Retirement Reporting Framework Implementation

The Super Members Council supports the implementation of the Retirement Reporting Framework as an important transparency measure to improve visibility of retirement preparedness for members, Government and regulators. The Framework will also assist trustees in the development and implementation of their Retirement Income Strategy and give both Government and regulators greater visibility on progress towards that goal.

Taken in isolation, the RRF metrics are, however, susceptible to being misunderstood if they are used as de facto measures of trustee ‘success’ or compared across funds without important context. Because of this significant risk of misinterpretation, ensuring context and background will be essential.

An important priority for implementation is clarity on how APRA will use reported data in supervision to assess progress against the Retirement Income Covenant (RIC), and how the data will be presented publicly so it is not misleading.

SMC also recommends refining some specific indicators and metrics, including the retirement status indicator, member balance bands and balance utilisation measures.