Aware Super Partners With Challenger on Lifetime Income

The superannuation fund will work with Challenger to develop a retirement income product that lasts throughout members' lives.

Updated on Nov. 2, 2026 in Retirement Planning

Aware Super Partners With Challenger on Lifetime Income

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Aware Super, a $250 billion fund with more than 1.3 million members, has signed an agreement with Challenger to develop a lifetime income solution. The partnership builds on an existing relationship between the two organisations.

Why it matters

Superannuation funds face growing pressure to help members turn accumulated savings into sustainable income. The partnership supports Aware Super's obligations under the Retirement Income Covenant, which requires trustees to develop strategies to help members manage retirement income.

Aware Super manages $250 billion and has more than 1.3 million members. In 2023, Challenger provided a $619 million group lifetime annuity policy covering about 3000 members, but the source does not yet say how the new product will be priced or when it will launch.

The players

Aware Super

Aware Super is a large Australian superannuation fund managing $250 billion on behalf of more than 1.3 million members.

Challenger

Challenger is an Australian financial services company specialising in retirement income and annuity products.

The details

Challenger will combine its retirement income and longevity expertise with Aware Super's digital capabilities and scale. The product is intended to provide members with retirement income that lasts throughout their lifetime, while retaining flexibility and choice over how they access their savings, supported by Aware Super's advice and guidance services.

2023: Challenger provided a $619 million lifetime annuity policy to Aware Super.
2 November 2026: The partnership expansion was announced.

Retirement Covenant Context

The partnership is a direct response to the Retirement Income Covenant, which requires Australian superannuation trustees to help members convert savings into income. It shows large funds turning to specialist insurers to meet that duty as members approach retirement.

Members of Aware Super may eventually be offered a lifetime income option that works alongside their existing savings rather than replacing them. Any product details, costs and access arrangements will matter once they are published.

The takeaway

Retirement savings are only useful if they can be drawn down sensibly over a long life. Members approaching retirement should compare how any new income product handles flexibility, cost and access to their savings before committing.