After finding a “significant amount of under-reporting” of fees in the superannuation industry, ASIC has decided to introduce new requirements for funds to better disclose their fees to members.

“The changes will help bring industry-wide consistency to exactly what must be included in the product disclosure statement,” ASIC said.

“And, from later in 2018, the changes will also ensure that the information in PDS and in periodic statements will match more clearly; as a result, consumers will be better able to understand the fees and costs.

“The consistency and more accurate disclosure of fees will also help ensure that funds are competing more fairly.”

The regulator noted that some fees are charged based on the kind of investments being made on the members’ behalf, and that some of the higher returning investments may come with higher charges, but that the new reporting requirements would take this into consideration and make sure members know why those fees are being charged.

Additionally, ASIC said it will undertake compliance checks to make sure funds are meeting their new obligations to their members.