Adelaide’s Statewide Super in early talks to merge with smaller WA super fund
STATEWIDE Super is in early stage talks about a merger with WA Super.
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STATEWIDE Super is in early stage talks about a merger with WA Super.
The organisations would not comment further yesterday.
Both are industry super funds with Adelaide-based Statewide managing more than $8.3 billion for more than 145,000 members and WA Super managing more than $3.5 billion for about 60,000 members.
A Statewide spokeswoman said only that the organisation were in “very early exploratory discussions’’.
The super industry has been tipped for consolidation following the banking and finance royal commission, with large players such as industry super funds the beneficiaries already of a flight to quality providers.
Statewide recently announced Tony D’Alessandro as incoming CEO, after Richard Nunn announced last year he would take up a job interstate.
Mr D’Alessandro told The Advertiser the fund was experiencing strong inflows from new members.
Statewide said money rolling in from other retail funds to Statewide Super rose 59 per cent from $183 million in the previous year to $288 million this year.
“Majority of those roll-ins came in from bank-owned and institutional funds. A lot of our money came in from AMP,” Mr D’Alessandro said.
Statewide Super’s membership base is now pushing towards the 150,000 mark, as it keeps an eye on mergers to scale up and reconnects with younger members to remind them of the importance of super through the “journey of life”.
“We’ve experienced positive membership growth and increased funds under management, delivered consistently strong investment performance and established a strong, capable and cohesive leadership team.
“Our job is to make sure we are there as a super fund when people need it the most, so there is a simple task for us as an industry to provide dignified retirement as well as support when needed and as things happens.
“Also, we are now ready to grow. It will be irresponsible of me in my role and the board not to consider the organisation’s growth with our key test being whether it’s driven by member-best interests.”
There are around 200 super funds and the first part of rationalisation will be that those funds can’t keep up.
“We are always considering and scanning markets (for growth opportunities).”
Statewide Super said it was supportive of SA’s growing economy through its investment in Flinders Ports, Adelaide Airport and its support or grassroots community events.
Earlier this month, Statewide Super became the default superannuation fund for new Territory government employees under a new contract.
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