Super wars erupt over risky switching claims
Source: afr.com
- Super funds fight back against a sharp rise in members switching to less regulated platforms and self-managed super funds.
- Industry leaders blame lead generators for pushing bad switches, linked to scandals like Shield and First Guardian.
- The government plans a cooling-off period to protect savers from hasty moves that risk their retirement money.
Superannuation funds are clashing over a surge in members ditching safe, regulated funds for riskier options like platforms and SMSFs. The battle heats up after collapses like Shield and First Guardian wiped out savers' nest eggs. It matters because millions in retirement savings are at stake, and poor switches could leave Aussies short at retirement.