Our investment options

Below you’ll find the details of our range of investment options. You can mix and match your options to suit your goals, your timeframe and your preferred level of risk. So when your needs change, so can your investment options.

Premixed options

Premixed options are made up of multiple asset classes, like shares, property, cash and bonds. They are more diversified to meet different risk and performance goals.

Conservative
Investment objective (super)*This option aims to outperform (after fees and taxes) the rate of increases in inflation as measured by the CPI by 1.5% per annum.
Investment objective (pensions)*This option aims to outperform (after fees) the rate of increases in inflation as measured by the CPI by 2% per annum (1.5% per annum for NCAP).
StrategyTo invest in a diversified portfolio with a higher exposure to cash and diversified bonds, and a lower exposure to equities.
Estimated frequency of a negative annual return
1.5 in 20 years on average.
Minimum investment timeframeMedium-term (3 to 6 years).
Who should invest in this option?This option is designed for members who wish to select a less aggressive asset allocation in exchange for more stability and security.
Summary risk levelThe risk level of this option is low to medium.
Benchmark asset allocation

(indicative ranges in brackets)

Balanced
Investment objective (super)*This option aims to outperform (after fees and taxes) the rate of increases in inflation as measured by the CPI by 2.5% per annum.
Investment objective (pensions)*This option aims to outperform (after fees) the rate of increases in inflation as measured by the CPI by 3.25% per annum (2.5% per annum for NCAP).
StrategyTo invest in a diversified portfolio with exposure to cash, diversified bonds, property and equities.
Estimated frequency of a negative annual return
3.5 in 20 years on average.
Minimum investment timeframeLong-term (4 to 8 years).
Who should invest in this option?This option is designed for members who want a balance between risk and return.
Summary risk levelThe risk level of this option is medium to high.
Benchmark asset allocation

(indicative ranges in brackets)

Sustainable balanced
Investment objectiveThis option aims to outperform (after fees and taxes) the rate of increases in inflation as measured by the CPI by 3.0% per annum.
StrategyTo invest in a diversified portfolio with a moderate exposure to cash and diversified bonds, and a higher exposure to equities, while having regard to ESG principles.
Estimated frequency of a negative annual return
5 in 20 years on average
Minimum investment timeframeLong-term (5 to 10 years).
Who should invest in this option?Members who are prepared to accept a more aggressive asset allocation than the 'Balanced' option and have an interest in socially responsible investing. This option has the potential of providing higher returns, but also increases the risk of a negative return.
Summary risk levelThe risk level of this option is high.
The Sustainable balanced option has some key differences from other investment options.Simpler option with fewer asset classes.
Passively managed.
100% of the equity allocation is managed to a low carbon benchmark.
Benchmark asset allocation

(indicative ranges in brackets)

Balanced growth
Investment objective (super)*This option aims to outperform (after fees and taxes) the rate of increases in inflation as measured by the CPI by 3.5% per annum and to outperform (after fees and taxes) the median default superannuation fund over rolling three year periods, assessed using the SR50 MySuper Index from the SuperRatings Fund Crediting Rate Survey.
Investment objective (pensions)*This option aims to outperform (after fees) the rate of increases in inflation as measured by the CPI by 4.25% per annum (3.5% per annum for NCAP).
StrategyTo invest in a diversified portfolio with a moderate exposure to cash and diversified bonds, and a higher exposure to equities.
Estimated frequency of a negative annual return4 in 20 years on average.
Minimum investment timeframeLong-term (5 to 10 years).
Who should invest in this option?This option is designed for members who are prepared to accept a more aggressive asset allocation than the ‘Balanced’ option. This option has the potential of providing higher returns, but also increases the risk of a negative return.
Summary risk levelThe risk level of this option is high.
Benchmark asset allocation

(indicative ranges in brackets)

Growth
Investment objective (super)*This option aims to outperform (after fees and taxes) the rate of increases in inflation as measured by the CPI by 4.0% per annum
Investment objective (pensions)*This option aims to outperform (after fees) the rate of increases in inflation as measured by the CPI by 4.75% per annum (4.0% per annum for NCAP).
StrategyTo invest in a diversified portfolio with a high exposure to equities
Estimated frequency of a negative annual return
5 in 20 years on average.
Minimum investment timeframeLong-term (6 to 12 years).
Who should invest in this option?This option is designed for members who are prepared to accept a more aggressive asset allocation than the ‘Balanced growth’ option. This option has the potential of providing higher returns, but also increases the risk of a negative return
Summary risk levelThe risk level of this option is high.
* The investment objectives are not forecasts or predictions. They simply represent a benchmark against which the Trustee monitors performance.
Benchmark asset allocation

(indicative ranges in brackets)

Single sector options

Single sector options are made up of single asset classes, like Property, Diversified Bonds and Cash.

