Strong double-digit investment returns continue for April
We have seen mixed economic recoveries around the world, impacted by ongoing COVID-19 infections and vaccinations, and a general recovery in both jobs and consumer demands across sectors. In Australia, economic recovery continued strongly throughout April, with new jobs added to the labour market and both the unemployment and underemployment rates declining to pre-pandemic levels.
Media Super’s Balanced investment options are achieving solid, double-digit returns for the financial year to date. It’s important to remember that superannuation is a long-term investment and over the longer term, Media Super’s Balanced options are continuing to achieve strong returns for our members. Over the last 10 years, super members in the Balanced option received a return of 8.04% p.a, above the median return of 7.85%1.
Your investment returns
The Balanced (MySuper) option returned 13.32% for the financial year to 31 March 2021 and the pension Balanced option returned 14.88%. And for a rolling 1-year period to 31 March 2021, the Balanced (MySuper) option has returned 16.18% and the pension Balanced option returned 18.08%.
These solid returns and our ongoing strong performance over the longer term – shown in the tables below – shows that even through the ups and downs, our members can be confident our investment strategy is helping them make the most of their super.
Media Super’s Balanced options (MySuper and pension) are well diversified across a number of asset classes, including Australian and global shares, property, infrastructure, fixed interest, foreign currency and cash, as well as various alternative investments, such as our Fulcrum film and television financing fund.
While some uncertainty remains due to new COVID-19 strains emerging as global vaccination programs are underway, economic recovery is on track with the extreme levels of uncertainty and pessimism seen in early 2020 now firmly in the rear view mirror.
We recognise there will continue to be ups and downs in financial markets, however we remain optimistic in our outlook and are hesitant to call an end to this phase of strong economic activity too early.
While we started the financial year with a broadly neutral position for the Balanced investment options, adjustments were made to our investment strategy in December to take a small overweight position in our growth assets. We believe this will lead to better risk-adjusted returns for members in year ahead.
As always, we will continue to work with our investment managers and advisors to identify new opportunities and ways to enhance our existing strategies.
Looking ahead we remain confident that our Balanced option is well positioned to continue meeting its long-term investment objective for your super and pension savings.
We’re here to help
If you have any questions or concerns about your investment options, or you’re considering making an investment switch, please call the Helpline on 1800 640 886.
Note: Investment returns are not guaranteed and past performance gives no indication of future returns.
1 SuperRatings Fund Crediting Rate Survey – Super Balanced (60-76) Index & Pension Balanced (60-76), April 2021.