Investment Magazine
 

Time in the market: how long must we wait?

  • 14 February, 2012
  • Comments Off
  • print

Superannuation fund returns have beaten the cash rate in the past 20 years – but only just. Tony Day asks why so many funds still passively invest so much money in equities.

For almost a generation, participants in Australia’s superannuation system have been told that the best way to maximise their wealth is to passively invest in large amounts of equity risk and wait. What’s important is “time in the market”, not market timing, which sees investors adjust their asset allocations as markets become more or less risky.

© Copyright: Whole articles from this website and newsletter cannot be reproduced without permission from the editor. If you wish to publish introductions to any article please ensure that it links to original content site www.investmentmagazine.com.au, and that it shows clear attribution to Investment Magazine, plus author name and date. Failure to abide by this request will be considered a breach of copyright and legal action will be taken.

Vote
Do you prefer the term non-affiliated or non-associated to independent board member?
 

Comments are closed.

HOSTPLUS to offer “soft merger” platform

HOSTPLUS is inviting smaller funds to join them in a “soft merger” by giving access to its investments in a pooled superannuation trust. ... [more]

in News

Vulnerable baby boomers complain more

The Superannuation Complaints Tribunal is seeing a greater number of grievances from retiring baby boomers querying their superannuation benefits, says chair Jocelyn Furlan. ... [more]

Media Super pushes holistic investment thinking

A framework for top-level decision-making on investment impacts, with particular regard to environmental, social and governance (ESG) investment, is in development by Media ... [more]

In the minds of super trustees

What is bothering trustees? Investment Magazine conducted an online poll that attracted a substantial and impassioned response, with several respondents sending us emails ... [more]

Catholic by name, catholic by nature

In his seventh year as chair of Catholic Super in Victoria, Peter Bugden can comfortably say he’s witnessed notable growth in the fund. ... [more]

Frontier’s global alliance reaches for rivals

Frontier Advisors is to gain a global reach in its manager research after forming an alliance with a US firm and with the ... [more]