In the media
Abbott sticks to his promise on SMSF
regulation
MEDIA – 27 September 2013 - Prime Minister Tony Abbott has
made clear that he isn't planning to make changes to the
self-managed super fund (SMSF) sector even after the Reserve Bank
of Australia (RBA) red flagged DIY investors' property
exposure.
More...
APRA releases conglomerate reporting
standards
APRA – 27 September 2013 - Conglomerate groups will have new
capital adequacy standards under draft reporting requirements from
the APRA. The Supervision of conglomerate groups Proposed Level
3 reporting requirements discussion paper outlines proposed
reporting rules that conglomerates or "Level 3" groups
will need to comply with by 1 January 2015. More...
Reporting requires internal restructuring, says
CCH
MEDIA – 26 September 2013 - Although many super fund boards
have been spooked by transformation projects that have failed,
increased reporting obligations to APRA require a degree of
internal restructuring and a review of third party providers to be
effective, according to director, CCH corporate reporting services.
More...
ACSI appoints Future Fund executive as new
chief
MEDIA – 26 September 2013 - The Australian Council of
Superannuation Investors (ACSI) has appointed senior Future Fund
executive Gordon Hagart to replace chief executive Ann Byrne who
will retire from the role in October.
More...
RBA red flags SMSF property exposure
MEDIA – 26 September 2013 - The Reserve Bank of Australia
(RBA) has joined the string of organisations that are concerned
about self-managed superannuation fund (SMSF) exposure to property.
In a Financial Stability Review, the RBA noted that changes to
superannuation legislation have made direct property investment
more appealing and more accessible to SMSF.
More...
CSSA appeals to financial services
ministry
MEDIA – 25 September 2013 - The Corporate Super Specialist
Alliance (CSSA) has called on the new ministers responsible for
financial services to help ensure the survival of the corporate
super sector of the financial advice market, following ASIC's
decision to decline a request for a 'no action letter'.
More...
IPA rejects minimum SMSF balances
MEDIA – 25 September 2013 - The Institute of Public
Accountants has echoed industry concerns about the possibility of
ASIC imposing minimum account balances requirements on self-managed
superannuation funds (SMSFs).
More...
Super assets to hit $7.6 trillion by 2033
MEDIA – 24 September 2013 - Australia's superannuation
asset pool is projected to reach $7.6 trillion in the next 20
years, equating to 180 per cent of GDP, according to new research
from Deloitte.
More...
Draw up draft privacy guidelines now, says
ASFA
MEDIA – 24 September 2013 - The Association of
Superannuation Funds of Australia (ASFA) has called on the Office
of the Australian Information Commissioner to hurry up and finalise
Australian Privacy Principle draft guidelines (24 September 2013).
More...
Audit and related matters for super funds get a closer
look
CSA – 24 September 2013 - APRA has announced a focused
consultation on the Prudential Practice Guide SPG310 Audit and
Related Matters (the audit PPG) for superannuation entities
following a delay in finalising the accompanying prudential
standard on audit and related matters (the audit prudential
standard).
More...
MySuper's reporting focus drives wrong outcomesMEDIA – 23 September 2013 - MySuper's reporting requirements mean the initiative is failing to support an outcome-focused approach for superannuation fund members, according to delegates at the Financial Services Institute of Australasia (Finsia) conference last week. More...
ASIC, "twin peaks" model faces
review
MEDIA – 23 September 2013 - Evidence that it took at least
16 months for ASIC to act on whistleblowers' information about
misconduct within the Financial Planning division of Commonwealth
Bank became a turning point in the long-running debate around the
effectiveness of the current regulatory model for the financial
services industry.
More...
Financial Advisers urged to recommend Industry Super
Funds based on long term net returns
ISN – 19 September 2013 - Industry Super Network is urging
financial advisers to pay greater attention to the long term net
performance of super funds when making recommendations to clients.
Industry super funds have again outperformed retail master trust
funds over all periods, according to ratings agency SuperRatings.
More...
ACCC gives Perpetual the green light
MEDIA – 19 September 2013 - The Australian Competition and
Consumer Commission (ACCC) has announced it will not oppose
Perpetual's move to acquire The Trust Company (19 September
2013).
More...
Accountants shun limited licence
MEDIA – 19 September 2013 - Just 19 licence applications
have been received from an industry of around 180,000 practitioners
in the first three months since the initiative's launch. This
is despite the industry having more than a year's notice that
the self-managed super fund (SMSF) exemption would be phased out.
More...
ASFA calls for mandatory licensing for
SMSFs
MEDIA – 18 September 2013 - Following Monday's release
of
proposed new disclosure rules for SMSFs, the Association of
Superannuation Funds of Australia (ASFA) says now is the time to up
licensing requirements for other service providers dealing in the
SMSF sector.
More...
SMSF balance concerns overlook purpose of
funds
MEDIA – 18 September 2013 - Concerns around the number of
self-managed superannuation funds (SMSFs) with low balances is
"a storm in a teacup" and overlooks the long-term nature
for which the funds have been created, according to a planner and
director of the Small Independent Superannuation Funds Association
(SISFA).
