The Cash option in detail - for pension members
- To provide modest investment returns while limiting short-term volatility and loss of capital.
- To at least match the Bloomberg Ausbond Australian Bank Bill Index over rolling 5-year periods, net of fees and tax.
Likely to produce the lowest long-term investment returns with the fewest fluctuations from year to year. Capital invested in this option is not guaranteed. This option is likely to produce a negative return less than 6 months in every 20 years.
Risk level: very low
Will suit investors looking for stability, but long-term investment returns are likely to be the lowest of all investment options.
Minimum suggested time frame for holding the investment is 1 year.
The Trustee may adjust the asset mix or vary the investment strategy from time to time. This could include varying the mix between growth assets and defensive assets.
Please note: If you choose this option, you may need to consider whether medium and long-term returns with this option are likely to be high enough to ensure your superannuation grows adequately to meet your retirement income goals.