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Super balances grow for another year as funds deliver solid returns

Aware Super

Super balances grow for another year as funds deliver solid returns

16 July, 2026

Australians’ retirement savings have grown for another year, with most super funds delivering solid returns for the 2025/26 financial year, despite ongoing market volatility.

Positive returns, alongside ongoing contributions, continue to build members’ balances over time - reinforcing super’s role as a long-term wealth builder that continues to outpace inflation.

Aware Super Head of Investment Strategy Michael Winchester said resilient investment strategies and diversified portfolios have helped most super funds keep members’ savings growing in real terms.

“We all notice the cost of a cup of coffee going up - that’s inflation in action,” Mr Winchester said.
“The good news is that for most Australians in diversified options, super returns have continued to outpace inflation over the long term. And with another year of positive returns, members are continuing to make real progress with their retirement savings.”

Aware Super modelling shows that for a typical young member, investment returns are expected to make up around 50% of her super balance at retirement.*

Winchester said that despite periods of global market volatility and shifting economic conditions, super funds have remained focused on long-term outcomes rather than short-term fluctuations.

“Strong long-term strategies have helped Australia’s super pool grow to around $4.5 trillion - one of the largest in the world,” Mr Winchester said. “We’ve also continued to invest in areas such as infrastructure, energy and housing.”

The continued growth highlights the strength of Australia’s compulsory super system, which has consistently delivered value for members over time.

Our modelling also shows that members invested in our most popular retirement option, Conservative Balanced, can receive around 35% more income from their super compared to holding their savings in a standard bank account.^ This reflects the additional earnings generated on invested savings during retirement.

Mr Winchester explained that as the system has matured, so has the way in which super funds need to think about investing members money.

"There's no one-size-fits-all when it comes to super. What a 25-year-old needs from their investments is very different to what someone approaching retirement needs - and our Lifecycle design is built around that,” said Mr Winchester. “By tailoring the investment mix to each stage of a member's life, we can help maximise retirement outcomes while managing risk along the way."

Unlike traditional options, which invest all members the same way regardless of age, lifecycle investing shifts your mix over time - balancing growth and risk depending on where you are in life.

“Short-term returns will always vary, but the story of super is one of steady, long-term growth. Staying invested and engaged with your super can make a meaningful difference over time.”

Media contact
Aware Super Senior Media Manager, Sarah Goodwin 0401 769 296

*This is based on superannuation balance projections for our typical female member at age 25 at the start of FY26 projected to retirement age 67, invested in the Aware Super MySuper Lifecycle strategy. Net investment return is based on CPI+ objectives, which is 6.5% before age 55, reducing to 5.25% between the ages 56-65 (inclusive) and 5.25% from age 65 onwards (after investment fees and tax and admin fees). Results are based on today's dollar deflated using Average Weekly Ordinary Time Earnings (AWOTE) at 3.7% p.a. These projections are estimates and not guaranteed. The actual amount of money you will get in your retirement may be very different from the estimates.

^This is based on the projections for our typical female retired member from age 67 to age 95, invested in the Conservative Balanced option compared with investing in Cash. Net investment return is 5.75% for the Conservative Balanced option and 3.0% for Cash option. Results are based on today's dollar deflated using price-inflation of 2.5% p.a. for retirement. Age Pension (February 2026 rates) is included in the projection of retirement income with the assumption of single and homeownership. These projections are estimates and not guaranteed. The actual amount of money you will get in your retirement may be very different from the estimates. The estimate does not consider any other superannuation accounts that you may hold or other assets that you own.  

Issued by Aware Super Pty Ltd ABN 11 118 202 672, AFSL 293340, the trustee of Aware Super ABN 53 226 460 365. General advice only. Consider your objectives, financial situation, or needs, which have not been accounted for in this information and read the PDS and TMD at aware.com.au/PDS

About us:

About Aware Super

Aware Super is one of Australia’s largest profit-to-member superannuation funds, investing around $245 billion (as of June 2026) around the world on behalf of our 1.2 million members. We strive to deliver strong long-term returns for our members and the help, guidance and advice they need to prepare for and enjoy their best possible retirement. Visit aware.com.au

Contact details:

Media contact
Aware Super Senior Media Manager, Sarah Goodwin 0401 769 296