Issued by; CARE Super Pty Ltd (Trustee) ABN 91 006 670 060 AFSL 235226 RSE L0000956 CARE Super (Fund) ABN 98 172 275 725
Disclaimer: The information contained in this Annual Report is about CARE Super and is not intended as financial advice. It does not take into account specific needs, so you should look at your own personal position, objectives and requirements before taking any action. Past performance is not a reliable indicator of future performance and you should consider other factors before choosing a fund or changing your investments. For a copy of the CARE Super Trust Deed (the legal document governing superannuation benefits in the fund), Financial Statements for the Trustee and the Fund or the Investment Policy Statements please go to our website. You can also ask for a copy to be sent to you. You should also obtain and read the Product Disclosure Statement before making any investment decision. If you would like to see these documents, please go to caresuper.com.au or call 1300 360 149.
When looking after members’ savings, good governance is essential.
The CareSuper Board has adopted the standards of the Australian Institute of Superannuation Trustees (AIST) Governance Code which promotes continuous improvement in governance practices and goes beyond regulatory requirements to ensure that AIST member funds champion members’ interests through a positive and ethical culture, appropriate documentation including policies, charters and processes, open and full disclosure, appropriate board renewal, strong and relevant skills, fair and responsible remuneration, and rigorous processes for financial, risk management and investment governance. Compliance with the Code will be audited annually, requiring the Fund to submit a report to AIST. The Code exceeds any other industry code or principles for superannuation funds.
The Board is comprised of equal numbers of member and employer directors.
CareSuper Board members are chosen via a rigorous process. Having been proposed by one of the nominating organisations, such as an employer organisation or union or by the Board itself, the process includes a panel interview and assessment against a detailed statement of responsibilities, including experience, skills, qualifications and capability, as well as fitness and propriety requirements. A skills matrix is maintained and when vacancies occur, this is used to identify any gaps and to prioritise desired criteria in the selection process.
The Board evaluates its performance annually whereby Directors and members of the Executive team complete a questionnaire on factors that lead to effectiveness and good governance. This process was completed in the year ending June 2018 and the results were used to debrief the combined group and identify issues for improvement. Progress on such issues was then tracked through Board meeting processes. Directors also met their minimum training requirements during the financial year.
Board decisions are made by at least a two-thirds majority.
During 2017/18, the CareSuper Board appointed employer director Terence (Terry) Wetherall as Chair and member director Julie Bignell as Deputy Chair. These changes are in line with our policy which provides for employer and member directors to nominate the Chair and Deputy Chair on a four-year rotational basis.
At 30 June 2018, there were five member directors and six employer directors on the Board, with one vacancy.
Terry Wetherall
Chair – Employer Director
Terry Wetherall is the Chair of CareSuper. He was the Deputy Chair of the fund from January 2017, until his appointment to Chair in April 2018. He is a director and committee member of the New South Wales Business Chamber (NSWBC), and a Director of the Australian Chamber of Commerce and Industry (ACCI)
Terry is involved in the property industry as director of property consultancy TCW Consulting. He holds membership in the Planning Institute of Australia and the Property Institute of Australia.
He is a long-time participant in the chamber of commerce community and is the immediate past president of ACCI. He is also a former President of the NSWBC.
Qualifications
- Graduate of the Australian Institute of Company Directors
- Associate Diploma in Valuation
- Graduate Diploma in Urban & Regional Planning
CareSuper board committee membership
- Governance and Remuneration Committee
- Development and Product Committee
- Investment Committee
The Chair attends meetings of other Committees on an ex officio basis.
Julie Bignell
Deputy Chair – Member Director
Julie Bignell is the Deputy Chair of CareSuper and a professional Non-Executive Director. She sits on the board of Austin Health and is a past member of the board of the North Queensland Bulk Ports Corporation.
From 2000 to 2015 Julie was the Branch Secretary of the Central and Southern Queensland branch of the Australian Services Union (ASU). She also served as the ASU’s National Vice President. She is a former Vice President of the Queensland Council of Unions and Assistant Secretary of the Queensland branch of Together.
Julie was nominated as a member director by the ASU. She brings extensive business planning and strategy skills to the board.
Qualifications
- Bachelor of Arts in Modern Asian Studies (Economics and Japanese)
- Graduate Diploma of HR/IRM
- Fellow of the Australian Institute of Company Directors
CareSuper board committee membership
- Chair, Governance and Remuneration Committee
- Development and Product Committee
- Investment Committee
- Benefit Payments Sub-committee
Chris Christodolou
Member Director
Chris Christodoulou is the Chief Executive Officer of Greenacres Disability Services. He worked at Unions NSW from 1999 to 2013, first as a Senior Industrial Officer and later as Assistant Secretary. He was a director of Asset Super until it merged with CareSuper in 2012.
