Unlisted assets will cushion AI volatility
AFR – 21 November 2025
SuperRatings director Kirby Rappell said communicating with members about volatility was a growing challenge for funds as superannuation balances grew and members became more engaged.
“We are at a really interesting place in superannuation, as we have seen more lifecycle options and passive options in the market,” he said. “Many of those will naturally have higher exposure to listed equities, especially for younger members.
“Conversely, for some, there will be other funds that have more money in infrastructure and property, so there is probably less exposure to the market reaction there.”
Rappell said that, after a long stretch without a sustained downturn in markets, “there will always be some nervousness or move to cash when we know people who do that miss out in the long run”.
“We’ve been blessed with relatively little volatility for quite a while, but each time something like this happens, it gets harder, especially as super balances become bigger and bigger.”
