Government mandated coke-fuelled gambling parties for investment bro’s
Scam a fraudulent or deceptive act or operation*
Can you elaborate on super being its own scam?
DolphinLundgrin@aussie.zone 6 months ago
theroff@aussie.zone 6 months ago
Where do you suggest people invest their long term money to avoid the scourge of coke bros? If one is to believe the stereotypes, real estate and non-Super investments seem just as likely to face the same problems.
zik@aussie.zone 6 months ago
I worked in the superannuation industry for a while. I wouldn’t say that super is exactly a scam but it’s a terrible mess and the fees we pay on super in Australia are insane. Basically we have a lot of parasites taking a cut and that ends up making the standard funds poor investments. Median returns on the super funds are around 5.6% pa (over ten years for the standard “balanced” option) at a time when stock market tracking funds have appreciated by over 8% pa. A lot of that is being lost in inefficiencies and fees.
By comparison Americans with a 401k invested in the NASDAQ would have made 17.3% pa over the same period.
We’re getting a terrible deal with superannuation, and it’s our retirements which are being stolen from us.
theroff@aussie.zone 6 months ago
Cherry picking an article seems to suggest the US has similar problems www.investmentzen.com/blog/average-401k-return
Australia’s superannuation has improved over time. For example, the MySuper reforns led to consolidation and an exodus of underperforming funds.
A quick search on some of the biggest super funds in Aus shows returns of > 9% in a more equivalent, potentially volatile “high growth” fund.
There are funds that offer lower cost index-tracking products if that’s your thing.
The biggest problem, IMO, is financial literacy which needs to play a bigger role in education.
DavidDoesLemmy@aussie.zone 6 months ago
Are you comparing a balanced option against a 100% stocks option? That’s hardly a fair comparison.
zik@aussie.zone 6 months ago
It’s a fair point but my intention was to bracket the possible returns.