Investment Changes to the Select Investment Funds investment options
Investment Changes to the Select Investment Funds investment options
Effective 1 October 2015
Following a review of the investment strategies for the Select Investment Funds investment options, we are changing the target allocations and ranges, as well as the target objectives for some options.
Unless specified below, there are no changes to the investment option.
Target allocation and range changes
Changes to investment objectives
In line with the changes to asset allocations, our long-term view of markets, and our focus on growing and protecting our investors' capital, we have adjusted the long-term investment objectives as measured against the Consumer Price Index, as follows:
|
Investment option |
Old investment objectives |
New investment objectives |
|
Conservative |
CPI + 3% pa |
CPI + 2.5% pa |
|
Diversified |
CPI + 3.5% pa |
CPI + 3% pa |
|
Balanced |
CPI + 4% pa |
CPI + 3.5% pa |
|
Growth |
CPI + 4.5% pa |
CPI + 4% pa |
Changes to risk level
The risk level represents the Standard Risk Measure (SRM) which is based on industry guidance to allow investors to compare funds that are expected to deliver a similar number of negative annual returns over any 20 year period.
|
Investment option |
Old Risk label |
New Risk label |
|
Conservative |
3 – Low to medium |
4 - Medium |
|
Diversified |
4 – Medium |
5 – Medium to high |
|
Fixed Income |
5 – Medium to high |
3 – Low to medium |
|
Real Estate |
6 – High |
7 – Very high |
More information
Further details about the Select Investment Funds including all investment option profiles, may be found in the 1 October 2015 Product Disclosure Statement (PDS) available online.