Industry super funds

Industry super funds were traditionally set up for the benefit of employees of a particular industry, although most are now open to the general public.  They are not-for-profit funds and some, but not all, offer a responsible investment option. Examples may include super funds which have been established especially for nurses, metal-workers, journalists, forestry workers, local government employees, teachers, retail employees or hospitality workers.

An important distinction to understand about industry funds with regard to responsible investment is that most do not invest your super money themselves. Instead they outsource the investment management of the fund to independent fund managers. These managers are carefully selected based on a wide range of criteria including their investment approach, performance and fees.

In the case of responsible investment, the money is generally managed by established responsible investment fund managers who are most often members of RIAA. Most super funds simply invest in the same managed funds as are widely available to the general public.

Importantly, the socially responsible option of some industry funds are not always 100% invested according to socially responsible guidelines. Some, such as Health Super, HESTA Super Fund, Care Super and one of National Catholic Super Fund’s options, only invest part of the fund in a socially responsible way. For example, the Australian and international shares portion of the option may be invested following responsible guidelines, while the remainder of the fund, such as fixed interest, property, infrastructure and cash, may be invested along with the main super fund.

More detailed information is contained in the profile we have prepared on each industry super fund listed below.

Next investment option – Master funds

Find out more about Master Trusts – the third type of super fund available.