POWERED BY MOMENTUM MEDIA
Median balanced fund up 0.5% in October
The median balanced superannuation fund returned 0.5% in October, as Australian shares were up 1.9% during the month, according to SuperRatings.
However, the research house’s data found the median balanced option was still down 0.8% over the 12 months to October, 2020, as members still had not been able to fully recover their losses since the global sell-off in March.
The median growth option returned 0.6% in October and was down 1.4% over the year and the median capital stable option returned 0.3% in October and 0.5% over the 12 months to October.
In terms of pension funds, the median balanced pension option was up 0.6% in October and down 1% over the 12 months to October. The median pension growth option was up 0.7% in October and down 1.5% over one year, and the median capital stable pension option returned an estimated 0.3% in October and 0.5% over one year.
During the month, Australian shares were up 1.9% as easing of restrictions, low COVID-19 numbers, and the Federal Budget bolstered sentiment.
SuperRatings executive director, Kirby Rappell, said the super recovery had been faster and stronger than expected to date.
“There are clearly still significant risks and uncertainties, and we expect more market volatility heading into 2021, but overall members have reason to be reassured by the performance and resilience of funds’ portfolios this year,” Rappell said.
“Looking ahead, it really depends on what a ‘COVID-normal’ world looks like. Developments on the vaccine front are very promising, but things are still uncertain in terms of how we reopen safely and how long this will take. There will still be ups and downs heading into 2021.”
Recommended for you
The two funds have announced the signing of a non-binding MOU to explore a potential merger.
The board must shift its focus from managing inflation to stimulating the economy with the trimmed mean inflation figure edging closer to the 2.5 per cent target, economists have said.
ASIC chair Joe Longo says superannuation trustees must do more to protect members from misconduct and high-risk schemes.
Super fund mergers are rising, but poor planning during successor fund transfers has left members and employers exposed to serious risks.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
88.01 3 y p.a(%)
2
Global X 21Shares Bitcoin ETF
72.60 3 y p.a(%)
3
Global X GlobalX FANG+ ETF
44.46 3 y p.a(%)
4
Pengana High Conviction Equities B
39.12 3 y p.a(%)
5
Pengana High Conviction Equities A
39.05 3 y p.a(%)
