StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...
Nobody downloaded yet

Reasons for Decline of Superannuation Fund - Coursework Example

Comments (0) Cite this document
Summary
Comparisons of market performances are presented in the "Reasons for the Decline of Superannuation Fund" paper to show actual differences and decline. The paper showed some issuers were not able to cope up with the losses…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER95.2% of users find it useful
Reasons for Decline of Superannuation Fund
Read TextPreview

Extract of sample "Reasons for Decline of Superannuation Fund"

Download file to see previous pages The growth in assets has been negative but the investments in other funds such as cash and fixed assets remain strong and gave benefits. However these benefits are outweighed by losses in other investments, such as shares, and the portfolio of investments registers negative growth. The investment market is volatile and subject to change, and when the markets go down, there is also a time for recovery. But can the superannuation pensioners afford to wait?

The Australian superannuation fund has been through significant developments in the past 10 years It was financially strong and well placed before the global crisis. However, the industry has been shaken, like others in the world, by the financial crisis. The industry earnings have declined, the solvency and liquidity of the fund are being tested, trust and confidence of pensioners over the system are deteriorating. International trade links have a contagion effect such that a crisis in one country causes a crisis in another country in a relative result.

Most analysts agree that one of the reasons for the crisis in a superannuation fund is international trade, and it is most logical to examine the reasons for its decline. Very few studies are found about reasons except economic downturn and a synchronized recession, perhaps because the answer appears to be obvious. The weakening of the capital market system in the U.S. led to the decline or collapse of the financial system and had particularly affected the superannuation fund through the contagions effect. The aggregate outcome in the economy and the pensioners is still unclear. Senator Nick Sherry (2009) said that Australia cannot be exempted from the effects of this crisis, and as an effect of the contraction of economies of the United States, Japan, and the European Union, he predicted the slow performance of the country’s export. Senator Sherry further said that the government reinstated its support to superannuation fund as he pronounced “that it will maintain stability, safety, and efficiency of the superannuation fund. ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
  • CHICAGO
(Reasons for Decline of Superannuation Fund Coursework, n.d.)
Reasons for Decline of Superannuation Fund Coursework. https://studentshare.org/finance-accounting/1727061-money-capital-markets-assets-gdp-supperannuation-etc
(Reasons for Decline of Superannuation Fund Coursework)
Reasons for Decline of Superannuation Fund Coursework. https://studentshare.org/finance-accounting/1727061-money-capital-markets-assets-gdp-supperannuation-etc.
“Reasons for Decline of Superannuation Fund Coursework”. https://studentshare.org/finance-accounting/1727061-money-capital-markets-assets-gdp-supperannuation-etc.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Reasons for Decline of Superannuation Fund

Fund management

... Fund Management There are many components of fund management that characterize financial marketing, banking and other business operations. These include wealth management, hedge funds, private banking, retail investment banks and sovereign wealth funds. These forms of management are particular for a particular country, and determine the economic success of the country. For example, Switzerland has a fantastic economic growth rate per year due to its noteworthy private banking which is renowned around the world. My discussion will dwell on wealth management and private banking. I will use Switzerland as my model country (Barber 97). Wealth Management Wealth management is part of a business enterprise’s financial aspect. It denotes...
9 Pages(2250 words)Assignment

International Monetary Fund

...?International Monetary Fund Table of Contents Introduction 3 Overview of the International Monetary Fund (IMF) 4 Merits and De–Merits 5 De–Merits 7 Conclusion 8 Works Cited 9 Introduction The study captures an overview of the International Monetary Fund (IMF). The overview consists of the establishment reports of the IMF. It follows with the merits and the demerits of the International Monetary Fund (IMF) along with the major roles being played by it. The study also includes the major criticisms of the International Monetary Fund (IMF) (The World Economy, “The International Monetary Fund”). The International Monetary Fund (IMF) is an inter-governmental organization which was established to endorse international money cooperation...
4 Pages(1000 words)Essay

Family Decline

...), that the married couples lead a more tranquil life than the individuals who never married or are living together without entering into marital-knot. It is partially due to the very reality that the persons, under marital relationship, develop the feelings of intimacy and mutual love, and take care of each other by taking it to be their moral obligation. The authors have cited both longitudinal and short term studies, both of which endorse their hypothesis that never-married individuals suffer from psychological and emotional stress far more than the married persons observe (2003, p.954). Marriages have, Popenoe argues, considerable decline in contemporary era. Somehow, one of the most exasperating reasons behind the failure of marriages...
3 Pages(750 words)Essay

