AI trade poses major risk to Australians’ superannuation investments, with 35% exposed to volatile international shares
The biggest risk currently facing Australians is the AI trade, which significantly affects superannuation investments.
Many Australians may not be aware that their super funds are heavily invested in AI stocks, posing a substantial risk to their financial security.
Philip Tortevsky from Wealth Within highlighted that 35% of balanced superannuation options are now allocated to international shares, with a significant portion invested in top AI stocks. Tortevsky explained, “The biggest risk right now, especially to Australians, is the AI trade.” He noted that this concentration of investments in AI stocks could have serious implications for superannuation holders.
The biggest risk right now, especially to Australians, is the AI trade.
Philip Tortevsky, Wealth Within
AI trade impact on superannuation
Tortevsky pointed out that the AI trade has recently experienced a decline of 20% to 25%, which has raised concerns about the stability of these investments.
Despite the downturn, there has been some buying activity, but the risk remains high due to the heavy allocation in AI stocks.
He also discussed the correlation between oil prices and tech stocks, noting that as oil prices decrease, there could be a rebound in tech stocks.
However, he cautioned that the situation is still uncertain, and the new power dynamics in the U.S. government could lead to further complications.
Beyond the AI trade, Tortevsky addressed the broader market conditions, including the performance of the ASX. He noted that the ASX has been stagnant since August 2025, with banks and miners needing to drive growth.
The financial sector faces headwinds, and materials have seen a 15% decline, though there is some opportunistic buying.
Looking ahead, Tortevsky emphasized the importance of monitoring the interplay between oil prices and tech stocks, as well as the potential impact of U.S. political changes on the market.
He advised investors to remain vigilant and consider the risks associated with their superannuation allocations.
