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Possible to mimic Superannuation investments?

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Im as rookie as it comes but do know our Super returns average 12%. Is there a way we can mimic our super default investments or is that somehow illegal or just impossible without insider trading?
 

Value Collector

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Re: Possible to mimic Superannuation investments

Im as rookie as it comes but do know our Super returns average 12%. Is there a way we can mimic our super default investments or is that somehow illegal or just impossible without insider trading?

it all depends what investments you have in your super, Do you know what your super in invested in?

eg, if it actually states in you super information which managed funds they have your money allocated to it would be just a matter of mirroring that allocation.
 

DeepState

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Re: Possible to mimic Superannuation investments

Im as rookie as it comes but do know our Super returns average 12%. Is there a way we can mimic our super default investments or is that somehow illegal or just impossible without insider trading?

I imagine that you are in an industry super fund given the mention of a default option. Your super fund may already be an open offer fund in which you can just invest into a similar/exact replica. The outcome will differ depending on tax rate.
 
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Im as rookie as it comes but do know our Super returns average 12%. Is there a way we can mimic our super default investments or is that somehow illegal or just impossible without insider trading?

It's really important to understand that "super" is not an investment, it's a tax structure.

You put money into super, and it's granted tax concessions. Once it's in there, it can be invested in all the same stuff it can be invested in outside of super - term deposits, shares, funds, property, etc (a couple of things it can't be invested in, but that's beside the point).

The ASX200 grew 12.5% last year not counting dividends. If you bought an ASX200 ETF (very easily done), it would have returned around 16.5% including divs - whether that's inside super or outside. If you put money in term deposits, it would have returned maybe 4%,- whether inside or outside super.

The only difference with super is some tax concessions in return for sacrificing access and trusting future governments.
 
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If you're after a similar return to the returns you achieve through super, you'll want to look at the asset allocation for the investment option you've selected. You can then find a managed fund with similar exposure across asset classes and invest there.

For example, if your super fund is Australian Super and invested in the default 'MySuper Balanced' option, you can see how your superannuation is invested here. All superannuation fund providers will have this kind of information on their website.

If you want to invest with similar risk/return characteristics outside of super, you can browse through the large range of retail Managed Funds until you find one with similar asset allocation and fees.

There are other factors which affect your returns, i.e. tax rates, quality of fund manager, investment strategy etc. but doing this bit of research will give you a starting point, and help you understand how your superannuation is invested.
 

So_Cynical

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Super returns average 12%. Is there a way we can mimic our super default investments

Balanced Option - Average 12% over the last 10 years or 2 years, not possible in-between..similar result can be had with an index fund - ETF.
 
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+1 to what others have said. All you need to do is replicate the same underlying investments.

Some super funds do offer the option of investing with them in the exact same funds, but outside of the super system as such. That ought to give the same returns, apart from tax differences, as the fund is achieving with your superannuation. Failing that, you could simply find out what they are invested in and replicate it via ETF's, managed funds etc - fairly straightforward unless the fund has direct investments (eg direct ownership of property) that aren't generally available. But you could certainly replicate most of it.
 
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