Middle East conflict and your Super 

We recognise recent developments in the Middle East may be distressing and unsettling. 

It’s natural to feel anxious or unsure during periods of uncertainty. We are here to support you with clear information about what’s happening and what it means for your super. 

What does this mean for your super?

It’s understandable to feel concerned when headlines emphasise changing market conditions but it’s important to remember:

1. Volatility is normal

Market volatility is a normal part of investing. Markets go up and down, and super balances typically reflect this. Historical data shows that markets typically bounce back from lows triggered by global events to achieve growth over longer periods of time. 

2. The benefits of diversification

Many of Rest’s investment options are diversified and invest across countries, industries and asset classes. This diversification can help cushion the impact of single market-impacting events and can help smooth investment returns over time.

3. Long-term focus matters

Your super is geared towards the future – your retirement years. It’s a long-term investment that, for many members, continues to be invested for years after they retire. Generally, market ups and downs are less significant if you’re looking at a timeline that spans decades.

4. Professional investment teams monitor events closely

Rest continuously assesses global risks and manages our investment strategy to protect our members long-term interests. Trying to guess the best times to get in and out of the market is very challenging, even for professionals. Attempting to avoid losses by switching investment options during a market drop, can mean missing out on the recoveries and gains when the market goes back up.

How does Rest manage market volatility?

At Rest, we don’t try to guess what will happen in the markets day to day. Instead, we focus on building diverse portfolios designed to help you grow your retirement savings over the long-term.

During these times, our investment team — and the specialist managers we work with also keep a close eye out for good long-term opportunities.

This can mean buying strong, high-quality investments at lower prices when markets are volatile. These opportunities don’t come along often, but when they do, they can help improve long-term returns for members.

We stay focused on the long-term and the many economic and financial drivers of market returns and aim to use market ups and downs to our advantage when it makes sense.

What should I do next?

Try to avoid making hasty decisions in response to market volatility that may derail your long-term goals.

Even if you’re in or close to retirement, if your investment option was likely chosen to suit your goals and timelines, and these haven’t changed – your option may still be right for you.

There can still be reasons to switch - it’s just important to make sure you understand the impact and you have all the information to make an informed decision.

Find out more about Rest's investment options and if you’re a Rest member you can tap into our digital advice tools at no extra cost.

Find out more about Rest's investment options and if you’re a Rest member you can tap into digital advice tools at no extra cost digital advice tools at no extra cost.

What if I’m still thinking about changing my investment option(s)? 

Before making any changes to your investment option(s) in response to market volatility, we encourage you to book a call with one of our Super Specialists.

They can help by providing more information and, if needed, they can also connect you with a Rest Adviser for personal financial advice and tailored strategies. Request a call using the Rest App or using our online call back form.