Heron Quality Star Ratings Announced for 2010/11

Released: 27 July, 2010

Assessment included all major super products

Leading independent superannuation consultancy, The Heron Partnership has released the results of its latest superannuation product assessment covering over 260 products in total.  Included were 119 products classified as personal or retail (54 master trust products and 65 industry fund products), 88 pension products and all 16 Eligible Rollover Funds.  Also included were 38 master trust and industry fund products designed for the specialist corporate superannuation market.

The outcome of this assessment is the awarding by Heron of their highest general award of 5 Quality Stars to 53 personal/retail products, 25 corporate products, 41 pension products and 3 ERFs.

Those that achieved the highest numeric rating in each product classification receive Heron’s Top Rated Product award for that classification. Chris Butler, Managing Director of The Heron Partnership said, “We are pleased to announce that Aviva - Navigator Personal Retirement Plan has received the Top Rated Product award for Personal products, ING Corporate Super for Corporate products, AMP SignatureSuper for Pension products and AUSfund for ERFs.”

Heron’s Top Rated Superannuation Products for 2010/11

“This is the 1st occasion that Aviva – Navigator Personal Retirement Plan has been crowned Top Rated Personal Product, whilst it is the 8th consecutive occasion that ING Corporate Super has secured this award for Corporate products.  AMP SignatureSuper has received the top award for Pension products twice and AUSfund has been voted Top ERF on 4 occasions,” he said.

The Heron Partnership’s numeric rating system found that the top 10 Personal/Retail products comprise 6 industry fund products and 4 master trust products, whilst for Corporate products the top 10 are all commercial master trust products.

Of the superannuation products classified as Personal/Retail, 54 have been rated by Heron as “outstanding quality” and therefore awarded 5 Heron Quality Stars.  In alphabetical order they are:

Outstanding Personal/Retail Superannuation Products
AGEST	Health Super
AMP Flexible Super	HESTA
AMP Flexible Lifetime Super	HOSTPLUS
Aon Master Trust - Personal Division	HOSTPLUS Executive
Asgard Elements Super	HOSTPLUS Personal Super Plan
Asgard eWRAP Super	ING OneAnswer Personal Super
Asset Super	Intrust Super
AustralianSuper Finsuper Division	IOOF Portfolio Service Personal Superannuation
AustralianSuper Personal	IOOF Pursuit Select Personal Superannuation
AustralianSuper Workplace	Local Government Superannuation Scheme - Accumulation
Aviva - Navigator Access Super	Macquarie - Super Accumulator
Aviva - Navigator Personal Retirement Plan	Media Super - Employer Sponsored Account
AWM Spectrum Super - Personal Division	MLC MasterKey Custom Superannuation
AXA Summit - Personal Super	MLC MasterKey Super
BT SuperWrap Personal Super Plan	MLC MasterKey Super Fundamentals
CareSuper	netwealth Super Wrap - Employer Sponsored Super
CareSuper - Personal Plan	netwealth Super Wrap - Personal Super
Catholic Superannuation Fund	Non Government Schools
Colonial First State FirstChoice Personal Super	Plum Superannuation Fund - Personal Division
Colonial First State FirstChoice Wholesale Personal Super	REST
Energy Industries Superannuation Scheme - Accumulation	REST Personal Superannuation
Equipsuper - Personal	Strategy Retirement Fund
Equity Super Freedom of Choice - Personal Super	Sunsuper Solutions
First State Super	Tasplan
FSP Super Fund	TOWER The ARC Personal Plan
FuturePlus Super	WA Local Government Super Solutions – Employer
Government Employees Superannuation Board (GESB Super)	WA Local Government Super Solutions – Personal

The 25 Corporate superannuation products rated as “outstanding quality” and awarded 5 Heron Quality Stars are (in alphabetical order), as follows.

