New research commissioned by MUFG Retirement Solutions, a division of MUFG Pension & Market Services (MPMS), shows that members are increasingly focused on security and expect more than basic password protection.
- 69% now regularly use biometric security such as fingerprint or facial recognition and expect the same ease and protection with their super accounts.
- 74% prefer engaging with their super account via mobile – and expect that mobile experience to be secure by design.
- 46% of surveyed members could not recall receiving any security updates from their fund in the past year.
Many funds still rely on annual statements to communicate with members. While these are important for reporting, they do not provide specific security updates or guidance, and passwords alone offer minimal protection against today’s threats. Members now expect visible, proactive and layered security measures.
“While many super funds have made good progress, relying on basic security controls is no longer enough,” said Frank Lombardo, CEO of MUFG Retirement Solutions (ANZ). “Members expect stronger, layered protections, timely alerts, and seamless digital identity verification to keep their retirement savings safe. MUFG Retirement Solutions is leading this change with biometric eKYC pilots, partnerships in verifiable credentials, and integration with the government’s Trust Exchange (TEx) initiative.”
Australians rate their confidence in super fund security at 3 out of 5. Interestingly, many assume their fund is “government-backed” and therefore safe – this trust is passive and not based on communications or visible protection.
Meanwhile, nearly 1 in 3 Australians have experienced identity crime in their lifetime, and 20% in the past year. Members are worried – 77% are concerned about cyberattacks, and more than half would consider switching funds over security or digital experience concerns.
The experience gap
Members want strong security – but not at the cost of convenience. Key expectations include:
- 91% expect extra verification for high-risk activities
- 70% want it at onboarding
- 67% expect it for routine logins
Yet 41% say they avoid complex setups, highlighting the need for intuitive, mobile-first design. Biometrics hit the sweet spot: 74% of Australians are familiar with fingerprint or facial recognition through banking and smartphone apps, and 61% would choose biometrics for convenience. Password fatigue is real – members want seamless security that “just works.”
Why digital identity is a loyalty strategy
Digital ID integrates safety with convenience, giving members confidence without adding friction. Funds that adopt biometrics and verifiable credentials can:
- Eliminate the frustrations of outdated 100-point checks.
- Speed up onboarding and reduce processing delays.
- Provide consistent, mobile-first verification across all touchpoints.
- Give members control over what data is shared and when.
Importantly, 61% of members say stronger security would increase their loyalty to their fund.
Turning security into a differentiator
Super funds are competing for trust and retention. Integrated digital identification and onboarding processes are emerging as a clear loyalty driver. Done right, it reduces fraud risk, cuts costs, and delivers the seamless experience members expect.
MUFG Retirement Solutions is leading this change with biometric eKYC pilots, partnerships in verifiable credentials, and integration with the government’s Trust Exchange (TEx) initiative.
The goal: smarter security that strengthens trust and enhances the member journey – from onboarding to retirement saving and spending. Funds that proactively communicate and demonstrate their security capabilities will earn lasting member confidence.
Download the whitepaper: Protecting Australia’s retirement savings in a digital world
Connect with Eoin Burke to discuss digital identity solutions.
