Student Super, a new fund targeted specifically at young Australians starting their superannuation journey, has been launched by Student Super CEO, Andrew Maloney.
"The first decade of super is, for many young Australians, a failure. They have multiple accounts, duplicate fees, duplicate life insurance and lost super. We call this the 'Lost decade of super' and it is our mission to change it," Maloney says.
Student Super has no fees on balances under $1,000 and those with balances less than $5,000 will receive a 50% discount on the weekly administration fee of 75 cents per week. After that, fees are 99 basis points and $78 per annum. Students can remain in the fund following graduation, when their fund will change its name to Professional Super.
Macquarie Investment Management Australia Limited is the responsible entity for the fund and funds are predominantly invested via Macquarie's index funds. Members with balances below $1,500 are wholly invested in the cash investment option, those with balances exceeding $1,500 but below $4,999 are wholly invested in the growth investment option, and members with balances over $5,000 are able to choose their investment option.