mSmart launches mProjections Super Report Tool

The real risk with superannuation is that you cannot afford your retirement.

Yet the industry does not have transparent and useable tools that can confidently predict the spending power of your retirement cash flows in the future with informative comparisons. The traditional methods focus on the lump sum at preservation age based on generic asset allocations and do not explain the probability of different outcomes. Scenario modelling is very limited.

At BGL RegTech 2020, mSmart – a Gold Sponsor of the event – launched its new online superannuation report tool mProjections.

The online tool is available directly to the general public and SMSFs from the company’s website for an annual subscription of $19.95 (including GST). A sample report is available for free.

This report informs people who took advantage of the Government’s Covid-19 early release scheme the impact this may have on retirement spending power. Moreover, the tool explains what the member can do to recover that spending power. This does not necessarily have to involve more contributions. It could be as simple as tilting the investment strategy towards growth options.

Derek Condell is the Founder and CEO of mSmart, the Sydney-based fintech platform democratising superannuation analytics and insights. He says that, “Many people will be surprised to learn the impact of early release is not as bad as has been reported by the industry. It might only be $8.50 per week when expressed in terms of today’s spending power.”

Any forecasts which do not explain lump sums and income projections in terms of today’s spending power can be meaningless.

Condell continues, “The mProjections report confidently projects retirement cash flow from different investment options allowing direct comparisons. Moreover, it shows how to get more income in retirement by adjusting investments not making more contributions.”

Subscribers to mProjections answer 7 questions online and receive a PDF report within 2 minutes directly into their email inbox. The report can be shared with a professional advisor.

A later version of the tool will integrate with software such as BGL Simple Fund 360 and BGL Simple Invest 360. It will use direct data links into super funds for improved user experience.