Register For Our Mailing List

Register to receive our free weekly newsletter including editorials.

Home / 193

Governments fund more research than we realise

[Editor’s Note: For background, CEPAR is the ARC Centre of Excellence in Population and Ageing Research. ARC stands for Australian Research Council, an Australian Government entity whose mission is to deliver policy and programmes that advance Australian research and innovation globally and benefit the community].

Understanding the changes in our population and its demographics are vital inputs when planning our retirement systems. On 8 September 2016, ARC awarded CEPAR $27.25 million in funding to finance a second research term of seven years. This is a significant achievement and the many people involved, notably Professor John Piggott (Centre Director) and Marc de Cure (Chair of CEPAR’s Advisory Board), deserve congratulations.

To put this win into context, consider the other eight winners of ARC funding:

  • ARC Centre of Excellence for All Sky Astrophysics in 3 Dimensions
  • ARC Centre of Excellence of Australian Biodiversity and Heritage
  • ARC Centre of Excellence for Climate Extremes
  • ARC Centre of Excellence for Engineered Quantum Systems
  • ARC Centre of Excellence for Gravitational Wave Discovery
  • ARC Centre of Excellence in Exciton Science
  • ARC Centre of Excellence in Future Low Energy Electronics Technologies
  • ARC Centre of Excellence for Quantum Computation and Communication Technology

Reactions may include awe at the complexity of some of the topics and the breadth of research areas supported by government funding. A large number of top quality applications were unsuccessful, and I agree wholeheartedly with Piggott’s comment that “population ageing is an issue of paramount importance to all; this is truly the ageing century”.

CEPAR is a good example of collaboration:

  • From a research perspective, while based at UNSW Australia, it applies a best practice model and has research members from the Australian National University, the University of Sydney, the University of Melbourne, the University of Western Australia, the University of Manchester, the University of Pennsylvania and the Wharton School.
  • CEPAR has a collaborative funding model, receiving additional funding from industry and government partners including the major Commonwealth policy departments, large corporates, and the NSW Government. CEPAR also has strong support and engagement with the World Bank, OECD and COTA.

CEPAR’s multidisciplinary approach draws on expertise in actuarial studies, demography, economics, epidemiology, organisational behaviour, psychology and sociology. Piggott explains, “CEPAR’s research programmes are assembled into four interconnected streams, that cover demographic modelling; decision making, expectations and cognitive ageing; work design and successful ageing in the workforce; and sustainable wellbeing in later life. The latter including not only physical but financial wellbeing as well.”

Sometimes it may be difficult to identify the output of a research body. Some of CEPAR’s statistics shed light on the breadth and quantity of output (for the period 2011 to 2015):

Why does this matter for industry and individuals?

People will ask questions such as “How does this all flow down to the real world?” or “How does society benefit from academic research?” The table above demonstrates how research centres are increasingly focusing on more than publication in academic journals (though that will always be important). Modern day research in practice recognises engagement and collaboration are drivers of success.

If research groups engage well, then their research is better positioned and reaches a larger audience. By engaging and collaborating, academic researchers are better informed of research needs and barriers to implementation.

The first draft of this article received strong editorial feedback. It was going to finish with the following paragraph.

Perhaps it is important for industry to ask themselves “Are we sufficiently engaging with the research community?” If you haven’t heard of CEPAR or aren’t aware of the work CEPAR is doing, then it is worth learning more about, especially if you are affected by population ageing (in my case, for instance, superannuation).

However, the alternative paragraph is as thought-provoking.

How many people in industry have heard of CEPAR? Are the metrics tabled above ones which best measure effective engagement? How highly does CEPAR value the benefits of engagement with industry and is it sufficiently core to their culture and philosophy? And how can we more clearly see how the benefits work for the ageing public who pay for their research?

Personally, I feel there will always be the potential for greater levels of collaboration between industry and researchers such as CEPAR. All parties are stepping in the right direction, and there is more to come. In CEPAR’s case, at least seven years and hopefully a lot more.

 

David Bell is Chief Investment Officer at Mine Wealth + Wellbeing. He is working towards a PhD at University of New South Wales.

 

  •   9 March 2017
  • 2
  •      
  •   
2 Comments
Fundie
March 09, 2017

Interesting story but here's an idea – cut the spending on all that medical research that is adding to life spans, then we don’t need to spend so much money on research into fixing all the problems created by longer lifespans!

