When I was at school there was a boy who owned a chameleon. It fascinated us. You could put it on any surface, your book of Latin verb tables, for example, and it would turn the exact blood red colour of the cover.
This creature, Gregory we called it, had evolved over millions of yeaars to change its skin colour to imitate any surrounding it found itself in. By doing this it could avoid being eaten by its predators and survive.
I mention my childhood because when I came to write this week's editorial it occurred to me that Australia's superannuation industry reminded me of Gregory. It is constantly evolving in order to survive.
The industry is faced with change every day. Whether it be budget reforms, the introduction of choice, uncertain stock markets or even the shifting aspirations of Australian investors - super funds are being forced to adapt.
Many of these issues will be discussed at the annual Investment and Financial Services Association (IFSA) Conference in August on the Gold Coast. It has been described as the nirvana for fund managers by IFSA chief executive Richard Gilbert. Whether he meant the Gold Coast or the IFSA conference we are unsure.
Our cover story looks in more detail at some of the topics under discussion at IFSA 2006, and highlights the various ways super funds are evolving to meet with today's challenges.
One of those challenges is making the most of Asian investment, in particular China. Our news analysis emphasises that funds should tread with caution.
Although Chinese growth can resemble the never-ending story to some - investors should keep grounded. In a recent visit to Sydney, CNN's former senior Asia correspondent, Mike Chinoy, told our reporter Christine St Anne that Chinese risk is not just about plain economics. He stressed broader issues could affect the stability of society and in turn the economy.
"I see Chinese society like a big frying pan with bits of butter in the pan. If the heat under the pan is turned up like the economy, the pan will begin to smoke and catch on fire," he said.
Super funds looking to ride on China's coat tails would be wise to take heed. Chameleons who don't change their skin to suit the environment tend to get eaten.
