What are MySuper funds?

A MySuper fund is a low-cost, no-frills, basic superannuation option for Australians. It's usually the default product offered by Australian superannuation funds to members.

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Many super funds now offer a simple and cost-effective super account called MySuper. MySuper is a type of superannuation account, and is a government initiative to provide a low-cost and no-frills super option for Australian wokers. This guide will outline what MySuper is and how it can benefit you as you save for retirement. You can also compare a range of MySuper products below.

What is MySuper?

All Australian employers have a default super fund for employees who don't already have their own super fund, or who don't want to choose a super fund themselves. MySuper is a government initiative to provide simple super products for employers to choose as their default fund for employees. MySuper options have basic features and fee structures allowing members to compare funds easily based on cost, investment performance and insurance.

The idea of MySuper products is that they are low-cost, no-frills options (this means they're simple to understand and compare, without any confusing investment options or hard-to-understand features). MySuper products are offered by existing retail or industry super funds as an investment option alongside their existing investment options.

The features of MySuper

MySuper accounts offer:

  • Low fees
  • Simple features
  • Simple, default insurance options which you can easily opt out of if you wish
  • A single diversified investment option, or
  • A lifecycle investment option based on your age

MySuper investment options

There are two main investment options offered by MySuper products; a diversified investment portfolio or a lifecycle strategy that invests based on your age.

Lifecycle investment option

With this option, your super is invested according to your age. For example when you're young your super will be invested in more high-risk growth assets like local and international shares, because you have more time to ride out any market volatility. If you're older (for example in your 50s) your super will be invested in more low-risk options like term deposits and bonds.

This is a good set-and-forget investment strategy because it will be adjusted for you as you get older, to make sure it's invested appropriately. This means you won't have to think about your super until you're looking to retire, which is appealing for a lot of people who don't want the stress of managing their super.

Single diversified investment option

This investment option offers one single diversified portfolio. This option doesn't invest in line with your age, but is still managed on your behalf and continually adjusted. A lot of these investment options will allocate about 70% of your super balance to growth assets (higher risk, but higher return assets like shares) and about 30% to defensive assets (like cash products).

Compare MySuper funds

Name Product Last 1 year performance Last 3 years performance Last 5 year performance Last 10 year performance Annual fees on $50k balance
AustralianSuper - Pre-mixed, Balanced option
5.55%
7.73%
8.98%
8.98%
$411.18
AustralianSuper is an award-winning industry super fund and the largest super fund in Australia. The Balanced fund invests in a mix of different assets like shares, property and cash.
Spaceship GrowthX
18.88%
15.52%
N/A
N/A
$536
This is a high-risk investment option that aims to deliver high returns over the long term.
Spaceship's Growth X fund invests heavily in Australian and international shares, with a focus on technology stocks. Performance figures and fees supplied by Spaceship, not Chant West.
Sunsuper Lifecycle Balanced
3.18%
6.64%
8.14%
8.2%
$463
Sunsuper is an award-winning super fund with more than 1.4 million members. Its Lifecycle Balanced option invests your super in a mix of growth assets, and reduces your risk when you're near retirement.
Australian Ethical Super Balanced
8.28%
8.62%
8.28%
8.2%
$622
Certified by the Responsible Investment Association Australasia.
Australian Ethical seeks to invest in companies that have a positive impact on the planet, people and animals, such as renewable energy and healthcare while avoiding investments in coal, oil, tobacco and gambling.
Virgin Money Super - Lifestage Tracker
3.59%
7.34%
N/A
N/A
$358
Virgin Money Super Lifestage Tracker has some of the lowest fees in the market. It invests in a range of different assets in line with your age, reducing your risk as you get older. Plus, you can earn Velocity Frequent Flyer Points when you rollover your super, and on the contributions you make (T&Cs apply).
Aware MySuper Life Cycle Growth
5.49%
7.31%
8.37%
8.38%
$519.42
Aware Super is a not-for-profit fund with more than 750,000 members. The MySuper product invests your super in a pre-mixed Growth fund until you’re 60, then it’ll switch to Balanced.
QSuper Lifetime - Aspire 1
4.08%
7.03%
8.21%
N/A
$315
QSuper is one of the largest and oldest member-owned funds in Australia. The QSuper Lifetime fund automatically personalises a your investment strategy based your age and account balance.
LUCRF MySuper Balanced
3.15%
5.44%
6.77%
7.3%
$497.64
LUCRF Super is an industry super fund open to all Australians with 11 different investment options available. Its default MySuper Balanced option is a simple, diversified portfolio designed to suit most members.
Australian Catholic Super Lifetime - Grow
2.97%
N/A
N/A
N/A
$563
A Catholic super fund open to all Australians and designed for people working in Catholic education, healthcare or aged care.The Lifetime One fund option changes your investment mix as you get older.
Verve Super Balanced
6.2%
N/A
N/A
N/A
$691.10
Verve Super is an ethical super fund tailored for women. It seeks to invest in companies making a positive impact, such as renewable energy and women in leadership, while avoiding those that cause harm, such as fossil fuels, tobacco and guns.
UniSuper Balanced
5.89%
8.16%
8.7%
8.97%
$326
UniSuper is an industry super fund and one of Australia's largest super funds with more than 450,000 members. Its Balanced option invests in a mix of different asset classes and has achieved consistently high returns for members.
AustralianSuper - Socially Aware
-2.07%
4.83%
6.1%
N/A
$472
The AustralianSuper Socially Aware option doesn't invest in Australian or international companies that directly own coal and fossil fuel reserves, produce tobacco or those which have single-gender boards. Investment performance as of 30 June 2020.
Aware Super - Diversified Socially Responsible Investment
0.55%
5.47%
5.4%
N/A
$406.18
The Aware Super Diversified Socially Responsible Investment is a pre-mixed investment option that excludes companies operating in the tobacco, ammunition, gambling, alcohol, forest logging and pornography industries, as well as companies that attribute 20% or more of their revenue to coal, oil and gas.
Sunsuper - Socially Conscious Balanced
0.19%
5.54%
5.97%
N/A
$528
Certified by the Responsible Investment Association Australasia.
The Sunsuper Socially Conscious Balanced option avoids investment in companies that have significant exposure (more than 5% of revenue) to alcohol, tobacco, gambling, pornography, coal and nuclear power manufacturing. Investment performance as of 30 June 2020.
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Compare up to 4 providers

