Super fund stays quiet on strategy

AUSTRALIA’S biggest superannuation fund has had an unprecedented surge in new members but has refused to provide details about its marketing campaigns.

Australian Super chief executive Ian Silk fronted the House of Representatives Standing Committee on Economics on Friday where he was quizzed about the fund.

Almost 410,000 people joined Australian Super last year, which was the biggest influx ever, giving it a whopping 2.3 million members who trust it to manage more than $180bn in retirement savings.

Mr Silk said “that speaks volumes” about the marketing and advertising campaigns.

“It’s a competitive industry,” he said. “If we were to provide details of that marketing campaign to other funds, it’s possible that others might learn from that.

“It’s not done on the basis of keeping it secret for its own sake. The only time we decline to provide information is where we think it is to the detriment of the fund’s members.”

He was also reticent when asked about foreign exchange losses suffered by Australian Super this year, particularly in March and April when the COVID-19 pandemic took hold, citing market sensitivity.

Committee chairman Tim Wilson said no other funds had used that excuse, reporting losing tens of millions of dollars.

Mr Silk said almost 450,000 members who had suffered financially as a result of the health crisis withdrew about $4.8bn from the fund under the federal government’s early release scheme.