Outstanding Corporate Superannuation Products
AMP CustomSuper	Equipsuper - Corporate
AMP SignatureSuper	Equity Super Freedom of Choice – Business Super
ANZ Super Advantage	Equity Super Freedom of Choice - Corporate Super
Aon Master Trust	ING Corporate Super
Asgard Employee Super	ING Integra Super
AustralianSuper Corporate	Mercer SmartSuper
AustralianSuper Corporate Solutions	Mercer SuperTrust
Aviva Business Super	MLC MasterKey Business Super
AWM Spectrum Super	Plum Superannuation Fund
BT Business Super	REST Acumen
BT Lifetime Super - Employer Plan	Russell SuperSolution Master Trust - Employer Division
CareSuper - Corporate Super	Sunsuper Corporate
Colonial First State FirstChoice Employer Super

The assessment of retail and corporate superannuation products undertaken by Heron covers about 130 key product features that are grouped under 5 Areas of Importance: Investment Arrangements; Insurance; Contributions; Ancillary Benefits; and Communications.  Investments and Insurance have the greatest impact on a product’s score with respective weightings of 55% and 30%.

The 41 Pension products rated as “outstanding quality” and therefore awarded 5 Heron Quality Stars are (in alphabetical order), as follows.  Of these products, 22 are classified as “commercial” products and 19 as “industry fund” products.

Outstanding Pension Products
AGEST - Allocated Pension	HOSTPLUS Pension Plan
AMP Flexible Lifetime Allocated Pension Plan	ING OneAnswer Pension
AMP SignatureSuper Pension	Intrust Super Stream
Aon Allocated Pension Plan	IOOF Portfolio Service Allocated Pension
Asgard Elements Pension	IOOF Pursuit Select Allocated Pension
Asgard eWRAP Pension	LegalSuper Pension
AustralianSuper Pension	Makeachoice Superannuation Master Trust - Allocated Pension Division
Aviva Navigator Personal Retirement Plan - Account Based Pension	media super
AWM Spectrum Pension Division	Mercer Super Trust - Allocated Pension Division
AXA Summit Personal Pension	MLC MasterKey Pension
BT SuperWrap Pension Plan	MLC MasterKey Pension Fundamentals
CareSuper Pension	Netwealth Income Stream
Catholic Super Pension Plan	NGS Super Account Based Pension
Colonial First State - FirstChoice Pension	REST Pension
Colonial First State - FirstChoice Wholesale Pension	Russell Private Active Pension
Equipsuper Account Based Income Streams	Statewide Superannuation Trust - Account Based Pension
First State Super Income Stream	Strategy Allocated Pension
FSP Pension Service	Sunsuper Workforce and Retirement Pension
FuturePlus Super Account-Based Pension Plan	TasPension
Health Super Pensions	Vision Super Income Stream
HESTA Super Income Stream

In assessing pension products, Heron reviewed each product’s investment arrangements, pension payment frequency, payment methods, options available in respect to the nomination of beneficiaries, options for payment of a death benefit, communication events with members including ease of access for members to obtain information and any ancillary benefits offered.  The main focus is on investment arrangements.

The 3 Eligible Rollover Funds rated as “outstanding quality” and awarded 5 Heron Quality Stars are (in alphabetical order), as follows.

Outstanding Eligible Rollover Funds

Australia’s Unclaimed Super Fund (AUSfund)

ISPF ERF

SuperTrace

The 4 “Areas of Importance” taken into account when Heron assesses ERFs are Organisation, Impact of Fees, Investments and Relocation Activity.  All core elements of an ERF.

When releasing the ratings for 2010/11, Mr Butler, said “The primary goal of the Heron Quality Star Ratings is to provide a realistic and objective representation of the strengths and weaknesses of a product.  The ratings are based on feature specific benchmarks which guide Heron’s assessors to rate the feature objectively. All products are therefore rated on the exact same basis.  The ratings for each feature are aggregated to an overall numeric rating for each product”.

The Heron Partnership’s product research and assessments are provided through their Heron Advisor internet based research service.  This research service is utilised by product issuers, dealer groups and financial planners as a superannuation research tool, for superannuation advice and corporate super tenders.

The Heron Quality Star Ratings have 5 levels as follows:

Details of the Heron Quality Star Ratings, including the assessment methodology and products awarded with 5 Heron Quality Stars, are featured on The Heron Partnership’s web site.