Energy Super and LGIAsuper Merger Information

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The merger of Energy Super and LGIAsuper took place on 1 July 2021 as planned.

The merger sees the two funds continue to operate under their existing brands for a period of time and the new combined fund is managing approximately $24 billion in retirement savings on behalf of around 122,000 members (combined figures from both Funds, as at 30 June 2021).

Here’s all the information you need to know.

Frequently Asked Questions

  • Have Energy Super and LGIAsuper now merged?

    Yes, Energy Super and LGIAsuper completed their merger on 1 July 2021.

    The merger has created a strong Queensland-based superannuation fund of around $22 billion, managed on behalf of approximately 120,000 members (combined figures from both funds, as of 30 June 2021).

    The merger has created a single fund, which is now managed by the LGIAsuper Trustee.

  • Why isn't my Energy Super account showing in MyGov??

    As members benefits transition to the new merged Fund, your Energy Super account and balance isn't currently visible in the ATO service of the MyGov portal.

    We will be updating the ATO records before the end of July with updated 30 June balances which will correct this issue.

  • Will the fund be keeping both brands?

    The two entities will continue to operate under their existing brands for the time being, with contact centres, workplace visits, access to advice and great personal service remaining the same.

  • Has there been a change to the fund’s leadership?

    Yes. Many of the leaders from both funds have been re-appointed to lead the newly merged fund.

    A new LGIAsuper Board and Executive team have been created to run the newly merged fund. These teams are now in place. These teams consist of a mix of both LGIAsuper and Energy Super personnel.

    Kate Farrar, LGIAsuper's Chief Executive Officer, was appointed by the Boards of both funds to continue as CEO and lead the newly merged fund from 1 July 2021.

  • Why are members with LGIAsuper accounts getting a $75 payment?

    By August 2021, LGIAsuper making a payment of $75 to the primary accounts of all members who were with LGIAsuper on 30 June 2021. This payment comes from LGIAsuper’s General Reserve. This is surplus money that has been set aside over time as contingency, some of which can now be returned to LGIAsuper members.

  •  Why do Energy Super members not receive a refund of reserves like LGIAsuper members do?

    This payment comes from LGIAsuper’s General Reserve, accumulated before the merger with Energy Super. This is surplus money that has been set aside over time as a contingency, some of which can now be returned to ongoing LGIAsuper members.

    The reserves for Energy Super are not surplus as we merge, therefore there is no payment being made to Energy Super members.

    Energy Super and LGIAsuper merged on 1 July and we will continue as a joint fund to monitor the reserves and action any reimbursement if required in the future.

  • Why did Energy Super and LGIAsuper decide to merge?

    Across the superannuation industry, we are continuing to see ongoing merger activity driven by the need to drive costs lower for members whilst still maintaining levels of service.

    The key reasons why Energy Super and LGIAsuper chose to merge our two funds, are that we are both committed to offering the same exceptional ‘boutique’ face-to-face service to our members around Queensland. Both of our funds have seen the great benefits that a boutique fund with more size and scale can deliver to our members, whilst still maintaining the personalised service we both offer.

    We expect that this merger will deliver benefits to both of our sets of members including increased investment opportunities, lower investment and administration fees, and greater scope to enhance products and services.

  • As a member, is there anything I need to do?

    For now, things will remain the same and you are not required to take any action.

    We expect there will be minimal impact on our members in the foreseeable future. We will keep you informed of any material decisions that may be important to you as a result of the merger.

  • Did members need to vote for the merger to go ahead?

    No, members did not need to vote. The decision on whether to proceed with a merger was made by the Boards of each fund in the best interest of members.

  • What are the potential benefits to members?

    Both Energy Super and LGIAsuper have a long and successful history as profit-for-members funds, with no shareholders and a strong member-focus. We have identified the following potential benefits for members:

    • Increased range of investment opportunities
    • Strong and sustainable long-term returns
    • Lower investment and administration fees
    • Access to enhanced products and services
    • Even greater presence in regional areas

    By combining the two funds, we will further strengthen our internal teams and service delivery model to provide increased support, education and advice.

  • What does this mean for Energy Super staff?

    Both Energy Super and LGIAsuper have teams of very experienced and knowledgeable staff who are dedicated to providing the best possible support to members.

    Overall, we expect the process we are undertaking to have minimal impacts on our people in the short-term, so they can continue to provide the high level of service and support you currently enjoy.

  • What is a profit-for-member fund?

    Profit-for-members funds are designed for the benefit of their members. They do not have shareholders. Any profit is put back into the fund for the benefit if its members.

    Both Energy Super and LGIAsuper are profit-for-member funds.

    In contrast, retail funds are run to deliver any profits directly to shareholders.

  • Who is LGIAsuper

    LGIAsuper look after $13 billion in retirement savings for around 73,000 members (as at 31 December 2020).

    LGIAsuper's performance and member service is recognised in top-ranking awards by industry research and ratings companies. For both our Accumulation and Pension products, our latest awards (as of June 2021) include Platinum rating from SuperRatings (for 13 years running), 5 Apples from Chant West, and AAA Quality Rating from Rainmaker Information (for 8 years running).

  • What do Energy Super and LGIAsuper have in common?

    Both Energy Super and LGIAsuper have a long and successful history as profit-for-members funds with a strong member-focus.

    We both started servicing members from a specific sector. We have both become open funds in recent years to serve members from many different industries and sectors.

    Both funds also have a strong track-record of and commitment to delivering strong and sustainable returns to members.

    We are both Queensland based funds with a focus on understanding our members and share a common vision to remain personal and boutique.

    The merger has brought two very similar and like-minded funds together to provide more benefits for members.

  • Does the merger affect LGIAsuper’s planned acquisition of Suncorp’s superannuation business?

    No, the merger does not impact the progress of LGIAsuper’s acquisition of Suncorp Portfolio Services Limited (SPSL).

    LGIAsuper expect the acquisition of SPSL to be completed in the second half of the 2021/22 financial year.

  • Is the acquisition of SPSL being made using money from LGIAsuper and Energy Super’s newly merged fund?

    No. This transaction will be funded from money in LGIAsuper’s General Reserve, which was built up prior to the merger. This money is expected to be recouped by members who had LGIAsuper accounts as at 30 June 2021 within five years.

    LGIAsuper maintains a General Reserve to ensure there are sufficient funds to meet current and future liabilities for administration costs, strategic initiatives and operational risks. Any excess retained in the account is ultimately applied for the benefit of all membership as a whole.