APRA takes aim at super
APRA has released a MySuper heatmap which assesses the performance of every MySuper product available on the market.
The goal of the heatmap, according to APRA, is to “lift industry practices and enhance member outcomes by publicly identifying which MySuper products are underperforming and the areas they need to improve.”
APRA deputy chair Helen Rowell argued that while super works for most members, “APRA is determined to weed out the industry’s underperforming tail.”
She continued: “In particular, we directly contacted the trustees of the worst performing products and asked them to provide or update action plans outlining how they will address identified weaknesses. If they are unable to make substantial improvements in good time, we will consider other options, including pressuring them to consider a merger or exit the industry.
“However, no-one should be complacent. We expect all trustees to use the heatmap to reflect on the drivers of their current performance, and identify where they can do better.”
You can view the heatmap here.
Westpac chair challenged at AGM
Westpac’s chair, Lindsay Maxsted, has been criticised by shareholders at the bank’s AGM today.
Referencing the recent money laundering scandal and AUSTRAC’s allegations, Maxsted said: “As a board and as individuals, we are devastated that anyone may have been exposed to the risk of harm as a result of a failing by Westpac. For this, we are truly sorry.”
Despite his apology, many shareholders at the AGM encouraged Maxsted to step down, shouting “just go”.
The AGM follows CEO Brian Hartzer stepping midst legal action from AUSTRAC pertaining to over the bank’s alleged 23 million breaches of anti-money laundering and counter-terrorism finance laws – most notably failures to monitor customers transferring money to the Philippines in ways considered to be consistent with child exploitation.
Commenting on his departure, Hartzer said he accepts he is “ultimately accountable for everything that happens at the bank,” adding that “it is clear we have fallen short of what the community expects of us and we expect of ourselves.”
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