Back in November
Peter Martin wrote
Super is a con, perpetrated by people who con themselves
In particular he singled out the managers
Rewarded with generous fees and a leglislatively-directed (increasing) flow of our money into their hands regardless of performance it would be reasonable to imagine fund managers had something special.
They do. Nobel Prize winning psychologist Daniel Kahneman calls it the “illusion of skill”.
Today we have news that an
Australian super fund is less than super
A key scheme of one of Australia's biggest superannuation funds is short of money, leaving more than 100,000 people facing the prospect of having their super slashed.
The fund has more than 450,000 members and about $30 billion in assets under management. Its members thought they were in a scheme that was secure but that is no longer the case.
For many the illusion has gone up in smoke
"It means that those people that have already retired, about to retire, and those people who are still contributing a large amount of their income are going to get much less," he said.
"And for those who have been planning on a particular retirement income, they're going to be very disappointed."