More...
Abbott cabinet adopts different approach to financial
services
MEDIA – 17 September 2013 - The Prime Minister, Tony Abbott,
has returned to a more conventional portfolio set-up for financial
services and superannuation, with the appointment of an Assistant
Treasurer and Parliamentary Secretary under the Treasurer, Joe
Hockey.
More...
Super fee disclosure needs improvement
MEDIA – 17 September 2013 -Although almost three quarters of
Australians know their superannuation balance, half are not aware
of the fees they pay, according to a new report from the Financial
Services Council and ING Direct.
More...
Focus sharpens on remuneration of superannuation fund
directors
CSA – 16 September 2013 - The remuneration of directors and
trustees of superannuation entities has taken centre-stage
following the passing of measures modelled on the framework for
disclosure for companies in the Corporations Act 2001 (16 September
2013).
More...
Costs of operating SMSFs
Report prepared by Rice Warner Actuaries for ASIC
ASIC commissioned Rice Warner to examine the minimum cost-effective balance for SMSFs when compared with super funds regulated by APRA. Rice Warner's report also looks at the appropriate level of resources consumers should have before setting up an SMSF (released September 2013).
Rice Warner's report: Costs of Operating SMSFs
Reporting framework for Superannuation Frequently Asked
Questions
APRA, 16 September 2013
APRA has published ten new FAQs about the reporting framework for superannuation. More...
The regulator's perspective on the regulation of
SMSFs
Speech by Greg Tanzer, Commissioner, ASIC
Speech by the Australian Securities and Investments Commission to the Institute of Chartered Accountants Australia (ICAA) National SMSF Conference 2013, 17 September 2013.
The regulator's perspective on the regulation of SMSFs
APRA: draft Prudential Practice Guide for Superannuation
Prudential Standard SPS 310 "Audit and Related
Matters"
This guide sets out APRA's requirements in relation to the
audit for an RSE licensee's business operations. This PPG aims
to assist an RSE licensee in complying with those requirements and,
more generally, to outline prudent practices in relation to audit
arrangements (20 September 2013)
APRA: RSE Licensees on SRS 702.0
APRA has released a letter to RSE Licensees setting out an
extended timeframe for the first submission of the superannuation
reporting submissions until November 11 2013.
APRA letter to industry – Extended due date for first quarterly submission of SRS 702.0 (23 September 2013)
ASIC review: quality of advice to SMSFs and
costs
ASIC has released Consultation Paper 216 Advice on
self-managed superannuation funds: Specific disclosure requirements
and SMSF costs (
CP 216) containing ASIC's proposals to impose specific
disclosure obligations on advisers. CP 216 also looks at the
appropriate level of resources consumers should have before setting
up an SMSF.
New Financial Services Ministers
Mr Abbott has named his
new Ministry and and Parliamentary Secretaries. Whilst there is
no specific Financial Services Minister, decisions in respect of
financial services are expected to be made by the Treasurer Joe
Hockey, the Assistant Treasurer Arthur Sinadinos and the
Parliamentary Secretary to the Treasurer Steven Ciobo. The
Attorney-General George Brandis will be responsible for
privacy-related issues.
Forthcoming Events
Superannuation Insurance Symposium 2013
AIST's Super Insurance Symposium (SIS) will cover the
important issues in relevant to group insurance, case law,
insurance design and regulator updates to provide superannuation
personnel the most current information and case studies to improve
their internal insurance practices. Date: 23 October 2013
Fund Governance Symposium 2013
The FGS will cover the crucial issues in fund governance and works
to place trustee directors and senior superannuation personnel in
the best position to review and refine current governance practices
and frameworks. Date: 22 October 2013
ASFA 2013 Conference
The ASFA 2013 National Confernce and Super EXPO will be held at the Perth Convention and Exhibition Centre. Date: 13-15 November 2013
Cases
Kristoffersen v Superannuation Complaints Tribunal
[2013] FCA 951
SUPERANNUATION – superannuation funds – private sector
superannuation scheme – decisions of board of trustees of
superannuation scheme and its insurer refusing claim for benefit
– appellant sought review of decisions by Superannuation
Complaints Tribunal (the Tribunal) which affirmed decisions –
appeal against that decision of the Tribunal – whether
Tribunal discharged its function by determining whether decision
under review was "fair and reasonable" in its operation
in relation to the appellant – Superannuation (Resolution of
Complaints) Act 1993 (Cth) ss 36, 37, 46, 47; Held: Appeal
dismissed Administrative Appeals Tribunal Act 1975 (Cth).
Legislation
Commonwealth
Anti-Money Laundering and Counter-Terrorism Financing Rules Amendment Instrument 2013 (No. 2)
This instrument amends the Anti-Money Laundering and Counter-Terrorism Financing Rules Instrument 2007 (No. 1) to repeal and insert Chapter 11 and Chapter 38 and amend Chapter 56. Registered 23 September 2013. Date of Ceasing 25 September 2013.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
