23 October 2025
All AustralianSuper PreMixed and DIY Mix investment options delivered positive outcomes for members for the three months to 30 September 2025.
The Balanced option (super), where most members are invested, returned 3.65% for the September 2025 quarter, and 10.14% for the 12 months to 30 September 2025. The Balanced option for Choice Income (pension) accounts returned 4.01% for the September 2025 quarter and 11.00% for the 12 months to 30 September 2025.
The Balanced option for super has delivered an average annual return of 8.64% over 5 years, 8.54% over 10 years and 7.47% over 20 years to 30 September 2025.1
Meanwhile, the High Growth option returned 4.46% for super for the September 2025 quarter, and 11.91% for the 12 months to 30 September 2025. For Choice Income (pension) accounts, the High Growth option returned 4.91% for the September 2025 quarter, and 12.91% for the 12 months to 30 September 2025.
Strong returns from Australian and international shares contributed most to the returns of each of the PreMixed options over the quarter and year, with major local and international share markets at or near their record highs.
A broader selection of companies and sectors, beyond technology and AI, recorded a better performance during the quarter. The International Equities portfolio saw strong returns among materials and communication services sectors as well as AI-related and other information technology stocks. The Australian Equities portfolio saw strong returns from companies in the materials sector including our holdings in gold mining companies that are benefiting from an ongoing rally in the price of the precious metal.
Unlisted assets also contributed to performance over the three months to 30 September 2025. Infrastructure assets, especially air and sea ports in Australian and overseas, performed well, buoyed by global growth and trade.
The fixed interest and cash asset classes continued to generate steady, positive returns during the September 2025 quarter. Longer-term interest rates were relatively stable over the quarter in Australia and the US while shorter term rates were slightly lower as central banks continued to gradually reduce interest rates.
AustralianSuper continued to be one of the top-performing super funds over the long term following another positive quarter. Over the past 15 and 20 years, the Balanced option ranked number two for investment performance.2
Australia’s largest super fund, AustralianSuper now manages over $385 billion on behalf of more than 3.5 million members. One in seven working Australians are members of AustralianSuper.3
The returns for all PreMixed and DIY Mix investment options are shown below:
Super and TTR Income investment option performance as at 30 September 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 | 4.46% | 11.91% | 12.12% | 10.15% | 9.58% | 9.55% | 7.90% |
| Balanced | 3.65% | 10.14% | 10.17% | 8.64% | 8.54% | 8.64% | 7.47% |
| Socially Aware | 3.42% | 10.25% | 10.21% | 8.33% | 7.68% | 8.24% | 7.03% |
| Indexed Diversified | 3.92% | 11.78% | 13.26% | 9.55% | 8.32% | ||
| Conservative Balanced | 2.97% | 8.75% | 8.15% | 6.38% | 6.67% | 7.11% | |
| Stable | 2.13% | 6.96% | 6.03% | 4.31% | 5.03% | 5.56% | 5.50% |
| DIY Mix Options | |||||||
| Australian Shares | 4.91% | 11.10% | 14.90% | 14.51% | 8.53% | 9.78% | 8.54% |
| International Shares | 5.76% | 19.61% | 18.87% | 12.54% | 10.41% | 11.86% | 8.48% |
| Diversified Fixed Interest | 0.63% | 3.37% | 3.12% | 0.85% | 1.96% | 3.75% | 4.21% |
| Cash | 0.90% | 4.15% | 3.81% | 2.05% | 1.97% | 2.46% | 3.15% |
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 September 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 | 4.91% | 12.91% | 13.34% | 11.18% | 10.49% | 10.54% |
| Balanced | 4.01% | 11.00% | 11.13% | 9.43% | 9.28% | 9.54% |
| Socially Aware | 3.80% | 11.23% | 11.24% | 9.15% | 8.49% | 9.15% |
| Indexed Diversified | 4.35% | 13.21% | 14.96% | 10.66% | 9.34% | |
| Conservative Balanced | 3.33% | 9.65% | 9.07% | 7.08% | 7.44% | 8.01% |
| Stable | 2.38% | 7.59% | 6.74% | 4.79% | 5.60% | 6.33% |
| DIY Mix Options | ||||||
| Australian Shares | 5.43% | 12.22% | 8.09% | 15.61% | 12.20% | 11.04% |
| International Shares | 6.25% | 21.14% | 11.72% | 12.73% | 12.78% | 13.03% |
| Diversified Fixed Interest | 0.75% | 3.93% | 1.40% | 1.07% | 2.60% | 4.34% |
| Cash | 1.06% | 4.76% | 3.85% | 2.80% | 2.41% | 2.90% |
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.
