Aussie funds shun overlay

National Australia Bank’s (NAB) survey of Australian superannuation funds’ approach to FX exposure found the number of currency overlay users has fallen by more than 50% in recent years. According to Donald Hellyer, director, financial institutions at NAB in Sydney, the decline is because Australian funds have not been convinced of the benefits of overlay.

"There are large doubts on currency overlay managers’ abilities to gain additional returns (alpha)," Hellyer told FX Week. "Superfunds kno