Conservative

April 05 2020

Strategic asset allocations

As at 1 April 2020
(asset allocation ranges are shown in brackets)

Australian shares 6.0% (0-15%)
International shares 9.0% (0-15%)
Private equity 0.0% (0-5%)
Property 7% (2.5-12.5%)
Infrastructure 6.5% (0-15%)
Alternative strategies 2% (0-6%)
Multi-asset strategies 11% (0-30%)
Credit 9.0% (0-15%)
Sovereign Bonds 12.5% (0-30%)
Cash 37% (30-60%)
Suitability: This option may be suitable if you aim to see your capital protected from inflation and are prepared to experience some short term volatility in order to gain longer term capital growth.
Objective* for Accumulation Plan, Beneficiary Account & Working Income Stream: To provide a return of 1.5% p.a. after fees and taxes above the rate of inflation over a 5 year period.
Objective* for Retirement Income Stream: To provide a return of 2.0% p.a. after fees above the rate of inflation over a 5 year period.
Minimum suggested
investment timeframe:		 5 years
Risk band#: 3 - LOW to MEDIUM
Estimated number
of negative
annual returns#:		 1 to less than 2 over any 20 year period

Investment Option Performance

Conservative
(period 1 July to 30 June)		 Crediting rate % p.a. 
Accumulation Plan Beneficiary Account Retirement Income Stream
2018/19 4.60 4.60 5.43
2017/18 4.56  4.56 5.12
2016/17 4.86 4.86 5.63
2015/16  3.12 3.12 3.64
2014/15 5.03 5.03 5.74
2013/14 6.74 6.74 7.67
2012/13 7.46 7.46 8.71
2011/12 5.51 5.51 6.25
2010/11 6.94 6.94 8.12
3 years - compound average p.a. 4.67 4.67 5.39
5 years - compound average p.a. 4.43 4.43 5.11

Past performance is not a reliable indicator of future performance and should not be relied upon for making investment decisions.

 

* The investment objectives are not a promise or guarantee of any particular benefit. They represent a benchmark against which the Board monitors the performance of the investments of the Fund.

# The standard risk measure is based on industry guidance to allow members to compare investment options that are expected to deliver a similar number of negative annual returns over any 20 year period. The standard risk measure is not a complete assessment of all forms of investment risk, for instance it does not detail what the size of a negative return could be or the potential for a positive return to be less than a member may require to meet their objectives. Further, it does not take into account the impact of administration fees and tax on the likelihood of a negative return. Members should still ensure they are comfortable with the risks and potential losses associated with their chosen investment option/s.