First published: August 21
With the Australian share market experiencing its worst day in 18 months last week and fears a recession could be on the way, LGIAsuper has a very clear message for super investors looking to grow their savings over the long-term: don’t panic.
According to LGIAsuper’s investment experts, if you have a balanced approach to risk, it is not recommended to switch to a cash or low-risk investment option during a volatile period like this one.
CEO Kate Farrar said while protecting yourself on the ‘down side’ could be tempting, doing so could also wipe out any prospect of generating significant returns on the ‘up side’ when the markets eventually recovered.
“When the market is moving around, staying strong in your investments can help ensure your super performs over the long term,’ Ms Farrar said.
“It can be tough to watch your super balance going down in the short-term, but the most important thing is not to panic.
“At LGIAsuper, we design our investment options to give our members a balanced approach to different markets over time, and to make sure the whole portfolio performs over a five-year timeframe.
“Having your portfolio spread across different markets such as shares, property and infrastructure is an important part of helping to reduce the impact of big market movements at any point in time.”
At LGIAsuper, we understand how world events can impact the super savings of members. If you have concerns, our Advice team can guide you through our investment strategies and help you make the best decision for your personal situation.
Call us today on 1800 444 396.