AGEST Best Value for Money

Publication Date: 12 February 2007
Publication:: IFA Magazine

Superannuation consultant The Heron Partnership has announced its 2007 Heron Quality Star Ratings for corporate and retail super funds.

Out of 122 individual products assessed, the firm awarded its top rating of five stars to 25 retail products.

Of those corporate funds with more than $50 Million under management, AMP Signature-Super, Aon Master Trust, AustralianSuper Corporate, Equipsuper Corporate, ING Corporate Super, MercerSuperTrust, Plum Superannuation Fund, Russell SuperSolution Master Trust and Sunsuper Corporate where all awarded five stars.

Heron Partnership Managing Director Chris Butler said the increase in product features, improvement in services and additional cost incurred in promoting funds had resulted in many funds increasing their management and investment costs.

Despite the additional cost pressures, however, Heron declared the Australian Government Employees Superannuation Trust the best value retail fund after fees.

Butler said choice of fund legislation mean there had been a dramatic improvement in the insurance arrangements offered by funds, as well as better provision of additional investment options, more ancillary benefits such as discounted health insurance, and better member communication and education services.

The top 10 rated corporate products included eight commercial master trusts and two industry funds.

The top 10 rated retail funds included four commercial mater trusts and six industry funds.