Cash
Investment objective *This option aims to outperform (after fees and before taxes) the Bloomberg Ausbond Bank Bill Index.
StrategyTo invest cash in money market securities such as bank term deposits and bank bills.
Benchmark allocation100% cash
Estimated frequency of a negative annual returnIt is not expected to provide negative returns over any period.
Minimum investment timeframeShort-term (0 to 3 years).
Who should invest in this option?This option is designed for members who wish to select a less aggressive asset allocation in exchange for more stability and security
Summary risk levelThe risk level of this option is very low.
* The investment objectives are not forecasts or predictions. They simply represent a benchmark against which the Trustee monitors performance.
Diversified bonds
Investment objective *This option aims to outperform (after fees and before taxes)
50% Bloomberg Ausbond Composite All Maturities Bond Index
50% FTSE World Government Bond Index ex Australia (hedged in AUD)
StrategyTo invest in interest bearing bonds and some indexed bonds in Australia and overseas.
Benchmark allocation (indicative ranges in brackets)100% Diversified bonds (80–100%)
0% Alternative debt (0–10%)
0% Cash (0–10%)
Estimated frequency of a negative annual return5 in 20 years on average.
Minimum investment timeframeMedium-term (3 to 6 years).
Who should invest in this option?This option is designed for members who wish to select a less aggressive asset allocation in exchange for more stability and security.
Summary risk levelThe risk level of this option is high.
* The investment objectives are not forecasts or predictions. They simply represent a benchmark against which the Trustee monitors performance.
Property
Investment objective *This option aims to outperform (after fees and taxes) the rate of increases in inflation as measured by the CPI by 3.0% per annum.
StrategyTo invest in a portfolio of property, predominantly located in Australia. This is through unlisted property funds which invest in office, retail and industrial properties, with small allocations to healthcare and education properties. The property funds used will generally target gearing of 10- 30% of gross asset value. Investment is primarily in existing buildings, but may include some development projects on a build-to-own basis. This option has the capacity to invest in listed real estate vehicles and may also include cash allocations from time-to-time.
Benchmark allocation100% property.
Please note that from time to time the investment managers may hold cash.
Minimum investment timeframeLong-term (7 to 14 years).
Estimated frequency of a negative annual return4 in 20 years on average.
Most suitable forMembers who are prepared to accept a more aggressive asset allocation than the ‘Balanced growth’ option. Members should be comfortable with the risks associated with investing in commercial property. Members should note that this option invests in rarely traded assets and is not suitable for a short term investment horizon.
Summary risk levelThe risk level of this option is high.
* The investment objectives are not forecasts or predictions. They simply represent a benchmark against which the Trustee monitors performance.
Infrastructure
Investment objective *This option aims to outperform (after fees and taxes) the rate of increases in inflation as measured by the CPI by 3.5% per annum.
StrategyTo invest in a portfolio of Australian and global infrastructure assets. This is through unlisted infrastructure funds which invest in a diverse range of infrastructure sectors such as electricity distribution networks, airports, seaports, pipelines, toll roads, water utilities and other areas. Typically investment will be equity investments and the average gearing level is moderate, but ranges from low to high depending on the asset. Investment is primarily in operating assets, but may include some development projects. This option has the capacity to invest in listed infrastructure and may include cash allocations from time-to-time.
Benchmark allocation100% infrastructure. 
Please note: that from time to time the investment managers may hold cash.
Minimum investment timeframeLong-term (7 to 14 years).
Estimated frequency of a negative annual return4 in 20 years on average.
Most suitable forMembers who are prepared to accept a more aggressive asset allocation than the ‘Balanced growth’ option. Members should be comfortable with the risks associated with investing in infrastructure assets.
Summary risk levelThe risk level of this option is high.
* The investment objectives are not forecasts or predictions. They simply represent a benchmark against which the Trustee monitors performance.
International equities
