Future Fund returns 5.4% for quarter
THE Future Fund reported positive returns in the March quarter, as markets picked up after European central banks pumped more money into economies.
THE Future Fund reported positive returns in the March quarter, as markets picked up after European central banks pumped more money into economies.The fund held $77 billion at March 31 and reported a 5.4 per cent return for the quarter, according to its latest portfolio update. This compares with a median superannuation fund return of 5.72 per cent in the quarter, according to figures compiled by Super Ratings.Future Fund returns for the financial year to date were 2.2 per cent, compared to median returns of 1.98 per cent.In the first three months of this year fund managers bought an additional $2.2 billion of equities in developed markets. Meanwhile cash holdings decreased by $1.5 billion. The fund now holds 11.1 per cent cash, down from 13.8 per cent at the end of 2011."The market falls of the first half have been reversed as central banks took steps to provide greater monetary accommodation and investor sentiment improved," the Future Fund's general manager, Mark Burgess, said in a statement accompanying the update.Most assets were still in equities, debt and alternative assets.