Investment Performance Highlights – 17 March 2020

- 19 Mar 2020

Daniel Selioutine, Head of Investments, takes the opportunity to review market activity and the Fund’s performance in the month of March, 2020.

Stock Markets

Market OUTLOOK:

  • In light of recent events, March 2020 has been an extremely volatile month for financial markets.

  • Our default Growth Option is down approximately -7.1% during March (1 March to 17 March 2020). Over the longer period from 1 July 2019 to 17 March 2020, the Growth Option is down around -4.1%.

  • Our Shares Only Option has been the most impacted Option due to its direct exposure to equity markets, which have fallen the most of all our investments.

  • Financial markets are in a state of fear, which has led many investors to sell their investments. Consequently, the costs associated with selling investments have increased several fold in some financial markets, presenting buying opportunities for investors with a longer term outlook.

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WHAT DOES THIS MEAN FOR YOU?


  • We encourage our Accumulation Plan members to take a long term perspective when considering their superannuation investments, and to speak to us before switching or redeeming their investments.

  • It is important to remember that switching Investment Options to lower risk Options can permanently lock-in investment losses and miss out on the potential for higher returns by being out of the market when it recovers. As financial markets remain uncertain, it's important to remember that markets can recover quickly.

  • ESSSuper’s Accumulation Plan is more defensively invested than the typical super fund due to our downside protection philosophy, which has dampened some but not all of the recent financial market declines.

  • Our Investment Options have met their investment objectives over longer periods, which includes periods of positive and negative returns.

All investment figures quoted relate to before-tax performance of the relevant industry benchmark. Investment returns cannot be guaranteed as investment markets can be volatile. As a consequence, returns can be positive or negative. Past investment performance is not a reliable indicator of future performance.

Emergency Services Superannuation Board ABN 28 161 296 741 the Trustee of the Emergency Services Superannuation Scheme ABN 85 894 637 037 (ESSSuper). The information contained in this document is of a general nature only. It should not be considered as a substitute for reading the relevant ESSSuper Product Disclosure Statement (PDS) that contains detailed information about ESSSuper products, services and features. Before making a decision about an ESSSuper product, you should consider the appropriateness of the product to your personal objectives, financial situation and needs. It may also be beneficial to seek professional advice from a licensed financial planner or adviser. An ESSSuper PDS is available at www.esssuper.com.au or by calling 1300 650 161. Benefits in ESSSuper’s Accumulation Plan, Income Streams and Beneficiary Account products are not guaranteed or underwritten by the Victorian Government or ESSSuper, and ESSSuper does not come under the jurisdiction of the Australian Financial Complaints Authority.

Topics:

  • ESSSuper
  • Investments
  • Superannuation

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