TLDR
- Australia’s 20 largest super funds hold $14.8 billion combined in gambling-related investments
- AustralianSuper has the biggest exposure, at around $4.9 billion
- Gambling firms are rarely excluded from responsible investment screens, unlike tobacco or alcohol
- Australians lose an estimated $32 billion a year to gambling, the highest rate per person in the world
- The government is planning ad restrictions and extra funding for gambling harm support
A new report has found that Australia’s biggest retirement funds hold close to $15 billion in gambling company shares. The findings come from the Alliance for Gambling Reform, a campaign group focused on reducing gambling harm across the country.
The report looked at the 20 largest superannuation funds in Australia. Together, they hold an estimated $14.8 billion in gambling-related investments.
AustralianSuper has the largest exposure of any fund examined. Its gambling holdings total around $4.9 billion, more than double the amount held by any other fund on the list.
Australian Retirement Trust, Colonial First State, UniSuper and Aware Super round out the top five funds with the most money tied to gambling companies. One of the businesses receiving retirement fund investment is gaming machine manufacturer Aristocrat Leisure.
How Responsible Investing Treats Gambling
The report argues that many super funds promote responsible investment principles, but apply them unevenly. Tobacco and alcohol companies are often excluded from ethical investment options. Gambling companies are usually not.
Martin Thomas, chief executive of the Alliance for Gambling Reform, said many people are unaware their compulsory retirement savings help fund gambling businesses. He linked the gambling industry to financial hardship, relationship breakdowns and mental health problems.
The group is not calling for a ban on gambling companies. Instead, it wants super funds to reconsider whether the sector belongs in retirement portfolios at all.
The report notes that gambling investments make up a small share of the total assets held by Australia’s superannuation industry. That means funds would have room to shift money elsewhere without major disruption.
Thomas suggested that members who are concerned about the issue contact their super fund directly. He said people can ask how much of their retirement savings is invested in gambling companies.
AustralianSuper responded to the report. The fund said it does not exclude gambling companies from its main investment options, apart from its Socially Aware option.
The fund said its main job is to deliver strong retirement outcomes for members. It added that it engages with gambling companies on responsible gaming practices and corporate governance.
Government Plans to Address Gambling Harm
Australians lose an estimated $32 billion a year to gambling. That is the highest rate of gambling loss per person anywhere in the world.
The investment report was released as the government works on separate measures to reduce gambling harm. Prime Minister Anthony Albanese has confirmed plans for legislation that would restrict gambling advertising on television, radio and online platforms.
Under the plan, online gambling ads would be limited to verified adult users. The government has not yet set a date for the legislation to take effect.
This year’s federal budget included new funding tied to gambling harm. The government committed $39 million over four years for financial counselling services.
It also allocated $28.7 million to strengthen the BetStop national self-exclusion register. Another $22.4 million was set aside for a national awareness campaign encouraging people to seek help for gambling harm.
The Alliance for Gambling Reform said these measures target the effects of gambling harm. It added that the investment practices of the country’s largest retirement funds have received far less attention so far.
