Is My Super Under-performing?


Everyone worries whether their super is under-performing. Our clients often raise questions around over-payment in fees or under-performing super investments. According to findings released by the Australian Prudential Regulation Authority (APRA), more than a million Australians have invested $56.2 billion combined in “under-performing” superannuation funds.

“Pass” or “Fail” grades has been given to a total of 76 MySuper investment options. The results revealed 17 per cent of Australia’s 76 MySuper products were under-performing. This is based on APRA’s testing up to August 31, 2021.

Despite almost 84% of products passed the performance test, APRA is more concerned about the funds that did not pass. Under the Your Future, Your Super Bill reforms passed in June, funds must now let members know about their under-performance. Funds could reject clients if they fail to meet APRA’s standards again next year.

Also, APRA has increased its supervision of trustees with products that failed the test. They have asked that they provide a report showing the causes of their under-performance. They also need to show how they plan to address them. Trustees have to watch their products closely and report important information to APRA. This includes data relating to the movement of members and the outflow of funds.

Why are Super Funds under-performing?

Your super fund could be under-performing due to a multitude of reasons.  However, high fees and bad investment options are usually the reason that’s stopping you from retiring with more money in the future. Most people have also reported that choosing the ‘default option super’ that is a median bottom-quartile fund, has cut their retirement savings by almost half, compared to if they chose a median-top quartile fund.

Which Super Funds are under-performing?

The 13 listed funds that ‘failed’ APRA standards are listed below. It is important to note that some of our clients are invested with these companies, however, they have not invested in the default ‘MySuper’ investment options that have been under-performing. We recommend tailored portfolios that have performed much better previously with lower fees.

  • AMG Super – AMG MySuper,
  • Commonwealth Bank Group Super – Accumulate Plus Balanced,
  • Energy Industries Superannuation Scheme-Pool – Balanced MySuper,
  • Colonial First State FirstChoice Superannuation Trust – CFS FirstChoice Superannuation Trust,
  • Labour Union Co-Operative Retirement Fund – MySuper Balanced,
  • Maritime Super – MySuper Investment Option,
  • Retirement Wrap – BT Super MySuper,
  • ASGARD Independence Plan Division Two – ASGARD Employee MySuper,
  • Australian Catholic Superannuation and Retirement Fund – LifetimeOne,
  • The Victorian Independent Schools Superannuation Fund – VISSF Balanced Option (MySuper Product),
  • Boc Gases Superannuation Fund – BOC MySuper,
  • AvSuper Fund – AvSuper Growth (MySuper), and
  • Christian Super – My Ethical Super.

If you are with one of the under-performing funds, then we’d be happy to have a conversation with you about reviewing your super funds and finding the best solution for you moving forward.

Please contact Endorphin Wealth today for advice via phone at  (03) 9190 8964 or at .