2017 proved to be another positive year for Australian superannuation funds, according to the latest analysis released by SuperRatings.
The specialist superannuation research and ratings house noted that superannuation funds looked set to finish a sixth consecutive calendar year of double-digit returns on the back of a reasonably strong December performance helped along by a late rally in Australian shares.
According to SuperRatings, the SR Balanced (60-76) Index, used to measure balanced super fund returns, was estimated to rise 0.6 per cent in December, bringing the annual return for 2017 to 10.5 per cent.
It said Australian shares had been the main drivers of growth through December, offset by negative performance from global shares, which also comprised a significant proportion of most super fund portfolios.
Commenting on the findings, SuperRatings chief executive, Kirby Rappell said he believed investors would be starting 2018 on the front foot despite some of the challenges which had been experienced during the year.
“For Australian investors, it was a frustrating year in many respects, with the share market rallying in fits and starts. However, a falling Australian dollar in the latter part of the year did help boost returns for funds’ international share exposures,” he said.
Michael Lovett, who left the investment firm just three months after launching its Vanguard Super offering, has taken up a chief executive role at an Australian asset manager.
The Central Bank of Ireland has granted the approval of Equity Trustees’ exit from its Irish operations, with the transaction expected to be complete on 30 April.
Super returns continued to climb in March, raising hopes of delivering double-digit returns by June depending on the performance of this next quarter.
The dedicated super fund for emergency services and Victorian government employees is under fire for unpaid entitlements to transport employees, which could exceed $40 million.
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