Superannuation funds in Australia experienced significant growth between 1990 and 2013. What regulatory action caused this...

Superannuation funds in Australia experienced significant growth between 1990 and 2013. What regulatory action caused this pattern? Do you expect a similar pattern between 2014 and 2021?

Expert Solution

Regulatory actions that esulted in the significant growth:

Encouraging actions and regulations by the government to encourage people to accumulate money under superannuation funds.
Superannuation in Australia was made partly compulsory
It was well supported by tax benefits.
Minimum standards for contributions by employees was put in place.
Standards were put in place for the management of superannuation funds.
It was made compulsory for employers to make superannuation contributions for their employees over and above the employees' wages and salaries.
Salary salary sacrifice arrangements were put in place under which people were encouraged to make additional / incremental voluntary contributions.
Agreement was put in place between the government and the trade unions

A similar growth pattern in indeed expected between 2014 and 2021, because:

Both employees and empoyers are more concious about the superannuation fund
Awaareness about the importance of superannuation is now more.
Employees are more educated, the fund management had improved over a period of time.
Returns in the superannuation fund had been significant

jeff jeffy answered 2 years ago

Many of Australia's largest and most successful superannuation funds have significant investments in coal production and...

Many of Australia's largest and most successful superannuation funds have significant investments in coal production and in other polluting industries. These funds are now coming under sustained pressure through both traditional and social media for supporting these polluting industries. Here is a great example of one such campaign. The funds often reply that they are required to provide the best possible return on fund member investments and are not in the business of passing judgements on the worthiness of one...

Why was productivity growth so high between 1990 and 2008? What has happened to the rate...

Why was productivity growth so high between 1990 and 2008? What has happened to the rate of productivity growth since then?

The Norse Division of Gridiron Concepts Inc. experienced significant revenue and profit growth from 20Y4 to...

The Norse Division of Gridiron Concepts Inc. experienced significant revenue and profit growth from 20Y4 to 20Y6 as shown in the following divisional income statements: 20Y4 20Y5 20Y6 Sales $ 1,470,000 $ 2,100,000 $ 2,450,000 Cost of goods sold 1,064,000 1,498,000 1,680,000 Gross profit 406,000 602,000 770,000 Operating expenses 185,500 224,000 231,000 Income from operations $ 220,500 $ 378,000 $ 539,000 Invested assets $735,000 $1,500,000 $3,500,000...

Crunch Fitness company started operating in Melbourne in January 2016. The company experienced significant growth and...

Crunch Fitness company started operating in Melbourne in January 2016. The company experienced significant growth and expansion since it had listed on the ASX with only 20 centres. By January 2019 they were running 300 fitness centres across Australia. Their cash flows had grown significantly over the four years of operation. Crunch Fitness company was led by senior management who had aggressive expansion strategy, relying heavily on borrowings from the banks. Moreover, the management focusing on short term targets and...

Bottoms Shoes, Inc. makes casual shoes and sandals and has experienced significant growth over the past...

Bottoms Shoes, Inc. makes casual shoes and sandals and has experienced significant growth over the past 16 months. The interesting design of its product lines has always been the key to their success. It is currently still using a system consisting of manual job costing sheets and inventory cards. Although this system worked fine in the past, the company’s recent growth has resulted in several problems with operations and inventory control. The biggest problem is with meeting the production and...

In a developed country such as Australia, what will be the major determinant of the growth...

In a developed country such as Australia, what will be the major determinant of the growth in future living standards?

Act17.2 If Fair Work Australia is involved in a follow-up action, what are the stages in...

Act17.2 If Fair Work Australia is involved in a follow-up action, what are the stages in an investigation? Discuss in 120–150 words.

What are mechanism of action (whether significant or not) and all molecular actions of the Amlodipine?

Part 1 Between 2015 and 2016, the country of West Fredonia experienced a growth rate of...

Part 1 Between 2015 and 2016, the country of West Fredonia experienced a growth rate of -2.6%. If nominal GDP had increased by 1.3% and the population growth was recorded as 0.4%, then calculate the annual inflation rate in West Fredonia. Give your answer to one decimal._____________ % Part 2 Year Nominal GDP (billions of current $) Inflation rate Population (millions) 2014 3754 2% 117 2015 3898 3% 120 2016 3919 1% 124 Using the information in the table above,...

What recent event caused growth in the federal bureaucracy ? What branch is responsible for it?

Question