The planned merger between hospitality-based super fund Hostplus and South Australia-based Statewide catapults a fund with one of the industry's most attractive net flow profiles into the ten largest in the country.
Fund consolidation was also a topic of conversation during Wednesday night’s Senate Estimates hearing with APRA noting it is seeing a number of funds talking about a variety of mechanisms to pool assets to get the advantages of scale outside of traditional merger arrangements.
The $50 billion fund's deputy CIO - brought onto the panel to replace a sick Sam Sicilia - said the fund had enough liquidity amidst the early release scheme to manage "well beyond even the worst scenario we could imagine".
In its first year, Investment Magazine's Market Narratives podcast series have traversed some of the most pressing issues facing heads of investment teams, asset class specialists, influential consultants and those at the helm of the country's largest superannuation schemes.
Whether new look profit-for-member trustees with balance sheets and new insurance arrangements leads to these funds attracting the same attention for civil penalties and remediation as for-profit funds remains to be seen.
While super stapling is a natural industry progression and a plus for consumers, the changes will curb some of the benefits smaller industry funds rely on to survive, which could further accelerate merger activity.
It is a difficult time, but also a time of excitement for mental health advocates, who say Covid-19 is catalysing deep change among business leaders, policymakers and the broader community in how to address mental health.
A group of psychologists, social workers, industry leaders and mental health experts have come together to address the mental health crisis that lays beneath the pandemic - this is the first in a series of articles designed to start a broader conversation about this important topic.