POWERED BY MOMENTUM MEDIA
(August-2003) Returns bounce back
There’s good news for many industry fund members as return announcements start to roll in, with some set to enjoy a gain as high as 4 per cent for the past financial year.
Among those are members of Host Plus, which saw its balanced option return a preliminary 4.1 per cent for the financial year.
And REST, Australia’s largest industry fund, will credit 4 per cent interest to those in its core strategy option, chosen by 98 per cent of its 1.3 million members.
Indeed, REST had another shining year with 11 out of its 12 investment options ending in the black with returns ranging from 0.16 per cent for shares to 10.7 per cent for bonds.
Members in Care Super’s default balanced option will also benefit from a 4 per cent rise for the year while those in the Australian Retirement Fund’s (ARF) balanced plan — around 90 per cent of ARF’s members — earned 3.8 per cent because the fund was underweight in international equities.
ARF’s fixed interest option was its best performer, returning 9.7 per cent, while its high growth active option came in with 1.6 per cent and its Australian share option with 1.2 per cent. But its overseas offering ended the year in negative territory, losing 8.6 per cent.
equipsuper’s growth option, which is its default, rewarded members with a 2.8 per cent gain while FinSuper’s moderate growth option, a default fund, ended the year with a return of 2 per cent.
Members in both HESTA’s default, its balanced Core Pool option, and Westscheme’s default, the Trustee Selection, earned 1.5 per cent for the year. Meanwhile, AvSuper’s default growth option edged 0.1 per cent higher while Asset Super’s medium growth option lost 1.8 per cent. Health Super’s Medium Term default option returned -1 per cent.
Overall, however, the results appear to also be good news for JANA Investment Advisers which acts as asset consultant for funds like Host Plus, REST, FinSuper, ARF, Care and equipsuper.
AUTHOR
Zilla Efrat
Recommended for you
Just three active asset managers are expected to attract net inflows over the coming year, according to Morningstar, with those specialising in fixed income or private markets best positioned to benefit.
Taking a purely passive investment approach is leaving many investors at risk of heightened valuation risks, Allan Gray and Orbis Investments have cautioned.
Annual trimmed mean inflation saw a slight spike in April, according to data from the ABS.
Active managers say that today’s market volatility and dislocation are creating a fertile ground for selective stock picking, reinforcing their case against so-called “closet indexers”.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
92.15 3 y p.a(%)
2
Global X 21Shares Bitcoin ETF
53.24 3 y p.a(%)
3
Global X GlobalX FANG+ ETF
43.15 3 y p.a(%)
4
DomaCom Shoreline North Coogee
36.26 3 y p.a(%)
5
GAM LSA Private Shares AU I
35.87 3 y p.a(%)
