Volatile markets are taking a toll on superannuation balances, with research firm SuperRatings reporting that median balanced option accounts were down 1.7 per cent for the first quarter of the new financial year.

Accounts in pension phase did even worse, falling 1.9 per cent, with the greater drop attributable to their ineligibility for tax offsets.

The full year to September 30 looked better, with median balanced-option balances up 5.9 per cent, or 6 per cent in pension phase.

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“Concerns about global growth intensified in September as investors and market sentiment remained pessimistic,” SuperRatings founder Jeff Bresnahan said.

“Because most Balanced Options have a large exposure to equities, recent falls in domestic and international share markets have been a key drag on super fund performance.”

The ASX 200 index was down 6.6 per cent over the quarter, with Australian listed property down 1.1 per cent.

International shares were down 8.3 per cent on average, though part of that decline has been offset by the lower Australian dollar.