Compulsory Super not on taskforce agenda

Yesterday's Capital Markets Development Taskforce report will have disappointed many in the funds management industry and in the wider capital markets by making no recommendation for compulsory superannuation.

"We did start looking at that and very quickly the data we gathered shows compulsory super doesn't really change the level of savings as is shown in Australia," taskforce chairman Rob Cameron said.

"There were a lot more things affecting our savings habits and savings channels so that's where our focus went."

However, Insurance and Savings Institute chief executive Vance Arkinstall yesterday backed the taskforce's recommendations around improving the sector's governance, accountability and transparency.

His organisation was already developing new industry standards and guidelines.

"Fiduciary duty of care as identified in the report is an area where we particularly wish to engage with officials and regulators. If the interests of the consumer are placed first then other issues of conflict diminish."