Cbus returns 8.4 per cent for 2023-24 financial year as office exposure drags down returns

  • 📰 FinancialReview
  • ⏱ Reading Time:
  • 34 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 17%
  • Publisher: 90%

Business Business Headlines News

Business Business Latest News,Business Business Headlines

But the construction industry super fund stood by its heavy allocation to the asset class, even as its financial year returns fell below rivals.

Already a subscriber?Construction industry superannuation fund Cbus’ heavy exposure to unlisted property dragged its returns for 2023-24 down to 8.4 per cent, falling short of rivals in a year that generally deliveredChief investment officer Brett Chatfield conceded that structural shifts during the pandemic to the use of commercial property had hit the struggling asset class’ returns.Louie Douvis

High interest rates, the rise of online shopping and flexible work have caused office and retail property valuations toin the past three years, with many other industry funds trying to cut back their exposure to these buildings. The commitment to these assets comes as soaring US technology stocks drive many super funds’ returns into the double digits.

CFS previously planned to buy up office property last financial year if it remained cheap, but CIO Jonathan Armitage said it had not done so as he believed valuations would continue falling for at least six months. AMP CIO Anna Shelley similarly said it had not seen any attractive opportunities in 2023-24.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 2. in BUSİNESS

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Death of Sylvania Waters star Noeline Donaher in May 2023 went unreported by the media7NEWS brings you the latest local news from Australia and around the world. Stay up to date with all of the breaking sport, politics, entertainment, finance, weather and business headlines. Today's news, live updates & all the latest breaking stories from 7NEWS.
Source: 7NewsSydney - 🏆 16. / 63 Read more »