Bumper year for super funds

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The interim results of the Morningstar Australian Superannuation Survey have been published, finding Australian superannuation funds had a bumper year over 2013.

The median growth fund surveyed returned 18% over the calendar year, the highest since 1993. 

The year started strongly, with the first quarter producing a solid 4.7%. The highest quarterly return was recorded in September with 5.1% and June held the lowest quarterly result with 2.3%.

Only two negative medians were recorded over the year, March (-0.3%) and June (-0.8%). The year finished with the December median of 1.3%, results ranged from a high of 1.8 to a low of 1%. 

Longer-term annualised returns were 9.2% (over three years), 9.6% (over five years), and 7% (10 years to 31 December 2013).

The best-performing growth superfunds over the year were:

-    Legg Mason Growth (26.9%)
-    Legg Mason Balanced (23.3%)
-    Invesco Diversified Growth (22%)

The best-performing growth superfunds over five years were:

-    Legg Mason Growth (12.4%) 
-    Legg Mason Balanced (12.1%) 
-    Schroders (11.5%)

Among balanced options – 40 to 60% percent growth assets – the best performers over the year were:

-    BT Balanced (15.2%) 
-    State Super Balanced (14.6%)
-    REST Super Balanced (14.4%)

Australian commercial for-profit and industry superannuation options were surveyed.
  • GAB on 20/01/2014 10:13:23 AM

    Meaningless...why do we keep getting updated results every month and every year? Whatever happened to getting a sufficient return to meet one's objectives with just enough risk assets to do it?

    Client "The median super got 18%, how come I only got 10%?"

    Adviser "because you didn't want to take too much risk and frankly, you don't need to"

    Client "I think we should take more risk now...would be nice to get 18%"

  • Pat on 20/01/2014 12:14:08 PM

    GAB - I have never had a client look to increase risk for more return after a good period in the markets. Oh, wait I sec, yes I have :)

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