POWERED BY MOMENTUM MEDIA
Westpac super class action results in $29.9m settlement
Westpac has reached a $29.9 million settlement in a class action brought against its subsidiaries BT Funds Management and Westpac Life Insurance Services.
This was negotiated by Slater and Gordon, the third in its Get Your Super Back campaign, on behalf of customers who had invested their superannuation in the BT Super cash option between 2007 and 2019.
It alleged that members who invested in the BT Super for Life cash-only option received lower returns because BT invested their funds through Westpac Life allowing Westpac Life to earn fees without providing a valuable service.
Slater and Gordon special counsel, Nathan Rapoport, said: “The case alleged BT prioritised Westpac Life’s profits over its duty to seek the best returns available for its members’ retirement savings, leading to lower returns for members”.
“Superannuation members trust their funds with their retirement savings and place their faith in them to protect their future.”
The settlement was reached on a ‘no admissions’ basis and BT and Westpac Life both denied any liability.
AUTHOR
Laura Dew
Laura Dew is editor at Super Review. Prior to joining SR, she spent five years working at Investment Week in the UK covering asset and wealth management.
Recommended for you
Amid a challenging market environment, three super fund CIOs have warned against ‘jumping at shadows’.
The professional body is calling for the annual performance test to transition to a two-metric test, so it better aligns with the overarching duty of super fund trustees to act in the best financial interests of their members.
AustralianSuper, Rest, and HESTA agree on the need to retain and enhance the test, yet they differ in their perspectives on the specific areas that warrant further refinement.
Australia’s second-largest super fund has confirmed it is expanding its presence in the UK following significant investment in the region.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
Spire Oaktree Opportunities XI First Close USD
66.99 3 y p.a(%)
2
Hills International
63.66 3 y p.a(%)
3
Acadian Global Equity Long Short Class A
36.33 3 y p.a(%)
4
CFS FC Acadian Global Equity Long Short
35.96 3 y p.a(%)
5
DomaCom 4/27 Crombie Avenue Bundall QLD 4217 Australia
32.23 3 y p.a(%)
Add new comment