CBUS calls for lead generator ban as one in three workers targeted
25 May 2026
MEDIA RELEASE
CBUS Super is urging the government to ban the lead generation activity which led to thousands of Australians losing their life savings in the Shield and First Guardian collapses.
Sophisticated digital marketing systems and algorithmic targeting are being used to convince workers to switch their super into less regulated products.
Cold-call sales for super and financial advice were banned after the Banking Royal Commission exposed widespread harm. Lead generators are now using social media clickbait and comparison surveys to work around the laws and claim consent.
New research conducted by the Fund showed nearly one in three CBUS members can recall being targeted by these types of tactics in the past year - with younger tradies a particular target for these operators.
CBUS CEO Kristian Fok said the Fund remained adamant the only way to deal with the high-pressure sales tactics used to entice super switching was to outlaw them.
“Compulsory superannuation is the envy of the world and utterly vital for everyday Australians to build a comfortable retirement, but that only works if they can have trust in the system” he said.
“Keeping that trust relies not only on preventing outright fraud, but also any activity that incentivises confusion and the manipulation of workers’ savings.
“These lead generators are often a gateway into the wild west of superannuation and financial advice.
“We need to ban the cowboys and cut off the financial incentive that supports them.
“Our members have reported being called multiple times each day and for weeks at a time, fed promises of huge returns and a more comfortable retirement.
“It’s product-pushing masquerading as genuine financial advice.
“There is no mention of risk or warnings about the loss of insurance, which is particularly important for blue-collar workers in jobs often excluded from standard insurance policies.
“Australians should have access to impartial, factual and empowering information that assists informed financial decision-making and be protected from malicious sales tactics seeking to siphon their super.”
Lead generation activities in superannuation are aimed at harvesting data and pressuring people to switch their super to unregulated investment products.
Most of these actions are not taken in members’ interest – as seen in the experience of 11,000 Australians who lost more than $1 billion in the collapse of the Shield and First Guardian funds, with many persuaded to invest after clicking on lead generator advertising.
As part of its submission to the Federal Government on Curbing lead generation activity, CBUS has proposed a ban on lead generation activity and on the purchasing of leads in super.
“This consultation is all about keeping ordinary Australians and their retirement savings from harm,” Mr Fok said.
“Any situation where there is a financial imperative for moving a member’s retirement savings needs to be prevented.
“Closing the market for superannuation leads would help dampen the increasingly sophisticated tactics used to obtain them.”
Mr Fok said the regulators should be given stronger powers to encourage earlier intervention, which would also help protect workers from a repeat of the Shield and First Guardian turmoil.
“Only half of our members report feeling confident they could tell the difference between legitimate super products and dodgy ones, or the difference between safe or risky products,” Mr Fok said.
“With so many of our members being targeted by these tactics, it’s a dangerous combination and clearly puts their financial security at risk.”
The Fund has been a consistent advocate for action on lead generators, warning its members had been disproportionately targeted by their high-volume, high-pressure sales tactics.
The CBUS submission is available here
Media enquiries: media@cbussuper.com.au or +61 3 9100 4930
CBUS Super is the leading Industry Super Fund representing those that help build, maintain and shape Australia. As one of Australia’s largest super funds, we provide superannuation and income stream accounts to more than 925,000 members and we manage more than $110 billion of our members’ money (as at 31 December 2025). As of April 2022, CBUS merged with Media Super and offers Media Super products. In May 2023 CBUS Super successfully completed its merger with EISS Super, welcoming 17,000 new members and establishing itself as the leading fund for energy and electrical workers in Australia.
This information is about CBUS Super. It doesn’t account for your specific needs. Please consider your financial position, objectives and requirements before making financial decisions. Read the relevant Product Disclosure Statement (PDS) and Target Market Determination to decide if CBUS Super is right for you. Call 1300 361 784 or visit cbussuper.com.au
Issued 25 May 2026. United Super Pty Ltd ABN 46 006 261 623 AFSL 233792 as trustee for Construction and Building Unions Superannuation Fund (CBUS and/or CBUS Super) ABN 75 493 363 262.