09/08/2023
💸 𝗪𝗵𝘆 𝘆𝗼𝘂𝗿 𝗦𝘂𝗽𝗲𝗿𝗮𝗻𝗻𝘂𝗮𝘁𝗶𝗼𝗻 𝗳𝘂𝗻𝗱 𝘄𝗶𝗹𝗹 𝗳𝗮𝗶𝗹 (𝗮𝗻𝗱 𝗵𝗼𝘄 𝘁𝗼 𝟯𝟬𝟬𝘅 𝘆𝗼𝘂𝗿 𝗿𝗲𝘁𝘂𝗿𝗻𝘀)
To understand why your super fund will fail to deliver is as simple as asking three very simple questions we ask all Super funds, and the answers should make you very nervous.
1. What outcome is Superannuation designed to achieve
2. What strategy are they using to achieve this outcome
3. Will this strategy work (spoiler alert…it won’t)
⚠️ 𝗦𝘂𝗽𝗲𝗿𝗮𝗻𝗻𝘂𝗮𝘁𝗶𝗼𝗻: 𝗔 𝗛𝗮𝗿𝘀𝗵 𝗥𝗲𝗮𝗹𝗶𝘁𝘆 𝗖𝗵𝗲𝗰𝗸
Last year, millions of Australians received a harsh wake-up call about how their Super funds poor financial management was killing their dreams of retiring.
• 𝟭𝟱𝟬 𝗕𝗜𝗟𝗟𝗜𝗢𝗡 𝘄𝗮𝘀 𝘄𝗶𝗽𝗲𝗱 𝗼𝗳𝗳 𝗔𝘂𝘀𝘁𝗿𝗮𝗹𝗶𝗮𝗻𝘀 𝗦𝘂𝗽𝗲𝗿𝗮𝗻𝗻𝘂𝗮𝘁𝗶𝗼𝗻 𝗯𝗮𝗹𝗮𝗻𝗰𝗲𝘀.
• 𝗧𝗵𝗲 𝗳𝗶𝗻𝗮𝗻𝗰𝗶𝗮𝗹 𝘄𝗮𝘁𝗰𝗵𝗱𝗼𝗴 𝗔𝗣𝗥𝗔 𝗿𝗲𝘃𝗲𝗮𝗹𝗲𝗱 $𝟰.𝟮 𝗕𝗜𝗟𝗟𝗜𝗢𝗡 𝗶𝗻 𝗦𝘂𝗽𝗲𝗿 𝗮𝗿𝗲 𝗵𝗲𝗹𝗱 𝗶𝗻 𝗳𝘂𝗻𝗱𝘀 𝘁𝗵𝗮𝘁 𝘄𝗲𝗿𝗲 𝘀𝗲𝘃𝗲𝗿𝗲𝗹𝘆 𝘂𝗻𝗱𝗲𝗿𝗽𝗲𝗿𝗳𝗼𝗿𝗺𝗶𝗻𝗴.
• 𝗦𝗼𝗺𝗲 𝗼𝗳 𝗔𝘂𝘀𝘁𝗿𝗮𝗹𝗶𝗮’𝘀 𝗺𝗼𝘀𝘁 𝗽𝗼𝗽𝘂𝗹𝗮𝗿 𝗮𝗻𝗱 𝘄𝗲𝗹𝗹-𝗸𝗻𝗼𝘄𝗻 𝗳𝘂𝗻𝗱𝘀 𝗽𝗼𝘀𝘁𝗲𝗱 𝗹𝗼𝘀𝘀𝗲𝘀 𝗼𝗳 -𝟭𝟰%
• 𝗠𝘆𝗦𝘂𝗽𝗲𝗿 𝗽𝗿𝗼𝗱𝘂𝗰𝘁𝘀 (𝗮𝗽𝗽𝗮𝗿𝗲𝗻𝘁𝗹𝘆 𝘁𝗵𝗲 𝘀𝗮𝗳𝗲𝘀𝘁 𝗼𝗽𝘁𝗶𝗼𝗻𝘀) 𝗽𝗹𝘂𝗻𝗴𝗲𝗱 𝗯𝘆 𝗮 𝗺𝗮𝘀𝘀𝗶𝘃𝗲 -𝟱.𝟭%.
• 𝗜𝗻𝗳𝗹𝗮𝘁𝗶𝗼𝗻 𝗿𝗶𝘀𝗶𝗻𝗴 𝘁𝗼 𝗮 𝗿𝗲𝗰𝗼𝗿𝗱 𝗵𝗶𝗴𝗵 𝗼𝗳 𝟳% 𝗺𝗲𝗮𝗻𝘀 𝘆𝗼𝘂𝗿 𝗺𝗼𝗻𝗲𝘆𝘀 𝗽𝘂𝗿𝗰𝗵𝗮𝘀𝗶𝗻𝗴 𝗽𝗼𝘄𝗲𝗿 𝘄𝗮𝘀 𝗲𝘃𝗮𝗽𝗼𝗿𝗮𝘁𝗲𝗱.
