Super funds to create $60bn entity

InvestorDaily

TelstraSuper and Equip Super have signed a non-binding memorandum of understanding and have agreed to explore a “merger of equals” between the two funds. The merger would create a combined fund with some $60 billion in funds under management and more than 225,000 members. Pending the outcomes of due diligence, it is expected that the merger will be executed via a successor fund transfer late next year, the funds confirmed on Wednesday in a joint statement.

According to the duo, the deal would achieve significant scale benefits and deliver improved retirement outcomes for members. “Both funds have a proud history in serving the superannuation needs of a wide range of members including the employees of large companies,” TelstraSuper chair Anne-Marie O’Loghlin said. “Over time we have both grown to support a broad and diverse membership. We are excited about the potential benefits that come from a merger and the opportunity to create a larger fund continuing the focus on providing industry leading superannuation, retirement and financial planning solutions for members.”

The rest of this article can be found at investordaily.com.au.