Financial services company KPMG has reported that for-profit superannuation funds are beating their industry fund counterparts when it comes to the sophistication of internet offerings.

According to KPMG's latest Superannuation Fund Internet Capability Survey 2008, Plum Superannuation Fund (Plum) and Mercer Super Trust (Mercer) were the frontrunners, with some new innovations pushing them towards the top spots.

Plum now offers real time market and investment commentary and Mercer provides its members with the ability to communicate with a financial adviser online.

The only appearance by an industry fund in the survey was REST Superannuation (REST), which tied for third place with Colonial First State FirstChoice Employer Super and ING Corporate Super.

KPMG Partner Emery Feyzeny said the larger funds had made the greatest investment in website technology.

"Many industry funds are administered by Superpartners, so the style of assistance is fairly generic. Basically, the administration of the fund would drive the quality of the web access," Feyzeny said.

However, the survey found that industry funds have made a significant improvement from the 2005 survey and the gap between the for-profit and the not-for-profit funds was closing.

REST was the highest ranking fund in the industry sector, followed by First State Super. Asset Super and Auswide Master Trust tied for third place.

On the whole Feyzen said he was disappointed with the results of the survey and said super funds have a long way to go if they want to match the online offerings by other financial services providers.

"Superannuation touches everyone in the Australian workforce," Feyzeny said.

"Members need and expect to be provided with abundant tools and functional access to their accrued entitlements. Funds which fail to deliver in this regard will differentiate themselves to their ultimate detriment."