For almost all of us, the bulk of our Superannuation is invested in the share market, whether that be locally or overseas. In my experience a lot of people don’t really understand what is entailed with investing in shares. This lack of understanding leads to a lack of confidence. A lack of confidence leads to panicked behavior when markets fall.
When you purchase a share, you are literally buying a share in the ownership of that company. You become entitled to a share in the profits by the way of a dividend. Your Superannuation fund is likely to hold a wide range of shares in different companies in varying sectors and locations. Most Super funds are likely to focus on the largest companies primarily but it is possible that you will have exposure to some small companies as well.