ASIC has released Consultation Paper 203 Age pension estimates in superannuation forecasts: Updates to RG 229 (CP 203) proposing reforms to assist superannuation fund trustees in providing retirement estimates.

CP 203 proposes reforms which:

• allow super funds to include the age pension as part of a retirement estimate
• clarify that super funds may rely on the prescribed assumptions about contributions and earnings in calculating a member’s retirement estimate. ASIC does not expect the super fund to make specific inquiries to determine whether the member’s individual circumstances match the prescribed assumptions.

Superannuation fund trustees providing retirement estimates (which may be personal advice) have been granted class order relief in [CO 11/1227] Relief for providers of retirement estimates from the licensing, conduct and disclosure requirements for general and personal advice in the Corporations Act 2001. CP 203 contains proposed amendments to that Class Order.