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Kogan enters $2.7 trillion super industry

Stuart Condie

Online retailer Kogan.com is targeting a slice of Australia's $2.7 trillion superannuation industry with its own-brand fund.

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Kogan.com, which has already branched out from its core retail operations into mobile communications, home internet and insurance, has signed a deal to distribute a March & McLennan-owned Mercer product under the Kogan brand.

The company claims the fund's fees will be among Australia's cheapest.

"This partnership will deliver a no frills superannuation offering with ultra-low fees that will enable Aussies to retain and preserve more of their personal wealth," Kogan.com co-founder David Shafer said in a statement.

Under the agreement, Kogan.com will provide the branding and marketing, while Mercer will operate the fund and provide customer service.

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Kogan.com, which claims 1.45 million active customers, is aiming to launch the product early in 2019.

There were 28.6 million superannuation accounts with $2.7 trillion in assets at June 30, according to Association of Superannuation Funds of Australia.