My AustSuper ASX300 'low cost averaging' trading adventure

[Julia]

We'll all do what we believe in. Good luck to you.

 

[burglar]

No Disagree. with the exception of a bubble burst like March 2008 to march 2009, it is a more profitable proposition to stay in the market ...

+1 Well done!

Richard Farleigh says there are times when it is good to be out of the markets.
He and I don't fly in the same social circles, so I don't know when that is!

 

[So_Cynical]

(18th-August-2012)

Due to money constraints at the time i had to choose 3 stocks and i got one very wrong...even if i had spread the money out a little thinner over 4 stocks this would of almost certainly given me a better result...anyway this is a silly exercise, just take the super portfolio performance over the last 3 months with trading profits of 3.7% factor that out over 12 months and you get 14.8% PA, but that's a silly exercise to.

May next year will provide a clear picture...2 years into a 7 to 9 year plan.

The last couple of days have seen my super portfolio go up by around 1.5% so i figured it was a good time for an update as we approach the 2 years mark this coming May 2013.

The Numbers

• 11 Open trades/positions - 0.66% ($351.41)
• 6 Closed trades + 8.60% ($2786.43)
• 14 Dividend payments + 5.78% ($3064.24) Gross
• Total return over 20 months, a touch over 11%

A reasonable outcome considering the bath i took early on with GFF and FKP, both of them recently recovering some open losses to now only be about 22% and 12% down...Total return over the last 20 months of a touch over 11% not to shabby....and that's with the open portfolio still negative.
~

 

[DJG]

Well done mate.
Just commenting so I know to look back at the thread, very interesting!

 

[skc]

[*] Total return over 20 months, a touch over 11%
[/list]

A reasonable outcome considering the bath i took early on with GFF and FKP, both of them recently recovering some open losses to now only be about 22% and 12% down...Total return over the last 20 months of a touch over 11% not to shabby....and that's with the open portfolio still negative.
~

The total return of the "balanced" option in Australian Super is 10.86% from mid May 2011 to today. So your return is about the same. I guess you did beat the benchmark so it's been a worthwhile exercise...

 

[So_Cynical]

The total return of the "balanced" option in Australian Super is 10.86% from mid May 2011 to today. So your return is about the same. I guess you did beat the benchmark so it's been a worthwhile exercise...

I'm not done with yet...The portfolio grew by another $343 today so just 0.02% in the red...almost positive.

SAI and QBE are almost in the sell zone so that will add to the closed trade profits, dividends to come over the next 4 months will add another 2.5% to my result, by May i could end up with a result that's over 14% (7% PA) in just closed trades and dividends, open profit will be a bonus.

 

[Bill M]

Well done So Cynical, can you give us an up to date report on Aust Super?

Are you happy with them as the Administrators?

Are you happy with the choices available to you?

Are you looking at perhaps changing to someone else in the near future, if yes who?

Have you been thinking more about starting a SMSF or is that not viable and you still prefer someone like Aust Super?

Just wondering as I'm still thinking of going your way rather than starting a SMSF, cheers.

 

[So_Cynical]

Well done So Cynical, can you give us an up to date report on Aust Super?

Sure happy to.

Are you happy with them as the Administrators?

On a 'you only get what you pay for' basis.. yes im happy, its $180 bucks a year and for that you just cant expect much more than what Aussie super gives.

Are you happy with the choices available to you?

Overall no, realistically the choice for stocks needs to be expanded to the all Ords and include all the LIC's and all the ETF's and all the Hybrids (with limits)..personally i would like to see the whole ASX opened up for at least a small % of the account, say 10%

Are you looking at perhaps changing to someone else in the near future, if yes who?

At the moment the choice just isn't there..im sure over the years the choices will improve...i will stay with AustSuper for the foreseeable future.

Have you been thinking more about starting a SMSF or is that not viable and you still prefer someone like Aust Super?

With a total account balance of less than 70K the numbers just don't add up for a SMSF, even the cheapest option...not yet anyway.

Just wondering as I'm still thinking of going your way rather than starting a SMSF, cheers.

I hope my answers help Bill...

 

[Bill M]

Thanks mate, your answers kind of make me lean towards the ING Living Super one. It has more choice but you can only put in 50% of your portfolio into the shares option. That isn't much of an issue with me because I would probably keep 50% in fixed terms, cash or bonds anyway.

I just did a YTD (31/12/3012) check on a few Industry funds. I think by 30/06/2013 cash will return around 3% and some fixed interest/bonds pre mixed options around 5%. That is making me nervous thinking I can do better. I'm not far away from signing up.

Thanks again for the update.

 

[So_Cynical]

(17th-January-2013)

SAI and QBE are almost in the sell zone so that will add to the closed trade profits, dividends to come over the next 4 months will add another 2.5% to my result, by May i could end up with a result that's over 14% (7% PA) in just closed trades and dividends, open profit will be a bonus.

Its been a big month completed my second SAI trade (9.32% profit) two weeks ago and the QBE trade (16.55% profit) today...some stats.

• Total super value: $71856.34
• Total Trading profit: $3665.32
• Closed Trades: 9
• Net Closed Profit: 9.40%
• Average P/L Trade: $407.26
• Average P/L Day: $5.80 (632 days total)
• Dividends Received: $2493.75 (6.39%)

With another round of dividends to come..on target for a gross PA return of at least 8.6% (as long at the market holds up)

for comparison

AustSuper Balanced Fund Performance (as at 31st Jan 2013) 2 year % PA return 6.59%

 

[JTLP]

The last couple of days have seen my super portfolio go up by around 1.5% so i figured it was a good time for an update as we approach the 2 years mark this coming May 2013.

