The Australian Prudential Regulation Authority (APRA) has imposed additional licence conditions on Equity Trustees Superannuation Limited (ETSL) to address prudential concerns about its investment governance frameworks and practices, including oversight of platform investment options offered to members. ETSL acts as trustee for 11 registrable superannuation entities and has around 649,000 member accounts with more than AUD 37 billion in funds under management. The conditions follow APRA’s thematic review of platform superannuation trustees, which identified deficiencies at ETSL in onboarding processes, investment selection criteria and due diligence, monitoring and reporting frameworks, and management of conflicts of interest. APRA highlighted issues around consistent assessment of new options in members’ best financial interests, adequate operational and investment due diligence, independent analysis of information from investment managers and external research and rating agencies, and monitoring that can identify and manage higher-risk options. Effective 18 December 2025, ETSL must appoint an independent expert to conduct separate reviews of its platform investment menus and investment governance framework, implement an uplift plan and provide APRA with assurance or attestation that remediation is complete and effective, and then re-review its investment menu against the enhanced governance requirements. ETSL is also required to refrain from onboarding certain new high-risk investment options until an independent expert confirms the option has passed the uplifted onboarding process and an accountable person attests that reasonable steps were taken to ensure it is in members’ best financial interests; APRA will continue coordinating with the Australian Securities and Investments Commission on weaknesses identified in platform trustees.

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