Choosing your investment options is an important decision and one you want to make wisely. It can have a big impact on your super balance and pension income.
How to choose an investment option
With a range of investment options to choose from, it’s important you:
- understand asset classes and risk
- review your investment options, then
- make your choice.
Step 1: Understand asset classes and risk
When considering investment options, it’s critical to understand the asset classes that make up each option and the relationship between risk and return for each asset class.
Step 2: Review your investment options
With a range of investment options to choose from, you should review each option carefully and consider its objectives, asset mix, strategic asset allocation and performance.
You can choose from our menu of Pre-Mixed and Sector investment options which we've designed to suit a range of our members’ risk profiles and financial needs and goals.
If you create your own investment mix, you’re responsible for monitoring the allocation to each of your chosen options because the allocations will change in line with the performance of each of those options and how you invest future contributions.
To find out more about our investment options download our How we invest your money booklet.
Step 3: Make your choice
There are two ways you can choose your investment options:
You don’t have to make a choice
- Log in to MemberOnline to access your account
- Complete and return the relevant Investment choice form
Our investment choice range gives you the ability to choose how you want your super or pension invested. However, if you prefer not to make a choice, we’ll automatically invest your accumulation super or pension in our Balanced option, our default investment option.
Manage your investment options
It’s important to keep track of and manage your investments. We provide a number of ways to monitor the progress of your investments and adjust your portfolio if your financial circumstances change.
Future contributions strategy
For accumulation account-based products, you can choose the way contributions to your account are invested from our range of investment options. This is known as your ‘future contributions strategy’.
You can change your future contributions strategy at any time for your future contributions, but this won’t affect the way your existing account balance is invested.
You can select or change your future contributions strategy at any time by logging in to MemberOnline or by completing an Investment choice form.
We don’t charge you a fee if you change your future contributions strategy.
If we haven’t received a future contributions strategy from you when we receive a contribution then we’ll generally invest your contribution in our Balanced option, our default investment option. For more information, refer to the PDS relevant to your membership category.
If you were a member of the Fund on 21 April 2012, we would’ve set your future contributions strategy as your most recent investment strategy in which contributions have been allocated on 21 April 2012, until you tell us otherwise.
You can select or change your rollover strategy at any time by logging in to MemberOnline or by completing an Investment choice form.
For accumulation account-based products, you can choose the way rollovers (or transfers) to your account are invested. This is known as your ‘rollover strategy’.
From the date we process it, your rollover strategy will apply to all future rollovers to your account until you change your rollover strategy.
You can update your rollover strategy at any time. We don’t charge you a fee if you change your rollover strategy.
The investment options for your existing account balance and your future contributions strategy will remain the same.
If you don’t select a rollover strategy, we’ll invest all rollovers to your account as per your future contributions strategy.
REBALANCING YOUR PORTFOLIO
Depending on how you choose to invest your contributions for your super account, draw down your pension account or how your investments perform, you may need to check and possibly make adjustments to how your account balance is invested from time to time. This process is called ‘rebalancing’.
By checking your portfolio for such changes and rebalancing your portfolio (through switching your investments options, or redirecting your contributions or pension drawdowns), you can ensure your account remains invested according to your personal financial objectives.
For pension members, it’ll be important for you to review your drawdown order instructions from time-to-time because, as pensions are drawn down, this will change how your remaining account balance is spread across your chosen investment options and reduce the degree of diversification. Over time, the allocation of your remaining account balance between options may reflect a strategy that’s very different from your original intentions, so you should reconsider whether this is appropriate having regard to your financial needs and circumstances.
You can change the investment options for your existing account balance. This is referred to as a ‘switch’.
A switch doesn’t change the way your future contributions are invested.
You also need to consider updating your future contributions strategy when you make a switch, unless you’re in a pension product.
Switching allows you to respond to significant changes in your personal financial circumstances by altering your investment choice to suit your changing financial needs. You’re able to switch your investment options for free once per financial year. We’ll charge you a $13.80 switching fee for any subsequent switches.
Before you switch
Occasionally, you might consider it appropriate to switch your investment choice in response to changing circumstances or investment time frames. However, before you decide to switch, ensure you’re doing it for the right reasons.
You should be aware that simply switching your investment options in an effort to chase higher short-term returns could mean you lose out over time. This is because investment markets are continually changing: by the time you react to one set of market conditions, the market may have already changed. Super is a long-term investment that’s well served by taking a long-term view.
You should also be aware of the risk and other implications associated with switching your investment options. Read and understand the UniSuper investment information contained in your UniSuper membership PDS in conjunction with our How we invest your money booklet.
Before making a switch, you might want to speak to a qualified financial adviser.
Call UniSuper Advice on 1300 331 685.
How to make a switch or change your future contributions or rollover strategy
Investment choice form
Return your completed form to:
Level 1, 385 Bourke Street
Melbourne Vic 3000
Fax: 03 9910 6141 (ensure you fax the entire form)
We can’t accept email or telephone instructions.
When your switch becomes effective
If we receive your switch before 2pm on a Melbourne working day, we will apply investment returns to your account using the UniSuper crediting rates applicable to your existing investment options for both that day and the next Melbourne working day.
From that point onwards, you will be exposed to the investment returns of your newly selected option(s) and we will apply investment returns to your account using the UniSuper crediting rates applicable to your updated investment options.
Where your investment options include international assets, these rates reflect the close position of the relevant international market on the applicable day.
For example, if you submit a switch request on Monday morning to switch out of the High Growth option and into the Cash option, you will continue to earn High Growth option returns (positive or negative) until close of global trading on Tuesday.
From close of global trading on Tuesday onwards, the investment return subsequently applied to your account will reflect the earnings on the Cash option. This example assumes Tuesday is a working day in Melbourne.
Applications received after 2pm will be deemed to have been received on the next working day.
Investment choice form
You can also submit a switch by completing and returning the Investment choice form relevant for your product. We will process forms as soon as possible from the date we receive them. Upon processing your Investment choice form, your switch will be applied to your account in the same way and in within the same times as described for MemberOnline.
Switches submitted through MemberOnline are processed more quickly than paper-based switches. You should consider this before deciding to switch.
What if I want to replace the switch I’ve just made?
If you’ve submitted a switch before 2pm on a Melbourne working day, you can replace it with a new switch before 2pm that same day and the first one you made won’t get processed.
If you’ve switched investments through MemberOnline and the 2pm cut-off has passed, you’ll need to make a new switch to replace the one you want to cancel as you can’t cancel a pending switch after the 2pm cut-off.
If you want to replace a switch you first made using a paper Investment choice form, you can make a new switch through MemberOnline. The same timing restrictions apply.
Contributions after a switch has taken place
If you switch investments, this won’t affect any contributions you make or receive. If you also want your contributions invested in the same way as your account balance, you’ll need to update your future contributions strategy to reflect this.
Talk to UniSuper Advice on 1300 331 685 to find out how they can help you.
UniSuper Helpline 1800 331 685
UniSuper Advice 1300 331 685
Are you in the Defined Benefit Division (DBD)?
Investment choice applies only to your accumulation component. Read about how this works.