Fund Choice 2026: How to Choose the Best Super Fund in Australia

Recent years have brought significant reforms to the superannuation sector. Rules like super fund "stapling"—where your fund follows you from job to job—and annual performance testing for default MySuper products have made it easier to see how your fund stacks up. Regulators now publish data highlighting underperforming funds, and there is more scrutiny of fees and investment options than ever before.

These changes mean that Australians have more information at their fingertips, but also more responsibility to act if their fund isn’t delivering. The difference between a consistently high-performing fund and a lagging one can add up to a substantial sum over your working life. Even small differences in annual returns or fees can compound into a significant gap by the time you retire.

With so many options available, it’s important to focus on the factors that will have the biggest impact on your retirement savings. Here’s what to consider when reviewing or choosing a super fund in 2026:

1. Long-Term Performance

Look at the fund’s net returns over a period of at least five to ten years. Short-term results can be misleading, so focus on how the fund has performed through different market cycles. Regulators publish performance data, making it easier to compare funds side by side.

2. Fees and Costs

Fees can have a major effect on your final super balance. Even a small difference in annual fees can add up over time. Compare administration and investment fees across funds, and be wary of any additional costs that could erode your returns. Most exit fees have been removed, but it’s still worth checking with your fund before making a switch.

3. Insurance Cover

Many super funds include insurance, such as life and total and permanent disability cover, as part of their offering. It’s important to check whether the insurance suits your needs and whether the premiums are reasonable. If you’re considering changing funds, be aware that your insurance cover may change or require new health assessments. For more on insurance in super, see [/insurance/personal/insurance-brokers].

4. Investment Options

Super funds offer a range of investment choices, from conservative to high growth, and increasingly, options that focus on environmental, social, and governance (ESG) factors. Consider whether the fund’s investment menu matches your risk appetite and personal values. Some funds also provide lifecycle options that automatically adjust your investment mix as you approach retirement.

5. Member Services and Support

Good member services can make managing your super easier. Look for features like online account access, educational resources, and access to financial advice. Some funds offer digital tools to help you plan for retirement or adjust your investment strategy.

Australians now have access to a range of comparison tools and published data to help make informed choices. When comparing funds:

• Review long-term net returns, not just recent performance.
• Check the total fees you’ll pay each year.
• Assess the insurance options and costs.
• Consider the range of investment options and whether they suit your needs.
• Evaluate the quality of member services and support.

If you’re unsure where to start, you can use government and industry resources to compare funds. Always ensure you’re looking at up-to-date information, as fund performance and features can change over time.

If your current fund isn’t meeting your needs, switching is generally straightforward, but there are a few important steps to follow:

1. Confirm Any Exit Fees

While most exit fees have been abolished, it’s wise to check with your fund to ensure there are no unexpected costs when you leave.

2. Review Your Insurance

Changing funds can affect your insurance cover. If you have existing health conditions or specific insurance needs, check how a switch might impact your cover. You may need to reapply or meet new eligibility criteria. For more information, see [/insurance/personal/insurance-brokers].

3. Consolidate Multiple Accounts

If you have more than one super account, consider consolidating them to avoid paying multiple sets of fees and insurance premiums. The Australian Taxation Office (ATO) provides online services to help you find and combine your super accounts.

4. Notify Your Employer

Once you’ve chosen a new fund, provide your employer with the details to ensure your future contributions go to the right place.

• Not checking insurance changes: Switching funds can mean losing existing insurance cover or facing new exclusions.
• Overlooking fees: Even small differences in fees can add up over time.
• Ignoring long-term performance: Don’t be swayed by short-term returns—focus on consistent long-term results.
• Forgetting to consolidate: Multiple accounts can mean unnecessary fees and lost super.

Looking ahead, Australians can expect continued scrutiny of fund performance and fees. The trend towards more sustainable and ethical investment options is likely to continue, giving members more ways to align their super with their values. Digital advice and online tools are making it easier to tailor your super strategy to your personal goals and circumstances.

Regularly reviewing your super fund choice is one of the most effective ways to improve your retirement outcomes. Take the time in 2026 to compare your options, understand your fees and insurance, and make sure your fund is working for you. Your future self will thank you.