In the media
Big banks struggling to cross-sell super
MEDIA – 5 September 2014 – The four major banks are
having difficulty cross-selling superannuation to their banking
customers, with each bank capturing less than one fifth of customer
super, according to Roy Morgan Research.
More...
Higher adviser education should kick off on 2018:
FPA
MEDIA – 4 September 2014 – New financial advisers
should be forced to hold a higher education degree from 1 January
2018, the Financial Planning Association (FPA) said in its
submission to a Parliamentary Joint Committee (PJC). More...
Mining tax repeal: Superannuation changes to leave
Australians "demonstrably worse off"
MEDIA – 3 September 2014 – Australian workers will be
"demonstrably worse off" under the Federal
Government's deal to scrap the mining tax, the superannuation
industry says, because of the removal of the low income earners
super contribution. The Government announced increases to super
contributions put on hold until 2021.
More...
Financial planning inquiry to call on big four Chiefs:
report
MEDIA – 3 September 2014 – A new parliamentary inquiry
into financial planning industry malpractice will call the heads of
Australia's big four banks to give evidence. The Senate
Economics Reference Committee, chaired by Senator Dastyari, is
planning a wide-ranging inquiry that will take in consumer
protection laws, corporate regulation, Future of Financial Advice
laws.
More...
FSI at risk of being lost in glut of
reviews
MEDIA – 2 September 2014 – The Federal Government
should undertake an audit of reviews within the financial services
sector to ensure the Financial System Inquiry (FSI) is not lost
within at least a dozen other inquiries and reviews which overlap
with the FSI, according to Chartered Accountants Australia and New
Zealand (CAANZ).
More...
Super slug: how much you will lose
ISA – 3 September 2014 – An analysis by Industry Super
Australia (ISA) has revealed for the first time the impact of the
federal governments superannuation changes across the entire
workforce. The new research shows that almost all ages and income
brackets will have their retirement savings affected, with some
demographics set to lose tens of thousands of dollars.
More...
ATO talks up SuperStream trials
MEDIA – 2 September 2014 - The ATO is currently overseeing a
dry run of the first "end-to-end" SuperStream employer
contributions, with some funds hitting member accounts in less than
a day. The tax office is currently in the fifth week of an
"induction process" with early SuperStream adopters.
More...
Coles looking to make super simpler
MEDIA – 2 September 2014 – Groceries giant, Coles,
will keep its offers as simple as possible, as it expands its
position in the financial services sector with a possible
superannuation offer, Coles Financial Services general manager,
Richard Wormald says.
More...
ASFA hits ATO on data pass through
MEDIA – 2 September 2014 – The Association of
Superannuation Funds of Australia (ASFA) has voiced its strong
opposition to an Australian Taxation Office (ATO) proposal that all
superannuation funds must provide a contribution data pass through
service to their default employers.
More...
Ultimate super outcomes the key: APRA
MEDIA – 2 September 2014 – The Australian Prudential
Regulation Authority (APRA) has used its second submission to the
Financial Systems Inquiry to warn against adopting a too simplistic
analysis of costs and fees in the superannuation sector.
More...
The community needs certainty when it comes to the
Superannuation Guarantee
ASFA – 2 September 2014 – The ASFA has welcomed the
government's decision to retain the Low Income Superannuation
Contribution (LISC) for an additional few years, but says it is
highly concerned about the impact that further delaying the
increase in the Superannuation Guarantee (SG) will have on the
community and their retirement outcomes.
More...
Second round submissions to the Financial Services
Inquiry
FSI – 29 August 2014 – The Financial System Inquiry
(FSI) has received over 6,300 submissions in response to the
Inquiry's Interim Report. Due to the large volume received,
submissions are being published progressively. The first batch of
submissions, are now available. More...
Super regulation lagging, says ASFA
MEDIA - 29 August 2014 – The regulatory oversight of the
superannuation system has failed to keep pace with the rapidly
changing face of the industry, argues the ASFA. In its response to
the Financial System Inquiry Interim Report, ASFA said regulation
has struggled to keep up with structural changes in the super
industry such as the rise of SMSFs.
