In this section we present a number of thought provoking articles and tips from our Monthly Editorial.
Underperforming Funds Must Go
Despite a history of producing some of the strongest member outcomes, numerous Funds are now at threat of entering into a death spiral.
The Regulators are rebuilding
APRA an ASIC are currently in the process of rebuilding their teams in order to meet the increased surveillance and oversight expectations that the Federal Government and general population are now placing on them.
Response to the Productivity Commission
The Productivity Commission recently issued its draft report into superannuation. It offers a blunt approach to a complex issue.
The danger is the PC report may seem to appease thinking from both sides of politics.
Governance Post Royal Commission - 3 Recommendations
In this article we go through each of Hayne's nine superannuation recommendations. We look at specifically what he says, what that means and what we think will happen. We also highlight some other comments that Hayne made that regulators may choose to run with.
Governance Post Royal Commission - 2
Most of the fiduciaries we talk to these days are looking for ideas on how to rise to the growing challenges presented by the Hayne Royal Commission and APRA's report into CBA. From past experience, we have found that even when an organisation passes through a crisis unscathed, there are still heightened demands on it to raise its standards even further.
Governance Post Royal Commission - 1
2018 has been a remarkable year for putting governance issues of profitable companies on the table. Our lead article this month delves into APRA's various reports this year and of course into the Hayne Royal Commission.
The Trustees plate
There are many lessons we can learn as Trustees from the daily revelations of the banking royal commission. One of the things made clear is that firms like AMP have been focusing on short-term sugar hits without enough emphasis on investing the effort and making the difficult choices that would have benefited their financial health and success in the long run.
Changing face of governance
We are hearing divergent calls on what Trustees and Directors should be focusing on. Compliance, culture, how about strategy?
How can fiduciaries navigate their way through this ever-increasing minefield of expectations? We believe a good governance framework already tries to take all relevant factors into account.
Corporate culture: Like a family?
When considering growing a corporate culture, it can be helpful to consider the lessons that others have learned along the way. Our feature article reviews two very different books on the topic.
The first, Powerful: Building a Culture of Freedom and Responsibility, dives into the frank culture that allows Netflix to retain the same nimbleness it had as a start-up, and The Culture Code: The Secrets of Highly Successful Groups, which is all about building and organisation into a thriving family unit.
Is APRA using the wrong analogy?
Culture has become the number one topic in the finance industry thanks to the Royal Commission. APRA and other regulators are moving fast to demand action be taken to shift negative cultures. But all this begs the question...
Special PC report: Briefing with The Hon. Bernie Ripoll
The superannuation industry is under enormous pressure from regulators, the Productivity Commission, and the Federal Government. The current view of the government is to remove the right of industry funds to receive contributions from employees entering their industries.
A new kind of crisis
The corporate sector and their shareholders have become quite adept over the years dealing with one financial crisis after another. However, in the absence of a financial crisis for quite some time in Australia, we are seeing corporate management deal with a different type of crisis today.