In this guide
Super funds delivered a solid gain in August, with the median Growth fund (61% to 80% growth assets) up 0.9% for the month and 1.1% for the financial year to date.
Every risk category finished the month in positive territory, with returns ranging from 0.4% for Conservative funds to 1.2% for High Growth. That came despite continuing concerns about inflation and ongoing geopolitical tensions.
Chant West head of superannuation investment research, Mano Mohankumar says the August result was driven by Australian and international share markets, which together account for about 55% of a typical growth portfolio. “Despite some volatility towards the latter part of August, developed market international shares advanced 2.5% in hedged terms led by the US,” he says. Markets were supported by strong corporate earnings, and the tech sector regained momentum after some AI-related companies were sold down in July.
A stronger Australian dollar pulled that 2.5% hedged return back to 0.5% in unhedged terms. On average, super funds leave about 70% of their international shares unhedged. Emerging markets also finished higher, returning 1.3%.
Australian shares gained 1.6% over the month, which fell short of developed international markets but was still a solid result, with the resources sector leading the way and offsetting weaker performance from financials. In a volatile month for bond markets, performance was mixed, with Australian bonds down 0.2% and international bonds up slightly at 0.2%.
The table below shows the median performance to the end of August 2026 for the five traditional diversified risk categories.
Super fund performance (results to 31 August 2026)
| Fund category (% growth assets) | 1 mth (%) | 3 mths (%) | FYTD (%) | 1 yr (% per yr) | 3 yrs (% per yr) | 5 yrs (% per yr) | 7 yrs (% per yr) | 10 yrs (% per yr) | 15 yrs (% per yr) |
|---|---|---|---|---|---|---|---|---|---|
| All Growth (96–100%) | 1.1 | 3.4 | 1.3 | 9.9 | 12.9 | 8.2 | 9.3 | 9.4 | 10.1 |
| High Growth (81–95%) | 1.2 | 3.1 | 1.4 | 8.8 | 11.1 | 7.5 | 8.9 | 9.2 | 9.8 |
| Growth (61–80%) | 0.9 | 2.4 | 1.1 | 7.7 | 9.6 | 6.5 | 7.3 | 7.6 | 8.3 |
| Balanced (41–60%) | 0.7 | 1.9 | 0.8 | 6.4 | 7.9 | 5.3 | 5.8 | 6.1 | 6.9 |
| Conservative (21–40%) | 0.4 | 1.4 | 0.5 | 4.8 | 6.1 | 4.0 | 4.2 | 4.5 | 5.3 |
Source: Chant West. Performance is shown net of investment fees and tax, before administration fees.
Every risk category delivered a positive return over all periods from one year to 15 years. All risk categories have also generally met their typical long-term return objectives, which range from CPI (a measure of inflation) + 1.5% for Conservative funds to CPI + 4.25% for All Growth.
Where are you on the road to retirement?
Retirement planning isn’t the same for everyone.
Take our 2-minute quiz to find out which stage you’re at and what you could focus on next.
Long-term performance remains above target
MySuper products have now been running for more than 12 years, and Mohankumar says it is worth remembering that super is a far longer-term proposition than a single month or year.
The chart below shows performance of the median Growth fund since the introduction of compulsory super in July 1992. Over that period, the median Growth fund has returned 8% per year. The average annual CPI increase over the same period is 2.7%, giving a real return of 5.3% per year – well above the typical 3.5% long-term target.
Even looking at the past 20 years, which includes three major market downturns – the GFC in 2007–09, COVID in 2020, and the 2022 calendar year marked by high inflation and rising interest rates to combat it – the median Growth fund has returned 6.9% per year, comfortably ahead of the typical objective.
Growth funds have produced positive returns in 29 of the past 34 financial years. The typical risk objective for Growth funds would be no more than six negative returns during that period (there have been just five), so the risk objective has been met as well as the performance objective.
Source: Chant West
Get more guides like this with a free account
better super and retirement decisions.
Leave a Reply
You must be logged in to post a comment.