Superannuation Australia Essay Example | Topics and Well Written Essays - 1000 words

Superannuation Australia - Essay ExampleOne of the key features that MySuper offers is easily comparable fees structure that has a list of deductible forms of fees (Patrick, 2004). In addition, the fees that a member of MySuper is charged are limited. Some of the major fees that are involved include administration fee, enthronisation fee, and other types of fees including exit fees, investment switching and contribution splitting.MySuper products offers total & permanent disability (TPD) damages that is of standard and default in nature. This implies that the members will have the opportunity to decrease or emergence their insurance cover without leaving the MySuper product. Upon joining, members of MySuper product will automatically receive a prescribed level of insurance (Mansell and Wehn, 1998). Similarly, individuals who decide to opt out of the insurance cover will no longer pay the insurance premium.In its effort to attain an economic growth that is based on extensive inves tment, the Australian government introduced a lifecycle investment option as a default to MySuper product. One of the major aspects of the lifecycle investment option is that it allows the trustees to move members into another investment unify in an automatic manner. Some of the factors that are considered during moving of members include age, time, gender and retirement among others (Bill, 2013). Through the Trustee Tailored Superannuation, new inventive lifecycle methods have nowadays been introduced thus ensuring that members income is properly invested.Another notable feature that is found in the MySuper product is disclosure. This implies that the extent of trustee disclosure depending with the fees, investment allocation as well as investment performance will be higher. As a result, the Australian Prudential Regulation Authority (APRA) will be in a position to compare data that is related to long-term net return thus