Despite the sharemarket turmoil in June resulting from Greece’s debt crisis, super funds finished the 2014/15 financial year well in the black with the median growth fund returning 9.8% – the sixth straight positive annual return. The top-performing fund for the year was QSuper which returned 12.3%. Even the worst-performing fund in the growth category gained 6.2%.
Please see the attached media release for further information. Key highlights include:
This year’s return of 9.8% is comfortably ahead of the typical longer-term return objective for the growth category, which is about 6% to 7%. The result comes on the back of returns of 15.6% in 2012/13 and 12.8% in 2013/14, making an average of 12.7% per annum over the past three years.
Since the GFC low point at the end of February 2009, growth funds have now delivered an impressive 88%, putting them 37% above their pre-GFC high of October 2007.
All asset sectors delivered positive returns for the 2014/15 financial year, but some were much stronger than others. The better performing funds were generally those that maintained a relatively high exposure to foreign currency (because of the decline in value of the Australian dollar), Australian listed property and private equity, and a lower exposure to Australian shares, the broader bond market, hedge funds and cash.
Industry funds outperformed retail funds over the year, returning 10.2% versus 9.6%.
Source: Chant West
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