Super Fund Returns and Valuations

Returns for most superannuation funds over the past financial year seem to be very satisfactory, especially given concerns over the world economy, inflation, Ukraine etc.

However, one area we continue to monitor is unlisted assets.  Some funds have high exposure to unlisted property and private equity, but it can be difficult to gauge the accuracy of their valuations.  We would be wary of any fund which has made only minimal downward adjustments to these sectors of their portfolios, given the difficulties some property managers have had in attempting to sell assets at or near book values.