Hostplus delivers positive returns through active management

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In fiscal 2021-22, Hostplus generated a positive return of 1.57% for members in its Balanced option (MySuper), using active management strategies to navigate challenging global investment markets.

We are very proud to be able to deliver this return to the over 85% of Hostplus members invested in the balanced option, especially in a year when the industry median return for MySuper is expected to be in negative territory, according to SuperRatings estimates. . .*

By actively managing and applying strategic asset allocation to perform in different market conditions, we can smooth out long-term returns, unlike some of the lower cost passive products in the market which are more exposed to market movements.

With greater volatility anticipated in the coming years, we encourage pension fund members to clearly understand their underlying fund investment strategies and not focus solely on cost. Funds that adopt cheap and inactive strategies have the potential to find themselves vulnerable to sharp market declines.

As of May 31, 2022, nearly 40% of our Default Balanced Option is invested in unlisted assets such as real estate, infrastructure and private equity, including venture capital, and we believe these constitute a great way to spread investment risk and stabilize our investment portfolio.

Hostplus also achieved a positive return of 2.36% for its Socially Responsible Investment (SRI) option. That same year, we announced our commitment to Net Zero 2050, further highlighting the role active management can have in driving strong returns.

We are pleased to be able to let members choose where to invest their money, while delivering a positive net return in fiscal year 2021-22.

Hostplus manages over A$86.6 billion in retirement savings on behalf of over 1.5 million members, as of June 30, 2022.

* Source: SuperRatings estimates as of July 7, 2022 https://www.lonsec.com.au/super-fund/2022/07/07/media-release-1-of-super-invested-in-1992-estimated-vaudra -7-67-30-years-after-the-introduction-of-the-super-guarantee/. Annual return of the Hostplus Balanced option (My Super) until June 30, 2022.

The annual return of Hostplus Balanced (My Super) Option since its inception (March 1988) until June 30, 2022 is 8.787%.

Issued by Host-Plus Pty Limited ABN 79 008 634 704, AFSL 244392 as trustee of the Hostplus Superannuation Fund (the Fund) ABN 68 657 495 890, MySuper No 68 657 495 890 198.

This information is general advice only and does not take into account your personal goals, financial situation or needs. You should determine whether this information is appropriate for you in light of your circumstances before acting on it. Please read the relevant Hostplus Product Disclosure Statement (PDS) available at hostplus.com.au before making any decision about Hostplus. For a description of the target market, please read the Target Market Determination (TMD), available at hostplus.com.au.

Past performance is not a reliable indicator of future performance and should never be the only factor considered when selecting a superannuation fund.

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