Written by:
Future Group
15 December 2023
Future Group has entered into a partnership with Guild Super, the super fund for the pharmacy and Child Care industries.
The strategic partnership with Guild Super sees Future Group grow to over $13.4 billion in funds under management and advice, supporting over 383,000 members.
Guild Super has $2.77 billion in FUM and 99,000 members.
Guild Super members benefit from an immediate reduction in the Administration Fee from when the transaction takes place.
Future Group has accelerated its inorganic growth approach by entering into a strategic partnership with Guild Super. The transaction is expected to settle in December. Prior to this occurring, the Trusteeship of the Guild Retirement Fund will transition from Guild Trustee Services to Equity Trustees Superannuation Limited. This transition and the wider transaction were approved by the Victorian Supreme Court on Monday 30th October^.
Guild Super has $2.77 billion in funds under management and over 99,000 members and includes Child Care Super - a separate brand that operates within the same fund. As part of the partnership, the trustee of the Guild Retirement Fund will change from Guild Trustee Services to Equity Trustees (ETSL). ETSL is the trustee for Future Group’s other funds, Future Super and smartMonday (smart Future Trust).
Future Group has ambitious growth plans and in 2022 finalised a deal to acquire global insurer Aon’s superannuation business, smartMonday.
Future Group Founder and Chief Executive Simon Sheikh says: “Today is a milestone for Future Group as we continue to grow and scale. Following this transaction we will be supporting over 383,000 members with over $13.4 billion in Funds Under Management and Advice across four brands: Guild Super, Child Care Super, Future Super and smartMonday. This makes us one of the top 15 largest superannuation groups by number of members served.”
The partnership will provide a pathway to a sustainable future for both funds, delivering improved outcomes for members via reduced fees, expanded investment capability and increased services such as intra-fund advice.
“As Future Group continues to grow and scale our focus is on ensuring we can improve outcomes for members. Centralising administrative and back-end operating functions drive these member benefits,” Sheikh adds.
Guild Group Chief Executive Paul Cassidy says: “By consolidating our superannuation offering under Future Group we are looking forward to our members benefiting from better financial outcomes while ultimately securing a sustainable and strengthened future for the fund.”
Cassidy adds: “We see a values alignment with Future Group. Under Future Group, Guild Super will continue to support the healthcare and community service sectors and continue to prioritise the financial futures of women and their families.”
In the leadup to this acquisition, Future Group completed a successful capital raise, securing $15 million in Series C funding. Notable investors include Dominic Pym, Ellerston Capital and Understorey Ventures.
“The success of this capital raise was a vote of confidence from investors. Australia’s superannuation sector needs a firm with a solid growth plan to compete with the big funds. As a values-driven firm we look forward to continuing to be that competitor,” Sheikh says.
The increased scale achieved through this partnership will further grow Future Group’s ethical influence and impact as one of Australia’s leading pure-play ethical investors.
-ENDS-
About Future Group
Future Group is a collective of super funds and financial services dedicated to a single cause: to lead the movement to use the power of money to invest, advocate and campaign for a future worth retiring into. People use Future Group’s products and services to use the power of capital to build the future they want to see. Following the transaction the group will have five superannuation brands: Guild Super Services, Child Care Super, Future Super and smartMonday.
^ http://classic.austlii.edu.au/au/cases/vic/VSC/2023/629.html
