SuperRatings reports investment performance net of investment fees, tax and any implicit fees levied by the fund before the returns are credited to members’ accounts.
This means that if a fund deducts its administration fee, or any other fees, from the unit price or crediting rate then they will be deducted from returns. By contrast, any explicit fees that are disclosed as a discrete line item on a member’s statement (e.g. a fixed dollar member fee or % based admin fee as an example) then these will not be deducted from returns as they are disclosed to members in a transparent manner. Where a provider offers negotiable fees, we use the rack rate in-line with taking the maximum of a range in a PDS fee.
We also perform outlier checks for providers submitted returns and back-check returns against fund’s annual reports each year.
Overall, the key aim of the survey is to focus on the outcomes being credited to member’s accounts.