This KPMG report examines how intelligent use of technology could tackle the two most costly drags on the system – chronic underperformance and multiple accounts – simultaneously.
The report models two options to implement the Royal Commission recommendation that a person should only have one default account, with machinery developed to ‘staple’ a person to a single default account.
Industry super funds’ recommended model would see the money in a worker’s super account follow them from job to job, by automatically rolling over the money into a quality checked, single account when they change jobs, unless they choose otherwise.
The alternative is to allocate a person to a single fund for life, unless they choose otherwise.
*The above material, whilst correct at the time of publication may include references or statements which are no longer current.