It always makes sense until it doesn’t. The several decades-old superfund strategies of cheating new members by owning lots of commercial property has run its course:
The chief investment officer of Australia’s biggest super fund has a “negative outlook for property”, with his fund holding a smaller portion of unlisted assets in the historically popular sector than other industry funds.
“The impact of higher interest rates on valuations across all sectors and the ongoing structural headwinds from ‘work from home’ for offices and online retail mean the outlook for the asset class, in our view, remains very challenged,” AustralianSuper CIO Mark Delaney said.