Investment objective *This option aims to outperform (after fees and before taxes) the MSCI All Countries World ex Australia Net Dividends Index, partly hedged based on the long term strategic currency exposure target.
StrategyTo invest in overseas companies usually listed on one or more overseas stock exchanges, with allocations to both active and passive managers.
Benchmark allocation100% international equities. Please note that from time to time investment managers may hold cash.
Estimated frequency of a negative annual return6 in 20 years on average.
Minimum investment timeframeLong-term (7 to 14 years).
Who should invest in this option?This option is designed for members who are prepared to accept an aggressive asset allocation which has the potential of providing higher returns, but also increases the risk of a negative return.
Summary risk levelThe risk level of this option is very high.
* The investment objectives are not forecasts or predictions. They simply represent a benchmark against which the Trustee monitors performance.
Australian equities
Investment objective *This option aims to outperform (after fees and before taxes) the S&P/ASX 300 Accumulation Index.
StrategyTo invest in Australian companies usually listed on the Australian Stock Exchange (ASX) with allocations to both active and passive managers.
Benchmark allocation100% Australian equities
Estimated frequency of a negative annual return7 in 20 years on average
Minimum investment timeframeLong-term (7 to 14 years).
Who should invest in this option?This option is designed for members who are prepared to accept an aggressive asset allocation which has the potential of providing higher returns, but also increases the risk of a negative return.
Summary risk levelThe risk level of this option is very high.
* The investment objectives are not forecasts or predictions. They simply represent a benchmark against which the Trustee monitors performance.
Innovation and disruption
Background
Innovation and disruption commenced on 12 February 2018. The option is one of our least diversified single sector options. Our single sector options are, by nature, not diversified across asset class sectors, but many are diversified in the underlying investments. This option has a concentrated portfolio of companies and by investing a large proportion of your account in this one option, your performance will be driven by the performance of these companies. This option is currently invested with one active manager. This may change in the future if additional managers are needed and fit with the option’s strategy. The Innovation and disruption option is partially hedged, consistent with Vision Super’s other international equities options.
Investment objective *This option aims to outperform (after fees and before taxes) the MSCI All Countries ex-Australia Net Dividends Index, partly hedged based on the long term strategic currency exposure target.
StrategyTo invest in high growth companies overseas that are disruptive and innovative within their industry. These companies generally use technology in various forms to power their growth. The companies are usually listed on one or more overseas stock exchanges however there will also be an exposure to unlisted assets in the option.
Benchmark allocation100% international equities. Please note that from time to time investment managers may hold cash.
Estimated frequency of a negative annual return6 in 20 years on average.
Minimum investment timeframeLong-term (7 to 14 years).
Who should invest in this option?This option is designed for members who are prepared to accept an aggressive asset allocation which has the potential of providing higher returns, but also increases the risk of a negative return. Members should be comfortable with the risks associated with investing in emerging or developing technologies.
Summary risk levelThe risk level of this option is very high.
* The investment objectives are not forecasts or predictions. They simply represent a benchmark against which the Trustee monitors performance.
Just shares
Investment objective *This option aims to outperform (after fees and before taxes)
> 45% S&P/ASX 300 Accumulation Index
> 55% MSCI All Countries World ex Australia Net Dividends Index, partly hedged based on the long term strategic currency exposure target.
StrategyTo invest in a premixed portfolio of Australian and international equities, with allocations to both active and passive managers.
Estimated frequency of a negative annual return6 in 20 years on average.
Minimum investment timeframeLong-term (7 to 14 years).
Who should invest in this option?This option is designed for members who are prepared to accept a more aggressive asset allocation than the ‘Growth’ option. This option has the potential of providing higher returns, but also increases the risk of a negative return.
Summary risk levelThe risk level of this option is very high.
Benchmark asset allocation