More...
Group insurance reduces government spending on social
security by $403 million annually: new ASFA report
ASFA – 28 August 2014 – New research commissioned by
the ASFA has found that insurance provided to people through their
superannuation reduces the annual cost to government of social
security by about $403 million.
More...
FOFA legislative changes pass in the House of
Reps
MEDIA – 28 August 2014 – The House of Representatives
has voted in favour of the government's amendments to the
Future of Financial Advice (FOFA) legislation. More...
In-house managers can lower fees: KPMG
ASFA – 28 August 2014 – The development of internal
investment management teams should help superannuation funds drive
down member fees, argues KPMG.
More...
Objectives and measurable goals are crucial to the
long-term success of the superannuation system: ASFA Financial
System Inquiry submission
ASFA – 27 August 2014 – Establishing objectives for
the superannuation system and setting long-term, measurable goals
against which its progress can be assessed, is crucial to ensuring
it delivers the best policy outcomes for governments and the
community, according to the ASFA in its submission to the Financial
System Inquiry Interim Report.
More...
International coordination essential for financial
services trade – FSC Financial System Inquiry
submission
FSC – 27 August 2014 – The Financial Services Council
has recommended the Financial System Inquiry considers the
appointment of a new ASIC commissioner to deal with international
regulatory issues and for an agency to be established to coordinate
and promote financial services.
More...
CBA and Macquarie financial planning remediation plans
designated as Significant Events
FOS – 26 August 2014 – The Financial Ombudsman Service
designated the Commonwealth Bank and Macquarie financial planning
remediation plans as Significant Events under FOS's Significant
Event Strategy when the respective remedial programs were
announced.
More...
APRA: Response to the Interim Report of the 2014
Financial System Inquiry (Murray Inquiry)
APRA – 29 August 2014 – APRA's Response to the
Interim Report of the 2014 Financial System Inquiry (Murray
Inquiry).
More...
ASIC: Regulation of corporate finance, January to June
2014 (Report 406)
ASIC – Provides statistical data, highlights key focus
areas, and includes relevant guidance about ASIC's regulation
of fundraising transactions, mergers and acquisitions, corporate
governance issues, financial reporting, and share buy-backs.
More...
Reminder for SuperStream: Pass Through of Employee
Details – Regulation Impact Statement for
consultation
GOVERNMENT – The proposed "pass-through"
regulation would require any superannuation fund that receives data
relating to a contribution being made to another fund to on-forward
that data to the other fund. A RIS has been prepared by the
Treasury for consultation. The closing date for submissions was 1
September 2014. More...
Keep your super in good hands: industry superfunds
launch new campaign
ISA – 1 September 2014 – Industry SuperFunds has
launched a public awareness campaign that reinforces to their 5
million members what it means to be with a fund that is run only to
benefit them. The new campaign titled "In Good Hands"
will be integrated across television, print, digital and outdoor
from today.
More...
CPS 220 Risk Management and revised CPS 510
Governance
APRA – 29 August 2014 – APRA has released a suite of
draft amended prudential standards that contain consequential
changes as a result of Prudential Standards.
More...
AIST submission: SuperStream – pass through of
employee details
AIST – 1 September 2014 – AIST strongly supports the
SuperStream reforms, and are pleased to enclose our submission
regarding the pass through of Employee Details Exposure.
More...
AIST submissions: CP 221 – OTC derivatives
disclosure
AIST – 29 August 2014 – In Australia, different types
of reporting entities have begun (or will soon begin) reporting OTC
derivative transactions in three phases. Superannuation funds are
set to report from the third phase, set to commence from October
2014. AIST wishes to express its support for Option 2 as set out on
the consultation paper.
More...
Cases
SAS Trustee Corporation v Green [2014] NSWCA
289
APPEAL DISMISSED – additional amount payable to a disabled
member of the police force who was required to be exposed to
"risks to which members of the general workforce would
normally not be required to be exposed in the course of their
employment" – construction of s 10(1A)(c) of the
Police Regulation ( Superannuation ) Act 1906 (NSW)
– degree of specificity with which "risks" should
be characterised – whether the risks to which the respondent
was exposed were sufficiently exceptional – whether the
additional amount awarded by the trial judge was commensurate with
those risks. More...
