Governance

Governance

We are committed to excellence in representative governance

A strong regulatory structure must underpin the superannuation system. AIST emphasises that the high duty of care for trustees of super funds is also a major source of the strength of superannuation. The equal representation model for super funds – where members and employers are equally represented on boards of profit-to-member funds – has proven to be highly functional, effective and adaptive.

The representative model brings diversity to the governance of super funds, protects members from the pursuit of interests outside of members/ best interests, and provides diversity to the system that mitigates the risk of governance failure across the broader finance sector.

AIST supports a model that sees members and employers able to equally contribute to the stewardship of Australia’s $2 trillion superannuation industry. Working in conjunction with our members, regulators, government, academia and the global pension funds industry, AIST has developed a Governance framework which aims to develop the representative trustee system in terms of its professionalism and integrity, as well as ensuring that trustees are capable of determining what is best for their members. It is this focus on the members of funds that drives AIST policy with regards to governance.

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