POWERED BY MOMENTUM MEDIA
Rest CIO reflects on positioning for volatile time
This financial year has been “the toughest for decades” according to Rest Super chief investment officer, Andrew Lill.
The firm’s Core Strategy (Super) had returned 0.23% in the three months to 30 September while the Balanced (Pension) option had returned 0.37%.
Rest said share markets had recovered well during July and August but gains were eroded in August and September as a result of increasing uncertainty around high inflation, interest rate rises and the negative impact of the war in Ukraine.
It expected this volatility to remain during 2022 and had been positioning defensively in anticipation of a more uncertain outlook. This meant a lower allocation to growth assets, higher allocation to cash and investments in unlisted assets such as infrastructure, property and agriculture.
Lill said: “While still early days, this financial year has so far been one of the toughest for financial markets for decades.
“Market corrections are normal- and to some extent expected. The fact that their timing can’t be predicted makes them challenging.
“The weakness in September is a timely reminder that in the short-term markets can be very volatile. However, over the longer term this volatility is generally smoothed out and these periods of uncertainty often provide excellent opportunities to acquire great investments at cheaper prices.”
AUTHOR
Laura Dew
Laura Dew is editor at Super Review. Prior to joining SR, she spent five years working at Investment Week in the UK covering asset and wealth management.
Recommended for you
In this latest edition, Anna Shelley, CIO at AMP, shares the fund’s approach to current market conditions and where it continues to uncover key opportunities.
The mega fund has announced a $2.2 billion investment in a leading data centre platform, bringing its global real assets portfolio to nearly $60 billion.
In this latest edition, Australian Retirement Trust’s head of global real assets Michael Weaver explains the fund’s approach to finding new opportunities as it surpasses $300 billion in funds under management.
Fund managers remain hopeful for a Chinese revival story despite the “disappointing” stimulus package announced this week.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
Spire Oaktree Opportunities XI Second Close
61.07 3 y p.a(%)
2
Spire Oaktree Opportunities XI First Close USD
59.21 3 y p.a(%)
3
DomaCom Lot 21 Chellaston Road Munno Para West SA 5115 Australia
31.56 3 y p.a(%)
4
Fidante Credit Suisse Global Private Equity
31.06 3 y p.a(%)
5
DomaCom 4/27 Crombie Avenue Bundall QLD 4217 Australia
26.81 3 y p.a(%)