Cook v SAS Trustee Corporation [2014] NSWIRComm
43
APPEAL – appeal by former police officer against a decision
of SAS Trustee Corporation in which it declined to provide to the
appellant a certificate of medical incapacity under s 10B of the
Police Regulation ( Superannuation ) Act 1906 –
Injuries to back and neck whilst engaged as a highway patrol
officer – Whether appellant incapable of discharging his
duties as a highway patrol officer at the time of his resignation
in August 1991 – Consideration of medical evidence –
Domestic problems at time of resignation – Appeal dismissed.
More...
MetLife Insurance Ltd v FSS Trustee Corporation / FSS
Trustee Corporation v Maund [2014] NSWCA 281
INSURANCE – Life insurance – interpretation of
insurance policy – where group policy included benefit for
total and permanent disablement – for the purpose of
calculating the "Sum Insured" what is meant by "the
time of the Insured Event giving rise to the claim". APPEAL
AND NEW TRIAL – appeal – leave to appeal –
whether leave to appeal should be granted where sum in dispute is
less than $100,000 but decision has potential to affect numerous
other claims already determined and pending determination.
Civil Procedure Act 2005 (NSW); First State
Superannuation Act 1992 (NSW);Insurance Contracts Act
1984 (Cth); Insurance Contracts Regulations 1985
(Cth); Police Act 1990 (NSW); Superannuation
Administration Act 1996 (NSW). More...
Legislation
Commonwealth
Superannuation Laws Amendment (2014 Measures No. 1)
Regulation 2014 SLI 2014 No. 127
This regulation amends the Superannuation Industry (Supervision)
Regulations 1994 and Retirement Savings Accounts Regulations 1997
is to make a number of amendments concerning superannuation. These
include verification of rollovers for SMSFs; Cross-referencing
amendment; Unique contribution identifier; Definition of
traditional life insurance policy; Trans-Tasman portability –
definition of statutory declaration. Registered 26 August 2014 /
Tabled HR 27 August 2014 / Tabled Senate 27 August 2014. More...
Bills
Tax and Superannuation Laws Amendment (2014 Measures No.
5) Bill 2014
A Bill for an Act to amend the law relating to taxation, and for
related purposes. Schedule 1 to this Bill amends the Income Tax
Assessment Act 1997 and the Taxation Administration Act 1953 to
abolish the mature age worker tax offset. Registered 4 September
2014 / Introduced HR 4 September 2014.
More...
Corporations Amendment (Financial Advice) Bill
2014
A Bill for an Act to amend the Corporations Act 2001, and for
related purposes.
Registered 2 September 2014. More...
Corporations Amendment (Streamlining of Future of
Financial Advice) Bill 2014
4.1 – This Bill fulfils an election commitment made by the
Government to reduce the regulatory overreach of the Future of
Financial Advice (FOFA) legislation.
4.2 – The FOFA legislation, which passed through Parliament
in March 2012, was introduced to increase trust and confidence in
the financial services industry and increase access to financial
advice for retail investors. FOFA made a number of changes to
financial advice laws, including removing conflicted remuneration
structures, to improve the quality of advice and enhance retail
investor protections. The legislation applied voluntarily from 1
July 2012, and was mandatory from 1 July 2013.
4.3 – The Government believes that the FOFA legislation went
too far and imposed unnecessary red tape and costs onto industry,
which has pushed up the price of financial advice for consumers,
which is contrary to the initial goals of FOFA. The Government
considers that the legislation has also had a number of unintended
consequences that have led to uncertainty in the industry. This
Bill fulfils the Government's election commitment to unwind the
regulatory overreach created by the FOFA legislation and provide
certainty to the financial services industry. 28 August 2014 Reps:
Third reading and passed 27 August 2014 Reps: Second reading
debate. 19 March 2014 Intro Reps.
More...
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