Super funds take another hit: Top performers

Gloomy sharemarket conditions produced yet another set of negative returns for many of Australia’s superannuation funds last month.

Data collected by independent analyst SuperRatings shows the median balanced super fund lost 0.86% in February and is now down 4% for this financial year.

While the poor returns may be causing some people to move their funds out of super, SuperRatings managing director Jeff Bresnahan says the data still shows solid returns over the longer term.

There is plenty of anecdotal evidence around when talking to major funds that some people, like they did in 2001/02, are switching to cash. In reality, very few investors have a short-term time frame,” Bresnahan says.

Industry funds continue to lead the way among those funds that have performed well over that long-term period, dominating the SuperRatings top 10 super returns list.

Top 10 super returns per annum for five years ended 29 February 2008
Balanced investment options taken from SuperRatings SR50 Balanced Index Fund and option description

1. MTAA Super – Balanced^ 15.0%
2. Westscheme – Trustee’s Selection^ 12.9%
3. QSuper – Balanced 12.9%
4. AustralianSuper – Balanced Option 12.9%
5. HOSTPLUS – Balanced 12.8%
6. Cbus – Core Strategy^ 12.8%
7. Intrust Core Super – Balanced 12.7%
8. Telstra Super Corp Plus – Balanced 12.6%
9. Catholic Super Fund – Balanced 12.4%
10. AGEST – Balanced 12.4%