Retirement
Bank-owned super funds facing class action
Law firm Slater & Gordon is set to launch what could potentially be Australia’s largest class action lawsuit against bank-owned superannuation funds.
Bank-owned super funds facing class action
Law firm Slater & Gordon is set to launch what could potentially be Australia’s largest class action lawsuit against bank-owned superannuation funds.
Slater & Gordon is launching the ‘Get Your Super Back’ campaign today and said it will involve a series of class actions, with Colonial First State and AMP likely to be their first targets.
“The firm will allege the big bank-backed super funds failed to obtain for members competitive cash interest rates on cash option funds, and charged exorbitant fees, affecting millions of members who held part or all of their superannuation in bank owned funds,” Slater & Gordon said.
The allegations arise from evidence given to the royal commission into the banking industry and information released in the Productivity Commission report.
The Productivity Commission report released in May found that retail super funds only brought in members 4.9 per cent per annum, in contrast with the 6.8 per cent per annum brought in by industry funds.
The Productivity Commission report also found that retail funds frequently underperformed and charged more fees than industry funds.
More to come.
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