Investment and Fund Management

The current difficulty that the members of Fortunes are facing now is regarding the portfolio of pension provision. According to the current provisions, the members will be paid lump sum based upon individual contributions. But a careful analysis of the pension fund portfolio reveals that it was built up in an undisciplined manner. Hence, the current portfolio is considered inappropriate since the global markets are facing downturns. The objective of the study is to carefully analyse the current portfolio and recommend suitable adjustments so that Fortunes Inc. can meets its pension provision in the coming years. Analysis of Current Portfolio Tottenham Hotspur Fortunes Inc. has bought 2000 ordinary shares of Tottenham Hotspur plc...
10 Pages(2500 words)Essay

Dollar Decline

THESIS STATEMENT The essay intends to describe the impact, which is imposed by decline in the purchasing power of a dollar over the individuals and their respective families. Additionally, it provides the measures that can be adopted in order to combat the declining purchasing power. Moreover, the essay would also reveal the steps that are adopted by the national leaders such as the politicians to mitigate the problem of declined purchasing power of a dollar. HOW IS THIS DECLINE IN THE PURCHASING POWER OF A DOLLAR IMPACT YOU AND OR YOUR FAMILY? With respect to the decline in the value of dollar, the citizens of the US will be facing adequate challenges in relation to their purchasing power as the prices of commodities will increa...
5 Pages(1250 words)Essay

Superannuation Australia

...Running head: superannuation australia 2nd October Introduction One of the major economic strategies that the Australian government undertook in 2009 was the review of operations and efficiency of the superannuation system. After an extensive deliberation and Super System Review of the commission under the leadership of Jeremy Cooper, a final report was handed to the government in 2010. As a result, MySuper was established. MySuper is an innovative cost-effective superannuation product that replaces the existing default products being applied by the employers (Federal Government, 2011). Based on its wide range of features it will assist the employers, market analysts and other parties to compare funds in an easier manner. Part A Main...
4 Pages(1000 words)Essay

Fund Transfer Pricing

Business Finance
Fund Transfer Pricing
Financial institutions including banks operate in a highly competitive and complex landscape (International Banker 2014). Consumers are becoming more knowledgeable while brand loyalty is diminishing. Recent global turmoil in the financial sector has led to stringent regulatory restrictions and compliances (Bessis 2011). It is becoming difficult for banks to achieve growth amidst increasing capital requirements and unstable macro-economic conditions. These conditions have led to diminishing margins for banks and serve as obstacles to achieving sustainable profitability (Wyle & Tsaig 2012). This situation warrants players in the banking sector to review their methodologies of reporting a...
2 Pages(500 words)Essay

Superannuation

...Superannuation Case Adam Adam certainly exceeded the non-concessional contribution cap when he used the $450,000 as a contribution to his superannuation funds. The current non-concessional contribution cap is $180,000 per year. Adam exceeded this contribution cap by $270,000. Adam can use the “bring forward” provision to increase his superannuation fund. This provision is allowed for contributions up to a maximum of two years which has a cap of $540,000. Once Adam contributes the $450,000 that he has inherited, he will have triggered the ‘bring forward” option which will allow him on more contribution within the next two years. Adam can use this option to increase his superannuation with $90,000 more dollars so as to make the total amount...
4 Pages(1000 words)Assignment

Al-Rajhi Balanced Fund

... a low market risk. This is mainly due to the limited exposure of the fund to the equity markets. This fund has an equity component of nearly 25 percent which again is diversified in many countries including India, China and Europe. Moreover, the annual return of the fund is 8.80 percent as compared to the market return of 2.20 percent (Gulfbase-a, 2009) Figure: Fund Performance over the past five years The volatility of the fund as measured by standard deviation is 1.16 percent which is much less than the market volatility of 10.67 percent. For this reason when the returns in the equity markets declined upto 23 percent in October last year, the fall in the value of the fund was limited to 4.02 percent owing to the low beta and limited...
12 Pages(3000 words)Case Study

Reasons of the Dramatic Marriage Decline in the United States

...Running head: MARRIAGES Marriages The paper discusses the reasons of the dramatic marriage decline inthe United States and all over the world. For several years research has shown that there has been a significant decline in marriages in America. The paper reviews the current state of literature, to explore the possible reasons and explanations to why people divorce or make a choice not to get married at all. The changing politics of marriage institutions, late or delayed childbearing, the growing availability of divorce, race, culture, and contextual factors are included and discussed. The paper concludes that one specific reason can hardly explain the current significant decline in marriages in America; rather, the decreasing number...
8 Pages(2000 words)Coursework
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Coursework on topic Reasons for Decline of Superannuation Fund for FREE!

Contact Us