(indicative ranges in brackets)

Changing your investment options

Most of the time it’s important to keep your investment strategy consistent to get the most out of it. If your circumstances change it’s important you do review your investment options and make sure they’re still right for you.

If you do review your investment strategy and believe your options no longer suit your needs, we do not charge switching fees so there will be no impact on your super account balance from switching between investment options.

Before you make any decisions, we recommend that you obtain financial advice. With Vision Super you can receive advice at no cost from our financial advisers on single topics relating to your Vision Super account, to help develop a strategy tailored for you.

Need advice?

Make an appointment with a Vision Super Financial Planner who will provide information and advice about your super or pension. Bookings can also be made by calling 1300 300 820. 

Frequently asked questions

Cash investment options are generally a combination of money in the bank and money invested for a short time in money market securities, such as bank term deposits and bank bills.

If you are risk averse or working to a short timeframe, then a Cash option that typically provides stable, low risk returns may be suitable for you. This type of investment option will protect the value of your superannuation, but the returns will often be low compared with other investment options.

The risk associated with cash investments is generally minimal, although the returns are also minimal. Cash can be a safe haven in times of economic uncertainty, and occasionally you may wish to preserve capital by allocating some of your super to cash.

We recommend that you obtain financial advice before making any decisions about investing in our Cash option.

To book an appointment with a Vision Super financial planner, either call us or complete our online appointment form:

Go to the form to book an appointment online >

Call our Contact Centre on 1300 300 820 (Monday to Friday 8:30am to 5pm).

Advice fees may apply, which will be discussed with you before any work is undertaken.

We don’t charge switching fees, so there is no impact on your super account balance from switching between investment options. However, if you have the right investment risk profile and your investments are matched up to your risk profile, you shouldn’t be needing to make switches regularly.

From time to time you should review your risk profile, maybe when you are first starting out in the workforce, are in the middle of your working life, a few years away from retirement and/or going into retirement. Otherwise the investments you have in superannuation should be a ‘set and forget’ strategy where you ride the ups and downs of the investments over a longer period.

You can switch investment options for some, or all, of your account balance, future contributions, or both. You can also nominate which investment option you would like your withdrawals to be made from.

You can switch between investment options by logging into our website, or the Vision Super app, or by sending us a completed Investment choice form. You can also call us, on 1300 300 820 (Monday to Friday 8:30am to 5pm).

Investment switches are processed based on the unit prices of the relevant investment options declared on the next business day after we receive your switching request, unless there is a delay with processing due to abnormal market conditions or system failure.

Frequent switching between investment options and trying to second-guess the market can be risky, particularly for high-risk investment options designed to be held in the long-term (6-12 years). You should switch only after a thorough review of your long-term investment strategy.

We recommend that you obtain financial advice before making any decisions about switching between investment options.

To book an appointment with a Vision Super financial planner, either call us or complete our online appointment form:

Go to the form to book an appointment online >

Call our Contact Centre on 1300 300 820 (Monday to Friday 8:30am to 5pm).

Advice fees may apply, which will be discussed with you before any work is undertaken.

Growth assets are higher risk but offer a higher potential return compared to defensive assets. They aim to grow the capital that’s invested and provide some income. Defensive assets are lower-risk investments which aim to protect the capital invested while providing an income.

The classification of assets into either growth or defensive has the advantage of simplicity, but it also has limitations when used as an indicator of risk. The classification does not capture diversification, which can have a larger impact on reducing the overall portfolio risk when assets are combined.

Another issue is that different people may have different classifications for the same asset type because there are no regulations governing this area and no clear guidance by the regulators on a standardised growth/defensive split. Classifications of growth or defensive assets may also change over time depending on market conditions and pricing.

We believe that there needs to be greater consistency and transparency in how super funds arrive at their growth/defensive mixes. But in the absence of regulations, there are going to be differences in practice and opinion. To avoid any potential misunderstandings, Vision Super does not publish the growth/defensive split of our investment options.

Compound interest is the interest that is earned on money that was previously earned as interest.

For example, if you have an investment of $100 that pays interest of 5% every year, then in the first year you will be paid interest of $5 over the year (5% of $100).

What happens in the next year? That’s where compounding comes in. You will not only earn interest on your initial $100 deposit, you will also earn interest on the $5 interest that you earned in the first year.

