The analysis indicates a 2.6% gain in May for the median balanced option, building upon a modest positive result in April. Kirby Rappell, the executive director at SuperRatings, highlighted that the solid May performance positions superannuation funds for a robust annual outcome.
The growth observed is not limited to one option. The median growth option saw a rise of 3.1%, whereas the median capital stable option increased by 1.1%. The trend extends to pension returns as well, with the median balanced pension option climbing an estimated 2.9%. Similarly, the median capital stable pension option rose by an estimated 1.2%, and the growth pension option surged by 3.5% during the same period.
Commenting on the anticipated results, Rappell suggested that funds are on track to deliver mid to high single-digit returns for the financial year. He noted that more growth-oriented options might achieve double-digit returns if the current momentum continues through June.
Despite the positive trajectory, Rappell cautioned that market conditions could quickly shift, underscoring the importance of viewing superannuation as a long-term investment strategy.
