Three super funds issued infringement notices for misleading investment disclosures

ASIC issued six infringement notices totalling 118,800 dollars to the trustees of three superannuation funds, Australian Retirement Trust Pty Ltd, Tetra Servicing Pty Ltd formerly known as Telstra Super Pty Ltd, and Australian Meat Industry Superannuation Pty Ltd as trustee of Australian Food Super, each receiving two notices totalling 39,600 dollars. The notices followed a targeted ASIC review of disclosures published on superannuation trustee websites.

ASIC held concerns that the disclosures did not match how the relevant investment options were actually managed. For AMIST, the Alternatives Option was described on its website and in a Member Outcomes Assessment Summary as invested entirely in private equity, when international shares held through an iShares fund in fact made up a significant proportion of the option. For Telstra Super, its Property Option webpage stated a seven year time horizon for setting and measuring the return objective, which did not reflect the time horizon actually used.

Australian Retirement Trust and Telstra Super have paid the amounts under their infringement notices, and AMIST has agreed to pay. ASIC Commissioner Simone Constant said members rely on trustees for accurate information about investment options, asset allocation and performance objectives, and that trustees should regularly review disclosures to ensure they remain current and consistent with how options are managed. Payment of an infringement notice is not an admission of a contravention.