The information in the table is based on data provided by Chant West Pty Ltd (AFSL 255320) which is itself supplied by third parties. While such information is believed to be accurate, Chant West does not accept responsibility for any inaccuracy in such information. Chant West’s Financial Services Guide is available at https://www.chantwest.com.au/financial-services-guide . Finder offers no guarantees or warranties about the data and we recommend that users make their own enquiries before relying on this information. Performance, fees and insurance data is based on each fund's default MySuper product. Where the performance, fees and insurance data for the MySuper fund vary according to the member's age, results for individuals between 40-49 years of age have been shown. Past performance is not a reliable indicator of future performance.

*Past performance data is for the period ending December 2020.

Disclaimer: Performance, fees and insurance data is based on each fund's default MySuper product. Where the performance, fees and insurance data for the MySuper fund vary according to the member's age, results for individuals between 40-49 years of age have been shown. This article is general advice. You should consider your own personal circumstances before deciding if a superannuation product is right for you. Superannuation is a long term investment and past performance is not indicative of future performance.


The pros and cons of MySuper

Pros:

  • Lifecycle investment strategy is a great set-and-forget option.
  • MySuper must offer a standard level of life and Total and Permanent Disability (TPD) insurance.
  • MySuper is easy understand, and simple to use and manage.
  • MySuper should have lower fees than standard retail super funds

Cons:

  • Some critics say MySuper places too much emphasis on low fees and not enough on performance.
  • If you want to be very 'hands-on' with your super this option might not be for you

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4 Responses

    Default Gravatar
    darrenAugust 22, 2019

    What is the difference between MYSUPER and a regular BALANCED fund?

      Avatarfinder Customer Care
      JeniAugust 23, 2019Staff

      Hi Darren,

      Thank you for getting in touch with Finder.

      A balanced fund is a type of investment option while MySuper is one of the superannuation options for Australians. Your fund’s various investment options may contain the same types of assets, but at a different weighting and to suit the level of risk you are comfortable with. You can learn more about the balanced funds.

      I hope this helps.

      Thank you and have a wonderful day!

      Cheers,
      Jeni

    Default Gravatar
    PaulMay 19, 2017

    I wish to compare the % return on my allocated pension accounts with you, with my “locked up ” account with BT.
    All the years from 2009 onwards please. Also is the annual charge still $400 , in fact , what are the total annual costs with my cbus and , if relevant , when did they change.
    (I intend fighting Westpac and wish to hi-lite what’s available compared with their awful costs and financial adviser performance.)
    Thank you in anticipation.

      Avatarfinder Customer Care
      MayMay 30, 2017Staff

      Hi Paul,

      Thank you for reaching out. Please note that you’ve come through to finder.com.au – a financial comparison website and general information service designed to help consumers make better decisions. We do not offer super funds and we are not affiliated with any company we feature on our site so we can only offer general advice.

      I’m afraid we do not have that information you are looking for. Is your account with Cbus? If so, please contact them directly if you’d like to compare the return on your allocated pension and all other fees and charges as well as the changes on your account.

      In case, you can also find super funds available for you on our website. You can also read more details on industry super funds.

      Alternatively, you can speak to a financial adviser who can help you manage your super.

      Cheers,
      May

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