• 𝟵𝟳 𝗳𝘂𝗻𝗱𝘀 𝗳𝗮𝗶𝗹𝗲𝗱 𝘁𝗵𝗲 𝗔𝗣𝗥𝗔 𝘁𝗲𝘀𝘁.
• 𝟭𝟬𝟬’𝘀 𝗼𝗳 𝗽𝗿𝗼𝗱𝘂𝗰𝘁𝘀 𝗮𝗻𝗱 𝗶𝗻𝘃𝗲𝘀𝘁𝗺𝗲𝗻𝘁 𝗼𝗽𝘁𝗶𝗼𝗻𝘀 𝗮𝗹𝘀𝗼 𝗳𝗮𝗶𝗹𝗲𝗱 𝘁𝗵𝗲 𝘀𝗮𝗺𝗲 𝗿𝗶𝗴𝗼𝗿𝗼𝘂𝘀 𝘁𝗲𝘀𝘁𝗶𝗻𝗴.
💡 𝗦𝗼 𝗵𝗼𝘄 𝗺𝘂𝗰𝗵 𝗱𝗶𝗱 𝘆𝗼𝘂 𝗿𝗲𝗮𝗹𝗹𝘆 𝗹𝗼𝘀𝗲?
For a 45-year-old with $250,000 in Super with a major fund like Australian Super, on an income of $120,000, this is the equivalent of losing $30,000 in 12 months, an average loss of $600 a week.
That figure reinvested at an 8% return over the following 22 years equates to over $170,000 extra in your Super when you retire.
That is the equivalent of losing almost 15 years worth of contributions in the space of 12 months!!
So why didn’t Super funds do anything to protect their members from such massive losses, and why are they failing to deliver results in anything other than a bull market?
❌ 𝗪𝗵𝘆 𝘆𝗼𝘂𝗿 𝗦𝘂𝗽𝗲𝗿 𝗳𝘂𝗻𝗱 𝗿𝗲𝗳𝘂𝘀𝗲𝘀 𝘁𝗼 𝗽𝗿𝗼𝘁𝗲𝗰𝘁 𝘆𝗼𝘂𝗿 𝗺𝗼𝗻𝗲𝘆 𝗮𝗴𝗮𝗶𝗻𝘀𝘁 𝗹𝗼𝘀𝘀𝗲𝘀
99% of people we speak to assume their Super fund manages their money through market cycles, but 100% of all standard, retail and industry superannuation funds operate with no goal of outperforming the market, and they have absolutely no plan of action when times are bad.
It is a set-you-and-forget-you strategy, where it’s up to you to follow the markets and contact them to make the appropriate instructions on what you want them to do with your money, when times are bad, and then again when times are good.
⏳ 𝗪𝗵𝘆 𝘁𝗵𝗲 𝗼𝗹𝗱 𝗮𝗽𝗽𝗿𝗼𝗮𝗰𝗵 𝗶𝘀 𝗳𝗮𝗶𝗹𝗶𝗻𝗴
Super was implemented in 1992, and at that time there had only been one crash since the great depression. This puts just 2 crashes in the proceeding 120 years, making a catastrophic downturn a 1 in 60-year event.
Fast forward to today, and we see 3 major crashes in 20 years.
Thats one every 6.7 years!!
To understand why this is important you need to understand that when Super was implemented in 1992, there had been one major stock market crash (Black Monday in 1987) since the great depression of 1929, so the set and forget approach seemed like it could work.
But just a few years later in 2000 we saw the tech bubble crash which resulted in the S&P 500 falling by more than 50%
In 2008 we had the subprime mortgage collapse that saw the S&P fall by 56.8%
In 2020 we had an unprecedented pandemic that wiped out 34% off the S&P and then inflation that stands at a whopping 7% which degraded the purchasing power of any funds you had left.
In essence we are 9X more likely to experience a major adverse financial event in this century as opposed to when Super was initially implemented.
This strategy of not making adjustments to how your Super is invested was bearable when a downturn was a 1 in 60 year event, but when it’s a one in 6.7 year event you can start to see why the old strategy isn’t working anymore.
