The Albanese government is releasing the first of the consultation papers to improve consumer protections in the wake of the collapse of the Shield and First Guardian Master Funds.
Thousands of Australians lost their superannuation savings in the collapses and there needs to be change to prevent this happening in the future.
High‑profile collapses erode confidence, making Australians understandably nervous about investing and reducing participation in legitimate, well‑regulated products.
When managed investment schemes are run without adequate governance or transparency, capital is not being channelled into real economic activity but instead becomes trapped in vehicles that deliver no productive return.
For a more resilient, productive economy, it is preferable investment flows efficiently into activities that support innovation, business growth and long‑term economic development.
We are committed to ensuring that investor interests are protected. The release of this consultation paper on ways to strengthen the governance and oversight of managed investment schemes is an important step in ensuring our regulatory systems remain fit‑for‑purpose.
The consultation paper seeks views from stakeholders on proposals for enhancing Managed Investment Scheme governance and oversight by ASIC, as well as improving ASIC's visibility of superannuation switching.
Good governance practices support sound decision‑making by boards by ensuring they are well‑informed, act in the best interests of investors and are less susceptible to conflicts of interest.
The consultation paper is available on the Treasury consultation hub.
Submissions can be made until 27 February 2026.
This consultation forms the first tranche of the Government's broader agenda to strengthen consumer protections in the superannuation and financial services sectors.
The government will soon consult on additional proposals to tackle inappropriate lead generation, creating a safer framework for superannuation switching, and strengthening superannuation trustee governance standards.
There will also be consultation on ensuring the sustainability of the Compensation Scheme of Last Resort.
I encourage industry and individuals to take part in the consultation process as we work to ensure Australians can maintain confidence in the superannuation system.
