Highlights from the 2021 Annual Member Meeting

For members who missed the 2021 AMM, here are the top questions and answers, along with links to the video presentation and the minutes.

Our second Annual Member Meeting (AMM) was attended by the majority of our Board of Directors, Executive team and fund auditor. There were a series of presentations, followed by a live Q&A session. For those members who were unable to attend, we have compiled the most popular questions and answers below.

For more information, you can watch the full recording of the AMM and read the minutes, which include answers to questions that were not provided during the meeting, along with those that were answered.

To access the recording and the minutes, please go to Members Online. If you haven't logged in to Members Online before, you'll need to register your account first. And if you’re having trouble accessing Members Online, please get in touch with our Contact Centre.

Here are the most popular questions and answers.

What's happening with the merger and how are members being kept informed?

We recently signed a Heads of Agreement with AustralianSuper. We now move to the integration planning phase of the merger. Under the Heads of Agreement, both organisations will now work together to deliver material benefits to members, with the details to be shared with members of each fund during coming months.

Members are being sent updates as necessary through various channels during the merger process. If you have not been receiving updates, please check your contact details are correct using Members Online or contact us on 1300 130 780.

We have also set up a dedicated section of our website to house all the information about the merger.

Merger hub

What does this merger mean to me as a member? What do members need to do?

The merged entity will be the largest super fund in Australia and will deliver material benefits to members — high performing investment products, quality services, and lower costs.

Members don’t need to do anything. We’ll continue to manage your account through the integration and keep you updated on the progress of the merger.

There is no change to your relationship with LUCRF Super as a result of this announcement. Under the Heads of Agreement, both organisations will continue to work together to agree on the merged organisation’s structure and how we can deliver benefits to both members and employers.

Merger hub

What exactly is the performance test?

The Your Future, Your Super (YFYS) performance test is a new test recently introduced by the Federal government and conducted by APRA, the prudential regulator for super fund products. It’s the first time this has been done, and it compares fund performance over seven-years to 30 June 2021, against a benchmark determined for the Fund’s MySuper product. It takes into account administration fees for last financial year.

The test doesn’t apply to any of the Choice investment options, that is other investment options apart from MySuper investment options. Only 76 investment options from 1,674 APRA-regulated funds were assessed. Meaning the test measures a specific investment option, not the entire fund. Each fund has several investment options available.

You can view the investment returns for all our non-MySuper investment options on our website

The annual performance test considers two key parts of the product:

  • Performance - net investment returns for the last seven financial years, which are annualised investment returns less investment fees and taxes, versus a benchmark determined for the Fund’s MySuper product
  • Fees –administration fees which are calculated based on what was charged last financial Year


The investment returns benchmark is based on a product’s strategic asset allocation, i.e. the percentage of the product the fund allocated to different asset classes, like shares, property, infrastructure, etc. This means that each MySuper product is measured against a different benchmark.

This test measures against the strategic asset allocation and not the actual asset allocation. The strategic asset allocation is what asset classes the product aims to invest in and in what amounts, however it may not be the actual asset allocation, which is what is currently invested in as it takes time to buy and sell in some asset classes. 

For example, many funds invest in infrastructure (i.e. airports, hospitals, rail), however, they often need to wait for these assets to be available to invest in, which means achieving the strategic asset allocation can be delayed.

Because the performance is assessed based on strategic asset allocation, there are funds with lower 7-year net returns that passed the test, and funds with higher 7-year net returns that failed the test. So a MySuper product that has a more conservative strategic asset allocation could do better under the test than a more growth oriented MySuper product that achieved a higher rate of return.

Our super fund performance



For the test, only FY21 administration fees have been applied across all 7 years of test – so funds that reduced fees in FY21 have benefited, when in fact they had higher fees in previous years. This is consistent with the Government’s intent to motivate funds to continue to reduce their fees.

The ATO Fund Comparison tool, measures past performance and doesn’t consider products that have changed their investment processes, structures, or fees and the time to implement these changes. This means that positive changes made over the 7 years may not be reflected in the test because of the time it took to implement them and then see the expected benefits.

It’s important to review and understand the results of the test so you can make an informed decision when considering switching products.

Our competitive fees and costs

What are we doing about our performance now?

We changed our investment strategy a few years ago to take advantage of asset classes such as unlisted infrastructure. Although these changes took time to effectively implement, we are pleased they are now delivering better returns. We continue to review and adjust our investment mix, and our FY21 result is evidence that our change in investment strategy is producing positive results.

Our super fund performance

How do I know if I will have enough to retire on?

We get asked this question a lot, and the answer depends on many different factors. When speaking with members, determining how long their money will last (also referred to as Retirement Adequacy) will differ depending on several individual factors such as:

  • What income is needed in retirement?
  • How much time is left to contribute into superannuation?
  • How is their superannuation currently invested?

The benefit of members obtaining financial advice is to discuss the above points along with exploring other trade-off considerations including:

  • High risk vs low risk
  • Saving into super vs saving into a bank account
  • Minimising tax leading up to retirement with salary sacrifice

Therefore, once members have received professional financial advice, they are then better informed to empower good decision making for meeting their individual wants and needs for retirement.

Retirement planner

LUCRF Super has been identified as a non-performing fund and there has been the proposal to merge with AustralianSuper. Is there any logical reason why I should not transfer now?

Very good question. We would obviously like all LUCRF Super members to stay with us, we believe our returns are competitive, and our insurance product is fit for the members we have in the fund.

Each LUCRF Super member can make their own decision about which fund they stay with, or which fund they would like to go to. We think the decision to merge with AustralianSuper is very much in the interests of LUCRF Super members and that merger should be completed in June 2022. So, we would like all members to stay with us for that journey, but each must make their own decision.

Note: Members who submitted questions relating to their accounts have been contacted by a member of our team. If you have not received a response to a question you submitted, please email us here

Past investment performance is not a reliable indicator of future investment performance.

All figures correct as at date of the AMM (18 November 2021)

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