POWERED BY MOMENTUM MEDIA
How did super funds perform in Q3?
The median balanced superannuation fund is estimated to have seen negative returns in the third quarter of 2023, according to SuperRatings.
Over the quarter to 30 September, the research house said the median balanced fund is estimated to have lost 0.4 per cent. These are funds which sit in SuperRatings SR50 Balanced (60-76) index.
While July saw returns of 1.5 per cent, both August and September reported negative performance of 0.1 per cent and 1.8 per cent respectively.
Kirby Rappell, executive director of SuperRatings, said: “We observed an acceleration of the August performance trend in September as both international and Australian equities weighed on returns, with sticky inflation the key concern for markets.”
During FY2022-23, the median balanced super fund returned 8.5 per cent over the 12 months.
The median growth option lost an estimated 2.2 per cent during September, while lower exposure to shares resulted in the median capital stable option losing an estimated 1.1 per cent for September.
While there was negative performance during August and September, Rappell said super funds had still beaten equities thanks to the benefits of diversification.
“Super funds continue to display strong capabilities in navigating uncertain market environments and members have been experiencing increased levels of ups and downs for some time now.
“Our message to members remains one of focusing on the long term and sticking with their long-term investment strategy. The ups and downs are likely to continue, and members who are thinking about changing their strategy are encouraged to contact their fund, or speak with a trusted adviser, before making any changes.”
AUTHOR
Laura Dew
Laura Dew is editor at Super Review. Prior to joining SR, she spent five years working at Investment Week in the UK covering asset and wealth management.
Recommended for you
The lower outlook for inflation has set the stage for another two rate cuts over the first half of 2026, according to Westpac.
With private asset valuations emerging as a key concern for both regulators and the broader market, Apollo Global Management has called on the corporate regulator to issue clear principles on valuation practices, including guidance on the disclosures it expects from market participants.
Institutional asset owners are largely rethinking their exposure to the US, with private markets increasingly being viewed as a strategic investment allocation, new research has shown.
Australia’s corporate regulator has been told it must quickly modernise its oversight of private markets, after being caught off guard by the complexity, size, and opacity of the asset class now dominating institutional portfolios.
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(%)
