How well has your superannuation fund performed over the past year?
The first annual performance test for MySuper products have been published on the YourSuper comparison tool - and the under-performers named.
The test assessed the performance of 76 MySuper products and found 13 had under-performed. Just over $56 billion is invested in under-performing products, held in more than a million accounts.
Funds that failed the test will be required to notify members of their under-performance on September 27 and provide them with details of the YourSuper comparison tool so they can consider whether a different product would better suit their needs.
The Australian Prudential Regulation Authority has now also written to funds whose products fail or marginally pass the performance test, setting out their supervisory expectations, including to assess the credibility of funds' plans to improve their performance.
Products that fail the annual performance test again next year will be closed to new members until their performance improves.
From next year, the annual performance test will be expanded to a wider range of superannuation products.
Eight products exited the market since the performance test was announced by the federal government.
Details on whether a MySuper product has passed the performance test are available on the YourSuper comparison tool HERE