No. Equip Super will continue to operate as usual, with no change for members at this time.
Merger update
On 18 September 2024, Equip Super announced its intention to explore a merger of equals with TelstraSuper. In addition to communicating directly with you, this page has been established to provide updates throughout the process and answer frequently asked questions.
Merger update
On 18 September 2024, Equip Super announced its intention to explore a merger of equals with TelstraSuper. In addition to communicating directly with you, this page has been established to provide updates throughout the process and answer frequently asked questions.
Frequently asked questions
TelstraSuper and Equip Super have signed a binding Heads of Agreement and agreed to proceed with a ‘merger of equals’ between the two funds.
This follows the signing of a non-binding Memorandum of Understanding in September 2024, signalling agreement to explore a ‘merger of equals’ between the two funds, and due diligence confirming that the merger should be in the best financial interests of members of each fund.
Detailed planning is now underway to ensure the merger is executed smoothly and intended benefits are delivered to members.
TelstraSuper and Equip Super will continue to operate independently until a successor fund transfer occurs, which is expected in late 2025.
We will communicate with you throughout the process to keep you informed of progress.
Equip Super has an enviable growth history – from being selected as the home for the Rio Tinto Staff Super Fund in 2016, to the Joint Venture with Catholic Super and the more recent acquisitions of BOC Super and Toyota Super. With each merger, we have been able to deliver improved outcomes for members through lower fees and enhanced products and services.
A merger with TelstraSuper will create a combined profit-to-member fund with around $60 billion in funds under management and more than 225,000 members. The merged entity would leverage our combined strengths across member and employer servicing, retirement solutions, investments and managing tailored corporate superannuation arrangements, including defined benefits. It is expected that the merger will provide significant scale benefits and deliver improved retirement outcomes to members, whilst maintaining the personalised service that the two funds currently provide.
TelstraSuper is an award-winning superannuation fund with more than 85,000 members and $26bn in funds under management. The Fund is recognised for its leadership in retirement solutions, insurance and financial advice services offered to members.
In May 2024, TelstraSuper announced its intention to explore merger options, having determined that members’ long-term interests were best served by seeking a suitable merger partner.
TelstraSuper reviewed potential funds and shortlisted, before selecting Equip Super as its preferred merger partner.
In selecting a suitable merger partner, TelstraSuper has been focussed on alignment with its objectives, values, beliefs and commitment to delivering strong retirement outcomes for members, with members’ best financial interests the driving force. TelstraSuper believes Equip Super’s strengths complement those of TelstraSuper.
This is a merger of equals. Equip Super and TelstraSuper bring complementary strengths to the merged entity.
No. Equip Super will continue to operate as usual, with no change for members at this time. There will be no impact on day-to-day operations, with no changes to your account or the services we offer. Fees and investments will remain the same.
It is expected that the merger would be executed by late 2025.
We will communicate with you throughout the process to keep you informed of progress.
The name of the merged entity will be Equip Super.
The TelstraSuper Board and Telstra Group have come to the view that the time has come for TelstraSuper to move forward with a new separate identify from the Telstra Group.
The merger will achieve significant scale benefits, and as a result members will receive a reduction in the asset-based administration fee to 0.15% and a reduction in the administration fee cap to $750 p.a., from the effective date of the merger of the two funds which is expected to be late 2025.
The merger will create a fund with combined strengths in member servicing, retirement planning, investments and tailored corporate arrangements, including management of defined benefit plans.
Whilst there are no immediate changes to the products or services you will receive, in time:
- The merged entity will leverage TelstraSuper’s operational capability and digital experience to service and support members.
- Equip Super and TelstraSuper members will benefit from a single MySuper investment option which will be developed taking account of the specific characteristics of the merged entity’s membership.
- The two funds’ investment menus will be combined taking a ‘best of breed’ approach creating a broader range of options for members to manage their superannuation and retirement savings.
- TelstraSuper’s retirement products and services will be adopted by Equip Super members.
- The financial planning functions of both funds will be combined to provide members with a comprehensive range of advice services.
The current insurance providers will remain in place for both funds.
Our new fund’s Board will comprise an equal number of legacy TelstraSuper and Equip Super directors. The representative model will be maintained with 2 independent directors, 4 employer-representative directors and 4 member-representative directors. Michael Cameron (current Equip Super Chair) will be Independent Chair of our new fund’s Board and Anne-Marie O’Loghlin (current TelstraSuper Chair) will be Independent Deputy Chair.
Chris Davies (current TelstraSuper Chief Executive Officer) will be the inaugural Chief Executive Officer of our new fund. Chris will ensure that we continue to provide performance and service outcomes for our members while maintaining a focus on the ongoing integration of our operations post-merger.
Scott Cameron (current Equip Super Chief Executive Officer) will be the Deputy Chief Executive Officer, focussing on realising the benefits of the merger and building out the strategy and operating model for our new fund.
Once the operational integration of the two funds is complete to the satisfaction of our new fund’s Board, the parties intend that Scott Cameron will succeed Chris Davies as the Chief Executive Officer of our new fund. We anticipate operational integration to be substantially complete around the end of 2026.
On 3 December 2024, we made a public announcement advising that we had signed a binding Heads of Agreement, agreeing to proceed with a ‘merger of equals’ between TelstraSuper and Equip Super. This announcement included emailing members, employers and other key stakeholders.
Previously, on 18 September 2024, we made a public announcement regarding our intention to explore a merger of equals with TelstraSuper.
We will update members, employers and other key stakeholders again regarding progress when there is more information to share.
We will update members, employers and other key stakeholders again regarding progress when there is more information to share. If you have any questions about this announcement, or any other aspect of your Equip Super membership, please contact us.
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