The lobby group has focused on tackling “conflicts of interest” and underperformance in the financial system, singling out five recommendation points that plot a “pathway to national prosperity” in a statement released yesterday.
First, the list calls on the inquiry to ensure that the “out of ten employees that don’t choose their own fund” are protected by strengthening the “default super safety net”.
Second, it calls out the “vertically-integrated business models of the big banks” calling on the inquiry to confirm that “financial advice must be in the best interests of the consumers”.
The list then asks the inquiry to address “too-big-to-fail issues”, followed by a suggestion to develop a measure of efficiency in the financial system.
Finally, the industry funds lobbyist asks that structural reforms be established to ensure a move towards a “whole of life focus” and away from “product-centric solutions”.
“The FSI has been a rare and valuable opportunity to indentify scope for efficiencies and ways in which these can be translated into increased savings and investment, consumer protections and long-term economic prosperity,” said ISA chief executive David Whiteley.
“We’re looking forward to a substantial, evidence-based report, which plots out a long-term path to maximise the long-term investment horizon of our $1.9 trillion retirement savings pool.”
