What is it?

LifetimeOne is our default investment option. This option is designed to ensure members maintain an appropriate exposure to growth and defensive assets depending on their age. For younger members there will be a greater exposure to growth assets. Once members reach 40 years of age, the asset allocation will change gradually, moving from a growth focused asset mix to a more conservative one as a member moves closer to retirement age.

Who should invest in LifetimeOne?

Because it is designed to adapt your asset mix as you age, LifetimeOne is designed to ensure members are exposed to the appropriate mix of growth and defensive assets based on their age and investment time horizon.

What is the investment objective for LifetimeOne?

LifetimeOne seeks to achieve the following investment objectives, after taxes and fees, for the following ages

Age Investment objective
30 At least 4% per annum above inflation over rolling 10-year periods.
40 At least 4% per annum above inflation over rolling 10-year periods.
50 At least 3.5% per annum above inflation over rolling 10-year periods.
60 At least 3% per annum above inflation over rolling 10-year periods.
70 At least 2% per annum above inflation over rolling 10-year periods.

How long should I invest in LifetimeOne?

For LifetimeOne, the minimum investment time horizon is 7 years when you are 40 or younger and invested primarily in growth assets and gradually declines to 4 years as you approach retirement age when you will be invested in more conservative assets.

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 LifetimeOne is set out below, for the following ages:

Age
Risk estimate
30 High (negative annual return likelihood in 4 to less than 6 out of every 20 years). That means, in any given year, there is a 20-30% chance for a negative return.
40 High (negative annual return likelihood in 4 to less than 6 out of every 20 years). That means, in any given year, there is a 20-30% chance for a negative return.
50 High (negative annual return likelihood in 4 to less than 6 out of every 20 years). That means, in any given year, there is a 20-30% chance for a negative return.
60 High (negative annual return likelihood in 4 to less than 6 out of every 20 years). That means, in any given year, there is a 20-30% chance for a negative return.
70 Medium to high (negative annual return likelihood in 3 to less than 4 out of every 20 years). That means, in any given year, there is a 15-20% chance for a negative return.

LifetimeOne is invested in the following assets, depending on a member’s age:

 

Age  Asset allocation
30
40
50
60
Primarily invested in Australian and International equity markets with a mixture of other growth assets, like property and infrastructure. The asset split of growth to defensive assets will gradually change each year from 41 to 70 years of age


70  Invested fairly evenly across all of our asset classes, the highest being conservative-focused assets like Cash and Term Deposits, Credit Income and Bonds
           

Fees and other costs

The LifetimeOne fees will be:

  • Investment management fee of 0.53%pa
  • Indirect cost ratio of 0.43%pa.

For each $50,000 invested, members can expect to pay $683 in investment fees, administration fees and indirect costs for this option each year. These fees are however subject to change.

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.

Call us on 1300 658 776  and we’ll book a 30-minute phone appointment at a time that best suits you (within business hours) or click here to schedule a call.