MySuper Balanced (default)*

Investment objective

To achieve a return that exceeds the consumer price index increase by at least 4% per annum net of tax and investment expenses (or 3.66% per annum net of administration cost – based on a $50,000 member balance) over rolling 10-year periods. Future returns cannot be guaranteed. This is a prediction.

Investment strategy

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

(The MySuper Balanced option is the same as the Balanced option available to pension members.)

Strategic asset allocation
Asset classAs of 1 October 2018 %Range %
 Australian shares26.015 - 40
 International shares28.017 - 40
 Property10.04 - 20
 Infrastructure8.02 - 20
 Alternatives15.0 0 - 38
 Fixed interest9.0 0 - 25
 Cash4.00 - 25
CriterionMetric
Suggested minimum investment time frame5 years
Expected frequency of neg. annual returns in any 20-year periodApprox. 3.5
Risk band**5
Risk label**Medium to High
Investment fee#0.28% p.a.
(0.33% p.a. gross of tax)
Indirect cost ratio^0.39% 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.