Seven funds spent $250m on advertising/marketing
Between them, seven superannuation funds accounted for more than $250 million in advertising and marketing expenditure last financial year, according to new data released by the Australian Prudential Regulation Authority (APRA).
The six industry funds are:
AustralianSuper $60,195,958
ART $41,812,501
Cbus $34,717,403
HESTA $34,155,011
Aware $29,524,122
Hostplus $24,350,011
REST $18,658,058
Australia’s largest superannuation fund organisation, the Association of Superannuation Funds of Australia (ASFA) has sought to justify the advertising/marketing spend of the funds, pointing out that advertising and sponsorship made up only 5.5% of the aggregate data.
What is more, it said that the advertising/marketing spends of the superannuation funds was on par with that of the banks and insurers.
In a statement issued almost immediately after the release of the APRA expenditure data, ASFA reinforced the competitive nature of the superannuation sector in Australia.
“In superannuation, marketing expenditure is a tool that helps funds communicate effectively with members about their retirement savings assisting members to make good decisions,” it said.
“The superannuation sector is a highly competitive environment by design. Successive governments have increasingly prioritised competition to build innovation and allow for differentiation which has delivered us a system the envy of the world.
“We are a sophisticated sector, able – through investments in brands – to attract global talent and to deliver double-digit returns time and again,” it said.
“As APRA’s data shows, advertising/sponsorship, at 5.5% percent of the aggregate data – or an average of $12.97 per year per member account – unlike administration services at 24% – is just one of many tools that funds use to engage members in a way that promotes informed, confident retirement decisions,” ASFA said.
A breakdown of the marketing expenses to see exactly where, and to whom, the money is flowing, would be interesting reading.
Exactly let’s see:
– corporate sports boxes $
– wine & dine entertainment $
– Union & Bikie bosses associated business being paid these hundreds of millions $
– Pollies payments as marketing $ ?
– Union payments as marketing $ ?
Given the size and importance of these Industry Funds with $1.6 Trillion under their control, some real disclosure should be demanded by members and public.
But with the Regulatory Captured Corrupted APRA & ASIC as best buddies of Industry Super, it’s clear nothing will ever be properly disclosed.
Too many back Handers and rorts feeding Canberra, Unions & Bikies.
Agreed.
And that is only their declared marketing and advertising spend.
What is the quantity of money that flows out in other payments they don’t want known?
In the 1990’s the world demanded stop & accountability in the financial institutions/banking sectors for these corrupt and nepotistic payments & favours, and in the 2000’s after GFC it was the AFSL’s/managed funds and planners’ turn – yet these industry funds & unions (known criminals, bikies and uneducated thugs) get to do whatever, whenever and however they like with literally hundreds of millions of other people’s retirement dollars???
In response to the APRA data on the advertising and marketing expenditure of industry super funds, it’s crucial for the financial advice sector to recognise the power dynamics at play. Industry super funds, with their deep advertising pockets and substantial political influence, are no longer just competitors; they are an organised oligopoly, employing strategies perfected by other corporate giants like Big Tobacco and Big Pharma. The aim? To not only control their image but also dominate the financial advice landscape by controlling media narratives.
Here’s how they’re orchestrating this:
The combined effect of these actions is unmistakably aimed at weakening the independent advice profession, while ensuring that industry super funds emerge as the dominant players. This coordinated effort reflects the immense influence of this oligopoly, not just on the financial landscape but also within political corridors, where their reach extends across the political spectrum. For the future of independent financial advice, it’s essential to understand and address this systemic consolidation of power before it’s too late.
Trust me – if you all think you received a free pass on Section 99FA then think again.
Your audit letter is in the mail – especially if you use one particular platform.
Be prepared to be asked a mountain of questions in your justification of your fee.
Be a good chap and please share the platform of concern.
thanks
So the compare the pair adverts should be banned.
All lies. Have been for years.
Where is ASIC ? APRA ?
It’s all good to provide these figures but they should look at these related parties too.
Now they need to look at how much money flows to the Industry Super Australia (ISA) marketing and advertising body/organisation, considering that 8 funds pull resources into this arrangement to advertise. Consideration should be given as to who is on the board of ISA and where that money goes. It adds up to an obscene amount of money each year that is being pooled into one organisation (ISA). Are they actually spending the funds correctly or is there a grift occuring.
The same should apply for Super Member Council (SMC) and how much money is pooled into that organisation and whether the funds are actually accounted for under marketing/advertising or if it is separate. Again, they should look at the board, their expenditure and where those funds go.
It’s worth the public and super fund members knowing this, so why not scrutinise these organisations too, considering they are related parties.