Australian Ethical Super and Christian Super finalise merger
14 July 2022 at 4:27 pm
Christian Super chair says the fund’s purpose-driven approach aligns with Ethical Super’s investment values.
Australian Ethical Super has signed a Successor Fund Transfer deed with Christian Super, completing a merger that will see 30,000 members join Australian Ethical’s existing 70,000-member pool and add $2 billion in managed funds.
It comes after Christian Super had a raft of licensing conditions imposed in June 2021, after failing the Your Future, Your Super performance tests. The tests were introduced after a bill was passed to tighten superannuation funds’ financial performance standards. The fund was also directed to merge with another fund by the middle of 2022.
At the time in-coming Christian Super CIO Mark Ryder told Investment Magazine “the runway was too short” to bring the super fund around, after Christian Super’s default My Ethical Super had a net investment return of -0.65 per cent over six years, relative to benchmark performance.
The Successor Fund Transfer deed was signed on 14 July and Australian Ethical says there will be no changes to its board.
Christian Super’s chairman of the board Neville Cox says the fund’s purpose-driven approach aligns with Ethical Super’s investment values.