Chris was nominated as a member director by Unions NSW. He is highly skilled in management, governance and strategic planning and has a thorough understanding of how membership organisations operate.
Qualifications
- Bachelor of Arts (Industrial Relations), Wollongong University
- Trade Union Program (Harvard University)
CareSuper board committee membership
- Governance and Remuneration Committee
- Development and Product Committee
Keith Harvey
Member Director
Keith Harvey is the chair of Aspire Learning Resources, a not-for-profit publisher specialising in training materials for the business and community service sectors.
For over 30 years, Keith has acted in the best interests of workers through his roles with the Federated Clerks Union (FCU) and the Australian Services Union (ASU).
He is highly experienced in superannuation, industrial relations, management and strategic business planning.
Qualifications
- Bachelor of Arts (majors in Economics and Politics)
- Graduate, Australian Institute of Superannuation Trustees
- Certificate IV, Assessment and Workplace Training
- Harvard University, Cambridge, Mass., USA – Trade Union Program
CareSuper board committee membership
- Chair, Member and Employer Services Committee
- Development and Product Committee
- Chair, Benefit Payments Sub-committee
Catherine [Cate] Wood
Member Director
Cate Wood is an experienced Director, specialising in superannuation. She holds positions on numerous boards, including Industry Super Australia, ISPT Pty Ltd, IIPT Pty Ltd and the Mother’s Day Classic Foundation. She is also a director and the National Chair of Women in Super.
Previously Cate was the CEO of AGEST Super and the Trade Union Training Authority.
Cate was nominated as a member director by the Australian Services Union (ASU). She has extensive knowledge in superannuation, governance and industry.
Qualifications
- Bachelor of Arts (Social Sciences), La Trobe University
- Fellow of AIST
- Graduate of AIST
CareSuper board committee membership
- Member and Employer Services Committee
- Development and Product Committee
- Investment Committee
Dr Jeremy Johnson
Employer Director
Dr Jeremy Johnson is the Chair of the Central Highlands Water Board, the President of the Australian Chamber of Commerce and Industry and a Member of the Ministerial Advisory Council on Skilled Migration. He is also a qualified company secretary.
From 1972 to 1994 he worked in local government, including as Shire Secretary and Treasurer for the Shires of Ballan and Ballarat. In 1995 he joined the outdoor museum Sovereign Hill as Deputy Executive Director, where he later served as Chief Executive Officer from 2002 until 2018.
Jeremy is an active member of his local community. He is the Honorary Secretary/Treasurer of the Arch of Victory Avenue of Honour Committee Ballarat and served five terms as President of the Ballarat Club.
He was nominated to the CareSuper Board by the Victorian Chamber of Commerce and Industry.
Qualifications
- Member, Australian Institute of Company Directors (AICD)
- Fellow, Governance Institute of Australia (FGIA)
- Diploma of Business Studies, Royal Melbourne Institute of Technology (RMIT)
- Justice of the Peace
CareSuper board committee membership
- Member and Employer Services Committee
- Benefit Payments Sub-committee
Michelle Gardiner
Member Director
Michelle is a seasoned industry expert, with over 30 years’ experience in financial services.
From 1994 to 2000 she worked at Rothschild Australia at a senior level, including in business development and product management. She later moved to Queensland where she joined a state-based super fund as the CEO of its subsidiary advice service. In 1994 Michelle joined CANNEX as the head of its banking product research and was subsequently appointed Acting General Manager.
Michelle was nominated as a member director by the Shop, Distributive and Allied Employees’ Association (SDA). She brings in-depth knowledge of funds management, asset consultancy and research and strategic planning to the board.
Qualifications
- Diploma of Arts (Anthropology), University of Queensland
- Graduate of the Australian Institute of Company Directors
- Master of Business (Banking & Finance), University of Technology Sydney
- Diploma of Financial Planning, Deakin University
- Bachelor of Economics, Macquarie University
CareSuper board committee membership
- Chair, Investment Committee
- Compliance, Audit and Risk Management Committee
Claire Keating
Employer Director
Claire Keating is the Chair of Finance, Investment and Infrastructure at Yooralla. She is also a qualified Chartered Accountant and experienced director, who sits on the board of multiple financial services organisations.
She was a Partner at PricewaterhouseCoopers (PwC) from 2002 to 2016. She held senior roles at PwC, including Melbourne lead and Partner for PwC’s Financial Services Assurance Practice and the National leader of the PwC Investment Management Assurance sector. From 1998 to 2002 she acted as a member-elected director on the board of PwC’s super fund.
Claire is an active supporter of leading super industry bodies, such as the Australian Institute of Superannuation Trustees. With over 25 years’ experience in funds management, she is highly knowledgeable in superannuation administration and risk management.
