December 04 2020
Strategic asset allocations
ESSSuper has terminated AMP Capital Ethical Leaders Balanced Fund as the sole investment manager effective from 15 September 2020 for the Ethically Minded Option. While the Board carefully considers alternative investment managers with a strong focus on ethical investing, members in the Ethically Minded Option will have their super reinvested in a portfolio that very closely matches the risk and return objectives of the Ethically Minded Option. The portfolio will comprise a 70% allocation to the Growth Option and 30% allocation to the Shares Only Option. Investment fees for members in the Ethically Minded Option will temporarily decrease from 0.73% per annum to 0.47% per annum effective from 16 September 2020 while a new investment manager search is underway. The temporary investment will be made in accordance with ESSSuper’s Responsible Investment Policy. This excludes tobacco and controversial weapons investments but has fewer ethical exclusions than the Ethically Minded Option’s investment with AMP.
As at 23 September 2020
(asset allocation ranges are shown in brackets)
||This option may be suitable if you are interested in long term capital growth, can accept short term volatility and are seeking an investment return that excludes some investments on ethical grounds.
|Objective* for Accumulation Plan Beneficiary Account & Working Income Stream:
||To provide a return of 3.5% p.a. after fees and taxes above the rate of inflation over a 10 year period.
|Objective* for Retirement Income Stream:
||To provide a return of 4.0% p.a. after fees above the rate of inflation over a 10 year period.
||6 - HIGH
|4 to less than 6 over any 20 year period
Investment Option Performance
(period 1 July to 30 June)
|Crediting rate % p.a.
||Retirement Income Stream
The Ethically Minded option commenced on 1 July 2017. Past performance is not a reliable indicator of future performance and should not be relied upon for making investment decisions.