NEW research from Money.com.au has revealed that 29 per cent of Australians in or nearing their 60s don’t know their superannuation investment mix or risk profile – even as they approach retirement.
Super investment options vary depending on your risk appetite and preferences.
For example, “growth” options typically carry more risk and volatility but target higher long-term returns. In contrast, “balanced” and “conservative” options prioritise stability over aggressive growth.
Among older Australians who do know how their super is invested, 36 per cent are in a balanced option or default MySuper product.
A further 16 per cent have chosen a conservative or defensive option, while 11 per cent are in a growth investment option, which generally allocates a higher proportion of funds to growth assets such as shares and property.
Smaller proportions hold alternative options: 4 per cent have a cash investment, and just 3 per cent have opted for an ethical investment option.
Money.com.au finance expert Sean Callery warns that many older Australians are “flying blind” with their retirement savings.
“Not knowing your investment option or risk level means not knowing whether your super is suited to your retirement years and preferences,” he says.
“It’s important to check your super settings and returns regularly, as these will ultimately determine how comfortable your golden years will be.”
Mr Callery notes that older Australians are more likely to be in balanced or moderate investment options than other generations.
“They tend to take a cautious approach as they near retirement,” he said.
“They’re targeting stability and capital preservation over aggressive growth.
“There’s no one-size-fits-all strategy; what matters is knowing where your money is invested and ensuring it aligns with your goals as you get closer to retirement.”
The research also found generational differences. Gen Z were the least likely to know how their super is invested, with 38 per cent admitting they don’t know their investment mix or risk level.
