Episode Transcript
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Speaker 1 (00:09):
Hello and welcome to
the Canberra Business Podcast.
I'm Greg Harford, your hostfrom the Canberra Business
Chamber, and today I'm talkingabout superannuation with Clark
Smith, the Manager of EmployerGrowth for CareSuper.
Clark, welcome to the podcast.
Thanks, greg.
It's good to be part of theshow Now.
Look, it's great having youhere, but I know at the
beginning we do, because we'retalking about superannuation.
(00:30):
We do just need to cover off abit of a disclaimer.
So this information on thepodcast here today is general
information only right anddoesn't take into account the
objectives, financial situationsor needs of individuals.
So if you are listening to thispodcast, before making a
decision about superannuation orCareSuper, you should consider
if the information is right foryou, and you can read the PDS
(00:53):
and TMD at caresupercomau.
But, clark, tell us a littlebit to begin about yourself and
your role at CareSuper.
Speaker 2 (01:02):
Fantastic Thanks,
greg.
Yeah, look, I've been atCareSuper for over 15 years now
with a variety of differentroles, so I've really seen
CareSuper grow from a relativelymodest super fund to what it is
today.
So currently I now manage ateam of employee growth here at
CareSuper, and what that meansis I oversee a national team of
(01:23):
employee development managerswho look to transition new
employers or businesses usingCareSuper as their default super
fund.
So look, greg, I really enjoyworking alongside my team to
develop strong relationshipswith our employer network and
ensuring they're navigating thesuperannuation landscape
smoothly.
So look, they're navigating thesuperannuation landscape
(01:46):
smoothly.
So, look, we are the superexperts and we're on hand for
any education needs, as well assupporting the employer's staff
with a customised financialwellness programme.
Speaker 1 (01:56):
Now every employer
needs to have a default super
scheme.
So you're a good person forpeople to know.
Tell us a little bit more aboutwhat's going on at CareSuper.
Caresuper has been a supporterof the Canberra Business Chamber
for quite a long time, but Iknow that it merged with
SpiritSuper back in late 2024.
So what does CareSuper looklike today?
Speaker 2 (02:16):
Yeah, look, we pursue
this merger with SpiritSuper
because we believe that togetherwe're stronger for our members
over the longer term.
So this merger was have.
We've increased in scale, whichhas also helped create
efficiencies, and now morecapable of innovating to meet
our members needs today and inthe future.
So today we have more than570,000 members and 57 billion
(02:39):
in funds under management and,as you probably noticed, we've
also retained the CareSuper name.
So for many of our members andemployers, you won't have
noticed much change at all.
We're still a leadingnot-for-profit super fund, which
is great, and for thosefamiliar with CareSuper and
something that is new, that wenow have an in-house
(02:59):
administration model which isalready paying dividends, as
we're rated as the best superfund for customer experience by
Customer Benchmarking Australia,and this award is in thanks to
part of our contact centre inHobart and in Melbourne.
Speaker 1 (03:15):
So, Clark, it's great
that you've got your teams here
in Hobart and Melbourne to lookafter customers, but you've
also got people on the groundhere in Canberra, right, we do,
which is great.
Yes, that's right.
And obviously same name, butSwish New Logo coming into the
market with the merger.
But what differentiatesCareSuper from other funds in
the market today?
Sure.
Speaker 2 (03:36):
Look, greg, pardon
the pun, but look, we really do
care.
It's in our name and it's inevery interaction we have with
our members and employerpartners.
So we've got an experiencedemployer relationship team
dedicated to supportingemployers and their staff with
all super related inquiries, andthis is something not all funds
can offer.
And, as I mentioned previously,our award-winning in-house
(03:58):
administration model is really akey differentiator for
CareSoper when you call us, yourcall is answered by a real
person here in Australia withoutany long waits or any hold
music wherever possible.
We're also a top-ten fund forlong-term investment performance
, and that's thanks to ourunique active investment
strategy that aims to smooth theups and downs of investment
(04:22):
market volatility.
And, greg, as you expect from aleading not-for-profit fund,
our fees are competitive andtransparent.
