POWERED BY MOMENTUM MEDIA
Super funds down
Median balanced super funds dropped 1.7 per cent for the first quarter of 2015/16 financial year thanks to financial market volatility, according to SuperRatings
The result was cemented by one per cent decline in the month of September. However, some of the losses from the past two months were offset by July's 2.3 per cent return.
SuperRatings founder, Jeff Bresnahan said this loss was off the back of concerns about global growth where investors and market sentiment remained pessimistic.
"These concerns fuelled losses across most major financial markets, making September another challenging month for superannuation funds and further pulling down the quarterly result," he said.
"Because most balanced options have a large exposure to equities, recent falls in domestic and international share markets have been a key drag on super fund performance."
The ASX200 Accumulation Index was down three per cent in September and 6.6 per cent for the quarter, while Australian Listed Property feel by 0.3 per cent, and finished up 1.1 per cent for the quarter.
International shares also recorded large falls, down 3.7 per cent in September, and 8.3 per cent for the quarter.
However, SuperRatings said as most super funds hedge part of their exposure to international shares, a fall In the value of the Australian dollar against the US dollar helped shield some of the international share losses.
Recommended for you
The super fund announced that Gregory has been appointed to its executive leadership team, taking on the fresh role of chief advice officer.
The deputy governor has warned that, as super funds’ overseas assets grow and liquidity risks rise, they will need to expand their FX hedge books to manage currency exposure effectively.
Super funds have built on early financial year momentum, as growth funds deliver strong results driven by equities and resilient bonds.
The super fund has announced that Mark Rider will step down from his position of chief investment officer (CIO) after deciding to “semi-retire” from full-time work.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
76.97 3 y p.a(%)
2
Global X 21Shares Bitcoin ETF
76.46 3 y p.a(%)
3
UBS Solactive Global Pure Gold Miners UCITS ETF Dis USD
51.13 3 y p.a(%)
4
Global X GlobalX FANG+ ETF
45.15 3 y p.a(%)
5
Select Baker steel Gold Institutional
43.78 3 y p.a(%)
