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Dr. Mark Sinclair
Dr. Mark Sinclair, Mentor Education

ASIC announces Super changes.

17 December 2013

ASIC has issued a class order and taken a no-action position to assist the industry with the introduction of recent superannuation reforms.

The corporate regulator has stated that the relief from new super disclosure requirements aligns with their facilitative compliance approach and ensures trustees to have adequate time to comply with the reform timetable. ASIC will push back the start date for compliance with new superannuation fees and costs disclosure arrangements by six months, to 1 July 2014 – class order 13/1534 will exempt APRA-regulated superannuation funds from the requirement to disclose additional costs and fees in product disclosure statements from 31 December 2013.

The class order extends the compliance date for PDSs released on or after 31 December 2013 until 1 July 2014.

An explanatory statement accompanying the class order read:  Feedback from industry associations indicates that compliance by 31 December 2013 would result in significant compliance costs and imposes unreasonable burdens on trustees.

ASIC has also announced a ‘no-action’ position which stipulates that information about accrued default amounts does not need to be included in an exit statement and while the regulator said it was taking a “facilitative approach” with regards to the Stronger Super reforms, it confirmed that “RSE licensees … need to ensure consumers are well informed and not misled by any statements about fees and costs”.

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