Our investment performance
In what was a challenging start to the year, the Growth (MySuper) investment option returned -1.92% in the March 2026 quarter and the High Growth investment option returned -2.84%. It is important to remain focused on the long term, though. Over the past ten years, the Growth (MySuper) and High Growth investment options have achieved strong average annual investment returns of 7.74% and 9.42%, respectively.1
Market ups and down explained
When markets are volatile and headlines are unsettling, it’s natural to feel concerned about your super. In this video, our Chief Investment Officer, Leigh Gavin shares how we think about market ups and downs and why a long-term approach matters when investing for retirement.
From major global events to short-term market movements, Leigh explains why volatility is a normal part of investing, how market corrections can create opportunities, and what members can keep in mind when they see their balance move.
Watch our short video to learn more.
Market performance overview
Investment markets experienced heightened volatility during the March 2026 quarter, shaped by a complex mix of geopolitical escalation, share market valuations, energy driven inflation pressures and evolving central bank policy expectations. Risk sentiment deteriorated as the quarter progressed, with markets increasingly sensitive to macro and geopolitical developments.
Global markets
Global share markets delivered uneven performance over the quarter, influenced by currency movements and became weaker in March. Escalating geopolitical tensions in the Middle East disrupted energy markets and key trade routes, leading to a sharp reassessment of inflation risks and interest rate expectations. As a result, investor risk appetite weakened and share market volatility increased.
Ups and downs in sharemarket volatility over the last 20 years
This chart illustrates that market volatility comes and goes and periods of uncertainty are a normal part of long‑term investing.
While day‑to‑day market movements vary, long‑term investing has always involved periods of uncertainty.
VIX Volatility Index
Implied volatity of the S&P 500, daily
Source: Chicago Board Options Exchange (CBOE), Macrobond
Australian markets
Australian shares declined over the quarter, as rising oil prices weighed on inflation expectations and consumer confidence. The market recorded one of its weakest monthly performances in several years during March, with defensive sectors and gold miners offering partial offsets to broader weakness. Energy stocks outperformed earlier in the quarter before giving back gains as oil prices became increasingly volatile.
Inflation and interest rates
Inflation re emerged as a key market driver during the quarter, largely reflecting sharp increases in global energy prices and supply disruptions linked to geopolitical tensions.
In Australia, elevated fuel costs and rising inflation expectations weighed on household confidence and reinforced concerns that inflation may remain above central bank targets in the near term. Against this backdrop, major central banks adopted more cautious messaging around the pace of future easing, prompting bond yields to move higher and adding pressure to interest rate sensitive asset classes.
The RBA implemented two interest rate rises during the quarter, bringing the official cash rate to 4.10%, signalling a continuing focus on containing inflation risks despite softer domestic demand. The prospect of further rate rises, along with higher commodity prices, helped to drive a strengthening of the Australian dollar, which rose against most major currencies.
Diversification and portfolio positioning
Diversification remained an important contributor to portfolio outcomes during the quarter. Exposure to infrastructure and property helped cushion portfolios from share market volatility, while defensive assets provided stability as interest rate expectations fluctuated. Active management across asset classes allowed portfolios to respond to changing market conditions.
Outlook for the remainder of 2026
Looking ahead, markets enter the June quarter with elevated uncertainty. Geopolitical developments and energy price volatility remain key near-term risks, while the timing and magnitude of further policy settings will be critical for both shares and fixed income valuations. Although underlying economic growth remains positive in most major economies, markets are likely to remain sensitive to inflation data, central bank guidance and geopolitical headlines.
What this means for your super
Markets were more volatile but diversification across shares, property and infrastructure helped manage ups and downs. Staying invested through changing market conditions is important for supporting your retirement outcomes over time.
Performance update
Transition to retirement investment options
View our latest TTR investment option performance.
Asset allocation
The Strategic Asset Allocation (SAA) provides guidance for the portfolio allocation over the medium to long term (10+ years) and is reviewed annually. The SAA for all investment options can be found on the following pages:
The actual asset allocations at any point in time may differ from their respective targets due to market movements, cash flows and other activities.
Actual asset allocations are regularly monitored by the investment team and rebalanced back towards target, or in line with our views on opportunities and risks.
See below for the Growth (MySuper) investment option allocation:
Figures are subject to rounding. Actual asset allocation is current as at 31 March 2026. Asset classes are the building blocks of our investment options. We allocate different proportions to each asset class with the aim of meeting each option’s investment risk and return objective. By investing across a range of asset types, the risk of a big fall in your account is reduced through diversification. For more information see asset classes.
We periodically review our investment strategy and believe that the Growth (MySuper) option is well positioned for growth over the medium to long term, while maintaining some defensive exposure. Cbus’ Pre-mixed investment options are broadly diversified across asset classes.
The information is about Cbus. It doesn’t take into account your specific needs, so you should look to your own financial position, objectives and requirements before making any financial decisions. Read the Cbus Product Disclosure Statement and the Target Market Determination to decide whether Cbus is right for you, or contact us for a copy.
1 The crediting rate is based on investment returns minus investment fees and costs, transaction costs and investment-related taxes and until 31 January 2020, the percentage-based administration fee. Excludes fees and costs that are deducted directly from members’ accounts. Past performance is not a reliable indicator of future performance.