Balanced

November 21 2024

Balanced is the default investment option for Working and Retirement Income Stream accounts.

Strategic asset allocations

As at 23 July 2024
(asset allocation ranges are shown in brackets)

Australian shares 21.0% (10–40%)
International shares 22.5% (10–40%)
Private equity 0.0% (0–10%)
Property 7.5% (0–20%)
Infrastructure 7.5% (0–25%)
Alternative growth1 6.0% (0–20%)
Credit 12.5% (0–30%)
Defensive fixed income 10.0% (0–20%)
Cash 13.0% (0–20%)

 

Target growth assets: 59%

Target defensive assets: 41%

Suitability: Members with a minimum investment time frame of 10 years that are prepared to accept moderate to high volatility in pursuit of long term capital growth.
Objective* Accumulation Plan, Beneficiary Account & Working Income Stream: To provide a return of 3.0% p.a. after fees and taxes above the rate of inflation over a 10 year period.
Objective* Retirement Income Stream: To provide a return of 3.5% p.a. after fees above the rate of inflation over a 10 year period.
Minimum suggested investment timeframe: 10 years
Risk band#: 6 - HIGH
Estimated number of negative annual returns#: 4 to less than 6 over any 20 year period

Investment option performance

Our annual returns page shows the annual and long-term average returns for this option listed by product.

 

* 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).

1 Investments in the Alternative growth asset class are designed to diversify returns from the portfolio's other (traditional) asset classes. Investments may be held in the form of shares, debt securities, foreign currencies, commodities, hedge funds, and cash.