AUSTRALIA - The median growth superannuation fund gained 1% in January 2011, research by Chant West shows.
The median growth fund is up 8.4% for the financial year to date which started on 1 July 2010. A growth fund has 61-80% in growth assets
The gain comes on the back of strong overseas share markets, particularly in the US, said the firm. International shares gained just 2% in hedged terms and a stronger 5.3% in unhedged terms because of the depreciating Australian dollar. In December 2010, the dollar appreciated returning 5.7% in hedged terms but only 0.3% in unhedged terms.
The Australian share market returned 0.1% in the month, down from 3.8% in the previous month while domestic and global REITs gained 2.4% and 2.3% respectively.
Chant West director Warren Chant, said: "The strong performance in overseas share markets during January was largely fuelled by stronger than anticipated economic data in the US, together with some company profit results that exceeded expectations. While sovereign debt issues are still an underlying concern in Europe, markets there have also had a strong start to the year. In Australia, we are yet to see what the full impact of the recent floods and cyclone will be on shorter term growth, inflation and interest rates. However, we don't expect there to be a major impact on longer term growth."
The People's Pension, Atlas Master Trust and The Cheviot Trust have been granted authorisation from The Pensions Regulator (TPR), taking the total number of authorised master trusts to 18.
Pension schemes have been warned they may now face a more challenging legal test if they wish to fix drafting errors.
The Greene King Pension Scheme has appointed XPS Pensions as its actuarial and investment adviser following a competitive tender process.
Professional Pensions has compiled a list charting the progress of master trust authorisation. View our list in full here...