BT Financial Group today announced a fee cut for MySuper and Choice members1 almost halving their dollar-based administration fee from $108 pa to $56 pa.
Over 470,000 members will have an automatic reduction in their annual administration fee from 1 February 2022 totalling around $20 million pa.
This fee reduction follows the migration of 430,000 members to the new BT Super product and an internal simplification program which has made BT’s superannuation business more efficient with benefits now passing through to members.
Performance for BT’s MySuper products has remained strong after record returns as high as 25% for the 2021 financial year2 , with members in the 1970s, 1980s, 1990s and 2000s Lifestage funds experiencing returns over 15% for the year to 30 November 20213 .
BT Financial Group CEO Matt Rady said: “It is pleasing to be able to pass on fee reductions to members in a year where they have experienced continuing strong returns.
“Our three and five year returns continue to improve with a majority4 of members experiencing more than 11% over 3 years and more than 9% over 5 years,” Mr Rady said.
Members born in the 1940s, 1950s and 1960s have seen more conservative returns as they have a lower allocation to growth assets to protect their super savings from market volatility as they get closer to retirement.
“We will continue to work hard to deliver great member outcomes and help Australians have a better financial future,” Mr Rady concluded.
1. Applies to BT Super and BT Super for Life with the exception of corporate superannuation members already receiving discounted annual dollar based administration fees.
2. APRA standard returns – BT My Super Lifestage funds experienced between 25.1% and 25.6% returns for members born in the 1970s, 1980s, 1990s and 2000s, for the twelve months to 30 June 2021.
3. APRA standard returns – BT My Super Lifestage funds experienced between 15.13% and 15.29% returns for members born in the 1970s, 1980s, 1990s and 2000s, for the twelve months to 30 November 2021.
4. Default BT Super and BT Super Life members born in the 1970s, 1980s, 1990s and 2000s represent 75% of the member base.
5. Performance figures are calculated in accordance with the APRA post fees and post tax reporting standards. Investments can go up and down. Past performance is not necessarily indicative of future performance.
Media Relations, BT
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