I’ve Been Nabbed!

Hi Scott,

I read your column in the Herald-Sun on Saturday (“NAB-MLC Super Funds”) and became alarmed! My super fund is with MLC (Super Fundamentals, Horizon 6 -- Share Portfolio), which it seems you were saying has one of the highest fee structures (in relation to NAB). I have around $100,000 in super -- not much, I know. Should I change it to another fund and, if so, could you suggest one or two? Thank you.

Peter

Hi Peter,

The NAB, via their MLC brand, have the biggest retail super fund in the country -- but they’re a very long way from being the best. As I mentioned in my ‘road test’ of their super offerings, they’re the Holden Cruze of the financial world: average in almost every way -- except for their fees, which are way too high for my liking. Then again, what else would you expect from a bank?

I’d draw your attention to the latest super league tables, which show that the top ten performing super funds are all not-for-profit industry funds. SuperRatings data shows that industry super funds have outperformed bank-owned retail funds by more than 2.2 per cent over 10 years. That’s not necessarily because they’re any smarter -- it’s because they charge less fees.

Scott