🔥 𝗪𝗵𝘆 𝘆𝗼𝘂 𝗰𝗮𝗻'𝘁 𝗮𝗳𝗳𝗼𝗿𝗱 𝘁𝗼 𝗹𝗲𝗮𝘃𝗲 𝘆𝗼𝘂𝗿 𝗦𝘂𝗽𝗲𝗿 𝘄𝗶𝘁𝗵 𝗻𝗼 𝗮𝗰𝘁𝗶𝘃𝗲 𝗿𝗶𝘀𝗸 𝗺𝗮𝗻𝗮𝗴𝗲𝗺𝗲𝗻𝘁
At the end of the day, your fund is assuming your completely ok with how they are treating your plans for retirement, why else would you stay?
But when there are options out there that in the same time frame had returns of 10-15%, equating to a 300-400% increase in performance in a 12 month period, why would you?
As an example, that same $250,000 balance referenced earlier, posting a loss of $30,000, would have made a profit of $32,375, and that’s factoring in inflation and just a 10% return.
That’s an extra $62,375 in one 12 month period.
That money, once again reinvested at 8%, over a 22 year period stands at an incredible $360,000+
Why would you leave your retirement in the hands of people who don’t manage money, and provide zero active risk management to protect you from losses when markets turn sour?
🤔 𝗛𝗼𝘄 𝗺𝘂𝗰𝗵 𝗱𝗼 𝗜 𝗮𝗰𝘁𝘂𝗮𝗹𝗹𝘆 𝗻𝗲𝗲𝗱?
The Association of Superannuation Funds of Australia March 2023 figures state individuals and couples around age 65, who own their own home outright, need an annual income of around $50,000 or $70,000 respectively to fund a comfortable lifestyle.
This equates to $1,000,000+ if your single and $1,400,000+ if you’re a couple.
But according to KPMG data, Australian men aged 60 to 64 years have Super balances of just $204,107 with similar aged women faring even worse with balances of $146,900.
This means a couple retiring at 65 would have just $351,007 in Super and run out of money in under 5 years, and if your single it’s even worse with the average payout lasting between 3-4 years.
The grim reality: Most people relying on standard Super funds will run out of money shortly after retirement, leaving them on a government pension after contributing hundreds of thousands of dollars to underperforming Super funds and then losing hundreds of thousands in fees and unnecessary losses.
📌 𝗛𝗲𝗿𝗲 𝗮𝗿𝗲 𝘁𝗵𝗲 𝗺𝗮𝗶𝗻 𝘁𝗮𝗸𝗲𝗮𝘄𝗮𝘆𝘀
𝟵𝟵% 𝗼𝗳 𝗦𝘂𝗽𝗲𝗿 𝗳𝘂𝗻𝗱𝘀 𝗱𝗼𝗻’𝘁 𝗺𝗮𝗻𝗮𝗴𝗲 𝗺𝗼𝗻𝗲𝘆: Your standard industry and retail funds don’t manage your money, they leave that job up to you.
𝗭𝗲𝗿𝗼 𝗿𝗶𝘀𝗸 𝗺𝗮𝗻𝗮𝗴𝗲𝗺𝗲𝗻𝘁: No active risk management means when the stock market falls like it did in 2022 they just watch as your balance falls and make zero effort to remedy the situation.
𝗭𝗲𝗿𝗼 𝗽𝗲𝗿𝗳𝗼𝗿𝗺𝗮𝗻𝗰𝗲 𝗺𝗮𝗻𝗮𝗴𝗲𝗺𝗲𝗻𝘁: As markets change from boom to bust, they make no effort to diversify the way your moneys invested. Whether the market is falling, or rising, your Super fund is do nothing to mitigate risk or maximise your opportunities to make solid returns when they present themselves.
𝗥𝗲𝘁𝘂𝗿𝗻𝘀 𝗮𝗿𝗲 𝗻𝗼𝘁 𝗮 𝘁𝗿𝘂𝗲 𝗿𝗲𝗳𝗹𝗲𝗰𝘁𝗶𝗼𝗻 𝗼𝗳 𝗽𝗲𝗿𝗳𝗼𝗿𝗺𝗮𝗻𝗰𝗲: When inflation is 7%, your fund must make this at a minimum just to not go backwards.
Super funds don’t factor in inflation when posting returns, and when you factor in inflation rising above 4% on multiple occasions since 2000, you can start to see why your super fund is not telling the whole truth when it comes to the real effect of inflation on the purchasing power of your money.
𝗥𝗲𝘁𝗮𝗶𝗹 𝗮𝗻𝗱 𝗜𝗻𝗱𝘂𝘀𝘁𝗿𝘆 𝗳𝘂𝗻𝗱𝘀 𝗮𝗿𝗲𝗻’𝘁 𝗰𝘂𝘁𝘁𝗶𝗻𝗴 𝗶𝘁: These funds lost the most amount of money in 2022. They left their members funds over exposed to massive losses when the market was obviously heading in the wrong direction, provide retail rates of returns instead of wholesale, provide no active risk management and wear no accountability for how your Super fund is performing.
