Donald Hellyer is the CEO of OpenDirector and fintech development company BigFuture.
After 30 years, the superannuation fund industry has become enormous and now has a material impact on the Australian economy. Superannuation fund assets now exceed $3.4 trillion, some 35% larger than the whole capitalisation of the Australian stock market.
When Paul Keating and the Labor government implemented the superannuation guarantee in 1992, it also started the growth of industry funds. Originally these funds were to provide retirement for workers of a specific industry, but they are now “public offer” funds, meaning anyone can join them. Industry funds now have more than $1 trillion under management.