Another one bites the dust: $1.3b RBA fund folds

One of Australia’s oldest and largest surviving corporate super funds, the Reserve Bank of Australia Officers’ Superannuation Fund, is to be folded next week into Sunsuper.

The $1.3 billion fund, advised by Willis Towers Watson, will have its own sub-plan but will take on all the Sunsuper managers and other service providers.

The fund is a hybrid defined contribution and defined benefit fund covering only about 2,600 members, administered by Link Group, dating back to the RBA’s formation away from the Commonwealth Bank in 1960.

About 15 fund managers will be impacted, although Vanguard and State Street Global Advisors are currently significant managers for both the RBA and Sunsuper.

State Street, Sunsuper’s custodian, will also pick up the increased assets for securities servicing at the expense of NAB Asset Servicing, which was the RBA’s custodian.

An RBA spokesperson said last week that the bank did not comment on internal issues such as matters to do with its staff super fund.