Industry and retail funds are run differently, but both are regulated the same way. The right fit depends on your fees, investment needs and insurance, not on the label.

Reviewed 31/10/2026. General information only, not personal advice.

The short version

Most Australians have their super in either an industry fund or a retail fund. There are also public sector funds, corporate funds and self-managed super funds (SMSFs), but industry and retail funds hold most members.

The two types differ mainly in who owns them and where any profit goes. They don't differ in how they're regulated: both are overseen by the Australian Prudential Regulation Authority (APRA), and both must act in members' best financial interests.

• Who runs them: Industry funds: Originally set up by employer groups and unions, with boards that often include employer and member representatives. Retail funds: Owned by financial institutions, such as banks, insurers and wealth managers
• Profits: Industry funds: Run on a profit-to-member basis. Retail funds: May aim to earn a profit for the owner and its shareholders
• Regulator: Industry funds: APRA (and ASIC for disclosure). Retail funds: APRA (and ASIC for disclosure)
• Default (MySuper) option: Industry funds: Offered by most. Retail funds: Offered by many
• Investment choice: Industry funds: Usually a menu of diversified and single-sector options; some offer direct shares. Retail funds: Often a wider menu, including platforms with managed funds, ETFs and direct shares
• Insurance: Industry funds: Default death, TPD and often income protection cover. Retail funds: Default cover, with some offering more tailored cover

Where the real differences show up

Fees. Fees vary within each group as much as between them. Look at the total cost for your balance: administration fees (fixed and percentage-based), investment fees and costs, and any advice fees you've agreed to.

Investment options. Some people want a simple diversified option. Others want to choose individual managed funds, ETFs or shares, or ethical and faith-based options. The range on offer differs a lot between funds.

Insurance. Default cover in super can be convenient and cost-effective, but the amounts, definitions and premiums differ between funds. Changing funds can mean losing cover you can't easily replace, especially if your health has changed.

Services and tools. Online access, retirement income options, and support when you move into retirement differ between funds.

What to check before you change

• The total fees on your balance, not just the headline percentage
• Long-term returns for the option you're actually invested in, after fees
• Whether your current product has passed APRA's annual performance test
• What insurance you hold, and whether you'd lose it by leaving
• Whether your employer contributes to a particular fund, and any extra benefits that come with it
• Any tax or Centrelink implications if you're already drawing a pension

We don't rank or recommend funds on this page. Comparing one fund with another properly means looking at your own situation, which is personal advice.

Weigh it up for your own situation

This page explains how the options generally compare. Which one suits you depends on your goals, balance, health, family and the rest of your finances. Book a free initial discussion or call 07 3733 1731. Meet face to face in Eight Mile Plains, or online anywhere in Australia.

Frequently asked questions

Are industry super funds better than retail funds?

Neither type is better in itself. Results, fees and features vary widely between individual funds and investment options within each group. What matters is how a particular fund and option suit your balance, goals, investment preferences and insurance needs.

Is my money safer in one type of fund?

Both industry and retail funds are regulated by APRA, must meet the same trustee obligations and hold members' money in trust, separate from the trustee's own assets. Investment values can still rise and fall in either type.

How can I compare my fund?

The ATO's YourSuper comparison tool shows fees and returns for MySuper products and flags products that failed APRA's annual performance test. Your fund's Product Disclosure Statement and Target Market Determination set out its fees, options and insurance.

Related reading

• Superannuation Advice
• SMSF vs industry super
• Consolidating your super
• Insurance inside vs outside super