This is a submission in response to the Productivity Commission Superannuation Competitiveness and Efficiency issues paper.
Thank you for the opportunity to make a submission in response to the Superannuation Competitiveness and Efficiency Issues Paper. This submission will deal with two questions posed by the Issues Paper relating to SMSFs:
- To what extent do different data reporting formats make it difficult to compare SMSFs and APRA-regulated funds, and hence to assess the performance of the superannuation system as a whole?
- How would you measure the extent of competitive pressure from the SMSF segment on the rest of the superannuation system?
While there may be difficulties in comparing data collected from SMSFs and APRA-regulated superannuation funds I would be wary of imposing a greater reporting burden on SMSFs. SMSFs are not prudentially regulated and the data available comes from what is collected by the ATO, largely for tax purposes. Increasing the reporting requirements on SMSFs would increase the costs on a large, growing and important sector of superannuation.