Australian super funds given risk disclosure guidelines

Risk magnifying glass

The Australian superannuation industry is set to standardise the way it discloses investment risk under new guidelines announced on August 1.

Under the guidelines, set out by the Association of Superannuation Funds of Australia (ASFA) and the Financial Services Council, superannuation funds will provide a ‘standard risk measure' ranging across seven risk bands, from ‘very low' to ‘very high', for each of the investment options they offer.

Superannuation is an Australian pension system, in which