POWERED BY MOMENTUM MEDIA
Volatility hits super returns
Asset allocation diversity is helping insulate Australian superannuation fund members from current volatility, according to the latest data from SuperRatings.
The data show that superannuation returns continue to ride the volatility roller-coaster and that while super returns moved back into positive territory in July after the negativity of June, they are destined to be below par again in August.
The SuperRatings data pointed to the median balanced fund being up 2.2 per cent in July, representing a turnaround from the two per cent fall in August.
But the ratings house noted that investment markets continued to be extremely volatile with losses in August, to date, already wiping out the July gains.
SuperRatings founder, Jeff Bresnahan said the markets took a welcome upturn in July, with rising local and international shares adding strong returns for most super funds but the relief had been short-lived.
"So far in August we estimate the median Balanced Fund to be down 2.4 per cent, cancelling out the healthy July result," he said.
"Just what the remainder of the month has in store will soon unfold, however, the diversification of most super options is keeping most people insulated against heavier losses in several key asset classes."
Recommended for you
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.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
Spire Oaktree Opportunities XI First Close USD
73.88 3 y p.a(%)
2
Hills International
63.66 3 y p.a(%)
3
Acadian Global Equity Long Short Class A
36.33 3 y p.a(%)
4
CFS FC Acadian Global Equity Long Short
35.96 3 y p.a(%)
5
DomaCom 4/27 Crombie Avenue Bundall QLD 4217 Australia
32.23 3 y p.a(%)
Add new comment