✨ 𝗪𝗮𝗻𝘁 𝘁𝗼 𝗸𝗻𝗼𝘄 𝘄𝗵𝗶𝗰𝗵 𝗼𝗽𝘁𝗶𝗼𝗻𝘀 𝗼𝘂𝘁𝗽𝗲𝗿𝗳𝗼𝗿𝗺𝗲𝗱 𝘀𝘁𝗮𝗻𝗱𝗮𝗿𝗱 𝗦𝘂𝗽𝗲𝗿 𝗳𝘂𝗻𝗱𝘀 𝗯𝘆 𝟯𝟬𝟬%?
Don’t limit yourself to the over bloated, underperforming Superannuation funds that have been spending their members money on marketing and advertising, while losing $150 Billion of their members money in 12 months.
Our network can give you direct access to options that you can’t access as a standard retail investor looking to boost your Supers performance.
We have a foolproof process that has been developed specifically to meet the changing economic landscape that awaits us, and adapt it to current day scenarios, not what the global economy looked like in 1992.
🛠 𝗛𝗼𝘄 𝗱𝗼𝗲𝘀 𝗶𝘁 𝘄𝗼𝗿𝗸?
While many superannuation experts charge upfront fees ranging from $3,000-$7,000 to access these funds, our network will provide you with a full Superannuation comparison report, comparing your current Superfund to 1000+ other options not usually accessible as a retail investor, at no cost and with no obligation.
The report will include a how-to guide on how you can:
𝗔𝗰𝗰𝗲𝘀𝘀 𝗛𝗶𝗴𝗵-𝗣𝗲𝗿𝗳𝗼𝗿𝗺𝗶𝗻𝗴 𝗙𝘂𝗻𝗱𝘀: Utilising insights like those from our national network can identify and tap into top-performing funds in the market, offering much better returns than most standard industry and retail funds.
𝗔𝗰𝗰𝗲𝘀𝘀 𝗪𝗵𝗼𝗹𝗲𝘀𝗮𝗹𝗲 𝗥𝗲𝘁𝘂𝗿𝗻𝘀: Typically accessible only to sophisticated investors, these funds consistently outperform standard options, offer robust risk management, and have reduced fees due to the absence of retail intermediaries.
𝗔𝗰𝘁𝗶𝘃𝗲 𝗠𝗮𝗻𝗮𝗴𝗲𝗺𝗲𝗻𝘁: Regular oversight and timely updates of your investments ensures you maximise your ability to protect yourself from losses while also identifying high growth opportunities when they present themselves.
𝗖𝗼𝗻𝘀𝘁𝗮𝗻𝘁 𝗥𝗲-𝗲𝘃𝗮𝗹𝘂𝗮𝘁𝗶𝗼𝗻: When was the last time your Super company called you? Major life changes can serve as indicators to re-evaluate and adjust super strategies and contributions. An annual review is also included as a part of the service they provide to keep you up to date with any changes you need to know about.
𝗘𝘅𝗽𝗲𝗿𝘁 𝗚𝘂𝗶𝗱𝗮𝗻𝗰𝗲: Employing experts, means you’re getting the best possible advice, from industry experts, without cost or obligation.
𝗧𝗮𝗶𝗹𝗼𝗿𝗲𝗱 𝗦𝘂𝗽𝗲𝗿 𝗦𝘁𝗿𝗮𝘁𝗲𝗴𝗶𝗲𝘀: Having an understanding of your individual dreams and goals, financial positions, and risk appetites, leads to tailored super recommendations that are a perfect fit for where you are today, and where you want to be when your retired.
𝗛𝗮𝗿𝗻𝗲𝘀𝘀 𝗖𝗼𝗺𝗽𝗼𝘂𝗻𝗱𝗶𝗻𝗴: Initiating early can lead to considerable wealth accumulation due to compound interest. Get in early and watch your Super balance explode!
🌐 𝗖𝗼𝗻𝗰𝗹𝘂𝘀𝗶𝗼𝗻
While it's easy to feel disheartened by 2022’s results, remember that knowledge is power.
By understanding all the options available to you, you can take control of your Super in a way you hadn’t imagined before with results that will give you the best possible transition into a smooth and comfortable retirement.
Contact us today and access your very own custominsed Superannuation comparison for free.
Don't be a victim of the financial markets; be its master.
The choice is yours.
