Moderate

Investment strategy

To invest in a diversified range of investments, with approximately 50%
in shares, growth property and alternative investments, and approximately 50% in cash, fixed income and defensive property.

Growth..........50%
Defensive......50%

Investment objective

To achieve a return (net of tax and investment expenses) that exceeds the increase in the CPI by at least 3% p.a. over moving 5 year periods, and to limit the probability of achieving a negative return to approximately 1 year in 7.

Risk of short-term negative return

Low to moderate The return obtained each year will fluctuate and will be negative from time to time. There is a low to moderate chance that the return in any 1 year will be negative.

Investment fee#

0.60%

Please note; between October 2011 and mid 2012, the Fund will transition to our new Strategic Asset Allocation (SAA) for all Pre-mixed investment options, including our Moderate option as shown below. These changes will be measured and take into account any shift in market conditions. They also aim to reduce our exposure to the current volatility experienced in global investment markets.