According to some asset managers, comparing international and domestic equities is not as simple as it might seem. This is because of the relatively recent distinction between ‘traditional’ international markets and ‘emerging’ international markets.
The term ‘traditional’ refers to the US and European markets, while ‘emerging’ encompasses Brazil, Russia, India and China, referred to as the BRIC countries.
Responding to the growing popularity in Australia for investment in BRIC countries, Standard & Poor’s and Dow Jones recently launched indices to capture these emerging markets.
Stuart James, associate director at Aberdeen, says that this is where the strong performances are to be found. “These only make up about 7 per cent of [traditional international funds], but emerging markets returned 42 per cent for the year up to May 31, 2006,” he says.
The super fund’s Future Saver High Growth option delivered an 11.9 per cent return for the financial year 2024–25, on the back of a diversified portfolio and actively managed investment strategy.
HESTA has delivered a 10.18 per cent return for its MySuper Balanced Growth option in the 2024–25 financial year, marking the third consecutive year of returns above 9 per cent for the $80 billion industry fund’s default investment strategy.
Sally McManus, secretary of the Australian Council of Trade Unions (ACTU), commented on the proposal after former prime ...
Strong performance across domestic equities and infrastructure assets has seen the fund achieve solid returns for the 2024-25 financial year.