Indexed Shares

Investment objective

To achieve a return (gross of tax and investment expenses) that matches the change in a 50%/50% combination of the S&P/ASX 100 Accumulation Index and the MSCI World ex-Australia Total Return Index (net dividends reinvested) unhedged in Australian dollars, over rolling 3-year periods.

Investment strategy

To invest totally in shares on a passive basis, with approximately half in Australian shares and half in international shares.

Strategic asset allocation
Asset classAs at 1 October 2019 %
 Passive Australian shares50 (range 48-52)
 Passive international shares50 (range 48-52)
Suggested minimum investment time frame7 years
Expected frequency of neg. annual returns in any 20-year periodApprox 6.5
Risk band**7
Risk label**Very high
Investment fee#0.07% p.a.
(0.08% p.a. gross of tax)
Indirect cost ratio^0.00% p.a.
*The risk label and band is based upon each investment option’s assumed number of negative returns over a 20-year period and grades these investment options across seven risk labels, from ‘Very low’ (risk band 1) to ‘Very high’ (risk band 7).
#Investment fees are deducted from the investment earnings of the Fund, not from your account balance. These fees cover investment management, asset custody, and other related costs. The investment fees are regularly reviewed and may change from time to time.
^The indirect cost ratio (ICR) represents estimated costs incurred by the Fund’s investment managers before investment earnings are received. These costs take into account the Fund’s experience in the last financial year and are not deducted from your account or from the Fund’s assets. They include estimated transactional and operational costs (as detailed in our Fees and Costs booklet) and performance-related fees.