Catholic super fund tells members not to panic
Despite the Australian share market's plummet to its worst day in 10 years wiping billions from superannuation funds, Catholic Super and Retirement Fund (CSRF) has advised members not to panic but rather to look to the long term in regards to their Super.
In light of the ASX dropping a massive 7 per cent yesterday and fears of a US recession, a statement on the CSRF website has advised members while the figures may paint a grim picture, investing in share markets should be seen as a long term proposition.
"All this bad news has created a negative sentiment in all share markets, resulting in heavy selling by investors. Other asset classes have not been immune from this sell off. This is why returns in most investment sectors have been negative in recent months," the statement said.
"This increase in share market volatility follows three years of very strong returns in all markets.
"For example, although the Australian share market has fallen by 20% from its late 2007 peak, it is now back to its level of 12 months ago."
The statement further reassures members that CSFR pre-mixed investment options are invested across a broad range of asset classes including equities, bonds, infrastructure and property.
"Investment in a broad range of asset classes helps to lower overall risk as prices for these assets can move differently.
"We remain committed to managing a well-diversified portfolio designed to provide good returns over the longer term."
CSFR is Australia's largest Catholic superannuation fund.
Latest news - What has been happening in world financial markets? (CSRF website 23/01/08)
Horror day for Australian Share Market (News.com 22/01/08)
LINKS (not necessarily endorsed by Church Resources)
Catholic Super and Retirement Fund
Catholic super fund seeks better retirement returns (CathNews 26/10/06)
Super fund gets licence to serve wider Catholic community (CathNews 16/11/05)
23 Jan 2008