Kogan.com Limited (Kogan.com, Kogan; ASX:KGN) together with leading superannuation expert Mercer, a wholly owned subsidiary of Marsh & McLennan Companies (NYSE: MMC), have signed agreements that will see the launch of a new no frills, ultra-low fee Australian superannuation fund. Kogan Super will leverage Kogan.com’s digital efficiency to be one of Australia’s cheapest superannuation options.
Kogan Super will be an ultra-low fee superannuation fund, and will be aiming to manage a share of the 28.6 million Aussie superannuation accounts, which represent a combined total of more than $2.6 trillion in assets.
David Shafer, Executive Director of Kogan.com, says he is delighted to be partnering with Mercer to bring Kogan Super to market.
“Mercer has been operating in Australia for more than 40 years; they have a strong history of innovation, and they are a clear leader in the provision of cost-effective and efficient Superannuation services. This partnership will deliver a no frills superannuation offering with ultra-low fees that will enable Aussies to retain and preserve more of their personal wealth.”
“Albert Einstein once said that ‘compound interest is the eighth wonder of the world. He who understands it, earns it. He who doesn’t, pays it’. Every Australian should consider whether the power of compounding is working for them through low fees, or against them through the ongoing erosion of their wealth by high fees. Kogan.com’s mission is to deliver price leadership through digital efficiency, and we are proud to be able to help Australians preserve more of their hard-earned money by delivering an ultra-low fee superannuation solution.”
Ben Walsh, CEO and managing director of Mercer, says the partnership marries Kogan.com's expertise as an ecommerce leader with Mercer's global scale and know=how as a leading superannuation administration, customer and investment services supplier.
"As one fo the largest superannuation providers in Australia, with more than US$11 trillion under investment advisement and more than US $240 billion assets under delegated management globally, we are able to use our global scale and expertise to drive competition and get better results for clients and members.
"In an industry where scale and cost efficiencies count, this new alliance will enable Kogan to create value at scale through their trusted online brand and huge customer base."
Under the agreement, Kogan.com will provide branding and marketing services, and Mercer will provide investment management, administration and customer service.
Further details of the Kogan Super offering will be released closer to the launch date, which is expected to be in early 2019.
Kogan Super will be an ultra-low fee superannuation fund, and will be aiming to manage a share of the 28.6 million Aussie superannuation accounts, which represent a combined total of more than $2.6 trillion in assets. With more than 1,450,000 active customers, Kogan.com is one of Australia's largest ecommerce companies.