Comment

As Australian superannuation assets approach A$4 trillion, politicians on both sides of the divide will be tempted to dip into this massive nest egg to meet their fiscal needs, writes Rob Prugue.

Basing an investment strategy on the goldilocks investment markets of the last 35 years gives rise to considerable risk, writes Michael Block, and now might be the time to get out of growth assets.

With prospective portfolio returns likely to be lower than they have been in the past, the incentive to reduce risk and enhance returns is greater than it has ever been. The investment maths is compelling, but regulatory risk might overpower it writes Michael Block.

Advances in computer modelling have bred a false sense of comfort, writes Rob Prugue, as too many have stopped challenging econometric outputs and blindly implement them without truly understanding their consequences.

Treasurer Jim Chalmers appears to have set himself another impossible task: ending the super wars. But legislating an objective for superannuation and urging funds to take part in nation building projects will only inflame them.

Your Future Your Super is poorly implemented, draconian, stifles innovation and has proven to be a gigantic – and expensive – waste of time. Other than that it’s a really good idea, writes Michael Block.

Despite their unprecedented nature, there has been little challenge to the conventional wisdom surrounding the profound shocks of the last two years. In his new monthly column, Rob Prugue shakes up the debate.

Pandemics, invasions, and the return of inflation. If the last few years have shown investors anything, it’s that outrageous predictions can often be anything but.

Cracks are showing in the old way of doing things. Being able to make money in a sideways market – and do it without equities – will now be the great differentiator.

For every government that wants to work alongside superannuation funds, there’s one waiting in the wings to deliver a regulatory rebuke. Big super needs to think hard about its plans to build the future.

The old ideological battlelines are being drawn up once again in preparation for three more years of fist fighting over Australia’s retirement savings.

Ninety One is relatively cautious on emerging markets from a top-down perspective, preferring bottom-up selection in a complex global environment, which we see as having distinct winners and losers.