The draft report on superannuation by the Productivity Commission into superannuation has confirmed my suspicion that “life stage”, also called "life cycle" investment options, are not suited for the vast majority of fund members.

The Productivity Commission uses diplomatic language, but it agrees with my first column on the subject in 2015, that life stage options are neither simple nor transparent.

Those who don't choose who manages their super end up having their compulsory super going to a standard balanced investment option.

Life stage investment options can leave you worse off in retirement Credit:iStocky

This will have 70 per cent, or there about, invested in “growth” assets, like shares and property, with the remainder in “defensive” assets like fixed interest and cash.