Financial Year 2026 – Full Slack Results

Slack Investor likes to put things in spreadsheets, especially long-term results. In the world markets, for FY 2026, the top performers were the UK FTSE 100 Total Return Index (up 22.8%; FY 2025 up 10.8%) and the US S&P 500 Total Return Index (up 19.6%; FY 2025 up 15.2%). Dividends helped the Australian Accumulation Index struggle to be up 5.8%; FY 2025 up 9.0%). All of these Total Return Indices include any accumulated dividends.

Many mistakes were made this year on stock selection. However, Slack Investor has stuck to his strategy of mostly investing with growing companies that are profitable (Return on Equity >15%), have an established earnings record and, not too expensive (forward P/E ratios <50). He expects a bit of volatility in his growth oriented investment portfolio. He is reassured that, despite the odd negative year in the Slack Fund, the dividends and his separate Stable Income portfolio are doing what they should – keeping Slack Investor with enough cash to ‘keep the wheels on’ the Slack lifestyle – when the investment portfolio sours.

Slack Portfolio Results FY 2026

All Performance results are before tax. The Slack Portfolio is Slack Investor’s investment portfolio. He is saddened to report an annual FY 2026 performance of -1.3%. Full yearly results with Australian benchmarks are shown in the table below. Although disappointed with this years results, Slack Investor realises that only long-term results really count.

Of course, the real estate industry avoids true measurement of real estate performance by collecting figures only on gross price changes – they ignore the significant transfer costs involved (Stamp Duty, Conveyancing, Bank Fees, etc) and, the hidden costs of any home improvements and renovations. For property values, Slack Investor is using these gross figures supplied by realestate.com.au for Brisbane and Melbourne homes. Slack Investor realizes that these gross figures give inflated performance results for real estate when compared with other benchmarks – which, because of their much lower transaction costs, measure more closely the net performance.

Other benchmarks used for performance comparison in FY 2026 include the ChantWest Median Balanced Super Fund (41-60% Growth assets) – up 7.6%. Also, the Vanguard Diversified Growth ETF (VDGR), (International shares 42% and Australian Shares 28%, – up 10.7%.

The FY 2026 Cash Rate of 3.7% is below CPI measured inflation (3.8%). Inflation is above the Reserve Bank target range of between 2% and 3%. Cash is important – but not a way to grow your wealth. Since 2010, from the table below, the average readily available cash rate of return is 2.7% and, for CPI measured inflation, it is 2.8%. In Investment terms, you are going backwards with cash.

Yearly Performance (%) results since 2010

5-yr Average Annual Performance

Although Slack Investor collects yearly figures, the 5 and 10-year compound annual performance gives him a much better idea about how things are really going. Long-term results will smooth out any dud (or remarkable!) yearly figures. Over 5 years, the Slack Fund is ‘neck and neck’ with the inflated performance of Brisbane Residential real estate – but comfortably ahead of all other benchmarks.

10-year compound annual rate of return

The Slack Fund has been around a while and generating some good long term data (10-year compound ‘rolling’ annual rate of return). Over this time frame, the Slack Fund has been performing very well. For FY 2026, a 10-year annual rate of return of 15.7% – Go Slack Fund! The 10-yr data is shown below in table and chart form.

It is useful to note that, over the 10-yr time period, rates of return for the Median Balanced Fund, Vanguard Growth fund, ASX200, and residential property in Brisbane have been good long-term investments. These appreciating assets generate a 10-yr compound annual rate of return in the region of 6-9% p.a. Melbourne real estate, with a 2026 average 10-yr compound yearly (inflated!) return of 3.9% has turned out to be a relatively poor investment.

Although Cash is necessary to add stability and flexibility to a portfolio. From the chart below, Cash as a long-term investment vehicle, is a poor choice.

15-year compound annual rate of return

Perhaps because Slack Investor is showing signs of age, he notices that there is enough accumulated data for rolling 15-yr rates of return. Happy to report solid long-term results.

Growth of a $10 000 Investment Since 2009

The beauty of compounding with a succession of good performance results can be seen in the chart below showing the growth of an initial investment in June 2009 of $10 000.

Despite a relatively poor 2026, when considering long-term results, the Slack Fund has exceeded all expectations. Also, the chart shows that investing in either shares or residential property has been a solid way of growing your money over the long term.