Choosing a super fund is a big call and can have a significant impact on your future. It’s important to know what makes a good super fund, and what to look out for – so you can make the right choice.
6 things to look for when choosing a fund
Performance for the long term
Performance for the long term
The performance of your super fund can make a big difference to your balance when you retire. Choosing a fund that has a history of strong, long-term returns1 can help you make the most of your super and save more for retirement. When you compare funds, consider past performance – and ensure you’re looking at the net benefit. That’s the investment returns delivered to you by your fund minus admin fees, investment fees and taxes you’re charged on those investment returns.
Choose low fees to help you save
Choose low fees to help you save
Super funds charge administration and investment fees to cover the cost of managing your account and investing your money. Not all funds charge the same amounts, or in the same way. Some funds charge a set fee and some charge a percentage of your account balance – while some charge a combination of the two.
Know the type of fund
Know the type of fund
In Australia, there are a range of types of super funds - including industry super funds and retail funds. As Australia’s largest Industry super fund we are run only to benefit members, we don’t pay dividends or profits to shareholders like retail funds, instead, that money goes back to members. We choose to focus on providing strong, long term performance to benefit more than 2.6 million members.
The importance of insurance
The importance of insurance
Many people receive a basic level of insurance cover when they join a fund. The 3 most common types of insurance cover offered by super funds are Life insurance (also known as death cover), Total & Permanent Disablement (TPD) cover, and Income protection. We can help you understand each type of insurance, what they cover and how much they could cost.
Know how your super will be invested
Know how your super will be invested
When money goes into your super account – either from your employer or via voluntary personal contributions – it’s invested by the fund in ways to help it grow. When you’re choosing a fund, consider the range of investment types on offer and know how your money could be invested. Most funds offer default investment choices where your options are pre-selected.
Trusted help and advice when you need it
Trusted help and advice when you need it
Confidence comes from being with a fund that offers a range of help and financial advice options to suit your circumstances. Make sure you’re with a fund that’s available when you need them, and offers a variety of help and advice options. Many funds also offer personal advice from a financial planning expert.
- AustralianSuper Balanced investment option compared to the SuperRatings Fund Crediting Rate Survey - SR50 Balanced (60–76) Index to 31 December 2021. Investment returns are not guaranteed. Past performance is not a reliable indicator of future returns. Returns from equivalent investment options of the ARF and STA super funds are used for periods before 1 July 2006.
- AustralianSuper has a total of 2.64 Million members and $261 billion in member assets as at 31 December 2021.