That means you will earn $5.25 in the second next year because your account balance is now $105, even though you didn’t make any deposits. This may not seem like much of an increase, but the effects of compounding becomes  more dramatic over long periods of time. After 30 years, your initial $100 investment would be worth $432.19, and that year you would be paid $21.61 in interest.

Each year your interest earnings will accelerate even more due to compound interest. This cycle leads to interest and account balances going up at an increasing rate, which is sometimes known as exponential growth.

Of course, if you’re borrowing money, compounding works against you. You owe interest on the money you have borrowed, and so your loan balance can then increase over time, even if you don’t borrow any more money.

We take our responsibility as a long-term investor very seriously. We believe that long-term prosperity of the economy and the well-being of our members depends on a healthy environment. It follows then that good governance within our own day-to-day operations, as well as within the companies we invest in, has an effect on the health of our environment, and therefore the health of us all.

We also believe that environmental, social and governance issues and sustainability considerations are important within the context of optimising (net risk-adjusted) returns for our members.

Vision Super considers ESG (Environmental, Social, and Governance criteria) risks to be material risks that have the potential to affect the interests of our members. Climate change is one of the primary risks we take into account in our investment decision-making. We’re dedicated to the management of the risks, and taking advantage of the opportunities associated with climate change. The carbon intensity of our portfolio is considerably lower than that of the market as a result.

We require our investment managers to take the principles of long-term ESG investing into account and to integrate sustainability research into the portfolios that they manage. In the course of conducting their research on companies to invest in, our investment managers look at how climate risks may affect a business’s long-term value. Their investment criteria tend to lead them to high growth companies that typically operate in less carbon-intensive industries. Our active fund managers are also required to factor in a transition in line with the Paris goals of keeping climate change to 1.5C above pre-industrial levels, and we regularly engage with them on how climate risks are factored into the assessment of particular portfolio positions.

Our passive indexed Australian and International equities portfolios are managed against a low carbon benchmark. The term “passive indexed” means that these portfolios have been constructed to closely mimic the performance of a market index. When we say they are “managed against a low carbon benchmark”, it means that the amount that is invested in each company will vary depending on their relative carbon emissions. As a result these portfolios invest less in companies with high carbon emissions and more in companies with low carbon emissions, and this results in these portfolios having less carbon emissions than a similarly sized pure index portfolio would emit.

Vision Super will not invest at all in some products that we consider particularly damaging and high-risk. Currently, we don’t invest in companies that derive material revenue from the manufacture or production of tobacco, controversial weapons such as land mines, cluster bombs and nuclear weapons, and the mining of thermal coal and tar sands.

We are very active in exercising our shareholder votes. We believe that engagement, rather than divestment, is the most effective strategy to improve the way companies operate, reduce environmental impact and increase transparency. By applying the voting power that comes with owning listed equities, we can encourage companies to do better.

Vision Super is a signatory and member of a range of organisations that promote responsible investing in the superannuation industry, including the Principles for Responsible Investment (PRI), the Australian Council of Superannuation Investors (ACSI) and the Responsible Investment Association Australasia (RIAA). We are also a signatory to the Global Investor Letter to governments on Climate Action, the Paris Pledge for Action (Paris Climate Change Agreement), the Workforce Disclosure Initiative (WDI) and a support investor of the Climate Action 100+ initiative.

For more information about our sustainable investment activities visit:

Our page detailing our approach to Sustainability >

Our page detailing how we engage in Active Ownership >

In our PDS we disclose “Investment fees and costs” and “Transaction costs” that include investment expenses relating to the investment management of Vision Super’s assets.

Investment fees and costs include investment expenses relating to the investment management of Vision Super’s assets, such as base and (in very few cases) performance-related fees paid to investment managers and advisers, management fees charged in investment vehicles, asset consulting fees, bank fees, custodian fees and internal Vision Super costs related to the management of the Fund’s assets.

Transaction costs include explicit transaction costs incurred by investment managers such as brokerage, settlement costs and stamp duty, as well as buy sell spreads charged by our investment managers or in underlying investment vehicles.

Investment and transaction fees and costs are not deducted directly from your account. Investment and transaction fees and costs are indirect fees that are deducted from the investment option unit prices and are therefore reflected in the returns allocated to your account through changes in the unit prices.

For more detail, read about the current investment fees for each option here >

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