How your super is invested may make a difference to its performance and balance by the time you retire. Typically, growth assets like property and shares have higher returns than defensive assets like cash and fixed interest, but carry more risk. With Essential Super, your money is automatically invested in our Lifestage option, which is based on your age. Your investment mix is adjusted to more defensive assets as you grow older. Think about your current investment strategy and review whether it will help you reach your retirement goal and that you’re comfortable with the risk profile especially as you get closer to retirement.5
To see how your super is invested log into NetBank > select Essential Super > Investments
Our Investment Fund Fact sheets will show you a short summary of the Investment options, the strategy and its performance over time.
1Before you make a decision on consolidating your super, you should compare the costs, fees, risks and benefits of your other super funds against Essential Super. It makes sense to consider whether you can replace any insurance cover you may lose upon rolling over, potential costs for withdrawing from other super funds as well as any investment or tax implications. You should also decide which super fund you want your employer to pay your future employer contributions to and complete a Super Choice form if necessary.
2 Source: Association of Superannuation Funds of Australia, Superannuation account balances by age and gender 2015-16, October 2017, pg. 9.
3 Contribution caps apply
4 Assumptions: Projection starts at 1 July 2020; annual salary has a marginal tax rate of 32.5% + 2% Medicare levy (low income / low and middle income tax offsets apply); salary sacrifice is $10 per week; 15% contributions tax applies to pre-tax contributions; salary and salary sacrifice contributions increase each year by salary growth of 3.2% pa; employer super guarantee contributions of 9.5% pa (increasing gradually to 12% in line with legislation); the investment rate of return based on a balanced earning rate of 3.46% pa compound weekly net of tax and fees; results in today's dollars discounted by CPI inflation of 3.2% pa. Take home pay figures do not include the net salary sacrifice amount. Rates are current as at October, 2020. Source: Colonial First State
5Before making any major decisions around your investment options, it’s a good idea to understand the risks associated with your current investment strategy and any changes you may like to make.
Colonial First State Investments Limited ABN 98 002 348 352, AFSL 232468 (CFS) is the issuer of interests in Commonwealth Essential Super ABN 56 601 925 435 (Essential Super) and is a wholly owned but non-guaranteed subsidiary of the Commonwealth Bank of Australia ABN 48 123 123 124 (Bank). This document may include general financial product advice but does not consider your individual objectives, financial circumstances or needs. You should read the Product Disclosure Statement (PDS) and the Reference Guide for Essential Super carefully and consider whether the information is appropriate for you before making any decision regarding this product. Download the PDS and Reference Guide from this page, or call us on 13 4074 for a copy. The Bank and its subsidiaries do not guarantee the performance of Essential Super and an investment in this product is subject to risk, loss of income and capital invested. An investment in Essential Super is via a superannuation trust and is therefore not an investment in, deposit with or other liability of the Bank or its subsidiaries. Where we mention ‘we’, ‘us’ or ‘our’, we mean CFS.