APRA ticks off on ANZ sale of super business to IOOF

APRA had also taken legal action against IOOF and sought to have some of its directors disqualified, but it lost this landmark case in September.

On Monday, APRA said it had no reason to think that the change in ownership could cause the trustees of the funds to breach their obligations under the Superannuation Industry (Supervision) Act. The Act includes a duty for funds to act in the best interests of their clients.

APRA noted that since it imposed extra licence conditions on IOOF last year, the wealth manager had appointed a majority of independent directors to the boards that oversee its super funds, among other changes.

“APRA’s decision recognises IOOF’s progress in strengthening governance structures and management of conflicts within its existing RSE licensees, in response to additional licence conditions imposed by APRA in December 2018,” APRA said.

IOOF said in October, when it announced a reduction in the price it would pay for the pensions businesses, that the deal would “meaningfully increase” the size of its core business. ANZ said at the time that it expected the deal to be completed in early 2020, subject to APRA’s approval.


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