The median growth (61% to 80% in growth assets) superannuation fund grew 2.2% during April, bringing the first 10 months of the financial year to 14.7%, according to Chant West.
Both domestic and international shares were the main drivers of the month’s performance with Australian shares up 3.7%, and international shares up 4.1% in hedged terms, and 3.2% in unhedged terms as the Australian dollar appreciated during the month.
Chant West senior investment research manager, Mano Mohankumar, said: “Should growth funds finish the year at or around the end-April level, it would represent the highest annual return since 2012/13 when they surged 15.6%.
“They’ve shown their resilience – as we saw last financial year when they limited the COVID-induced damage to post a small loss of 0.6% – and now they’ve shown their powers of recovery.
“The cumulative return since the end of March last year is about 22%, which is astonishing given the health concerns, disruptions and economic damage caused by COVID-19. It also means that we’re more than 7% above the pre-COVID crisis high that was reached at the end of January 2020.”
BlackRock boss Larry Fink praised Australia’s superannuation system in his annual chairman’s letter.
The prudential regulator has announced it will publish new expenditure data of superannuation funds, providing details on expenses like advice, director remuneration, and payments to unions.
Affirming the UK’s growing attractiveness as an investment destination, a number of Australia’s largest investors recently joined the UK Foreign Secretary for an exclusive briefing in Canberra to discuss further opportunities for trade and growth.
The specialist superannuation law advisory practice is set to wind up, with managing partner Jonathan Steffanoni planning to bring a new offering to market.
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