The migration of Suncorp's super clients into a single platform will mean an end to its legacy problems.
The migration of superannuation clients from Suncorp's various businesses onto its new superannuation platform WealthSmart will see the company solve its legacy problems in one go, after the last customers are transferred in December this year.
"We will have a pretty clean business by the end of this year," Suncorp executive general manager super and investments Vicki Doyle said at the official launch of the platform yesterday.
The rolling over of clients from legacy products - outdated products that are closed to new investments - is a complex and costly process.
But Minister for Superannuation and Corporate Law Nick Sherry decided in December last year to facilitate this process by allowing super funds that merge to roll over capital gains tax without having to realise clients' capital losses.
In 2006 the takeover of Promina, including Asteron, forced Suncorp to address legacy issues early on and the government's tax relief means it can now finish the job, Doyle said.
"We have already moved 7500 Asteron customers into this new product already," Doyle said.
After the migration is completed, WealthSmart will have 250,000 super customers.
Retirees face the risk of running out of money. We asked Macquarie Funds Group's head of longevity risk solutions Andrew Robertson how this can be avoided.... Watch»
Many in the industry would have been bogged down in submissions given the plethora of government reviews. Next year it will be the government's turn to act on the reviews. ... read more »
Home delivered!
Daily news, weekday mornings
Get the day's news delivered direct to your inbox. Register here (it's free!) and choose 'yes' to receive the InvestorDaily newsletter.
