Recent research from Roy Morgan revealed a startling fact: employers account for 60% of the distribution of superannuation products*. You can see why; most people when they start a job either join their new employer’s scheme or direct any future superannuation guarantee payments into their existing scheme with a previous employer.

This is understandable, as investing in an employer’s scheme is convenient and easy to set up. But the decisions you make around superannuation are some of the most important decisions that you will make in your life. Your superannuation is one of your largest investments so it’s important to ensure it’s working hard. Over the long term, not taking control of your super can be devastating to your retirement savings.

You can take control

We believe that there are two decisions that can significantly improve superannuation investment outcomes: the first is getting the right financial advice and the second is making the right investments.

Yet according to the Roy Morgan research, just 32% of superannuation investors used an intermediary (for example a financial planner) and only 7% of respondents invested directly.

Making the right investment decisions can make a huge difference to your wealth over the long term. An investment that outperforms another investment by just 3% per annum may be worth double in just 25 years through the power of compounding. While your appetite for risk is key when making investment decisions, you need to make sure the investments you choose can help make your retirement goals a reality and are reviewed regularly.

Taking action

Investors shouldn’t wait to start making changes, you can take control today.

You can invest in a superannuation product that lets you choose the options that are best for you.

Allan Gray Superannuation offers you:

  • A broad investment choice, including around 70 managed funds, Australian shares, ETFs and term deposits.
  • Fairer fees that you control
  • No preferential treatment – the same fees apply for all users for the same dollars invested
  • Smart online functionality including online dealing and research tools
  • Simple default insurance cover, to protect you and your family should the unforeseen occur.

Allan Gray Superannuation puts you in charge of your future. Learn more about how you can choose from a range of investments and insurance options at a price that you control.

 

*Source: Roy Morgan, ‘Finance Royal Commission likely to disrupt distribution of financial products’, 7 February 2019.