Super funds adapting to online frontier

Research from KPMG has highlighted the speed with which superannuation funds are improving their online services.

KPMG reviewed 29 retail, industry and corporate funds, addressing the functionality of their online services and comparing the changes that have taken place over the last two years. KPMG noted some noticeable shifts in functionality in that time.

In particular, the percentage of funds that offered members the ability to change their investment choice online jumped from 74 per cent in 2008 to 93 per cent in 2010. The number of funds offering some form of online calculator or projection tool jumped by the same amount — 74 per cent in 2008 to 93 per cent in 2010.

Another big jump was in the number of funds allowing members to top up their superannuation account online, with 90 per cent of funds surveyed offering that option to members, compared to 67 per cent in 2008 and 32 per cent in 2003.

KPMG also noted innovations from some funds in that time including the ability for members to make changes to their insurance cover, as well as the ability to ask a question of a panel of financial advisers online.

There were, however, some areas where functionality levels fell between the two surveys, including information regarding financial planning, the provision of risk evaluation tools and information regarding economic conditions. KPMG put this down to changes in survey participants.

One of the differentiators between funds, KPMG said, was the provision of information relating to “other management costs” incurred by the member (only 45 per cent of funds provided this information), as well as personalised rates of returns on investments (28 per cent).

The research is contained in the September 2010 version of the KPMG Public Offer Superannuation Fund Internet Survey, which was first published in 2000.