The policy launch was accompanied by the announcement that the lobby group is rebranding to ‘Industry Super Australia’ (ISA).
The lobby group has set out five policy priorities for 2013-2016, including: putting members first; providing trustworthy advice; keeping the superannuation system transparent and accountable; making the system stable and fair; and ensuring that superannuation drives national prosperity.
Speaking at the policy launch in Melbourne yesterday, ISA chair Peter Collins said the industry fund sector has reached “critical mass” in the superannuation system and will be a “significant player in its next evolution”.
“The funds themselves have now reached a scale where they will be more influential in big decisions about the Australian economy – investment in financial markets, and the shape of the super system,” said Mr Collins.
The “sheer size” of the superannuation system is a “game changer” for the industry fund sector, he said.
“It means [superannuation] can now operate as an alternate source of capital for the economy and financial markets. This presents new possibilities and opportunities,” said Mr Collin.
Along with infrastructure investment, superannuation funds can play a greater role in areas such as private equity, he said.
“If the [global financial crisis] taught us one thing, it’s that superannuation should have an obligation to be more than just a passenger in the system,” said Mr Collins.
“We have the potential to grow the value of members’ savings through not just the investment choices we make, but the way in which we influence decisions about the economy and markets to get them performing better – to get savings to grow even more,” he said.
Industry funds have been “pioneers in funding Australia’s economy” and they have been able to do it without intermediation through banks or through markets “with all the associated short-termism, volatility and speculation”, said Mr Collins.
The size of the superannuation sector means it is no longer an adjunct to the banks, he said.
“It’s now time for super to stand on its own, proudly on its own and recognise the achievement of the last few decades,” said Mr Collins.
