Super knowledge gap persists

Too few Australians have sufficiently understood superannuation over the past 20 years and a new Australian Securities and Investments Commission (ASIC) survey has confirmed the problem persists with respect to millennials.

Successive research conducted by superannuation organisations and media have confirmed a lack of understanding, and a recent ASIC Moneysmart survey has shown that 48% of survey millennials admit they are not knowledgeable about maximising their super.

The survey result was discussed at a roundtable at which ASIC commissioner, Simone Constant said she encouraged superannuation members to think of themselves as customers.

“As a customer, you have choices and can demand services match your needs as you would from other financial services providers, such as your bank or insurer,” she said.

“I question whether super fund members receive the same level of clarity about what is happening with their super compared to the minute-by-minute access you get from other banking and financial services apps,” Constant said.

ASIC said its Moneysmart web site is launching a consumer awareness campaign aimed at millennials.

It said the campaign would spotlight the benefits of engaging with super early and often, demonstrating how regular contributions can compound significant over time.