Caution Before Aggression

Sun Herald

Sunday February 27, 2000

GEORGE COCHRANE

I HAVE had money invested in a Westpac Approved Deposit Fund since 1992 but the fund has not been performing as well as I had hoped. I am interested in rolling the money over to either the RBF or the Commonwealth Bank's Growth Fund.

SH, Burnie

BY RBF, I suspect you mean the Tasmanian Government Retirement Benefits Fund and the best place to get information on that is from your own advisory office.

But we can compare the CBA's Personal Super & Rollover Fund's growth option with similar funds from BT and Colonial First State.

Morningstar Research reports that the CBA growth fund earned 6.8pc in the last 12 months.

In the same period, the BT's Lifetime Super Future Goals Fund (which only has reports for 12 months) returned 11.3pc, while the CFS Rollover & Super High Growth Fund has been going for less than 12 months and reports an 11.4pc return over six months.

We are not so much comparing the worth of the fund managers but rather how each manager has handled the volatile markets in the past year.

You may not be able to, or wish to, withdraw the money from the super system but you can switch it between super funds, So there is nothing to stop you rolling it over into another super fund or ADF.

But I wouldn't be in a hurry to invest in aggressive funds at the moment.

© 2000 Sun Herald

Back to News Index | Back to Home