Market environment
Global markets have remained resilient, supported by strong corporate earnings and falling interest rates. Digitalisation and AI remain key drivers of the recent earnings growth trend, although a broader range of listed companies recorded better performances in the quarter. However, many investors remain cautious about high valuations for listed shares and the uncertainty over the longer-term effects of tariffs imposed by the US Administration.
In the US, there are signs of potential economic slowing, as well as an uptick in inflation. This has been offset recently by monetary easing from the Federal Reserve.
Central banks, which generally raise interest rates in response to rising inflation and reduce interest rates in response to slowing growth, may face some challenges in their decision making. The most appropriate policy responses could be difficult to determine in an environment with rising inflation and slowing growth.
US policy changes and their impacts on global activity remain front of mind for investors. As the effect of these policy changes is understood and absorbed by investment markets, trends in global growth will likely be what drives returns in 2026.
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.
Investment strategy and outlook
Overall, we believe global economies will continue to grow over the short to medium term. However, their paths will likely vary.
Equity valuations are still considered to be high, so we have maintained a prudent approach. The portfolio is positioned to participate in the upside from the ongoing equities rally, while maintaining the appropriate diversification to help protect members’ super from downside risk.
We continue to monitor economic and market conditions to consider how we can best position the portfolio for members over the long term. This includes examining how the outlook for growth, employment and inflation are evolving, how technological developments like AI are affecting productivity and earnings and how geopolitical issues will continue to influence global markets.
As an active investment manager, we will continue to adapt to market conditions, manage risk and invest in attractive opportunities to grow members’ super in the long term. We continue to see pockets of volatility, which often lead to the mispricing of assets, and market downturns can create buying opportunities for long-term investors like AustralianSuper.
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Investment activity
Earlier this week, AustralianSuper announced the creation of a new UK Living platform, with an initial £500 million ($1.1 billion) of investment.
The new platform will target investments in the UK living sector, with a strong pipeline of opportunities and the ambition to deploy funds at scale over the next 12 months. The platform aims to become one of the top five operators of rental homes in the UK within five years.
The platform seeks to create institutional grade living accommodation encompassing student, co-living and residential homes, and builds on the Fund’s experience investing in housing globally. It aims to deliver an exemplary customer experience that responds to today’s demand trends for flexible, mixed-living communities, twinned with greater connectivity between higher education, innovation, and industry.
The platform’s first investment is a student housing development in Bristol, with contractors on site and a target completion in 2027. The platform is actively assessing opportunities across the UK, with a disciplined focus on quality locations in high-demand urban centres and anchored by top research-led universities and high-growth industries.
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Investment option changes
In August 2025, we launched the revised Socially Aware investment option. This followed a comprehensive review of the investment exclusions (or ‘screens’) that apply to the option, specifically in relation to the areas of concern subject to screening and to ensure as far as practical that screens apply to all assets held by the option. We considered member and consumer feedback as part of this review.
The review resulted in changes to the investment option’s strategic asset allocation, investment objectives, risk levels and screens. We disclosed the changes in our Investment Guide for superannuation accounts, or the relevant Product Disclosure Statement for Transition to Retirement and Choice Income accounts issued on 1 August 2025. For more details on the changes please visit our website.
References:
- Returns from equivalent investment options of the ARF and STA super funds are used for periods before 1 July 2006.
- AustralianSuper Balanced investment option compared to the SuperRatings Fund Crediting Rate Survey – SR Balanced (60-76) Index to 30 September 2025. Returns from equivalent investment options of the ARF and STA super funds are used for periods before 1 July 2006.
- Source: Australian Bureau of Statistics (Labour force) and AustralianSuper Member Data, June 2024.
Investment returns aren’t guaranteed. Past performance isn’t a reliable indicator of future returns
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.