Investment objective

To achieve a return (net of tax and investment expenses) that exceeds the increase in the CPI by at least 3% p.a. over rolling 5-year periods.

Investment strategy

To invest in a diversified range of investments, with a greater proportion in cash, fixed interest, and defensive property, and the remainder in shares, property and alternative investments.

Strategic asset allocation
Asset classAs of 1 October 2018 %Range %
 Australian shares17.510 - 28
 International shares19.5 10 - 27.5
 Property84 - 12
 Infrastructure50 - 10
 Alternatives144 - 23
 Fixed interest2315 - 40
 Cash135 - 25
CriterionMetric
Suggested minimum investment time frame4 years
Expected frequency of neg. annual returns in any 20-year periodApprox. 2.5
Risk band**4
Risk label**Medium
Investment fee#0.25% p.a.
(0.29% p.a. gross of tax)
Indirect cost ratio^0.35% 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’ (risk band 1) to ‘very high risk’ (risk band 7).

#The investment fee is a measure of the fees deducted from investments. These fees include the cost of the fund's investment managers, custodian and investment advisor and certain other costs of the fund. the investment fee is the total of these costs, divided by the net asset value of the fund. these fees are deducted directly from the investment earnings before they are allocated to member accounts. They are therefore not deducted from your super account directly.

^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.