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Australian shares trounced by global returns
Median institutional Australian share fund managers produced a return of 6.9 per cent for the past financial year, well down from the long-term annualised returns over three and five years of 16.7 per cent and 10.4 per cent respectively.
According to the Morningstar Australian Institutional Sector Survey the 6.9 per cent return was driven by earlier strong performance in February but was pegged back by a fall of 5.3 per cent over the month of June for the median Australian share fund manager, bringing returns in line with the index.
The best performing Australian share strategies for the past financial year came were Bennelong Concentrated with 16.9 per cent return, Macquarie High Conviction with 14.2 per cent return and Fidelity Australian Opportunities with 11.6 per cent return.
Global share fund managers performed much better than their Australian counterpart with the median manager returning 26.1 per cent on an unhedged basis, 26.5 per cent over the three years and 15.6 per cent over the five years to 30 June 2015.
Carnegie, Magellan, and BlackRock stood out with returns of 38 per cent, 31.8 per cent, and 31 per cent respectively over the year to 30 June 2015.
Morningstar also found the median Australian property securities manager performed just under the benchmark with a return of 20.2 per cent over the year compared with the index's 20.3 per cent. Legg Mason at 20.8 per cent, CFS at 20.7 per cent, and CFS Indexed at 20.5 per cent were the best performing managers in the sector.
AUTHOR
Jason Spits
Jason has been writing on financial services since 1999 and has worked for on a number of trade media titles in both a full time and freelance capacity. He joined Money Management and Super Review in 2013 in the role of Senior Journalist.
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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(%)
