Global tensions wipe out recent Australian super gains

Australian superannuation balances took a significant hit in March as escalating Middle East tensions and disruptions to global oil supplies triggered a wave of market volatility.

According to data from research firm SuperRatings, the median balanced option declined by 3.2% over the month, effectively erasing all gains accumulated since September 2025.

The downturn has dragged financial year-to-date returns down to a modest 2.8%.

The impact varied across risk profiles, with higher-risk growth portfolios suffering a steeper 4.1% drop, while defensive capital-stable strategies proved more resilient with a 1.8% decline.

Despite the fluctuations, experts urge members to remain calm. SuperRatings Executive Director Kirby Rappell warned against making knee-jerk changes to investment strategies.

"Switching after markets have already fallen can lock in losses and may mean missing the rebound when conditions improve," Rappell noted, emphasising that short-term movements should not dictate long-term retirement goals.