Australia’s superannuation is the top returner, but there are hidden risks
Australian superannuation funds’ love affair with equities is paying off with the super system growing faster than comparable countries over the last 20 years, making annual returns of 12.1 per cent, according to a new report from asset advisors Willis Towers Watson.
But there is an unnoticed risk hidden in the figures, with Australian super fund equity investments being the most concentrated in the world. And these risks have been highlighted by the market gyrations of more than four per cent in recent days.
Over 10 years Australia also tops the charts of the leading seven economies, returning 7.1 per cent. But it is probably the riskiest with 49 per cent of assets in equities.
Read More: The New Daily