Qualifications
- Member of The Institute of Chartered Accountants in Australia
- Graduate of The Australian institute of Company Directors
- Bachelor of Business (Accountancy), Royal Melbourne Institute of Technology
- Diploma of Superannuation Management, Association of Superannuation Funds of Australia, Macquarie University
CareSuper board committee membership
- Chair, Compliance, Audit and Risk Management Committee
- Member and Employer Services Committee
Katherine Sampson
Employer Director
Katherine is the managing director and principal of Mahlab Recruitment (Vic) Pty Ltd, a specialist legal recruitment firm. She joined the firm after a career in law at Corr & Corr.
Katherine has served on a number of boards and committees, including the Monash Law School Foundation, the Walter & Eliza Hall Institute Ethics Committee, the Melbourne International Arts Festival and Deputy Chair of the Australian Press Council.
Qualifications
- Bachelor of Arts (Hons), Monash University
- Bachelor of Laws, Monash University
- Graduate of the Australian Institute of Company Directors (AICD)
CareSuper board committee membership
- Development and Product Committee
- Governance and Remuneration Committee
Gabriel Szondy
Employer Director
Gabriel is the director and Chair of Frontier Advisers and a qualified Chartered Accountant. He was a Senior Partner at PricewaterhouseCoopers (PwC), where he specialised in superannuation and tax.
Gabriel has over 30 years’ experience in the superannuation industry and became a board member in 2001. He brings substantial investment and taxation knowledge to the board.
Qualifications
- Diploma of Business Studies (Commerce), Gordon Institute of Technology (now Deakin University)
- Fellow of the Association of Superannuation Funds in Australia
CareSuper board committee membership
- Investment Committee
Andrea Waters
Employer Director
Andrea is a professional Non-Executive Director. She serves on a number of boards, including CityWide. She is also a qualified Chartered Accountant.
Andrea spent 28 years at KPMG, where she was Partner – Financial Services Audit from July 1996 to July 2012.
She brings in-depth knowledge of finance, accounting and compliance and risk to the board.
Qualifications
- Bachelor of Commerce, Melbourne University
- ICAA Professional Year
- Graduate Member, Australian Institute of Company Directors (AICD)
- Fellow, Institute of Chartered Accountants in Australia
CareSuper board committee membership
- Investment Committee
- Compliance, Audit and Risk Management Committee
Associated directorships
During 2017/18, some of our directors and executives held board positions with organisations we’ve engaged, invested or partnered with.
Cate Wood:
- Director, ISPT Pty Ltd (remunerated position), IFM Shareholder Advisory Board (remunerated position – paid to CareSuper)
- Director, IIPT, Industry Super Australia Pty Ltd, Women in Super and Mother’s Day Classic Foundation (non-remunerated positions)
Terry Wetherall
- Director, NSW Business Chamber Ltd
- Director, Australian Chamber of Commerce and Industry (ACCI)
Julie Bignell
- Director, Australian Council of Superannuation Investors (ACSI)
Julie Lander
- Director, AIST
- Director, Fund Executives Association Limited (FEAL)
- Director, Business Council of Co-operatives and Mutuals (BCCM)
Gabriel Szondy
- Director, Frontier Advisors Pty Ltd
Jeremy Johnson
- Director, Australian Chamber of Commerce and Industry (ACCI)
Board committees
Our Board has established several committees to help meet its obligations and oversee certain fund operations.
All directors are required to serve on at least one and generally two committee for which they receive a fee. The chair is a member of two committees and attends other committee meetings on an ex officio basis.
Compliance, Audit and Risk Management Committee
The Compliance, Audit and Risk Management Committee’s purpose is to assist the Board in meeting its compliance and risk management responsibilities. The committee’s main activities include:
- Internal and external audit monitoring
- Various policy document reviews
- Ongoing monitoring of all risks within CareSuper’s Risk Management Framework.
Governance and Remuneration Committee
The Governance and Remuneration Committee’s key tasks include:
- Various policy document reviews
- Ongoing monitoring of the risks designated to the committee
- Training for directors – planning for the year based on skills matrix and competency assessment
- Review of intended governance changes by the Federal Government
- Approval of the remuneration budget for staff, executive salaries and the remuneration structure for Directors
- Review of board and committee structures and delegations.
Investment Committee
The Investment Committee’s primary function is to monitor the implementation of CareSuper’s investment strategy and investment operations within the framework approved by the board. It is responsible for the ongoing review of all external providers who manage CareSuper’s investments.
Member and Employer Services Committee
The Member and Employer Services Committee is responsible for overseeing:
- Our administration function, policies and services
- Our insurance management framework and strategy and the performance of outsourced providers
- CareSuper’s insurance policies
- Risk elements that may arise in relation to relevant areas.
Development and Product Committee
The purpose of the Development and Product Committee is to oversee CareSuper’s:
- Marketing, education and communications strategies
- Member and employer engagement strategies
- Growth initiatives including consideration of fund mergers
- Product strategy, including significant changes to product features and benefits
- The performance of our ancillary product providers.
