Note: This article lists the 30 top-performing pension (retirement) funds over 5 years to 30 June 2018. For the top-performing super funds, see SuperGuide article Super stars! Top 30 super funds over 5 years.
Discovering the best-performing super funds is fascinating reading for any Australian interested in how their super is accumulating. And whenever we publish articles covering this topic, these articles prove very popular among our SuperGuide readers.
Information on the top-performing pension funds however is more difficult to obtain. Pension or retirement funds are those pension products/super funds that pay out super pensions to its members. Thanks to superannuation ratings agency, SuperRatings, we can provide you with the performance data on the 30 top-performing pension super funds over a 5-year period to 30 June 2018.
The table below contains the 30 top-performing pension funds, based on the capital stable investment option of allocated pension products/accounts offered by super funds. The capital stable option typically has between 20% and 40% of growth assets (such as shares and property) in its portfolio.
Note: If you are seeking information on the 30 top-performing super funds (that is, those super funds not paying out pensions), then see SuperGuide article Super stars! Top 30 super funds over 5 years.
The top-performing allocated pension capital stable investment option over the 5-year period to 30 June 2018 delivered an average annual return of 7.7% over that period. The obvious question to ask is: which pension fund delivered this top average annual return for the 5-year period. The answer is… AustralianSuper.
The AustralianSuper Choice Income Account — Stable investment option was also the top performer over 7 years and 10 years, with an average annual return of 7.8% a year, over 7 years to 30 June 2018, and an average annual return of 7.1% a year, over 10 years to 30 June 2018.
Pension fund option, Telstra Super RetireAccess Allocated Pension — Conservative came a reasonably close second over the 5-year period to 30 June 2018, with an average annual return of 7.5%.
Third and fourth place went to HOSTPLUS Allocated Pension — Capital Stable (3rd), and HESTA Allocated Pension — Conservative (4th), each with an average annual return (AAR) of 7.3% over the 5-year period.
Note: Due to rounding to one decimal place, the 2 super fund options delivered the same AAR return of 7.3%, but rankings are based on more precise, unrounded figures, according to rating company, SuperRatings.
The allocated pension options that ranked fifth, sixth and seventh over 5 years to 30 June 2018, are MyLifeMyPension — Conservative (5th), NGS Super Allocated Pension — Defensive (6th), and UniSuper Allocated Pension — Conservative (7th), with an AAR of 7.2% over the 5-year period to 30 June 2018.
Three pension funds delivered an AAR of 6.9% over 5 years to 30 June 2018: Energy Super Allocated Pension — Stable Option, CareSuper Allocated Pension — Capital Stable, and Vision Super Allocated Pension — Conservative. More precise data indicated that these 3 super funds came eighth, ninth, and tenth respectively.
Cbus AP — Conservative (11th place) delivered an AAR of 6.8% over the 5 years to 30 June 2018, along with Sunsuper for Life Allocated Pension — Conservative (12th place) and Statewide Super Allocated Pension — Conservative (13th place).
Pension funds ranked from 14 to 20 delivered AAR over 5 years to 30 June 2018, ranging from 6.7% to 6.2%. Pension funds ranked from 21 to 30, delivered AAR over 5 years to 30 June 2018, ranging from 6.1% to 5.6%.
See the table below for more information on the top 30 performing pension funds.
Note: While performance data in the table below is shown to one decimal place, rankings are based on more precise, unrounded data. The rounding to one decimal place explains why pension options with the same return are ranked differently.
We thank SuperRatings for providing the data contained in this article. In the table below, Allocated Pension has been shortened to AP in all instances.
At the end of this article, you can find links to other interesting articles, including the top 30 performing super funds for the 5-year period to 30 June 2018, the top-performing asset classes, and the cheapest super funds.
