Corporate fund BOC Super will merge into Equipsuper, adding around $700 million to its assets under management as an “increasingly complex regulatory environment” and declining member numbers drive a need for greater scale.
“We strongly believe this merger will contain costs and improve efficiency, bringing real benefits to BOC Super members. We are ideally positioned for future growth that will benefit all our members and can drive stronger performance through efficiencies and scale of investments,” said Equipsuper chief executive Scott Cameron.
“We pride ourselves on our strong connection with members, and that focus drives our commitment to create products and services to help our members prepare for financial freedom in retirement.”
BOC has agreed to continue contributions of up to 13 per cent and will meet the cost of standard insurance and administration for members of the fund, which was started in 1937.
It’s the latest in a series of mergers for the industry fund, which last week took on $860 million Toyota Super and previously merged with Catholic Super to create a joint entity managing around $26 billion.
“We’re open for business. Our aim is to grow to $50 billion in funds and roughly double our membership to 300,000 in the next five years,” Mr Cameron said following the announcement of the Toyota Super merger.
“The funds under Togethr Trustees pride ourselves on our strong connection with members, and that focus drives our commitment to create products and services to help our members save more and retire better.”
