AMP Capital is pleased to advise that the first transition of accrued default amount (ADA) assets from the AMP Signature Super platform successfully occurred on the weekend of 19th and 20th of September, 2015.

Decade of member birth AMP MySuper lifecycle option
1990 – 1999 AMP MySuper 1990s
1980 – 1989 AMP MySuper 1980s
1970 – 1979 AMP MySuper 1970s
1960 – 1969 AMP MySuper 1960s
1950 – 1959 AMP MySuper 1950s
Prior to 1950 AMP MySuper Capital Stable

Outcomes achieved

The transition approach adopted was governed by guidelines which helped to ensure the approach was fair, robust and consistent. The overarching principles which framed the methodology and guided the decision-making process ensured we achieved the best outcomes for all of our members. This included those members who were directly impacted by the first transition, in addition to the remaining legacy members and existing AMP MySuper members who were not affected by the ADA transitions. The outcomes achieved include:

  • Costs minimisation was achieved via in specie like assets to furthest extent practicable. Transferring unit trust exposures in specie allowed members to retain those same underlying exposures, simplifying the transition, significantly reducing overall transaction costs and minimising performance impact. In total, around 80% of the total ADA amount within Signature Super was transferred as assets in specie.
  • Tax impacts were minimised for ADA members where possible. AMP Tax along with other industry participants conducted extensive lobbying across both Federal and State Treasury Departments to ensure CGT and stamp duty relief was provided for all ADA member transitions. As a result, AMP successfully built a solution which ensured that customers could benefit from the available tax relief, resulting in 84% of customers sharing in tax relief benefits of approximately $12 million.

Both AMP and AMP Capital have jointly committed significant resources to designing a robust process and framework including implementing infrastructure, systems and tools to facilitate the execution of the first ADA transition for Signature Super. We have further ensured this framework is sustainable, replicable and transferable and as such will be utilised across all future platform transitions occurring until 1 July 2017.ers sharing in tax relief benefits of approximately $12 million.

Important note: While every care has been taken in the preparation of this document, AMP Capital Investors Limited (ABN 59 001 777 591, AFSL 232497) and AMP Capital Funds Management Limited (ABN 15 159 557 721, AFSL 426455) makes no representations or warranties as to the accuracy or completeness of any statement in it including, without limitation, any forecasts. Past performance is not a reliable indicator of future performance. This document has been prepared for the purpose of providing general information, without taking account of any particular investor’s objectives, financial situation or needs. An investor should, before making any investment decisions, consider the appropriateness of the information in this document, and seek professional advice, having regard to the investor’s objectives, financial situation and needs. This document is solely for the use of the party to whom it is provided.