Minister for Superannuation and Corporate Law, Senator the Hon Nick Sherry and the Hon Lindsay Tanner MP, Minister for Finance and Deregulation, today welcomed the release of a Financial Services Working Group consultation paper on increasing access to simple superannuation advice.
The paper seeks comment on regulatory and other steps that could be taken to improve Australians' access to low-cost financial advice within their superannuation fund. The advice would seek to answer member queries on issues including investment choice, insurance, contribution types, nominating beneficiaries and retirement income projections.
"We will pave the way for millions of Australians to access simple advice about their superannuation. Superannuation is compulsory, it is the largest area of unmet need for financial advice, and there are many unsophisticated investors. Access to basic advice is critical when people need help making retirement savings choices,'' Minister Sherry said.
The consultation paper was developed by the Financial Services Working Group - a joint initiative of Treasury, the Department of Finance and Deregulation and the Australian Securities and Investments Commission (ASIC). The Group's role is to look at key issues associated with financial product disclosure and advice.
"The Government is committed to removing unnecessary regulatory barriers to obtaining cheaper financial advice about superannuation,'' Minister Tanner said.
"The Financial Services Working Group is consulting across Government and industry to suggest practical solutions without reducing consumer protections".
The consultation paper invites submissions from the financial services industry and the public. It can be downloaded from the websites of the Department of Finance and Deregulation, Treasury and ASIC, or requested by emailing the Financial Services Working Group (financialservices@treasury.gov.au). Closing date for public submissions is 15 July 2008.