Part of me is scratching my head as I write this, the other part wants to say, “I told you so” …!
A few days back the $44 billion fund representing largely hospitality workers, Hostplus, updated its product disclosure statement to reflect a clause in its trust deed that outlines five circumstances where the fund could refuse withdrawals including “insufficient cash remaining in the trust to meet other trust liabilities”.
No, you are not seeing things! A massive retail Superfund finding reasons not to give people their own money, and in an industry decimated by the economic fallout of COVID-19. Whist Hostplus maintains the changes are not related to the current situation, the funds massive investments in hard hit sectors like airports, toll roads and commercial property have many doubting those claims.
It gets worse; Rest, Cbus, Unisuper & MediaSuper have similar clauses! No doubt so do many of the others.
So, are retail super funds the same as self-managed Superfund’s (SMSF)?
Again, we say quite clearly, no they are not!
If you would like help to understand your Superfund entitlements, or with the tax aspect of recent superannuation measures in response to Covid-19 please contact your CAAA Concierge