Description

This option invests directly in a range of Australian and international properties including office buildings, shopping centres, hotels, resorts, factories and warehouses. It’s designed for members seeking strong medium to long-term capital growth and lower volatility than shares.

Investment objective

To outperform (after fees) the return of the Mercer IPD Australian Pooled Property Fund Index^ and an annual return of CPI + 3% over the medium term.1

Minimum investment timeframe

Be prepared to stay invested in this option for at least 5 years before it meets its objectives. See the information below for the risk level that corresponds to your investment timeframe.

Expected frequency of negative annual return

Approximately 3 out of every 20 years.

Risk levels

Short term risk is the risk that your super savings will be reduced by volatility of investment markets. This is also called the Standard Risk Measure.

Medium-term risk balances two risks. The first is that your super savings will be reduced by volatility and the second is that your super savings will not keep up with inflation.

Long term risk is the risk that your super savings will not keep up with inflation.

Risk level for the time invested

Short term (If savings are required in 5 years or less): Medium to High (Risk Band 5)

Medium term (If savings are required after 5 to 20 years): Medium

Long term (If savings are required after 20 years or more) Low to Medium

Find out how these risk levels are determined.

For more information about the potential ranges of returns for this option read our Investment Choice Guide.

 

Strategic Asset Allocation (SAA)

   

SAA

 

 

Direct property

100%

 

Property

 

 

 

Performance for Property

 

  Daily Rate (17.12.14) FYTD (01.07.14 - 17.12.14) 1 Year
(%pa)
3 Year
(%pa)
5 Year
(%pa)
10 Year
(%pa)
Inception 01.01.08
(%pa)
to 30.06.14 pa
AusSuper 0.01% 4.07% 8.91% 7.85% 7.31% n/a 2.63%
Benchmark n/a n/a 8.57% 8.54% 7.73% n/a n/a

 

Benchmark

^ Mercer/IPD Australian Pooled Property Fund Index adjusted for fees.

1 CPI stands for Consumer Price Index, which is a measure for inflation

* The returns quoted are net of fees. The 1 year, 3 year, 5 year, 10 year and since inception figures, where they appear, are rolling returns as at 30 June 2013. In calculating historical returns that begin before 1 July 2006, where both ARF and STA offered equivalent options, we have used combined ARF and STA returns. If only one of the funds previously offered the option, the returns for that option have been used. Past performance is not a reliable indicator of future returns.

The Strategic Asset Allocation (SAA) and other information shown in this section is current as at November 2014 (unless stated otherwise). The Trustee may alter the strategic asset allocation or the composition of individual asset classes from time to time to suit prevailing market circumstances.

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