Archived News for Finance Sector Professionals

Western Australian Treasurer Christian Porter has announced that Expressions of Interest will be sought for the provision of the Government Employees Superannuation Board’s (GESB) administrative services.

Mr Porter said the move followed the decision to allow State Government employees to choose their super fund from March 30, 2012, the central reform recommended in the Whithear Review.

“As a result of this choice reform - which has been overwhelmingly supported by public sector employees - GESB will not have the economies of scale to offer the most cost effective administration services in the long run,” he said.

“If GESB is prevented from exploring options to lower the cost of providing administrative services, the effect could be higher costs to those who do choose to remain with GESB.”

Mr Porter said procuring administrative services from a specialist external provider would be aimed at achieving lower costs to members. Outsourcing should also enable GESB to keep pace with the many superannuation reforms and other challenges in a rapidly changing industry.

Mr Porter said many super funds across the industry were currently procuring administration services from external providers to minimise operating costs and gain efficiencies through economies of scale.

“The Government is undertaking this reform so that GESB will be able to ensure their administrative costs are competitive,” he said.

Mr Porter said the provision of GESB’s superannuation administration services was expected to appeal to the market and should result in better outcomes for both existing members and future State employees, primarily from competitive fees and services to members, particularly over the longer term as the superannuation industry continued to consolidate these services.

“This opportunity to compete for the provision of these services offers the market an exciting opportunity to engage with the State and GESB in these reforms to maintain competitive services to members,” he said.

Invitations for Expression of Interest for provision of administrative services will be issued to the market in June and it is anticipated that transition to new superannuation administration service arrangements will begin in the second half of 2013.

Colonial First State announces executive restructure

Colonial First State has announced a major shake-up of its executive management team, with Chief Executive Officer Brian Bissaker reportedly leaving his post after the role being made redundant.

McEwan to depart Commonwealth Bank

The Commonwealth Bank has announced the resignation of Group Executive Retail Banking Services, Ross McEwan, after he accepted the role as Chief Executive Officer, UK Retail with the Royal Bank of Scotland.

MoneySmart's 4 rules to get back on track

The ASIC personal finance website MoneySmart launched the Top 4 End of Financial Year Tips.

The tips tell Australians now is the time to get organised, set some goals, consider a first home savings account or sort your super.

Delia Rickard, Senior Executive Leader Financial Literacy said “The end of financial year is not only a time to set up solid financial practices; it is the perfect time to get your super right. Especially since some superannuation benefits will be less generous after 30 June.

“Being ‘MoneySmart’ this end of financial year means thinking beyond receipts to reassessing your finances and planning for your future. This applies no matter your age or life stage,” she said.

Here are MoneySmart’s Top 4 Tips for 2011/2012 end of financial year:

Financial advisers granted extension

Financial advisers will be granted an extension to their exemption from the taxation agent services regime until 30 June 2013, said Assistant Treasurer David Bradbury.

QBE announces executive reshuffle

Insurance group QBE has announced a series of major changes to its Group Executive structure following the announcement of Frank O’Halloran’s retirement form the role of Group Chief Executive Officer and John Neal’s appointment to the role effective this August.

ANZ posts booming results

ANZ has posted a statutory profit after tax of $2.29 billion for the half year ended 31 March, representing a remarkable 10 per cent increase when compared to the same time last year.

ASIC releases carbon financial services details

The Australian Securities and Investments Commission (ASIC) has released details regarding the licensing and registration of financial services companies wishing to deliver services regarding emissions under the Australian Government’s carbon pricing mechanism.

Privacy reform to target credit reporting

Attorney-General Nicola Roxon has announced the Federal Government’s intentions to reform the country’s privacy laws, with an aim to simplify credit reporting arrangements, give new enforcement powers to the Privacy Commissioner and better protect people’s personal information.