The median growth superannuation fund (61% to 80% growth assets) started the 2021-22 financial year up 1.1%, according to Chant West.
The research house found in July both Australian shares (1.1%) and international shares were up in hedged terms (1.7%), and were boosted to 4% in unhedged terms because of the Australian dollar depreciation over the month.
However, emerging market shares were down 4.7% during July in unhedged terms led by falls in the Chinese market. The Chinese government’s regulatory crackdown on technology and private education sectors sparked a sell-off.
Bonds during July were up both domestically and globally at 1.8% and 1.3% respectively.
Chant West senior investment research manager, Mano Mohankumar, said: “It’s a solid start, and a continuation of the remarkable bounce-back we’ve seen over the past 16 months.
“The cumulative return since the COVID low point at end-March last year is now about 27%, which is astonishing given the ongoing disruptions caused by the pandemic. Not only have we recovered all the losses incurred in the early COVID period, but we’re now sitting about 12% above the pre-COVID crisis high that was reached at the end of January 2020.”
Australia’s second-largest super fund has confirmed it is expanding its presence in the UK following significant investment in the region.
A member of the super fund has approached ASIC to investigate potentially misleading or deceptive representations by UniSuper regarding the holdings of its sustainable portfolios.
The median growth fund delivered 1.9 per cent in March, adding to the “stunning” rally that has seen super funds gain 11 per cent since November.
Vanguard has affirmed its support for the current super performance test, emphasising the importance of keeping the process straightforward.
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