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FUND DETAILS     USI: NES0100AU     ABN: 72 229 227 691     ADDITIONAL INFORMATION

Quarterly Investment Update – September 2023

1 November 2023

NESS Super Continues to provide better investment performance against the benchmarks.

All NESS Super options had negative returns for the September quarter due to declining share markets but outperformed the relevant benchmarks.

NESS MySuper option return is -0.52% for the quarter ending 30 September 2023 in which most members are invested.

What has happened this quarter

After strong returns in the previous financial year, listed share markets declined in the September quarter, as rising bond yields and a higher-for-longer central bank rhetoric pressured performance. The Australian share market outperformed global peers despite returns being negative in absolute terms. The Australian dollar depreciated against the US dollar, and investment bonds posted negative performance. Commodities and sub-investment bonds were amongst the only positive performing asset classes for the quarter.

The MySuper accumulation option returned -0.52% in the September quarter during a period when Australian shares, Global shares, listed property, and investment bonds were all negative for the quarter. This performance was better than the benchmark and slightly outperformed the SuperRatings default median. MySuper, Growth, and Stable have all outperformed their respective benchmarks during a challenging quarter.

Near-term outlook

We expect continued volatility is likely as global inflation remains high, unemployment remains low, central bank policy remains restrictive, and geopolitical tensions remains high with the recent escalation of the Israel/Palestinian conflict creating more uncertainty. The portfolio’s underlying diversification has been designed to reduce risk associated with any single region or sector. NESS maintains a balanced approach in the current environment given continued challenges and market uncertainty.

Long-term return Prospects remains solid

While uncertain in the short term, valuations have improved over the past few years. The yield on the 10-year US treasury bond reached its highest levels since 2007 in September, while equity valuations have moderated. At current pricing, shares and bonds are showing increased likelihood of attractive medium-to-long term performance.

Investment option performance

All Accumulation and pension investment options except the Property Pension option finished in negative territory for the quarter ending 30 September 2023.

NESS Super has a strong history as a top performing super fund. The NESS MySuper option ranks in the median quartile in Super Ratings survey over the 3, 5, and 10 years.

 

MySuper investment option performance as at 30 September 2023

Investment Option Name3 Month (%)FYTD (%)3 Year (%pa)5 Year (%pa)10 Year (%pa)
NESS MySuper -0.52-0.527.005.266.61

 

Choice investment option performance as at 30 September 2023

Investment Option Name3 Month (%)FYTD (%)3 Year (%pa)5 Year (%pa)10 Year (%pa)
High Growth-0.91-0.919.126.398.21
Stable-0.45-0.452.853.034.18
Australian Shares-0.45-0.4510.496.307.60
Overseas Shares-0.82-0.829.307.219.67
Property -3.34-3.342.671.535.58
Cash0.900.901.071.131.63

 

Pension investment option performance as at 30 September 2023 

Investment Option Name3 Month (%)FYTD (%)3 Year (%pa)5 Year (%pa)10 Year (%pa)
NESS MyPension Balanced1-0.61-0.617.895.356.79
High Growth2-1.04-1.0410.386.658.54
Stable3-0.52-0.522.933.204.15
Australian Shares4-0.48-0.48N/AN/AN/A
Overseas Shares4-0.90-0.90N/AN/AN/A
Property44.654.65N/AN/AN/A
Cash1.061.061.201.341.88

   

Past performance is not a guarantee of future performance. Super member investment returns, and Account Based Pension (ABP) investment returns differ as Account Based Pension investment returns are tax free.

  1. Prior to 1 February 2021, the MyPension Balanced investment option was the Moderate investment option.
  2. Prior to 1 February 2021, the High Growth investment option was the Aggressive investment option.
  3. Prior to 1 February 2021, the Stable investment option was the Conservative investment option.
  4. New investment options introduced on 1 February 2021.

 

Things you should know

This publication has been issued by NESS Super Pty Ltd ABN 28 003 156 812 AFSL 238945 (the Trustee), as trustee of NESS Super ABN 72 229 227 691 (The Fund).

Investment returns are not guaranteed. Past performance does not guarantee future returns.

The information contained in this communication is current at the time of its publication. However, some information may change over time. The content is for general information only and does not constitute personal advice. We recommend that you consult with a suitably qualified person before making any financial decisions. Before deciding whether to acquire or hold a product, consider if it is appropriate for you. For more information on the Fund visit our website (nesssuper.com.au) to view our Financial Services Guide (FSG), the relevant Product Disclosure Statement (PDS) and the Target Market Determination (TMD).

 

 

 

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