The Investment Trends research suggests that Australians are becoming increasingly aware of their super fund’s behaviours and strategies, and are at the same time demonstrating more loyalty towards their fund.
Investment Trends senior analyst King Loong Choi stated: “While Australians are increasingly loyal to their existing super fund, the industry cannot rest on its laurels in supporting, educating and informing its members.”
Environment, social and governance (ESG) is gradually gaining traction amongst older investors as they try to hold investments that match their personal values.
“There is strong interest in ESG-centric investments within super among Australians young and old. While the current product range is playing catch up to consumer demand, this represents an opportunity for super funds to differentiate,” said Mr Choi.
Appetite for advice and education
Three quarters of Australian super fund members have interacted with their fund in some way in the last 12 months, according to the research.
Further, 39 per cent read their annual statement, 28 per cent visited the fund’s website or read regular communication from their fund.
Despite this, many wanted to react with their funds on a deeper level but were unsuccessful in doing so, with the most common issue being a lack of face-to-face financial advice.
“Increased marketing efforts by industry super funds and recent rumblings from the royal commission have further raised consciousness around superannuation, prompting more Australians to move from casual to mindful stewards of their own super,” said Mr Choi.
“While Australians are increasingly loyal to their existing super fund, the industry cannot rest on its laurels in supporting, educating and informing its members,” continued Mr Choi.