The Conservative balanced option in detail - for pension members
- To maximise long-term investment returns while maintaining a balance of risk and return.
- To outperform an average annual return of CPI plus 3.0% p.a. net of tax, investment and administration fees over rolling ten-year periods.
Invests in a mix of assets designed to achieve higher returns, while reducing short-term risks. This option is likely to produce a negative return in 2 to 3 years in every 20 years.
Will suit investors looking for moderate returns over the medium to long-term but who are prepared to accept some fluctuations in investment performance over shorter periods.
Minimum suggested time frame for holding the investment is 3 years.
|Asset mix||Benchmark %||Permitted range %|
|Australian shares||19||10 – 45|
|Overseas shares||19||10 – 30|
|Property||9||0 – 20|
|Alternative assets||12||0 – 20|
|Fixed interest||20||10 – 50|
|Enhanced cash||15||0 – 30|
|Cash||6||0 – 30|
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.