Australia has the fastest-growing pool of pension funds in the world
Super Funds Look to Expand Investment in Trump’s US
Australia’s superannuation industry is making a bold move to expand its global footprint, setting its sights on the world’s largest investment market—the United States. With nearly $4 trillion in retirement savings under management, Australian super funds see an opportunity to leverage this capital for greater influence and returns.
This month, a high-powered delegation of Australian superannuation leaders, investment managers, and industry representatives has landed in the US to attend the prestigious Super Investment Summit.
Their mission?
To strengthen ties with key US policymakers and investment leaders, including senior officials within President Donald Trump’s administration, and make the case for deeper collaboration between Australian super funds and the American economy.
Why the US?
The United States has long been a key destination for Australian superannuation investments. Right now, more than a third of Australian overseas private market investments flow into the US, amounting to about $78 billion. However, industry analysts project this figure could balloon to $220 billion by 2035. And if collaboration between Australian super funds and US stakeholders deepens, this number could surge to an impressive $376 billion.
Super Members Council executive manager Matt Linden believes that increasing Australian investment in the US will create mutual benefits. “It’s a win-win—our investments stimulate and strengthen US businesses, helping them grow, while Australian super fund members’ retirement savings are boosted from investing in the best US assets.”
A Fast-Growing Investment Powerhouse
Australia’s superannuation sector is already the fastest-growing pension fund pool in the world. Currently valued at around $4 trillion, it's on track to reach $4.4 trillion in the coming years. More impressively, projections from the peak superannuation body suggest that Australia will soon surpass Canada and the UK to become the world’s second-largest pension fund market—second only to the US itself.
Given this rapid growth, Australian super funds are increasingly looking beyond domestic markets for investment opportunities. The US, with its dynamic economy, established financial infrastructure, and history of strong returns, is an obvious choice.
Building Stronger Ties with US Investors
For super fund leaders, it’s not just about increasing capital flows—it’s also about forging stronger, long-term partnerships with key US players.
Hostplus CEO David Elia emphasized the importance of these relationships, stating, “By strengthening our connections with US stakeholders, we can maximize returns for our members and position Australian super funds as long-term, reliable investors.”
IFM Investors’ global external relations head, David Whiteley, echoed this sentiment, noting that the Super Investment Summit provides an ideal platform to showcase Australia’s superannuation system as a stable and dependable source of capital for US investment markets.
What This Means for Australian Investors
For everyday Australians with money in super, this push into US markets could mean stronger, more diversified returns in the long run. The US remains a global economic powerhouse, and increased exposure to high-quality assets and businesses could enhance the growth and security of retirement savings.
However, with any investment, there are risks. The Trump administration’s economic policies—particularly around trade, taxation, and financial regulation—will play a key role in shaping the investment landscape. Australian super funds will need to carefully assess these factors as they expand their US presence.
A Global Approach for a Secure Future
As Australia’s super industry continues to grow, international investment will be critical to ensuring strong, long-term returns for members. The increasing focus on the US reflects both the scale of opportunity and the confidence that Australian super funds have in their ability to compete on the world stage.
With more money flowing into US markets and stronger relationships being built with key American stakeholders, the future of Australian superannuation looks increasingly global. And for millions of Australians planning for their retirement, that could mean more stability and prosperity in the years ahead.