Term deposits a better bet punt than supers
Consumers are still better off ploughing their spare cash into a term deposit than betting on their super, one investment expert advises.
ABC News’ business reporter Michael Janda has explained that while super funds have bounced back this month, the fight-back is "little more than a KOed boxer lifting his head off the mat".
Meanwhile, Super Ratings analyst Jeff Bresnahan added that no matter how you dress it up, super funds have had a terrible year.
Indeed, he points out that those who held all their savings in term deposits would have been able to dodge the biggest financial crisis in most people’s lifetime.
However, experts are fairly unanimous in advising that whether your cash is locked up in a term deposit or a super, now is not the time to change strategy, as both are offering subdued returns.
Earlier this week, the Australian advised that while retirement may seem a long way off, young people need to get serious about saving if they are to avoid a cashflow crisis in later life.
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