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Superannuation

How to compare super funds: fees, performance & insurance

Donmont Capital · Financial advice for Australians

When people compare super funds, they often look at one number: last year's return. But a single year tells you very little. Comparing super funds properly means looking at fees, long-term performance and the insurance inside the fund — together, and against genuinely comparable options.

1. Fees — the part you can control

Fees are one of the few things that are certain about your super. Higher fees don't reliably buy higher returns, and because they compound, even small differences matter over decades. Look at total fees — administration, investment and any others — not just the headline percentage.

2. Performance — over years, not months

Compare long-term performance (five, seven, ten years where available) rather than a single year, and compare like with like: a growth option against other growth options, not against a conservative one. Past performance isn't a guarantee of future returns, but consistent long-term results are more meaningful than one strong year.

3. Insurance — the hidden variable

The insurance inside your super varies significantly between funds, both in cost and in what it covers. Two funds with similar fees can differ meaningfully once insurance is factored in.

Tip: the Government's YourSuper comparison tool (via myGov/ATO) lets you compare MySuper products on fees and performance — a useful starting point before a deeper review.

Comparing properly takes context

The right fund for someone else may not be right for you — it depends on your age, balance, goals and insurance needs. A complimentary super review puts your fund side by side with comparable options across all three factors, so you can see clearly how yours stacks up.

Not sure how your super stacks up?

Get a complimentary, no-obligation review of your fees, performance and insurance from a licensed Donmont adviser.

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Frequently asked questions

What's the most important thing when comparing super funds?

There isn't one — fees, long-term performance and insurance all matter, and the right balance depends on your circumstances. Comparing them together, against similar options, is what counts.

Should I switch to last year's best-performing fund?

Not on one year's return alone. Long-term consistency, fees and insurance matter more, and past performance doesn't guarantee future results.

Is there a free tool to compare super funds?

Yes — the Government's YourSuper tool via myGov/ATO compares MySuper products on fees and net returns. A personalised review adds the insurance and context.

Sources & important information

General advice warning. This information is general in nature only and does not take into account your objectives, financial situation or needs. It is not personal financial advice. Before acting on it, consider whether it is appropriate for you and read any relevant Product Disclosure Statement (PDS) and Target Market Determination (TMD). Consider seeking personal advice from a licensed financial adviser. Advice services are provided under Donmont Capital’s Australian Financial Services licensing [AFSL / Authorised Representative details to be confirmed].

Sources. Figures referenced are drawn from recognised public sources including the ASFA Retirement Standard, the Australian Taxation Office (ATO), APRA and ASIC’s Moneysmart. All figures are indicative and current only as at the periods stated; superannuation rules, thresholds, balances and returns change over time. Verify current figures with the original source before relying on them.

Calculators & estimates. Any calculator or projection here is a simplified estimate for general illustration only, relies on assumptions that may not reflect your situation, and is not a guarantee of future outcomes.

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