The median balanced superannuation fund rose an estimated 0.7% in February, as super funds continued to enjoy the market recovery as the COVID-19 vaccines rolled out, according to SuperRatings.
SuperRatings data also found the estimated median growth super fund rose 1.1%, while the median capital stable option fell 0.1%. Over the 2021 financial year to date, the median balanced option returned 9.7% which the research house said reflected the strength and speed of the post-pandemic recovery.
The median pension option in February returned 0.6% and 10.3% over the financial year to date. The median pension growth option returned 1.1% while the median capital stable option was down 0.2%.
SuperRatings executive director, Kirby Rappell, said: “Super has notched up another positive month, thanks to the vaccine narrative and the relative strength of Australia’s economic recovery, which has exceeded expectations.
“Markets are still bumpy and members should not be surprised to see the value of their super fluctuate over the course of 2021. With the severe shock of the pandemic now behind us, the challenge will be gradually transitioning away from government support programs and getting households and businesses back on a sustainable footing.
“Funds have shown they are able to adapt to rapid changes on these fronts, while also managing risks and attending to the needs of members through a challenging market. The pandemic period will serve as a masterclass in change management for superannuation that will lead to a more robust and agile industry in the long run.”
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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