Overall, for the 15 years to June 2011, the average ROR for the superannuation industry was positive, with a 15-year average ROR of 5.2 per cent per annum. The average industry-wide ROR, when adjusted for the 2.7 per cent per annum inflation, provided a real return of 2.5 per cent per annum.
Most funds which existed for the whole period had a 15-year average fund-level ROR of between 3.9 and 6.5 per cent per annum.
APRA: Annual Superannuation Bulletin (June 2011)
Colin Twiggs is a former investment banker with almost 40 years of experience in financial markets. He co-founded Incredible Charts and writes the popular Trading Diary and Patient Investor newsletters.
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Pathetic! Even in any country.
Agreed, it’s too low. I really wonder if 12% SGC would actually really help. “Let’s tie up all of today’s money for the next 10-40yrs because the ROR is so low.” More money to work less hard.
How about someone with half a brain got in charge and taught us that 9% SGC is enough?
How about we make a conservative 2% per month using some freely available strategies?
Less money to work harder (compare above).
…Oh that’s right, Australia is not mature enough yet. About when does anyone think that might happen? …when we are bursting at the seams with a population of 100 million?! I’d wonder if at that stage anyone would have super at all.
They had to go that far back to get a positve return???? Wow
APRA only has 15-years superannuation data available (APRA: Annual Superannuation Bulletin June 2011, page 8).