What is it?
The Growth option is the most aggressive of our diversified investment options with a substantial allocation to growth assets and is designed to help members see a significantly higher return with correspondingly high level of risk.
Who should invest in the Growth option?
The Growth option is designed for members with a long-term investment plan (7 years or more) who are seeking to achieve a return well above inflation and are comfortable with higher risk of seeing a negative return.
What is the investment objective?
The Growth option seeks to achieve an investment return, after taxes and fees, of at least 4.0% per annum above inflation over rolling 10-year periods.
How long should I invest in the Growth option?
Because there is the opportunity for the value of investments to go down in the short term, we recommend a minimum investment term to avoid short-term market volatility.
For the Growth option, the suggested minimum investment term is at least 7 years.
A risk estimate is the potential for a negative return in any given year over a 20-year rolling period.
While our goal is to provide members with a positive return, external factors can influence investment performance, including broader economic trends. Risk is defined by how often an investor should expect to see a negative return out of every 20 years.
The risk estimate for Growth is High (negative annual return likelihood: 4 to less than 6 years out of 20). That means, in any given year, there is a 20-30% chance for a negative return.
The Growth option is primarily invested in Australian and International equity markets with a mixture of other growth assets, like Property and Infrastructure.
Fees and other costs
The Growth option fees will be:
- Investment management fee of 0.37%pa
- Indirect cost ratio of 0.30%pa.
For each $50,000 invested, members can expect to pay $538 in investment fees, administration fees and indirect costs for this option each year. These fees are however subject to change.
How can I change my investment choices?
To change your investment choice, login to your Members Online account and click ‘Your account’ from the options in the left hand menu.
Alternatively, you can download and complete our Investment Switch form.
Need help making an investment choice?
Making an investment choice can be difficult.
Take advantage of our complimentary, over-the-phone advice service and obtain a personal recommendation on which of our investment options may be right for you.