Australia's assistant treasurer is proposing changes to the Compensation Scheme of Last Resort that would require self-managed super funds (SMSFs) and large super funds to contribute financially to the scheme. The scheme provides compensation to victims of financial misconduct within the superannuation sector.
The proposal represents a revamp of the current funding model for the compensation scheme. By expanding the pool of contributors to include SMSFs and larger funds, the government would broaden financial responsibility for compensating misconduct victims across the superannuation industry rather than concentrating costs on a narrower group of entities.
The move signals a policy shift toward ensuring that superannuation members who experience financial misconduct have access to compensation, while distributing the costs across a wider segment of the industry.
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