Legislation closes the super corporate box

morrison-government/policy/regulation/Royal-Commission/Royal-Commission-final-report/Josh-Frydenberg/APRA/Australian-Prudential-and-Regulation-Authority/

18 February 2019
| By Mike |
image
image
expand image

The Federal Government believes it has closed the door to the superannuation fund corporate hospitality box with the passage through the Senate of key legislation last week.

According to Treasurer, Josh Frydenberg the passage of the Treasury Laws Amendment (Improving Accountability and Member Outcomes in Superannuation Measures No. 1) Bill represented the effective implementation of a key recommendation of the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry.

In doing so, Frydenberg specifically referenced the Royal Commission’s Recommendation 3.6 that trustees be prohibited from “treating” employers in return for “having the recipient nominate the fund as a default fund for having one or more employees of the recipient apply or agree to become members of the fund”.

The Treasurer said the legislation would also see directors of superannuation funds face criminal penalties for breach of their best interests duty and provide the Australian Prudential Regulation Authority (APRA) with more powers to deal with underperforming superannuation funds.

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 3 weeks ago

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

4 months 4 weeks ago

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

1 week 4 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 3 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 1 day ago

TOP PERFORMING FUNDS

ACS FIXED INT - AUSTRALIA/GLOBAL BOND