Post-retirement assets on the rise
The scale of post-retirement assets is on the rise as superannuation money retained by an industry fund's members in an allocated pension account has jumped 40 per cent.
Over the past financial year, Vision Super has found more members have been putting their retirement savings into post-retirement products.
The fund's chief executive, Stephen Rowe, said "research shows a lot of people take a lump sum because the other options are too confusing, but then they put it in a bank account or term deposit, and are not making the most of their money."
"An allocated pension has tax advantages over a term deposit, and gives you a regular income from your super," he said.
Rowe said Vision Super now manages more than $1.44 billion in post-retirement assets for its members.
He noted the fund's new operation model emphasises personal service to help members get advice and understand how to make their super work harder for them in retirement.
"It's particularly pleasing that members, after many years with the fund, are putting their hard-earned retirement savings into Vision Super's post-retirement products," he said.
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