Helping more Australians retire well with confidence
28 February 2023
5
min read
Commonwealth Bank Group Super has entered into a Memorandum of Understanding (MOU) to pursue a merger with us and transfer members and funds under management to Australian Retirement Trust.1
A merger would see Group Super’s 67,000 members and $12.3 billion in funds under management2 (FUM) transferred to Australian Retirement Trust via a Successor Funds Transfer (SFT).
Australian Retirement Trust is the super fund formed through the merger of QSuper and Sunsuper. We’re one of Australia’s largest super funds and proud to take care of over $240 billion in retirement savings for more than 2.2 million members.
The move is subject to:
- both funds completing due diligence reviews
- both funds agreeing on the final terms
- meeting relevant regulatory requirements
- being deemed in the best interest of members of both funds.
A trusted retirement partner
Group Super's decision to pursue a merger with Australian Retirement Trust follows Woolworths and Australia Post also choosing us as their retirement partner.
It also comes as Alcoa Super has chosen Australia Retirement Trust as its preferred merger partner by entering into a Memorandum of Understanding (MOU) with us to bring its 5,000 members and $2 billion in funds under management to Australian Retirement Trust in another SFT arrangement.
Alcoa Super is the corporate fund for Alcoa of Australia Limited (Alcoa) employees, former employees and family members.
We have also recently entered into an MOU with AvSuper to potentially merge. If that merger goes ahead, AvSuper would also entrust its 5,300 members and $2 billion in funds under management to Australian Retirement Trust.
Now a public offer fund, AvSuper was first established for employees and former employees of Airservices Australia and the Civil Aviation Safety Authority (CASA).
Leveraging our scale
Australian Retirement Trust Chair, Andrew Fraser, said if the merger with Group Super proceeded, it would mean Group Super members would be able to benefit from our global investment capability and strong long-term investment performance.
Should the merger progress, Group Super members will benefit from our ability to leverage our scale to seek out world-class investment opportunities and deliver enhanced products and services to all of our members,” Mr Fraser said.
“In addition, we have specialist skills and experience in managing complex defined benefit plans as one of the largest defined benefit providers in the Australian marketplace.”
Putting members first
Chair of the Group Super Trustee Board, Rosemary Vilgan, said due to Australia’s changing superannuation landscape, the board had decided to explore options for a potential merger partner.
“For over 100 years our fund has looked after the superannuation needs of Commonwealth Bank Group employees and their families. Our members’ best financial interests are at the heart of everything we do,” Ms Vilgan said.
“Though Group Super has delivered good outcomes for members over the years, we are still a relatively small fund, and we know scale is important to deliver long-term outcomes for superannuation fund members.
“As a large, well-established fund, Australian Retirement Trust can offer a broader range of products and services at competitive fee levels for members. We are confident that a merger would deliver value for our members leading into and during their retirement.”
1. Commonwealth Bank Group Super, Media Release, Commonwealth Bank Group Super to pursue merger with Australian Retirement Trust, accessed 27 February 2023
2. As at 30 September 2022