Understanding the recent market volatility

The recent rollout of US President Trump’s new trade policy has rattled share markets. The United States’ imposition of tariffs – a tax on imports – has triggered higher market volatility and increased concerns that the US economy might be headed towards recession.

These events serve as a reminder that macroeconomic factors are ever present, sometimes with more force than usual, like now.

What does this market volatility mean for you and your super savings?

In times like these, it’s natural to feel uneasy when headlines emphasise uncertainty. However, it’s important to remember that super is a long-term investment.

History shows that markets tend to recover and grow over-time. Staying invested allows your super to benefit when markets bounce back.

Our approach to investing is designed to weather such periods of volatility by maintaining a focus on sustained growth and stability over the long-term.

How we are managing your retirement savings in times of market uncertainty

Our ANZ Smart Choice Super Lifestage investment options – where the majority of our members are invested - is continually reviewed to ensure the options remains well-positioned for changing market environments, like we are witnessing now.

The Lifestage investment options are well diversified with exposure spread across a mix of growth, defensive and alternative asset classes including unlisted assets like property, infrastructure and private credit. The investment in alternative and unlisted assets provides valuable diversification benefits as these assets typically provide predictable, stable long term cashflows which are less sensitive to economic and share market volatility.

In addition, the allocation to these classes will automatically adjust, becoming more conservative over time as each member cohort gets closer to retirement. In this way, the Lifestage investment options aim to help members preserve their capital and reduce the volatility of their returns as they near retirement.

Staying the course and focusing on long-term returns

While market fluctuations can be unsettling, staying calm and focused on long-term goals is essential.

Our investment approach helps to ensure your super is positioned to endure short-term challenges while striving for steady growth in the years ahead.

We believe that being agile, selective and opportunistic is important in navigating the volatility that is likely to occur in markets over the coming months.

Our disciplined, research-driven investment process – backed by rigorous governance and active portfolio management – helps to ensure your retirement savings are strategically positioned to pursue growth while navigating market challenges with prudence.

We are well-equipped to guide portfolios through times like these

We are leaning on our deep experience of managing through past market events like the COVID-19 period, and the 2008/09 Global Financial Crisis. We navigated our clients’ investments through these highly disruptive episodes and are confident that the skills, knowledge, and judgment across our investment team will again prove to be up to the challenge this time.

Finally, it's important to remind investors that while short-term market fluctuations can happen, our focus remains on delivering sustainable long-term growth.