you claim, and presided ...

2 months 4 weeks ago

Completely agree Peter. The definition of 'significant change is circumstances relevant to the scope of the advice' is s...

5 months ago

ASIC has suspended the Australian Financial Services Licence of a Melbourne-based financial advice firm....

1 week 6 days ago

The corporate regulator has issued infringement notices to three AFSLs whose financial advisers provided personal advice to a retail client while unregistered....

2 weeks 5 days ago

ASIC has released the results of its first adviser exam to be held in 2025, with 241 candidates attempting the test....

3 weeks 3 days ago

TOP PERFORMING FUNDS

ACS FIXED INT - AUSTRALIA/GLOBAL BOND