DFRDB
Closed public sector scheme
DFRDB is a closed Defence pension scheme with benefits determined by salary and service rules.
Membership
The scheme serves eligible existing members and pensioners.
DFRDB vs Mercer Super
Compare what each fund offers, then choose investment options to put their published costs and returns side by side.
Mercer Super
Retail fund
Mercer Super's SmartPath default adjusts investments with age. Its range also includes ready-made portfolios, passive and sustainable choices, and direct investing in eligible plans.
Membership
Individuals can join Mercer SmartSuper, or employees can join their employer's Mercer plan. Access to particular investments and insurance features depends on the plan.
Compare fees and investment returns
Choose the actual investment pathway for each account. For lifecycle products, select the named stage relevant to you. No stage is selected automatically.
Choose an investment option to see the figures
The costs and returns belong to the selected product, option or lifecycle stage.
Source: APRA Comprehensive Product Performance Package 2026, published 28 August 2026. Fees reflect the reporting year to 30 June 2026, are net of tax, use standard arrangements and exclude member-activity fees. Dollar figures are rounded. They are not a current quote. Check the latest PDS for changes, insurance premiums and any separately charged advice.
Returns are annualised historical results. Different return bases, risk levels and periods cannot be treated as interchangeable. MySuper net returns use a $50,000 representative balance even when you change the fee balance. A lifecycle stage return does not track a person moving between stages. Missing figures mean not reported, not zero. Past returns do not predict future returns. Read our method and APRA's definitions.
How the products differ
| What to compare | DFRDB | Mercer Super |
|---|---|---|
| Membership and access | The scheme serves eligible existing members and pensioners. Sources1 | Individuals can join Mercer SmartSuper, or employees can join their employer's Mercer plan. Access to particular investments and insurance features depends on the plan. Sources1 |
| Accounts and products | Defence Forces Retirement and Death Benefits Scheme. DFRDB pension and scheme benefits Separate MilitarySuper ancillary account where eligible Sources1 | Mercer SmartSuper and Mercer Super Trust employer plans. Virgin Money and restricted employer MySuper products need separate labels. Mercer SmartSuper Mercer employer plans Mercer SmartRetirement Income Mercer Direct where available Sources14 |
| Insurance | Serving members have built-in death and invalidity protection. Sources1 | Most Mercer Super Trust members have group insurance through AIA Australia, but the fund says the applicable plan determines the cover. Obtain the employer-plan insurance document and compare benefits, exclusions and subsidies before moving to another account. Sources5 |
| Retirement income | Service and super salary affect retirement pay. Eligible members can consider a pension and an optional lump-sum commutation under scheme rules. Sources1 | Mercer SmartRetirement Income offers allocated pensions. Its Smart Bundle combines a SmartPath investment strategy with preselected pension payments and timing, which members can change. It is still an allocated pension arrangement, so it should not be described as a guaranteed income for life. Sources34 |
| Comparing investment performance | Keep the pension and ancillary accumulation account separate. Sources1 | A quoted SmartPath result belongs to a particular cohort and period. Mercer sometimes illustrates returns using one of its largest groups of members; that is not a single return received by everyone. Use the same age, product and fee basis in the competing account. Do not apply Mercer SmartSuper figures to Virgin Money or every employer plan in the same legal fund. Treat the sustainable-options judgment as a dated finding about specified claims and options. Sources2 |
| Investment choices | This detail has not been verified for this profile. Check the current product documents. | Mercer SmartPath, subject to the employer plan's own product. SmartPath gradually changes the investment mix as members age. Ready-made options let members choose a risk level without assembling every asset class. Select-Your-Own includes sector, passive and sustainable options. Mercer Direct provides selected shares, ETFs and term deposits where the plan permits it. Sources2 |
| Advice and support | This detail has not been verified for this profile. Check the current product documents. | Mercer's product information directs members to obtain advice appropriate to their circumstances. This research has not verified a single free personal-advice entitlement for every Mercer plan; ask the fund for the available service and fee. Sources5 |
| Fee details to check | This detail has not been verified for this profile. Check the current product documents. | Compare the actual plan fee schedule, including any employer subsidy or negotiated discount. The cost also depends on SmartPath cohort or chosen investments. Mercer Direct and its underlying investments can carry additional charges. Sources123456 |
THE SUPERGURU VIEW
Our take on DFRDB
DFRDB belongs in an explanation of retirement entitlements. It does not belong in a league table of funds to switch into. The value of pension income and any commutation decision needs individual calculation.
Who this profile is for
- Current DFRDB members and pensioners reviewing entitlements.
What deserves a closer look
- Any investment menu applies to a separate ancillary account, not to the core DFRDB pension.
- A commutation changes the form of retirement benefits; compare its full effect before deciding.
Sources1
Based on the cited product features. These are general reasons to investigate the fund, not a personal recommendation. Supporting sources.
THE SUPERGURU VIEW
Our take on Mercer Super
Mercer's appeal depends heavily on the employer plan. A plan with useful insurance or negotiated fees can look quite different from the standard public product. SmartPath offers a convenient default, while the retirement bundle may reduce setup decisions, provided the chosen payment rate fits the retiree's spending needs.
Who might put it on their shortlist
- Employees comparing the full value of a Mercer workplace plan.
- People who want an age-based strategy with the option to choose investments later.
- Retirees who want a suggested investment and payment setup that remains adjustable.
What deserves a closer look
- Some investments, including Mercer Direct, are only available in particular plans.
- SmartPath's age-based design does not account for every asset or debt outside super.
- In August 2024, the Federal Court ordered Mercer Superannuation (Australia) Limited to pay $11.3 million after it admitted misleading statements about seven Sustainable Plus options. Read the current sustainable criteria and holdings rather than relying on the label.
Sources6
Based on the cited product features. These are general reasons to investigate the fund, not a personal recommendation. Supporting sources.
Before choosing between DFRDB and Mercer Super
Use the membership rules to establish which accounts are available to you. Then compare the total price of the investment option and cover you need. A lower fee or higher historical return alone does not tell you which fund is suitable.
Ask both funds to confirm insurance acceptance, exclusions, waiting periods and whether cover would change when you leave your employer. Obtain advice before giving up a defined benefit or an insurance policy you may not be able to replace. ASIC Moneysmart explains the comparison checks.
Read the full DFRDB profile · Read the full Mercer Super profile · Choose another comparison
Sources for DFRDB
Checked 2026-09-11. Documents and product terms can change after this date.
Sources for Mercer Super
Checked 2026-09-11. Documents and product terms can change after this date.