Coal investments a turnoff
The survey, conducted by Market Forces, found that only 43 per cent of the 1125 respondents would leave their holdings unchanged if their fund made such investments.
The highest opposition to altering investments based on links to coal or coal seam gas was in the top income bracket of those earning more than $150,000, the report found, with 51 per cent against.
Australians hold almost $1 trillion in super - excluding self-funded superannuants - so the willingness of many investors to avoid coal and coal seam gas should be "a massive wake-up call" for the industry, Market Forces campaigner Julien Vincent said.
The Australia Institute and Market Forces have sent copies of the survey to every super fund in the country and included a questionnaire on how much each fund has invested in coal or unconventional gas extraction.
"We hope that by clarifying which companies are in and out of coal and coal seam gas, super fund members can make decisions about where they want to put their money," Mr Vincent said.
The report concedes that most Australians are "disengaged" from their super. While the assumption is that providing more information about financial performance will improve perceptions, so will greater disclosure about a fund's stance on ethical or environmental issues.
Frequently Asked Questions about this Article…
The survey, commissioned by the Australia Institute and conducted by Market Forces, found that many superannuation holders would consider shifting their investments if their fund invested in coal or coal seam gas. It reported that as many as one in four members would be prepared to move their money and that only 43% of the 1,125 respondents said they would leave their holdings unchanged if their fund made such investments.
Market Forces conducted the survey on behalf of the Australia Institute, with 1,125 respondents taking part. The results were used to assess member attitudes to coal and coal seam gas exposure in superannuation funds.
The report found the highest opposition to altering investments based on links to coal or coal seam gas was in the top income bracket (those earning more than $150,000), with 51% in that group opposed to changing their investments for that reason.
Australians hold almost $1 trillion in superannuation (excluding self-funded retirees). Market Forces said the willingness of many members to avoid coal and coal seam gas investments should be a 'massive wake-up call' for the industry, because member preferences could influence how large pools of retirement savings are invested.
They sent copies of the survey to every super fund in the country and included a questionnaire asking how much each fund has invested in coal or unconventional gas extraction, aiming to clarify funds' exposure and encourage greater transparency.
The organisations behind the report hope that clearer disclosure about which companies and funds are invested in coal and coal seam gas will help super fund members decide where to put their money. The report also suggests that disclosure about a fund's ethical or environmental stance can improve member perceptions in addition to financial performance information.
The report concedes that most Australians are 'disengaged' from their superannuation, meaning many members do not actively monitor or question where their retirement savings are invested, including ethical or environmental exposure.
The article highlights the importance of disclosure, so everyday investors can start by checking their super fund's public disclosures or asking the fund directly how much it invests in coal and unconventional gas. Clearer information, the report suggests, will help members make informed decisions about whether they want to stay with or move their savings.
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