What is it?
Our Shares option is one of the range of investment choices available to members of Australian Catholic Superannuation. This option is made up of shares of Australian and International equity markets, It’s considered a growth option, designed to produce higher returns for members who are comfortable with more volatility and higher chance for a negative return or loss in any one year.
Who should invest in the Shares option?
The Shares option is designed for members with a long-term investment horizon (7 years or more) who are willing to weather increased volatility. If you are looking to see large potential gains and are willing to see a negative return or loss in any one year, Shares may be an option for you.
What is the investment objective?
The Shares options seeks to achieve an investment return after investment expenses, that exceeds the benchmark for this option, which is 48% S&P/ASX300 Accumulation Index and 52% (50% MSCI All Country World ex-Australia Net Dividend (Hedged in A$), and 50% MSCI All Country World ex-Australia Net Dividend (Unhedged in A$), after tax and asset based administration charges over rolling 10-year periods.
How long should I invest in the Shares 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 our Shares option, the suggested minimum investment term is 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 the Shares option is Very High (negative annual return likelihood in 6 out of every 20 years). That means, in any given year, there is a 30% chance for a negative return.
The Shares option is primarily invested in Australian and International equity markets.
Fees and other costs
The Shares option fees will be:
- Investment management fee of 0.22%pa
- Indirect cost ratio of 0.17%pa.
For each $50,000 invested, members can expect to pay $398 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?
You can change your investment mix at any time. Just 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 choice: Superannuation form (see below).
Need help making an investment choice?
Making an investment choice can be difficult. Download the "Your investment options super fact sheet" for more information on all of our investment options available to you.
Take advantage of our free, over-the-phone advice service and obtain a personal recommendation on which of our investment options may be right for you.