Best of the Best 2023: Best-Value Super Fund for Young People
The Best-Value Super Fund for Young People category is judged on products that deliver the best value to members aged 25 who have a $5000 account. This year's winner, Aware Super, delivered strong five-year returns averaging 6.7%pa and competitive fees.
"As a fund for all Australians, we're driven to build a better future for everyone - and by the vision that all Australians will look forward to a comfortable and dignified retirement," says Yasmin Stark, head of youth at Aware Super.
"Under our lifecycle approach, younger members have more growth assets in their portfolio, boosting the growth potential of their super."
This reflects the fact that younger people have a long investment horizon to retirement, so they can take greater risks, says Stark.
Aware attracts younger members in several ways, including word of mouth, which Stark says plays an important role. "The performance and value provided by our MySuper lifecycle product is key to this, along with our evolving digital services, our size and scale, and our investment strategy.
"Our app has won three major design awards in as many years, and we have other initiatives to put digital at the forefront of how our members can engage with us to get the information and help they need anywhere, anytime."
The app, which was designed by Aware members, enables them to be connected to their super at any time and in any place. They can see their balance, transactions and fees, search for and consolidate their super, view and change their investments, and estimate their future balance using the projection calculator.
Aware's investment team focuses on investments that improve communities, the economy and the environment while also delivering strong long-term returns, says Stark.
"We know our younger members love this strong responsible ownership ethos.
"We also engage with young members on social channels and by email on key topics. Examples include the importance of combining your super to reduce fees and maximise your return potential, how even small additional contributions can have a big impact on your super savings, and other superannuation help and education topics."
Aware also provides help and education content on its website and through webinars, on topics such as how super works, how your super is invested and home-buying basics, including the First Home Super Saver Scheme, says Stark.
This product is invested in a wide array of assets, including public markets (listed shares and government bonds,) private companies (both equity and debt) and real assets, such as property, infrastructure and agriculture.
Assets are managed both internally (more than 30%) and by external experts. "Our internal investment capability helps us keep fees down and enables us to find unique opportunities and make more informed and timely investment decisions by drawing on higher-quality market insights," says Stark.
Aware's scale and global relationships enable it to participate in some of the leading private transactions and opportunities in the world, says Stark.
"We aim to only take on risk where we believe it will be adequately rewarded, and our responsible ownership approach - which permeates all our investment decisions - is a key driver of long-term value creation and manages risk."
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