AustralianSuper

Almost inevitably, you will end up with exposure to this stock by virtue of your index exposure.

And that's the case even if your super's with Australian Super or Aware or Host Plus or whoever, they all use index at the core approach too.

So you're going to end up with some exposure.

But even more... at least as important as that, is that I think the result here is going to drive the market in one direction or another, that ripple effect that I mentioned earlier.

My understanding is that I have to stop my full-time employment.

And the question is, my super is with Australian Super and is invested in sort of balanced category.

I'm just wondering, when you establish allocated pension or whatever you call it, what would be the best investment to sort of choose, considering that you don't want to go too aggressively, whether balance is good or whether I should go more conservatively? What do you think, Joel?

Yeah, look, Nick, it's going to come back down to what level of investment return you want, really.

I would certainly speak to the fund about what options they have and what expected returns you're likely to get for those options.

It may be that you reduce risk slightly when you're drawing an income from superannuation.

But look, I mean, Australian Super is a big fund.

They've got a big investment team.

It is the craziest scheme.

They've spent all their time trying to work out how they can subsidise their mates at Seabus and Australian Super and Hester and Aware and whatever else, all the big super funds.

They would have been better off if they wanted to do this, going to Harry Triggerboff or someone and saying, look, We want to get 40,000 houses.

What's the cheapest way to do it?

No conflicts of interest there, of course.

Look over there.

I mean, it's just unbelievable, right? And if you look at some of these conflicts, which I think are unbelievable, like Hester and Australian Super were the biggest beneficiary of half tender round one.

Now they've appointed the chair of the Super Members Council, of which Hester and Australian Super are

The structure of the banking system and other things have changed over the last 10 or so years.

And as you become a bigger player in it, like Aussie Super and ART or the Big Five, right, they're big players in the derivatives markets.

They're big players in the cash market.

They're big players in the FX, et cetera.

He's fucking great at gaslighting.

There was a little bit of controversy this week with Australian Super having made an investment, I think, up to the mark of about $500 million into an Indian infrastructure investment.

And I noticed you talked about that yesterday on your channel particularly.

Yeah, look, when has the government, or of any persuasion, ever invested money the right way, or done a project that was on time and under budget? So the thing is that you've got to put Australian's money into the correct investment, the right investment to get a return.

Now, what Labor is trying to do, this sort of goes back to the reason why they don't even want people moving their money out of super or under this one nation proposal, one.

And two, they don't want you moving it from your standard super fund into an SMSF.

Because when you do that, they lose control over your super funds, over this pot of money, right? And there's about $4.5 trillion-odd in the Australian super, and it might as well be about $1 trillion-odd in SMSFs.

Now, what Labor's proposing is that they want to dip into your super funds and spend it on – you can't even make this stuff up – green energy scams, right? Because they're a winner, right? uh foreign owned social housing is in in australia for but foreign owned social housing and defense spending okay when was there a green energy initiative that was on time and on budget that was going to give the australian investor a great return all right i wouldn't trust them as far as like it's wrong when it comes down to investments now people are going to say in the comments oh but matt The government can't touch the super.

So again, Alexander Spencer, we have a lot of clients that have self-managed super funds.

And then there's industry funds that are like your Australian super and so on.

Take us through the differences of how superannuation works where people have Host Plus, Australian Super, CBUS.

What is that? How does that world work? So for people that probably don't really know, that got set up when they were young, take us through that world and how does that sort of work and how their money works versus self-managed super fund and take us through if there's anything else in between those two.

Yeah, so industry funds are really – they were set up based on really what it is, the industry you work in.

Again, a great way to get started.

Then on the other extreme, you've got, as you mentioned, self-managed super funds.

So in an industry fund, you're the member, And Australian Super or Rest or whatever it is, is the trustee of your fund.

So therefore, just to summarize, ownership structures to obviously optimize the tax benefits of insurance.

associated with paying premiums and then potentially receiving a benefit we would have life and tpd insurance inside super and you can get that with industry funds vanguard super has quite cheap life and tpd insurance and the reason for that is that you've got to think where you go and get insurance you've got to think about their risk and their legacy of claims and so australian super had a big issue over the last 12 months they increased premiums by 40 percent or something Well, just think, Australian Super is the largest fund and they'd have a long history of claims.

And so it's going to start to become more and more difficult to get cover.

Also, if you go to an industry fund where the industry is high risk, the premiums are going to cost more because most of the member base are in high risk categories.

It still has to convince some of the shareholders.

Australian Super is the big one there.

It owns just under 15% of it.

Austal's shipbuilding division in the US is the subject of a bidding war between a South Korean company and an American company.

Had a great breakfast.

Uh, went to a breakfast yesterday with AustralianSuper.

Um, maybe there was, say, 100 people in attendance, and AustralianSuper put that on to really update financial advisors and the people that look after some of their clients about what's coming and also, um, their view of, uh, the world and the, and the markets, investment markets out there.

So some of those things I'll touch on in a minute, but it got me thinking about this week's podcasts.

And I'm off to Christchurch in New Zealand for our annual conference with the, our licensee, uh, the Count Group, and we're gonna h- obviously hear from some really interesting people over the next few days.

Um, not only s- from those Super companies and investment companies, uh, but also, you know, they, they'll have some keynote speakers there as well.

So what I thought, I, is I might keep a little audio diary, a few minutes each day, and just record a few minutes about something that I've heard or something that I've learnt or pres- perhaps something that might challenge our thinking, and we'll see where we end up.

So just wanna touch on, um, [chuckles] the breakfast we had with, um, AustralianSuper.

Uh, and you take so much responsibility, and I think it shows up in a really unique way.

It's, like, probably, um, people calculating how fast they can log into the AustralianSuper website is the new-

Mm-hmm

...

So it's a good starting point.

Okay, two more FAQs.

Uh, I just picked on AustralianSuper for this one because it's the biggest.

Quote, "I'm with AustralianSuper.