InvestSMART Performance Update: August 2026
InvestSMART's diversified ETF portfolios have delivered some solid results over the past year, returning between 2.3% and 5.9% in the 12 months to the end of August 2026. Among our diversified portfolios with a 10-year track record, returns have averaged between 3.7% and 9.3% p.a. over that period.
Keep in mind that past performance is not an indication of future performance.
The chart below illustrates how InvestSMART's diversified portfolios have performed compared to funds in the same risk category over five years to 31 August 2026.
As you can see, over five years, the diversified portfolios have delivered annual returns of between 2.6% and 8.0% on average, with four of the five outperforming competitor funds by an average annualised return of between 0.3% and 1.0%.
InvestSMART's single-asset portfolios returned between -0.2% (Australian Bonds) and 10.8% (International Equities) in the 12 months to the end of August 2026, and between 0.6% p.a. (Australian Bonds) and 12.7% p.a. (International Equities) over 10 years.
August wrap-up
August was another positive month for investors, with sharemarkets continuing to push higher despite plenty of uncertainty around interest rates, inflation and the global economy.
Australian shares performed well, with the S&P/ASX 200 up 1.5% for the month - its fifth month in a row of gains. Global shares also moved higher, as the MSCI World ex Australia rose 2.6% for the month. In the US, the S&P 500 gained 2.7% and the Nasdaq-100 rose 4.2%, their best August performances since 2021.
Rates are still a hot topic. The RBA kept the cash rate at 4.35% in August, but many economists are now expecting another rise before the end of the year, possibly as soon as this month.
Since the end of August, markets have become more volatile, a reminder of how quickly conditions can change. With interest rates, inflation and the global outlook still in focus, there is plenty for investors to keep an eye on in the months ahead.
Frequently Asked Questions about this Article…
InvestSMART's diversified ETF portfolios returned between 2.3% and 5.9% over the 12 months to the end of August 2026, according to the performance update.
Across diversified portfolios with a 10‑year track record, InvestSMART reports average annual returns ranging from 3.7% to 9.3% p.a. over the 10‑year period.
Over five years to 31 August 2026, InvestSMART's diversified portfolios delivered annual returns between 2.6% and 8.0%, and four of the five outperformed funds in the same risk category by an average annualised margin of about 0.3% to 1.0%.
In the 12 months to the end of August 2026, InvestSMART's single‑asset portfolios returned between -0.2% (Australian Bonds) and 10.8% (International Equities), and over 10 years the range was about 0.6% p.a. (Australian Bonds) to 12.7% p.a. (International Equities).
August 2026 was a positive month: the S&P/ASX 200 rose 1.5% (its fifth consecutive monthly gain), the MSCI World ex Australia climbed 2.6%, the S&P 500 gained 2.7% and the Nasdaq‑100 jumped 4.2% — the best August showing for US indices since 2021.
The Reserve Bank of Australia held the cash rate at 4.35% in August 2026, but InvestSMART noted that many economists expected another rate rise before year‑end, possibly as soon as this month.
Yes — InvestSMART noted that markets became more volatile after the end of August, underscoring how quickly conditions can change and the ongoing focus on interest rates, inflation and the global economic outlook.
No — the update explicitly reminds readers that past performance is not an indication of future performance, so returns reported for prior periods should not be relied on as guarantees of future outcomes.
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