By Nick Hedley
CareSuper and Spirit Super are considering a merger as they
seek to build scale, the funds said in a joint statement.
Regulators have been encouraging consolidation in the
Australian superannuation industry, with a view to enhancing outcomes for
retirement fund members.
A merger between CareSuper and Spirit Super would create a fund
with 500,000 members and A$45 billion (US$29 billion) under management.
In a joint statement, the chair of CareSuper, Linda Scott,
and the chair of Spirit Super, Naomi Edwards, said: “Both funds have identified
a shared common vision to potentially create a mid-sized fund that provides a
distinct point of difference in the market.”
The funds will undertake a due diligence process before
making a decision, a process that will likely take several months, they said.
CareSuper was established in 1986 to cater for office-based
employees. It has 220,000 members and A$20 billion (US$13 billion) under management.
Spirit Super was established in 2021 through the merger of
Tasplan and MTAA Super. It has 324,000 members and A$25 billion (US$16 billion)
under management.