The Numbers

• 11 Open trades/positions - 0.66% ($351.41)
• 6 Closed trades + 8.60% ($2786.43)
• 14 Dividend payments + 5.78% ($3064.24) Gross
• Total return over 20 months, a touch over 11%

A reasonable outcome considering the bath i took early on with GFF and FKP, both of them recently recovering some open losses to now only be about 22% and 12% down...Total return over the last 20 months of a touch over 11% not to shabby....and that's with the open portfolio still negative.
~

Hey mate,

Great thread and interesting read!

Just wondering what the software/spreadsheet setup you were using for calculation. Looks very neat + simple!

 

[So_Cynical]

Hey mate,

Great thread and interesting read!

Just wondering what the software/spreadsheet setup you were using for calculation. Looks very neat + simple!

Stator version 2.2 Standard, is what i use.

http://www.stator-afm.com/

They recently released a new version 3.0 ~ There is a thread for Stator on the forum.

https://www.aussiestockforums.com/forums/showthread.php?t=2270

 

[So_Cynical]

Completed my third SAI trade last week for a trade profit of around 13% with divis 18.5%

https://www.aussiestockforums.com/forums/showthread.php?t=3824&p=795990&viewfull=1#post795990

Now holding 1000 SAI shares with most of them free carried, have activated the Dividend reinvestment option with AustSuper this FY, annoying that its an all in option only....overall the last 6 months has been a quiet time with the super fund portfolio, still trying to get out of GFF with a profit.

Oh i added IPL to the portfolio a few months back @ 2.77 and have 4600 in the transaction account waiting for a market pull back.

 

[So_Cynical]

I sold out of FKP today, 8.8% trade profit, just happy to get out in front.

https://www.aussiestockforums.com/forums/showthread.php?t=1673&page=7&p=799027&viewfull=1#post799027

So overall portfolio now down 1.24% thanks the Sedgeman and Whitehaven, all time closed trades below.
~

 

[So_Cynical]

A few changes...been spending some money

Bought 1360 TWE today at $4.49 and last week doubled my SLX position @ $2.40 and doubled my IPL position @ $2.69 ~ $800 left in the transaction account.

 

[So_Cynical]

Bought 1360 TWE today at $4.49

Sold 1200 TWE today for ($4.735) a 4.71% profit .. totally acceptable for holding 2 weeks the plan is to buy in again when the SP revisits the $4.50 level and in the mean time recycle the capital into TRY and hope/wait for the POG bounce.

Be great if i could do 2 or 3 switches between the 2 over the next 3 to 6 months and leave the profits in each time.

 

[So_Cynical]

(28th-October-2013) A few changes...been spending some money, doubled my IPL position @ $2.69

Out today at $3.11 for a profit of 11.3% leaving my remaining 750 IPL shares with an average price of $2.69 and $5200 in the transaction account of which $4700 is available to trade with.

Ill wait for a bit of a pull back i think.

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Australian super has just started sending email trade confirmations, almost 3 years since launching the Members direct option. better late than never i suppose, however the appalling lack of detail is typical AustSuper.

Here's the email they sent me.

--------------

Member Direct alert: Your IPL.AU order is complete

Dear So_Cynical

Your recent IPL.AU Sell order is complete. Your Member Direct investment balance has been updated to reflect your trade. Your trade will be settled in three business days.

Sincerely

---------------

And that's it.

 

[daffyd23]

Yes correct...just like comsec except much slower..takes maybe 20 or 30 seconds for your order to go thru, and then a few minutes later you can see the executed buy order on the transactions page.

------------------

AustSuper need to take the next step now and expand the Superdirect option to include the all ordinary's and include the best (largest cap) 12 hybrids and the best 12 LICs....it is inevitable so why not just get on with it, oh and they also need to drop the brokerage fees..paying around $20 for a 5K trade seems a bit much considering the market pull that Aust biggest superfund would have.

I was wondering, would you mind being asked about what itemised (e.g. tax) reporting Australian Super provide for their member direct option? It's hard to tell exactly from their website/promotional material.

When you get a dividend do they separate the dividend payment from the tax paid on it?
Do they itemise franking credits for each holding?
Do they split out the tax paid on interest in the transaction account from the interest or is it listed only after tax?
Am I right in thinking that if you hold a position you still pay (unrealised) capital gains tax quarterly? Again for a non-accountant the info they put up isn't clear to me.

Greatly appreciate you posting about your experience.

 

[So_Cynical]

I was wondering, would you mind being asked about what itemised (e.g. tax) reporting Australian Super provide for their member direct option? It's hard to tell exactly from their website/promotional material.

When you get a dividend do they separate the dividend payment from the tax paid on it?
Do they itemise franking credits for each holding?
Do they split out the tax paid on interest in the transaction account from the interest or is it listed only after tax?
Am I right in thinking that if you hold a position you still pay (unrealised) capital gains tax quarterly? Again for a non-accountant the info they put up isn't clear to me.

Greatly appreciate you posting about your experience.

There is some level of itemisation but its not detailed, because its all done within the fund you don't have to report anything as the fund takes care of all that, CGT tax is only paid when the asset is sold so nothing is taken quarterly.

Itemised: transaction account interest, dividends and franking credits, brokerage and tax taken, fees and anything that gets credited....hope that helps.

 

[daffyd23]

There is some level of itemisation but its not detailed, because its all done within the fund you don't have to report anything as the fund takes care of all that, CGT tax is only paid when the asset is sold so nothing is taken quarterly.

Itemised: transaction account interest, dividends and franking credits, brokerage and tax taken, fees and anything that gets credited....hope that helps.

Thanks!

I'm more thinking about if I go overseas: some countries will tax super punitively if in 'funds' but may be more lenient with individual share holdings (and if individual taxes are itemised then it may be possible to claim back foreign tax credits).