New low-fee investment options for you
We’ve created three new investment options for you to choose from, including our Indexed Balanced option. Learn how you could save on fees and more.
Better choices for your financial future
You asked, and we listened. After conducting extensive research with our members, we knew we needed to add some low-fee investment options. We now have a variety of options that suit your different needs.
Let us do the heavy lifting with our MySuper Balanced option
When you join us, you’re automatically invested in our MySuper Balanced (default) investment option. 84% of our members are in this option, it’s simple, cost-effective and suits most of our members. Designed to help you grow your super over the long term, since inception it’s returned 9.44% per annum (to 30 June 2020). 1 But, if you want to consider more options, we now have 11 to choose from, including three new low-fee options.
New low-fee options
Our three new low-fee investment options are ‘indexed’ (passively managed). Passive investment management means there is less time and cost involved in the selection of assets (such as shares and bonds) to buy and sell.
Actively managed investment options may have higher fees but may also provide stronger investment returns with less volatility due to the extra time spent buying and selling the selection of assets within them.
Should I choose passive or active?
You could think about active and passive investments like toll roads and public roads. Both lead to your destination (retirement) but each take different routes.
Actively managed investments are like toll roads. You may pay a higher fee to use them, but they’re well managed and may get you there a bit quicker. Passively managed investments are comparable to public roads, they might not be as smooth or as fast, but it costs less to use them.
We have options to suit both routes so now you can decide which route suits you based on your personal circumstances.
Getting the balance right
Our updated range of investment options gives you more control over the level of investment risk you’re prepared to take (the chance of losing some money) balanced with the level of investment returns you’d like to receive (the chance of making some money).
Your preferred balance of risk vs. returns will be different depending on things like how old you are and how much money you have across all your investments, including super.
For most members, super is a long-term investment over your entire working life. When you’re young and want to grow your super, you may feel more comfortable with the volatility of investment markets than when you’re closer to retirement where protecting your nest egg becomes a higher priority.
Considerations before changing
Changing your options can affect your investment returns and retirement savings so you should consider the following before making a switch.
- Your age.
- Your account balance.
- Your lifestyle and retirement income goals.
- Your risk appetite (are you comfortable taking risks or do you prefer a conservative approach).
- Your investment timeframe.
Speak to one of our experienced financial advisers to help you understand your risk profile and the best long-term investment strategy for you. You might already be in the right option for you.
1 Past performance is not a reliable indicator of future investment returns.
All figures correct as at date of publication (12 October 2020)
The MySuper Balanced (default) investment option inception date is 19/12/78 which became our MySuper Authorised product on 1 July 2013.”
Advice about your super is included in your membership fee.