Positive member returns, despite global market volatility

3 July 2025 

All AustralianSuper PreMixed and DIY Mix investment options delivered positive outcomes for members for the 12 months to 30 June 2025 despite significant global market volatility. 

It is pleasing to be able to deliver such a solid result for members notwithstanding the amount of risk investors had to factor into their decision making, particularly in recent months. Overall, the 2024-25 financial year was marked by an escalation in geopolitical conflicts, tariff policies and broad unpredictability for investors.

The Balanced option (Super), where most members are invested, returned 9.52% for the financial year ending 30 June 2025. The Balanced option for Choice Income (Pension) accounts returned 10.41% for the financial year ending 30 June 2025.

Meanwhile, the High Growth option returned 10.61% for Super and 11.56% for Choice Income during that time.

International and Australian listed shares were the largest contributors to the performance of AustralianSuper’s PreMixed options during the financial year.

Investments in unlisted assets also contributed meaningfully. Performance during the financial year was led by unlisted infrastructure and private credit, while private equity was more muted given less opportunity in the market to exit existing investments. Importantly, unlisted assets helped insulate member returns from the impacts of recent listed market stress, highlighting one of the benefits of a well-diversified portfolio.

Fixed interest and cash also performed well during the financial year, benefitting from higher interest rates. Both asset classes contributed positive returns during share market sell-offs, providing important downside protection for members.

Following another year of growth, AustralianSuper now manages over $385 billion on behalf of more than 3.5 million members. As the largest super fund, one in seven working Australians are a member of AustralianSuper1.

The returns for all PreMixed and DIY Mix investment options are shown below: 

Super and TTR Income investment option performance as at 30 June 2025

INVESTMENT OPTION 3 Months 1 Year 3 Years p.a. 5 Years p.a. 10 Years p.a. 15 Years p.a. 20 Years p.a.
PreMixed Options
High Growth 5.20% 10.61% 10.42% 9.97% 8.84% 9.60% 8.04%
Balanced 4.38% 9.52% 8.72% 8.53% 7.94% 8.69% 7.62%
Socially Aware 5.07% 10.24% 8.67% 8.18% 7.13% 8.21% 7.15%
Indexed Diversified 5.69% 11.98% 11.67% 9.14% 7.61%
Conservative Balanced 3.79% 8.58% 6.88% 6.25% 6.23% 7.23%
Stable 2.92% 7.30% 5.09% 4.18% 4.75% 5.70% 5.55%
DIY Mix Options
Australian Shares 7.44% 13.24% 13.27% 12.93% 9.93% 9.99% 8.76%
International Shares 5.93% 14.06% 16.21% 11.91% 11.02% 11.61% 8.62%
Diversified Fixed Interest 1.82% 4.85% 2.43% 0.97% 2.16% 3.95% 4.22%
Cash 1.10% 4.32% 3.64% 2.25% 2.03% 2.48% 3.16%

AustralianSuper investment returns are based on crediting rates, which are returns less investment fees and costs, transaction costs, the percentage-based administration fee deducted from returns from 1 April 2020 to 2 September 2022 and taxes. Returns don’t include all administration, insurance and other fees and costs that are deducted from account balances. Investment returns aren’t guaranteed. Past performance isn’t a reliable indicator of future returns. Returns from equivalent options of the ARF and STA super funds are used in calculating return for periods that begin before 1 July 2006. 
 
For TTR Income accounts, the investment return is based on the crediting rate for super (accumulation) options. From 1 April 2020 to 2 September 2022 the crediting rate includes an administration fee that was deducted from investment returns for super (accumulation) accounts. TTR Income accounts will be adjusted to refund the administration fee deducted from investment returns.

