Super funds slow but positive start to 2017/18, returning 0.7% so far

Super funds have had a slow but steady start to the 2017/18 financial year, according to Chant West.

The median growth fund – with 61-80% in growth assets – was up 0.6% for the month of August, taking the return for the first two months of 2017/18 to 0.7%.

Australians shares were up 0.7% in August. International shares were up 0.1% in hedged terms and 0.8% in unhedged terms. Listed property was up, with Australian REITs up 1.5% and global REITs up 0.3%.

“The modest start to the financial year was to be expected,” said Chant West director Warren Chant. Read more...

Super funds flat in July, returning 0% for the month

Superannuation fund investment returns were flat in July 2017, with share markets cooling, according to Chant West.

The median growth fund, which has 61-80% invested in growth assets, returned 0% for July, the firm says.

Equities provided mixed results, with Australian shares having a return of zero and international shares up 1.5% on a hedged basis and a loss of 1.7% in unhedged terms, due to appreciation in the Australian dollar. Listed property was also mixed, with Australian REITs down 0.2% and global REITs up 0.9%. Read more...

Shares drive super funds to eighth consecutive year of investment gains

Superannuation funds have had an eighth consecutive year of positive investment returns, driven in large part by share markets, according to Chant West.

The ‘median growth fund’ – with 61-80% in growth assets – was up 10.7% in 2016/17, according to the firm.

“Shares are still the main drivers of performance, but the major funds are well diversified across other asset sectors as well,” said Chant West director Warren Chant.

“The better performing funds over the year were those that had higher allocations to listed shares and to unlisted assets generally. It also helped to have a lower exposure to listed property, bonds and cash,” he said. Read more...

AustralianSuper balanced option returns 12.44% in 2016/17 financial year

AustralianSuper’s ‘Balanced’ investment option returned 12.44%, after taxes and fees, in 2016/17.

“The strong result was a consequence of a stronger global economy, with global equity markets performing particularly well. This was supported by solid results from AustralianSuper’s other diversified assets such as infrastructure,” said AustralianSuper.

“This was the eighth consecutive year of positive returns since the global financial crisis and the fourth year out of five that the Fund has delivered double digit returns for members.” Read more...

Super funds poised for eighth year of positive investment returns

Superannuation funds are set to record an eighth consecutive year of positive investment returns, according to Chant West.

Super funds are also up 110% since the end of the Global Financial Crisis (GFC).

Early estimates for the 2016/17 financial year show the ‘median growth fund’ up a “very healthy” 10.5%.

“Against all the odds, Australia’s major super funds will post a double digit return for the 2017 financial year and complete an unbroken eight years of positive performance,” said Chant West director Warren Chant. Read more...

Double digit super fund returns possible for 2016/17: Chant West

Double digit superannuation fund investment returns are a “live possibility” for the 2016/17 financial year, according to Chant West.

The firm says that super funds had another positive month of returns in April, with the median growth fund (61-80% growth assets) up 1.5%.

This is the eighth month of positive returns out of the ten so far in this financial year. The cumulative returns for the median growth fund in 2016/17 currently stands at 10.1%.

“Growth funds have performed better than expected over the first ten months of the 2017 financial year,” said Chant West director Warren Chant. Read more...

Returns from growth funds better than expected so far for 2016/17

Superannuation funds had “solid” investment returns in the March 2017 quarter, contributing to better than expected returns for growth funds so far in the  2016/17 financial year, according to Chant West.

The median growth fund – with 61-80% in growth assets – was up 2.5% for the quarter, and up 9.5% for the first nine months of 2016/17.

Chant West says this was driven mainly by gains from equities. Australians shares were up 4.7% in the quarter. International shares were up 5.4% in hedged terms, but only up 0.9% in hedged terms due to appreciation in the Australian dollar. Read more...

Good chance of 8th consecutive year of positive super fund returns, says Chant West

There is a good chance super funds will see an 8th consecutive year of positive investment returns.

After a flat January, superannuation fund investment returns were better in February 2017, up 1.2% for the median growth fund, says Chant West.

“This brings the return over the first eight months of the 2017 financial year to a healthy 6.8%.”

According to the firm all major asset sectors recorded positive returns in February 2017, led by listed shares and property. Australian shares were up 2.2%. International shares were up 3.1% in hedged terms, but only up 1.5% in unhedged terms due to appreciation in the Australian Dollar. Read more...

Super fund returns “take a breather” in January 2017, says Chant West

Superannuation fund investment returns have taken a ‘breather’ after a strong finish to 2016, says Chant West.

“After a strong finish to 2016, super funds were relatively flat in January with the median growth fund (61 to 80% growth assets) down 0.1%. Nevertheless, the return over the seven months of the financial year to date remains healthy at 5.6%.”

Chant West says that listed shares are the main drivers of returns for growth funds, but performance of that asset class was mixed in January. Australian shares were down 0.8% and international shares up 1.3%, but down 2.4% after accounting, in unhedged terms, for the appreciation of the Australian dollar. Read more...

Fifth consecutive year of positive investment returns for super funds

Superannuation funds have recorded their fifth consecutive calendar year of positive investment returns, according to Chant West.

Super fund investments delivered a “health return” for the 2016 calendar year, assisted by a “late surge”.

Chant West calculated that the median growth fund, with 61-80% in growth assets, returned 7.7% in 2016. Investment returns for individual growth funds ranged from 4.2% to 10.1%.

“Members should be very pleased with the 2016 result, which was achieved against a backdrop of unsettled global politics and a relatively weak economic environment,” said Chant West director Warren Chant. Read more...