Superannuation Performance in Current Financial Year

I am with Australian Super(80% balanced and 20% stable).

It has performed really badly this financial year and I am only sitting at 2% earning on balance. Is it just me or everyone in the same boat?

Should I consider changing Super?

Would appreciate if you could also advise your YTD(financial year) earning using voting option.

Poll Options

  • 2
    <1%
  • 14
    1% to 5%
  • 8
    6% to 10%
  • 1
    11% to 15%
  • 0
    16% to 20%
  • 1
    21% to 25%
  • 3
    >25%

Comments

  • +6 votes

    The poll would be better if it asked for % return rather than actual $.
    If you’re in a poor performing fund, say 1% return, but you have a $1M balance, that’s $10,000, which would put it into the highest category in your poll.

  • +1 vote

    Bad year for everyone. What's your 5 year average? Probably very good still.

  •  

    I would not change super based on investment performance of the default fund over 9 months. The Australian Super investments have not fared as badly as some others. The share market took a big dip at the end of 2018 so all 'balanced' investment products from all super providers would be in a similar situation. Other reasons to switch might be excessive fees but Australian Super is pretty reasonable in that regard too. This is the best time to sit tight and let your ongoing contributions add more to the fund while it's 'cheap'

  •  

    Mine is about 0% for this FY but 4.8% for last 12 months. Last FY was 18%.

  • +2 votes

    It's just you. Everyone else has at least doubled their superannuation balance this year.

    Seriously though, you need to understand what you are actually invested in. Here's the investment mix for your Balanced fund AusSuper.

    At least 56% (Aus and Int Shares) are subject to the daily movements of the world's sharemarkets. The infrastructure component (12%) may or may not have daily movements depending on whether this is listed or unlisted infrastructure. So up to 68% is subject to daily movements which can be negative.

    The credit, fixed interest, and cash components (total 21%) are likely to be providing very low returns in the current environment.

    The remaining direct property and private equity components are likely not subject to daily movements, but rather periodic revaluing. The returns on direct property will generally be net rental incomes. The private equity component will really only be capable of generating cash on the sale of underlying assets.

    You would then need to understand the underlying returns of each of the asset classes (at a benchmark level) and compare with your returns to determine if your investments are being well managed.

    While I don't have all this information to hand, it is quite possible that a net return of 2% on these assets is appropriate based on the asset mix.

  • +1 vote

    If you check the balanced option performance during the past 4-6 weeks you will see it is coming back strong. The past year has not been the best for most super funds but as usual Aust super performed better than most.

  •  

    Superannuation Performance in current financial year

    Its a skid mark on the toilet bowl…… thats for sure!

    •  

      Its a skid mark on the toilet bowl……

      I don't get it

  •  

    2% earning and complaining??? Mine is currently at -0.24% FYTD.

    https://firststatesuper.com.au/investment-and-performance/pe...

  • +1 vote

    5.2% HostPlus Balanced

  •  

    Hard to compare when balanced here, does not mean balanced there.
    How in the world can a 80/20 split be balanced, and another balanced fund is 50/50? Hostplus balanced I think is even higher like very high 90s.

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