Board and committee remuneration
The Board brings to the table specialist skills and experience to ensure CareSuper is professionally governed. Director remuneration is set using a total annual fee approach for both board and committee work. If a director is a chair, deputy chair or committee member, their fees reflect the additional time and commitment necessary to carry out these duties. Committee member fees are commensurate with the number of meetings normally scheduled for each committee. Most directors serve on more than one committee.
The target level of income for directors and chairs is guided by the median remuneration paid for these roles in ‘profit to members’ funds of a similar size, taking into account funds under management, membership and contribution levels.
| Directors | Short-term employment benefits – Directors fee | Post-employment benefits – superannuation | Fees paid to | Total |
| Terence (Terry) Wetherall (Chair) 1 | 2017/18 - $78,673.83 2016/17 - $61,974.53 |
2017/18 - $7,474.04 2016/17 - $5,887.62 |
Director | 2017/18 - $86,147.87 2016/17 - $67,862.15 |
| Julie Bignell (Deputy Chair) 2 | 2017/18 - $69,276.54 2016/17 - $64,772.35 |
2017/18 - $6,581.31 2016/17 - $6,153.36 |
Director | 2017/18 - $75,857.85 2016/17 - $70,925.71 |
| Catherine (Cate) Wood 3 | 2017/18 - $93,560.73 2016/17 - $97,824.00 |
2017/18 - $8,888.25 2016/17 - $9,293.28 |
Director | 2017/18 - $102,448.98 2016/17 - $107,117.28 |
| Katherine Sampson | 2017/18 - $58,267.59 2016/17 - $54,422.40 |
2017/18 - $5,535.38 2016/17 - $5,170.11 |
Director | 2017/18 - $63,802.97 2016/17 - $59,592.51 |
| Chris Christodoulou | 2017/18 - $53,544.12 2016/17 - $52,372.09 |
2017/18 - $5,086.68 2016/17 - $4,975.34 |
Director | 2017/18 - $58,630.80 2016/17 - $57,347.43 |
| Keith Harvey | 2017/18 - $63,204.30 2016/17 - $62,156.20 |
2017/18 - $6,004.38 2016/17 - $5,904.84 |
Director | 2017/18 - $69,208.68 2016/17 - $68,061.04 |
| Gabriel Szondy | 2017/18 - $62,723.04 2016/17 - $59,954.76 |
2017/18 - $5,958.72 2016/17 - $5,695.67 |
Director | 2017/18 - $68,681.76 2016/17 - $65,650.43 |
| Andrea Waters | 2017/18 - $51,554.04 2016/17 - $50,739.00 |
2017/18 - $4,897.68 2016/17 - $4,820.19 |
Director | 2017/18 - $56,451.72 2016/17 - $55,559.19 |
| Michelle Gardiner | 2017/18 - $59,481.00 2016/17 - $55,614.00 |
2017/18 - $5,650.68 2016/17 - $5,283.35 |
Director | 2017/18 - $65,131.68 2016/17 - $60,897.35 |
| Claire Keating 4 | 2017/18 - $62,960.04 2016/17 - $28,337.52 |
2017/18 - $5,981.16 2016/17 - $2,692.04 |
Director | 2017/18 - $68,941.20 2016/17 - $31,029.56 |
| Jeremy Johnson 5 | 2017/18 - $29,402.52 2016/17 - $0 |
2017/18 - $2,793.24 2016/17 - $0 |
Director | 2017/18 - $32,195.76 2016/17 - $0 |
| Gregory McLean 6 | 2017/18 - $47,257.87 2016/17 - $47,761.02 |
2017/18 - $4,489.54 2016/17 - $2,811.76 |
Director ASU |
2017/18 - $51,747.41 2016/17 - $50,572.78 |
| Mark Sibree 7 | 2017/18 - $30,726.54 2016/17 - $60,872.20 |
2017/18 - $2,919.00 2016/17 - $5,782.87 |
Director | 2017/18 - $33,645.54 2016/17 - $66,655.07 |
| Graeme (Sandy) Grant 8 | 2017/18 - $0 2016/17 - $49,536.04 |
2017/18 - $0 2016/17 - $4,705.95 |
Director | 2017/18 - $0 2016/17 - $54,241.99 |
1 Appointed Deputy Chair 1 January 2017, Appointed Chair 1 April 2018
2 Appointed Deputy Chair 1 April 2018
3 Ceased as Chair 1 April 2018
4 Commenced 1 January 2017
5 Commenced 1 January 2018
6 Ceased 31 May 2018, Ceased as employee of ASU effective 30 June 2017 (fees paid to Director from 1 July 2017)
7 Ceased 31 December 2017
8 Ceased 31 March 2017