Up, down, up – super back in black

Mike Taylor

Managing Editor and Publisher

23 April 2026

The on again off again conflict in the Middle East is being reflected in superannuation fund returns, with the latest data from Chant West revealing the negatives of March being offset by the positives of this month.

Chant West said it estimated that the median growth fund is up 3.1% so far in April and that this almost entirely offsets the march decline, bringing the estimated median return over FY26 up to 6% with about 10 weeks to go before the end of financial year.

Chant West Head of Superannuation Investment Research, Mano Mohankumar said the April rally has been underpinned by optimism around a potential de-escalation of Middle East tensions, easing oil prices and solid corporate earnings.

“The experience since the start of March is another clear reminder of why it’s important for super fund members to stay patient and maintain a long‑term perspective. Members who panicked after seeing their balances fall in March and switched to lower‑risk options or cash not only crystallised paper losses but also missed out on the subsequent V‑shaped rebound. Over time, missing out on returns like these can make a significant difference to a member’s balance at retirement due to the power of compounding,” he said

“That’s why we remind members that super is a long-term investment and encourage them to see a financial adviser if they’re thinking of switching options. An adviser can help assess their broader financial position, including assets held outside of super, and ensure their investment strategy remains appropriate.”

Putting current returns in perspective, Chant West noted that long-term performance remained above target.

“Since the introduction of compulsory super in July 1992, the median growth fund has returned 7.9% p.a. The annual CPI increase over the same period is 2.7%, giving a real return of 5.2% p.a. – well above the typical 3.5% target. Even looking at the past 20 years, which includes three major share market downturns – the GFC in 2007-2009, COVID-19 in 2020, and the high inflation and rising interest rates in 2022 – super funds have returned 6.5% p.a., which is still ahead of the typical objective.”