Investment Option – Index diversified

This option is not actively managed.

 

This option is indexed* and targets to invest approximately 70% in growth assets and 30% in defensive assets.

 

Investment objective (after fees and taxes over rolling 10-year periods)

To closely match the weighted return of the market indices for each asset class (net of tax and fees).

 

Suitability

Most suitable for members who are willing to accept a high risk of a negative return in any one year.

 

Minimum suggested investment timeframe

Normally five years or more

 

Standard Risk Measure

Risk Band: 6
Risk Label: High

 

Risk versus return

This option has a significant emphasis on growth assets with the aim of achieving higher returns, together with some lower-risk defensive assets to reduce the short-term risks associated with growth assets. The value may vary significantly up or down over the short term. A negative annual return is anticipated on average 4-6 times every 20 years but negative returns may be more or less frequent.

 

Target Asset Allocation

* An indexed option is not actively managed; investments match the relevant market index of the asset classes it invests in.