Warren Chant, director of superannuation research company Chant West Ltd., says funds that disregard daily market movements and their impact on the peace of mind of their members are treating people with disrespect.

“You are treating people with disrespect when you say don’t worry about today,” says Chant. “Our response to the perennial question of short-termism is this: it’s better for trustees to explain short-termism and put it in context.”

Chant says people 50 years of age and younger may not have to worry about poor performance of markets this year. But those near retirement do.

“Retirees are far more affected by market volatility,” says Chant. “In times like this a lot of 70-year-olds are calling us. They should be in cash.”