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This paper summarises and appraises federal legislation passed in 2012 under the headings of The Future of Financial Advice (FoFA) and MySuper. FoFA reforms, which follow a review of the industry by a Joint Parliamentary Committee, aim to improve financial advice and seek to ban conflicted advice. MySuper reforms, based on recommendations made by the Cooper Review, aim to address a lack of engagement with superannuation by 60 per cent of workers and to ensure that default superannuation accounts are simple, comparable and affordable. An earlier version of this paper was presented to the 2012 Australian Centre for Financial Studies’ Melbourne Money and Finance Conference. Refereed/Peer-reviewed

The Henry Review acknowledges the adverse-selection and supply-side problems stunting the Australian market for longevity insurance. We propose a resolution that would give workers a choice between either or both of two kinds of super account, one taxed under the current arrangements (or those proposed in the Henry Review) and the other only in retirement and at the marginal rate of the retiree. The new accounts would be reserved for the purchase of lifetime annuities. "An earlier, fuller version of this paper was presented to the 15th Melbourne Money and Finance Conference: ‘Assessing the Impact of Changes in Financial Regulation’. The conference was held in June 2010 by the Melbourne Centre for Financial Studies, now the Australian Centre for Financial Studies." -- paper