MySuper balanced
The MySuper balanced option in detail
Aims
- To maximise long-term investment returns while containing fluctuations in returns over shorter periods.
- To outperform an average annual return of CPI + 3.0% p.a. net of tax, investment and administration fees over rolling 10-year periods.
Risk profile
Offers a greater emphasis on assets that are likely to achieve higher returns but includes some lower-risk defensive assets to reduce short-term risks. This option is likely to produce a negative return in 3 to 4 years every 20 years.
Risk level:
Medium to High
Investor profile
Will suit investors looking for moderate to high returns over the medium to long-term, but who are prepared to accept some fluctuations in investment performance over shorter periods.
Investment strategy
Minimum suggested time frame for holding the investment is 5 years.
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.
Performance
Returns shown are net of investment fees and tax, gross of administration fees. Past performance is not an indicator of future performance.
MySuper product dashboard
Please note: This MySuper balanced option Dashboard shows net investment return information as required by law and should be used for comparative purposes. Go to ASIC’s MoneySmart website for more information on how to pick the right MySuper product for you.
Representative member account
The investment return information is based on a representative member account balance of $50,000 each year. A representative member account balance assumes that:
- the 1 July balance each year is $50,000;
- no contributions are received; and
- the representative member account balance changes only due to the deduction of certain fees and costs.
The figures shown are less investment fees and administration fees and costs (which include your annual account fee). Insurance fees and activity fees are not included in these calculations. This return may not be equivalent to the investment return reported elsewhere by the Fund and may not be the return actually credited to your account.
Return
10-year average return of 6.56% up to 30 June 2018.
Return target
Return target is 3% per year above inflation, after fees and taxes over rolling 10-year periods. Future returns are not guaranteed. This is a prediction.
Comparison between return and target return
The graph allows you to compare how the MySuper balanced option has performed based on a representative member account after fees, costs and taxes for each year shown over a 10-year period, the rolling average return over 10-year periods after allowance for CPI and the average target return target for the same period.
Actual Annual Net Return
Based on the representative member account, the blue bar shows the net return of the portfolio after the deduction of investment, administration fees and taxes for each individual year.
Moving Average actual net Return over 10 years
The moving average actual net return over 10 years line shows the rolling 10-year average of net returns.
Target net return over 10 years
The target net return line is the Trustee’s estimated net investment rate of return calculated for the previous 10 years.
Level of Investment risk
High
The probability of this option earning a negative return is approximately 3 to 4 years in every 20 years.
Statement of fees and other costs
Fees and other costs for a member with a $50,000 balance:
$657.60 per year
Definitions
Return
The average annual net return that exceeds the change in the consumer price index (CPI) calculated for the previous 10 years prior to the date shown based on a representative member account. The calculation takes into account the time weighted rate of return after investment fees, administration fees and costs and taxes and is adjusted for cash flows.
Return target
This is the current expected return for the MySuper balanced option.
Level of investment risk
This is the level of investment risk for the MySuper balanced option using the Standard Risk Measure that applies to risk descriptions that range from very low to very high.
Statement of fees and other costs
Based on a member with a $50,000 balance, the fees and other costs include the investment fee, administration fee and other indirect costs incurred in either investing the portfolio or administering the account. In calculating the portfolio returns shown in the table, these fees and other costs have been deducted. These fees do not include activity fees or insurance fees that a member may choose to incur. In addition, if you leave the Fund, an exit fee will apply. The fees shown are those charged from 30 September 2017. The fees and costs shown may change.
