The Australian Prudential Regulation Authority has imposed additional licence conditions on Diversa Trustees, citing prudential concerns over the company's investment governance frameworks and oversight of platform investment options offered to members.
The measures, effective Dec. 23, follow a thematic review by APRA into superannuation trustees that operate investment platforms, which identified deficiencies in Diversa’s onboarding processes, monitoring and reporting of investment options, and management of conflicts of interest.
Diversa acts as trustee for 10 registrable superannuation entities, overseeing about 291,000 member accounts and more than $15 billion in funds under management.
APRA's review raised concerns about the lack of rigorous and consistently applied investment selection criteria, the adequacy of operational due diligence for new options, and weaknesses in ongoing investment monitoring.