The Australian Institute of Superannuation Trustees (AIST) has raised concerns over the proposed performance tables of superannuation fund performance by the prudential regulator.
In November 2008, the Australian Prudential Regulation Authority (APRA) said it would consult with industry on its annual statistics of performance data on individual superannuation funds.
In its submission to APRA, the Australian Institute of Superannuation Trustees (AIST) has called for data to be measured on discreet investment options, such as default funds, rather than a whole of fund return as currently proposed by the regulator.
"A whole of fund approach is not viable. We need a direct comparison when assessing the performance of individual funds," AIST policy and research manager Andrew Barr said.
AIST also has concerns with APRA's use of existing data to measure the performance of funds.
"The data currently collected by APRA is used for regulatory purposes and not for consumer comparison purposes. If any meaningful comparison for consumers is to be made APRA will need to get more data," Barr said.
The move by APRA to publish such data is a positive move for the industry, however, it is important that mphasis should not be placed on past performance, Barr said.
"There is an obsession at the moment about past performance. Publishing extra data about past returns risks cutting into the notion that superannuation is a long-term investment," Barr said.
Minister for Superannuation Nick Sherry has consistently called for APRA to look at publishing performance league tables for superannuation funds.