Speaker 1 (04:31):
So, apart from
competitive and transparent fees
, what are some of theadditional benefits that Care
Super members can take advantageof?
Sure?
Speaker 2 (04:38):
Look, greg, I'll
probably start off with a stat
that I did here recently, andthat's approximately 2.5 million
Australians are expected toretire over the next 10 years,
so education advice should beaccessible to all Australians.
So at CareSuper, we helpempower our members through
workplace financial education,seminars and online tools and
(05:00):
education.
Importantly, our members canaccess expert advice about their
super account as part of theirmembership.
We also offer comprehensive andcomplex advice for a fee.
We also offer wellbeingservices through our MetLife 360
health program, which providesmembers with virtual access to
(05:21):
professional health and medicalservices at no extra cost.
No-transcript.
Speaker 1 (05:33):
Now investment
superannuation ultimately is all
about getting a good return oninvestments.
Can you tell me a bit aboutCareSuper's investment strategy?
Speaker 2 (05:41):
Sure.
So at CareSuper, we use anactively managed and long-term
investment strategy.
So what this means is we'realways seeking the best
investment opportunities inAustralia and overseas to
increase returns over the longerterm.
Opportunities in Australia andoverseas to increase returns
over the longer term.
So, greg, rather than passivelyinvesting our member super and
replicating an index you know,like the ASX 300, our investment
(06:04):
managers search for and selectevery investment.
So taking care to select whatwe do and don't invest in has
resolved in stronger long-termreturns for our members.
And this also reduces the riskfor our members and smooths out
the typical highs and lows ofmarkets.
Protecting against downsiderifts gives our members
(06:26):
confidence that their savingsare in safe hands, and that's
during good times and uncertaintimes, and that's like we've
experienced over the last coupleof months in the markets.
Speaker 1 (06:37):
What about ethics?
How does CareSuper?
Speaker 2 (06:42):
approach.
Responsible investing, yeah,Greg, look.
We believe incorporatingenvironmental, social and
governments which is ESGconsiderations into investment
decision-making can help bettermanage risk and can contribute
to stronger investment returnsin certain circumstances for our
members.
So, look, we also believe thatstewardship, you know, which
involves company engagement,voting and policy advocacy, can
(07:06):
assist with the careful andresponsible management of our
members' capital.
Speaker 1 (07:12):
Now, many of the
people listening to this podcast
today will be small businessowners, or business owners and
employers.
What should they be consideringwhen they consider choosing a
super fund?
Speaker 2 (07:27):
Sure, Look, to start
at the beginning, I think it's
good to explain what a defaultsuper is and why they're
important.
So look, it is a legalrequirement for businesses to
nominate a default super is andwhy they're important.
So look, it is a legalrequirement for businesses to
nominate a default super fund.
So default super funds areemployer nominated super funds
that you pay your employeessuper into if they haven't
chosen a fund and they don'thave a stapled fund and we'll
(07:50):
talk about stapled funds in amoment.
So there are several rules youneed to consider when choosing a
default fund.
Number one is the fund must bea complying fund that meets
specific requirements andobligations under super law.
So I can confirm that CareSupermeets these requirements and is
a fund of choice for employeesacross a broad range of
(08:12):
industries.
Number two, the fund must beregistered by APRA, which is the
Australian PrudentialRegulation Authority, and it
must offer a MySuper product,and MySuper products are
cost-effective superannuationproducts with a basic set of
features.
Number three, employers shouldcheck their modern award or
(08:35):
enterprise agreement for anyextra rules about default funds.
But look, most awards set out alist of super funds from which
an employer is required tonominate a default fund.
Speaker 1 (08:48):
Now, Clark, you
mentioned stapled funds a moment
ago.
Tell us a little bit more aboutthat.
Speaker 2 (08:54):
Sure.
So this was an initiative thatwas introduced a few years ago
to reduce the likelihood ofworkers having multiple super
accounts.
So in the past, when peoplestart a new job and they didn't
provide their super accountdetails, their new employer
would simply open an account forthem with their default super
provider.
Open an account for them withtheir default super provider.
