Retail funds fear DIY super

Growth in do-it-yourself super schemes could pose a “major threat to the system” and cause “reputational damage” to the financial services industry, the Investment and Financial Services Association said. IFSA said DIY schemes were growing at an annual rate of 200 per cent, compared with less than 10 per cent for industry and institutional plans. IFSA wants the government to repeal the exemption given to accountants from the Financial Services Reform Act. Under the law, accountants can advise a client to use a DIY scheme, typically suitable for high net worth individuals, but are under no obligation to recommend other options.