Good morning and welcome to this investment update for Suncorp Super members.
Over the next couple of minutes we’ll:
- take a look at the performance of major investment markets last financial year;
- highlight some of the excellent investment outcomes achieved for you, our members; and
- share our forward-looking investment market views.
Reflecting on last financial year, the outcome was very positive for investment markets, with the Australian stock market (dark green line) delivering a total return of 27.80%. The US market (the grey line) did even better with 29.12%.
Suncorp Super was well placed to capitalise on these gains and once again delivered strong investment performance outcomes for our members.
Brighter Super’s flagship Multi-Manager Growth Fund achieved #1 ranking over 3 and 5 years as recognised by SuperRatings. The fund has now delivered a per annum return of 10.61% over the last 5 years to 30 June 2021.
In the last financial year alone this fund has delivered a return of 19.36% compared to the industry median of 17.85%.
But the good news didn’t end there. Our Multi-Manager Conservative, Balanced and High Growth funds all outperformed their respective investment benchmarks and were all in the top 10 funds over 3 and 5 years as reported by SuperRatings.
Where to from here? Well with historically low interest rates, central banks continue to encourage investment and the solid corporate earnings reporting season underway supports positive sharemarket performance over the short term.
Though risks still remain, due to the pandemic and lower than expected COVID19 vaccination levels in some countries, as well as the potential for rising inflation.
Even though there are risks in the current market, it is important to remember that superannuation is a long-term investment and it is time in the markets and not trying to time the markets that is critical.
Going forward we believe the investment portfolios are positioned well to continue to benefit from a cyclical upturn due to the worldwide rollout of vaccination programs, and renewed market interest in major industrial companies that generate strong cash flows.
Whatever happens in investment markets, Suncorp’s investment options are well positioned to take advantage of positive market movements whilst managing volatility, with our strong focus on risk management and investment governance.
Until next time take care and stay safe.