(09:18):
So with super stapling, anemployee's stapled fund is an
existing super account that islinked to them and automatically
follows them to the newemployer, unless they actively
choose to switch to a differentfund.
So there's a lot of informationon the ATO website about
checking for a new employee'sstapled fund and, of course,
(09:40):
no-transcript.
Speaker 1 (09:42):
So if you're an
employer, you have to have a
default super fund.
That's a legal requirement.
Why should employers considerCareSuper as their default Sure?
Speaker 2 (09:54):
Look Greg.
Superannuation guarantee is abig investment for many
employers out there, so it'simportant to be able to get
value from your default superprovider.
So at CareSuper, we offer apersonalised service tailored to
super requirements, to aid youremployees with all questions.
Super Look super can be complexand there are frequent changes
(10:15):
to legislation, so CareSuper andmy team keep employers and
members informed of thesechanges and we're always happy
to help.
Our dedicated relationshipmanagers, our education
specialists, are available tosupport your staff with
education about super financesand any questions they may have.
We also offer wellbeingservices, discounted health
(10:39):
insurance, financial educationand super advice from our
in-house super experts at noextra cost and super advice from
our in-house super experts atno extra cost.
Speaker 1 (10:48):
So tell us a little
bit more about the workplace
education services that youoffer.
Speaker 2 (10:53):
Sure, our education
specialists come out to your
workplace and run sessionsvirtually for your teams about
anything super.
So we also have a customisedinduction program for new
employees, but we can covereverything from the basics of
what super is through toinvesting and retirement
planning as well.
(11:13):
We can tailor a series ofseminars specifically for your
workplace, and this can bevirtually or in person, greg,
the feedback that we've receivedfrom our employees who run
these sessions is that they're avaluable resource and help to
show that the employer'sinvested in their employer's
financial wellbeing, which iscritical during these times of
(11:34):
high cost of living like we'reexperiencing today.
Speaker 1 (11:38):
And Clark, just to
clarify the workplace education
services that you offer toemployers who have CareSuper as
a default scheme.
Are they available only toCareSuper members or to all
employees of those defaultemployers?
Speaker 2 (11:51):
Greg, they're
available to all employers, so
everyone can benefit from theeducation.
Fantastic.
Speaker 1 (11:56):
Now, super is a
regularly changing beast and
there are some Super changescoming up, so tell us a little
bit about what's happening inthe world of Superannuation.
Speaker 2 (12:11):
Sure Look.
As most employers will be aware, the superannuation guarantee
rate will increase to 12% on the1st of July this year, so all
employers are ready for that.
Also, from the 1st of July thisyear, the government will begin
paying super on government paidparental leave, which is a big
win for all new parents outthere, and this will be managed
by the ATO, so it's not a costto employers.
(12:31):
Payday super is also likely onmany employers' minds.
It is proposed that from the1st of July 2026, employers will
need to pay their employeessuper at the same time as their
salary and wages.
So since the Labor governmentwas re-elected early this year,
(12:53):
we expect payday super will goahead.
So, greg, we're havingdiscussions with our employers
now and supporting them throughto implement payday super.
So if you've got any questions,we're always happy to help.
Speaker 1 (13:09):
So, clark, thanks for
that overview.
If there's anyone out therelistening to this who wants to
learn more about Care Super,either for the business or for
themselves, how can they get incontact?
Speaker 2 (13:19):
Sure, look.
I encourage you to connect withme on LinkedIn.
My details will be provided.
Or you can visit our website oncaresupercomau forward slash
employers, or you can simplycall the contact centre on 1800
005 166 and ask to speak with anemployer relationship manager.
Speaker 1 (13:42):
Excellent.
Thank you very much, clarkSmith.
Manager of Employer Growth forCareSuper.
Thank you so much for joiningus here today on the Canberra
Business Podcast.
Thanks for having me.
Greg Really appreciate it.
And just a reminder that thisepisode of the Canberra Business
Podcast has been brought to youby the Canberra Business
Chamber with the support ofCareSuper.
You can learn more, as Clarksays, at caresupercomau and
(14:05):
don't forget to follow us onyour favorite podcast platform
for future episodes of theCanberra Business Podcast.
We'll catch you next time.