Growth-oriented superannuation funds have made a strong start to the new financial year, according to the latest data compiled by InTech Investment Consultants.
The InTech data reveals that the median return in the so-called InTech Growth universe was 2.1 per cent in July, following on from 2.3 per cent in June and 2.4 per cent in May, representing the first time the median return had exceed 2 per cent for three consecutive months for the first time since the stock market crash in 1987.
InTech said the strong three month period had also rebuilt the calendar year to date return, which were in negative territory after a disappointing March and April, with the median calendar year to date return reaching 6.6 per cent.
It said that the strong returns had been generated by strong share markets, with international markets posting a very strong 3.8 per cent return in local currency terms.
“The Australian dollar was virtually flat in aggregate against other currencies, meaning that the unhedged investor received the same 3.8 per cent return,” the data analysis said.
At the same time, it said Australian shares had moved into record territory in July and returned 2.6 er cent for the month.