David Williams
March 09, 2017

CEPAR does an excellent job of identifying longevity issues, researching them and achieving well-founded conclusions. Its 'faculty' is world class. But like so many countries, our programs for educating people to deal with their own longevity are significantly underfunded and limited.

We have funded improving financial literacy, but as a community we are woefully longevity ignorant. Yet our financial requirements are dependent on our expected time frame - the independent variable on which professional financial planning depends. Understanding our time frame,its potential consequences and the trade-offs we must make are the best foundation for appropriate financial decisions.

We need to do much more to plug CEPAR's excellent work into learning and behavioural changes. We must develop a more aware, independent and functional older community as well as better informing their successors.

The root of our longevity challenge is that our social evolution is simply not keeping pace with the growth in our scientific knowledge - so our solutions are evolving more slowly than our longevity increases. We need to bridge the gap with better education.

 

Leave a Comment:

RELATED ARTICLES

How long will you live?

banner

Most viewed in recent weeks

2 billion reasons to fix retirement income

A proposal to address Australia's 'stranded balances' in retirement by requiring super funds to transition members to pension phase at 65, boosting retirement income and reframing super as a source of income.

The ultimate superannuation EOFY checklist 2026

Here is a checklist of 28 important issues you should address before June 30 to ensure your SMSF or other super fund is in order and that you are making the most of the strategies available.

Do super funds need a massive wake up call?

UK retirement expert, Guy Opperman, believes super funds are failing at supporting members in deaccumulation. Here is what Australia should do about it. 

Two months into retirement

A retirement researcher's take on retirement and her focus on each of her six resource buckets to stay engaged during the transition and beyond.

Reforming the taxation of wealth and wealth transfers

As the budget approaches debate continues about the need and method for addressing wealth inequality. Could reinstating wealth transfer taxes be the answer?

Welcome to Firstlinks Edition 662 with weekend update

The debate over the budget is increasingly shaped by frustration and perceptions of unfairness, rather than clear-eyed assessment of policy outcomes.

Latest Updates

Back to the future - Why indexing CGT is a good idea

A return to indexation of capital gains would be a fairer way to compensate households for the effects of inflation than the current discount. Importantly, it opens the door to future, broader reforms to stop the taxation of inflation.

Australia has no death duties. Technically.

Australia may not levy formal death duties, but a growing web of tax measures is quietly shaping what wealth passes between generations. Now, the 2026 budget adds another layer.

Strategy

The folly of the Iran war

From oil shocks to fractured alliances, the Iran war carries the hallmarks of a historic policy misstep - one that could tip an already fragile global economy into crisis.

Taxation

Noel Whittaker’s take on the budget

Marketed as a fix for inequality and housing affordability, the latest budget instead delivers a tangle of tax changes that leave everyday Australians worse off.

Investment strategies

The red metal's long game

Copper has had a rough few weeks but investors should not ignore the potential for future price increases as supply increasingly falls behind demand.

Taxation

The lesser-known effects of changed property taxes

The budget’s property tax reforms are being framed as fairness measures, but they risk splitting the housing market, penalising lower‑income investors and introducing distortions that may prove costly.

Latest from Morningstar

Why stocks sometimes fall for no obvious reason

The vast and opaque world of private assets is a powerful gravitational force - and when trouble hits, it's the more liquid public equities that often the feel it first.

Sponsors

Alliances

© 2026 Morningstar, Inc. All rights reserved.

Disclaimer
The data, research and opinions provided here are for information purposes; are not an offer to buy or sell a security; and are not warranted to be correct, complete or accurate. Morningstar, its affiliates, and third-party content providers are not responsible for any investment decisions, damages or losses resulting from, or related to, the data and analyses or their use. To the extent any content is general advice, it has been prepared for clients of Morningstar Australasia Pty Ltd (ABN: 95 090 665 544, AFSL: 240892), without reference to your financial objectives, situation or needs. For more information refer to our Financial Services Guide. You should consider the advice in light of these matters and if applicable, the relevant Product Disclosure Statement before making any decision to invest. Past performance does not necessarily indicate a financial product’s future performance. To obtain advice tailored to your situation, contact a professional financial adviser. Articles are current as at date of publication.
This website contains information and opinions provided by third parties. Inclusion of this information does not necessarily represent Morningstar’s positions, strategies or opinions and should not be considered an endorsement by Morningstar.