9th Nov 2009 by Tobias John Sterling
There are hundreds of superannuation funds in Australia, all with different fees, features, and levels of recent performance. As such it's more or less impossible to say which super fund is 'best'. However, for what it's worth, the ten finalists for super fund of the year 2009 were AustralianSuper, HESTA, Sunsuper, Catholic Super, NGS Super, HOSTPLUS, REST, First State Super Telstra Super, and QSuper.
Some people believe that industry super funds are generally a better option than retail funds. Industry super funds are run by unions or employer associations solely to benefit members, not to make a profit. They don't pay commissions to financial advisers and they have lower fees than retail funds. Eight of the ten finalists for super fund of the year 2009 listed above are industry funds.
For some people the best superannuation fund may be a self-managed super fund or 'SMSF'. A SMSF is a super fund set up often by just one or at most four people. The members are also directors/trustees and they make all investment decisions for the fund. SMSFs are a way of exercising total control over your super and are generally favored more by wealthy individuals, as they are thought to be not cost-effective if they hold less than $300-400k.
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