Investment special: Top 25 super funds, SMSFs outperform, double-digit returns, top asset classes, ideal retirement age, working into your 80s
SuperGuide is now entering its sixth year, and the past 12 months have been our busiest year yet. We are proud to share some of our key website statistics with our regular readers and our many thousands of new readers.
- During 2013, the SuperGuide website had just on 1.4 million unique readers, visiting the SuperGuide site 2.2 million times, viewing over 5 million pages.
- During 2013, we also launched the SuperGuide Super Funds Guide, which provides key data and performance figures for all large super funds, using data provided by APRA.
- During 2011, we launched the SuperGuide Directory as a free service for our readers. Since the launch, the SuperGuide Directory has had more than 140,000 unique visitors checking out over 450 listings from over 350 companies. Any company interested in listing for free in the SuperGuide Directory, or taking up an advertising package on the SuperGuide website can contact firstname.lastname@example.org.
The highlights of the FEBRUARY 2014 SuperGuide newsletter (our first newsletter for 2014) are:
- DEAR FINANCIAL ADVISERS: CHOOSE TO BE MAGNIFICENT, NOT MEDIOCRE. The new Liberal government is winding back some of the key financial advice reforms, to the detriment of clients and potential clients.The financial advice lobbyists may have won the battle, but they most certainly have lost the war of credibility. Financial advisers should ignore the road to mediocrity, and operate to a higher standard. Click on the link below to discover how financial advisers can be magnificent. In a separate article, we have updated our list of independent advisers, and we maintain our open invitation for more to join this list.
- SUPER CHALLENGE: AT WHAT AGE SHOULD I RETIRE? For most Australians, retirement timing is linked to when you can access super, when you can the Age Pension, and how long you expect to be in retirement. Click on the link below to work out your R-day. In a separate article, find out why more baby boomers expect to work into their eighties.
- FINANCIAL SYSTEM INQUIRY: WHERE ARE THE WOMEN, CONSUMERS AND PROPERTY EXPERT? Submissions are now being accepted. Click on the link below to find out more.
- SMSFS OUTPERFORM LARGE FUNDS 4 YEARS OUT OF 6. The ATO now publishes regular SMSF performance data. Click on the article link below.
- 20-YEAR HIGH! SUPER FUNDS GAIN 17.5% FOR 2013 CALENDAR YEAR. Click on the link below to find out why 2013 delivered the best performance for 20 years.
- TOP 10 PERFORMING SUPER FUNDS FOR 2013 CALENDAR YEAR, AND FOR 10 YEARS. The top 10 super funds for the 2013 calendar year, and beyond, are… you’ll have to click on the link below to find out.
- ASSET CLASSES: NAMING THE INVESTMENT WINNERS FOR 2013 CALENDAR YEAR. Click on the link below to find out the winners and losers.
- EXPOSING THE PERFORMANCE HISTORY OF AUSTRALIA’S LARGEST 200 SUPER FUNDS. Each year, APRA releases performance data on large super funds. In a separate article, discover the kingpins of the super industry – Australia’s largest 20 super funds. Click on the links below.
- SMSF CONFIDENTIAL: THE INSIDE STORY ON DIY SUPER FUNDS. The ATO has released the latest data on SMSFs. In separate articles, discover the 3 most popular asset classes for SMSFs, the typical profile of a SMSF trustee and, why the larger super industry is getting flustered about the financial might of the SMSF.
Note: You can find these articles by clicking on the links below.
In our March 2014 SuperGuide newsletter, our coverage will include: latest Age Pension rates, SMSF and property, transition-to-retirement pension (TRIPs) and other ways to legally access super early, and the problems with transferring super from New Zealand to Australia.
Thanks again for your support and interest in SuperGuide.
I believe an independent, qualified financial adviser, focused on the best interests of the client can be a valuable partner for any individual’s or family’s wealth creation plans, along with excellent tax advice from an accountant. I assumed that the majority of the financial advising industry shared a similar view to me (apart from the ‘independent’ aspect), or at least we were all looking in the same direction since the introduction of the new financial advice laws. Read more
IS YOUR SUPER FUND PERFORMING?
A common argument put forward against individuals starting a self-managed super fund is that budding SMSF trustees could lose their hard-earned super savings through inexperienced investing, and bad investment decisions. Until relatively recently, there wasn’t much evidence confirming or denying this ‘world view’ mainly proffered by the large super fund sector. Read more
The median return of 17.5% is the best performance for the past 20 calendar years, and the second best since the introduction of Superannuation Guarantee in 1992. Performance tables are set out later in this article. Read more
The Top 10 performing super funds for the 2013 calendar year, and for 10 years are listed in the tables in this article. Read more
The Australian Prudential Regulation Authority (APRA) has released its latest report on the performance of Australia’s largest 200 superannuation funds for the years 2004 to 2013. The report also provides average returns for the 200 super funds over a 5-year period and 10-year period to June 2013. Read more
You can discover the 25 top-performing super funds over 10 years, and over 5 years to 30 June 2013. By referring to the APRA league tables, you can also discover where your super fund ranked against the top performers, if your super fund didn’t make the top 25 or so top-performers. Read more
HOW SUPER WORKS
Just under a quarter of the 5.5 million baby boomers in Australia believe that they will need to work into their eighties because they don’t have enough money to finance a work-free retirement, according to research conducted by Suncorp Superannuation. Read more
Selecting a retirement age, even if you plan to continue some form of work during retirement, can be a difficult decision. In some cases, individuals don’t get a choice about when to retire due to health issues, or due to redundancy in later years and then difficulty finding another job. Read more
The 20 largest super funds in Australia control more than half (58%) of all super money held by the 320 or so larger super funds, and control nearly 40% (39%) of all super money held in Australia. Noting that SMSFs control more than 30% (32%) of super fund assets, the 20 large super funds in this article have incredible influence politically, and within financial circles. Read more
On 20 December 2013, the federal government released the final Terms of Reference for the promised Financial System Inquiry (FSI), after a very speedy industry ‘consultation’ process that commenced on 21 November 2013. The federal government has also announced the appointment of 4 members to serve on the FSI panel. The government is now accepting submissions and has launched a special FSI website. Read more
Before you ask the obvious question, let me say, we have asked the same question: How do we know that the 24 advisers in the SuperGuide list are the only independent advisers in Australia? Read more
SELF-MANAGED SUPER FUNDS
More than half a million self-managed super funds are now in operation, according to the latest statistics released by the Australian Taxation Office. The exact number of SMSFs (as at September 2013) is 516,925, and thousands of new SMSFs are being established every quarter. Read more
Australian and international shares delivered the biggest returns for the 2013 calendar year (1 January 2013 to 31 December 2013), according to Warren Chant of rating company, Chant West. Read more
Each quarter the ATO releases self-managed super fund statistics derived from annual return data. Some of the more interesting data outlines the investments that SMSF trustees choose, and how much SMSF money is invested in the different asset types. Read more
The Australian Taxation Office has delivered on its promise to regularly share its market intelligence about self-managed super funds (SMSFs). The ATO has now provided the answers to some of superannuation’s burning questions, such as, ‘Are SMSFs really cheaper than larger super funds?’ and ‘Do SMSFs perform better?’ Read more
The latest ATO statistics on SMSFs (representing SMSF activity up to the end of September 2013) highlight some interesting observations that can be made about the current batch of SMSF trustees. Read more