Description

This option has a 40% allocation to growth assets with allowance for dynamic asset allocation ranges between 25% and 55%. The risk of fluctuating returns is low to medium.

Type of investors this is suitable for and minimum suggested investment timeframe

Investors who have a low to medium tolerance for risk and/or have a three-year plus investment timeframe.

Asset classes (strategic allocation)

• 32.5% equities
• 17.5% cash
• 35% fixed interest
• 15% real assets (real assets is classified as 50% growth and 50% defensive)

 View the breakdown of asset classes (38KB)

Dynamic asset allocation

• 17.5-47.5% equities
• 25-32.5% cash
• 20-50% fixed interest
• 0-30% real assets

Investment return objective

VicSuper Scheme and VicSuper Beneficiary Account
To earn an investment return of 2.5% per annum (after tax) above the rate of inflation over rolling 10-year periods.

VicSuper Pensions
To earn an investment return of 3.3% per annum above the rate of inflation over rolling 10-year period.

Standard Risk Measure

Risk Band: 3

Risk label: Low to medium

Estimated number of negative annual returns over any 20 year period: 1 to less than 2.