Top 30 allocated pension capital stable (20-40) investment options over 5 years (to 30 June 2018) — Ranked by 5-year performance
|Ranking||Name of pension fund||Fund type||Anyone can join (Y/N)||5 years: per annum (%)||Fees per $250,000|
|1||AustralianSuper Choice Income Account — Stable||Industry||Y||7.7%||$1,378|
|2||Telstra Super RetireAccess AP — Conservative||Corporate||N||7.5%||$2,378|
|3||HOSTPLUS AP — Capital Stable||Industry||Y||7.3%||$3,265|
|4||HESTA AP — Conservative||Industry||Y||7.3%||$1,766|
|5||MyLife MyPension — Conservative||Industry||Y||7.2%||$2,851|
|6||NGS Super AP — Defensive||Industry||Y||7.2%||$2,615|
|7||UniSuper AP — Capital Stable||Industry||N||7.2%||$1,296|
|8||Energy Super AP — Stable Option||Industry||Y||6.9%||$2,102|
|9||CareSuper AP — Capital Stable||Industry||Y||6.9%||$1,956|
|10||Vision Super AP — Conservative||Industry||Y||6.9%||$2,225|
|11||Cbus AP — Conservative||Industry||Y||6.8%||$1,479|
|12||Sunsuper for Life AP — Conservative||Industry||Y||6.8%||$2,156|
|13||Statewide Super AP — Conservative||Industry||Y||6.8%||$1,978|
|14||MTAA Super AP — Conservative||Industry||Y||6.7%||$1,558|
|15||Super SA AP — Conservative||Public sector||N||6.6%||$2,200|
|16||Legalsuper AP — Conservative||Industry||Y||6.5%||$2,143|
|17||Media Super AP — Stable||Industry||Y||6.5%||$1,465|
|18||smartMonday Pension — Moderate — Active||Master Trust||Y||6.4%||$3,337|
|19||Tasplan Pension — Conservative||Industry||Y||6.4%||$2,278|
|20||REST AP — Capital Stable||Industry||Y||6.2%||$1,868|
|21||LUCRF AP —Conservative||Industry||Y||6.1%||$1,703|
|22||First State Super AP — Conservative Growth||Industry||Y||6.1%||$2,427|
|23||Mercer PS AP — Moderate Model Choice||Master Trust||Y||6.0%||$5,263|
|24||Mine Pension — Stable||Industry||Y||6.0%||$2,030|
|25||Equip AP — Conservative||Industry||Y||5.9%||$1,530|
|26||VicSuper AP — Capital Secure Option||Industry||Y||5.9%||$1,603|
|27||Mercer Super Trust AP — Mercer Conservative Growth||Master trust||Y||5.8%||$3,085|
|28||Local Government Super AP —Conservative||Industry||Y||5.8%||$3,196|
|29||North AP — North index Defensive||Master Trust||Y||5.6%||$2,216|
|30||ESSSuper AP — Conservative||Industry||N||5.6%||$1,777|
|SR50 Capital Stable (20-40) Index||6.0%|
Source and notes for Table
Source: Table created by SuperGuide with data supplied by SuperRatings. The returns quoted in the performance tables are after tax, net of investment management fees (including net of implicit asset-based administration fees). This includes management and administration fees that are deducted before returns are credited to members account. Fees refer to the annual fees on a $250,000 balance and include percentage-based administration fees, member fees, investment management fees (including performance-based fees), indirect cost ratios and taxes.
Table note one: While performance data is shown to one decimal place, rankings are based on more precise, unrounded data.
Table note two: The term 20-40 represents the percentage of growth assets (such as shares and property) in the investment portfolio.
Table note three: Fees per $250,000 balance refers to annual fees on a $250,000 pension account balance as at 30 June 2018. Fees include percentage-based administration fees, member fees, investment management fees (including performance-based fees) and taxes, but exclude any applicable employer size rebates
For more information…
For more information on the top-performing superannuation funds for the latest financial year (and previous financial years) see the following SuperGuide articles:
- Super stars! Top 30 super funds over 5 years
- Top 10 performing super funds for 2017/2018 financial year (and previous years)
- Top 10 performing super funds over 10 years (to 30 June 2018)
- Asset classes: Naming the investment winners for the 2017/2018 financial year (and previous years)
- Super funds gain 9.4% for 2017/2018 financial year
- Super fees: Top 10 cheapest funds in Australia
For information on the top-performing superannuation funds for the latest calendar year (and previous calendar years) see the following SuperGuide articles:
- Top 10 performing super funds for 2017 calendar year (and previous years)
- Top 10 performing super funds over 10 years (to 31 December 2017)
- Asset classes: Naming the investment winners for the 2017 calendar year (and previous years)
- Super funds return 10.8% for 2017 calendar year
- Super fees: Top 10 cheapest funds in Australia