Super returns headed for annual double digits

The general buoyancy of listed investments saw retail funds outperform their industry superannuation fund counterparts in April, according to the latest data released by Chant West.

The Chant West data confirmed retail funds edged out industry funds returning 1.6 per cent versus 1.4 per cent for the period, but with the research company pointing out that industry funds continued to hold an advantage over the longer term.

The research showed that, overall, super funds were again in positive territory in April with the median growth fund (61 to 80 per cent growth assets) up 1.5 per cent – the eighth month of positive performance out of the past 10.

Related News:

It said the cumulative return for the financial year to date now stood at an impressive 10.1 per cent.

The analysis pointed out that all major asset sectors delivered positive returns in April, led by listed shares and property with Australian shares were up one per cent, while international shares advanced 1.1 per cent in hedged terms.

“However with the slide in the value of the Australian dollar over the month (down from US$0.76 to US$0.75), the return in unhedged terms was boosted to 3.6 per cent,” the analysis said. “Listed property also delivered strong returns, with Australian and global REITs up 2.6 per cent and 1.2 per cent, respectively.”

Commenting on the data, Chant West director, Warren Chant said growth funds had performed better than expected over the first 10 months of the 2017 financial year.

“With the cumulative return sitting at 10.1 per cent, it is almost certain that they’ll finish the year in the black for the eighth consecutive time – and quite possibly in the double digits,” he said.




Related Content

Budget changes up for debate

The impact of the Government’s Budget decisions will be canvassed by the Federal Opposition spokesman on Financial Services, Senator Katy Gallagher,...more

Institutional investor sentiment improves

Asian institutional investors remained amongst the most pessimistic in April, according to the latest State Street Investor Confidence Index.The index...more

First home saver only buys you the front door

The first home superannuation saver scheme can only buy you the front door in Sydney, according to a panel.Speaking at Super Review’s Future of Supe...more

Author

Comments

Add new comment