Choice Income investment option performance as at 30 June 2025

3 Months 1 Year 3 Years p.a. 5 Years p.a. 10 Years p.a. 15 Years p.a.
PreMixed Options
High Growth 5.68% 11.56% 11.47% 10.96% 9.68% 10.56%
Balanced 4.87% 10.41% 9.55% 9.29% 8.62% 9.57%
Socially Aware 5.58% 11.21% 9.55% 8.97% 7.89% 9.09%
Indexed Diversified 6.46% 13.48% 13.12% 10.19% 8.53%  
Conservative Balanced 4.23% 9.51% 7.68% 6.93% 6.94% 8.05%
Stable 3.22% 8.05% 5.71% 4.63% 5.29% 6.38%
DIY Mix Options
Australian Shares 8.13% 14.61% 14.70% 14.37% 11.09% 11.20%
International Shares 6.28% 15.15% 17.62% 12.82% 11.96% 12.68%
Diversified Fixed Interest 2.13% 5.73% 2.83% 1.09% 2.51% 4.56%
Cash 1.22% 4.96% 4.23% 2.60% 2.37% 2.91%

Choice Income investment returns are based on crediting rates, which are returns less investment fees and costs, transaction costs and taxes. Doesn’t include all administration and other fees and costs that are deducted from account balances. Investment returns aren’t guaranteed. Past performance isn’t a reliable indicator of future returns.

The financial year in review

Following strong performance through January 2025, listed share markets experienced a sharp sell-off between February and April 2025. This significant volatility was driven largely by geopolitical developments and US trade policies.

Specifically, a lack of clarity around US tariffs and their implementation raised concerns about the potential long-term impacts on the global economy. The relationship between the US and China was a particular point of focus, as the world’s two largest economies publicly engaged in trade negotiations.

Some stock market indices, like the Nasdaq Composite in the US, entered bear market territory during the height of the sell-off – meaning they fell more than 20% from highs in February to lows in April.

However, listed share markets recovered quickly during April and May. As a result, the Balanced option gained 4.38% during the three months to 30 June 2025, making it the strongest quarter of the financial year.

Several factors drove the recovery of listed share market performance during the June quarter. Overall uncertainty has declined in recent months, led by a de-escalation in trade policy by the US administration. This included a 90-day delay for most countries’ reciprocal tariffs, as well as the gradual easing of restrictions, or outright exemptions, for some sectors.

In addition, US corporate earnings delivered some better-than-expected results earlier in the year. Outside the US, some central banks, including the Reserve Bank of Australia (RBA), have continued to cut interest rates. These factors have been broadly supportive of listed shares.

Notably, the investment team has continued to deploy capital into new deals despite the uptick in volatility. Some significant investments from the past twelve months have included DataBank (US data centres), M7 Real Estate (European industrial and logistics) and an additional stake in Perth Airport.

Managing volatility

While members may have felt that recent market volatility was unprecedented, this is a normal part of the investment cycle. On average, our research suggests we could expect to see a bear market – or a downturn of more than 20% – occur every 2-3 years.

When markets recover, as they did in late April and into May 2025, we’re reminded why it’s important to stay the course and maintain a longer-term view, especially when it comes to your super. When markets fell, members who switched into defensive investment options, like Cash, risked missing out on the most substantial returns of the year that followed during the June 2025 quarter.

That’s why it’s often said, it’s not about timing the markets, but rather time in the markets. And it’s worth remembering, AustralianSuper has a team of investment specialists who actively manage each investment option through market ups and downs.


Learn more about your advice options

Members have access to a range of advice, and you can learn more here.

References

1. Source: Australian Bureau of Statistics (Labour force) and AustralianSuper Member Data, December 2024.

This may include general financial advice which doesn’t take into account your personal objectives, financial situation or needs. Before making a decision consider if the information is right for you and read the relevant Product Disclosure Statement, available at australiansuper.com/PDS or by calling 1300 300 273. A Target Market Determination (TMD) is a document that outlines the target market a product has been designed for. Find the TMDs at australiansuper.com/TMD.

AustralianSuper Pty Ltd ABN 94 006 457 987, AFSL 233788, Trustee of AustralianSuper ABN 65 714 394 898.


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