Big super funds have been talking up their role in nation-building, using mostly unlisted investments in infrastructure and property. So what are unlisted assets and how to they affect my super?
APRA statistics released this week show retail funds have lost nearly $23 billion in value since December 2017, while over the same period industry funds grew by nearly $40 billion. This represents a change in value of assets of -6% for retail funds and +4% for industry funds.
Just because we may be compelled to have superannuation, is no reason to leave it to its fate. In fact, playing a role in how your super is invested is one of the key ways we can influence its outcome. Here we break down the key concepts to help you gain confidence with the investing side of super.
The past financial year has been one of the most volatile on record for stock markets, yet almost every Australian super fund has delivered similar returns. This not only demonstrates that super funds very rarely make large calls about when to buy and sell, it also gives an insight into what we should do when making our own investment decisions.
When sharemarkets fall and people start panicking, it’s easy to think the best solution is to sell your investments or swap out of your super fund investment option. But it’s a decision that could cost you dearly.
When it comes to investing your super, working out what mix of assets to use is tricky. But new research shows there are important issues to remember when selecting your mix of investment assets.
Although building your super account balance is a good idea, the current Age Pension and super system rules can create a black hole for some people – leaving them better off with less money in their super account. Could you be at risk?
If you’re a member of a big super fund, chances are you are a part-owner in an airport, a pipeline or a major shipping port. So why have super funds embraced infrastructure and what’s in it for you as a super fund member?
The investment assets of many super funds are far from transparent – both publicly and for fund members. It’s a situation the government has tried to remedy over a number of years, but from 31 December 2020 all that’s changing.
Buy/sell spread fees are something we’re all likely to see a lot more of thanks to ASIC’s new disclosure rules for annual fund member statements. So just what are these mysterious charges and how do they work?
When it comes to delivering a good investment return to their fund members, super funds mix a variety of investment assets and structures together. To understand what your super fund is doing on your behalf, it’s worth learning a little more about these investments – particularly whether they are listed or unlisted.
What’s your risk profile and why is it key to one of the most important decisions you can make when it comes to boosting your super account?
Understanding your super balance and comparing the performance of your super fund with other funds involves more than just checking fees, super contributions and insurance premiums. It’s also knowing how – and when – your super fund calculates and applies investment earnings to the balance of your super account.
When it comes to the investment performance of your super account, funds love to talk about how much they have outperformed the index or benchmark. But what does that really mean? And what the heck is an investment index anyhow?
Diversification can be one the biggest protections against investment risk. We look at how smaller investments can learn from what the big funds do.