Median Aust managers post negative June returns
The median Australian share manager produced a negative return for the month of June holding back their overall yearly performance, according to Morningstar.
As part of its Institutional Sector Survey, Morningstar found, the median Australian share fund manager recorded a fall of 5.3 per cent over June which was in line returns for the index, and contributed to a return for the financial year of 6.8 per cent.
This was down on longer-term annualised returns of 16.3 per cent over three years and 10.4 per cent over five years.
Bennelong Concentrated, Macquarie High Conviction and Lazard Select were the best performing Australian share strategies with 16.9 per cent, 14.2 per cent and 12.2 per cent respectively.
However these were easily overtaken by global share fund managers with the median manager returning 26.5 per cent on an unhedged basis however individual results ranged widely from 40 per cent to 9.8 per cent with the best performing global share funds were Antipodes (40.0 percent), Carnegie (38.0 percent), and Magellan (31.8 percent).
The median results were in line with longer term results over the past three years which were also at 26.5 per cent and at 15.6 per cent for the five years to 30 June 2015.
Global equities continued to lead their Australian counterpart returning 25.2 per cent compared with 5.6 per cent while Australian listed property returned 20.3 per cent, and global listed property returned 9.3 per cent.
Morningstar also found that super funds across the board posted negatives returns over the month of June with the median fund dipping into negative territory for third time in the past 12 months.
As part of its Australian Superannuation Survey, which covers the performance of for-profit and industry superannuation funds to 30 June 2015, Morningstar said the median growth fund failed to reach double-digit returns over that time period, due to the poor June results, posting 9.9 per cent over the financial year. However over three years median returns were 13 per cent and 9.5 per cent over five years to the end of June.
According to Morningstar, the best performing growth superfunds to the end of June 2015 were Legg Mason Growth with 12.7 per cent returns, AMP Balanced Growth with 12.5 per cent returns, and AMP Capital FD Balanced with 11.5 per cent returns.
The Legg Mason Growth fund had the highest allocation to Australian shares at 46.2 per cent, followed by Legg Mason Balanced (39.7 per cent), and Energy Super SRI Balanced (36.0 per cent) despite Morningstar finding that Australian shares lagged behind three other asset classes for performance.
AUTHOR
Jason Spits
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