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Comparing your options

Your choice of investment option could have a big impact on Member Savings account balance, so choose carefully and seek licensed financial advice!

Cash Return Member Savings Market Return Member Savings
Suitability Suitability
May be suitable if you want the protection of a Capital Guarantee and want to avoid the possibility of any negative Crediting Rates. May be suitable for those with a higher risk tolerance. You should have a willingness to accept the possibility of negative and variable Crediting Rates over the short term in exchange for an expectation of higher returns in the longer term (7+ years). There is the possibility that your super may lose value due to negative returns.
Investment return objective Investment return objective
To avoid any reduction in the dollar value of your Member Savings at all times, while also earning a rate of return that aims to at least keep up with inflation over the long term. We expect Crediting Rates to be similar to the cash interest rates set by the Reserve Bank of Australia, less investment costs and taxes. The Trustee’ s objective is to also earn a rate of return that lets the value of your Member Savings at least keep up with inflation over the longer term. To credit returns over the long-term that both exceed the rate of inflation and exceed the rate of returns credited to Cash Return Member Savings after all taxes and costs are allowed for, while accepting that the annual return will be relatively volatile. We expect that the Market Return Crediting Rates will exceed the Cash Return Crediting Rates by a margin of 3-4% per annum in the long-term. We cannot guarantee that the long-term expectation will be met because investment markets are unpredictable.
Minimum suggested time-frame  Minimum suggested time-frame 
No minimum time frame applies. 7+ years.
Strategic asset allocation Strategic asset allocation
Cash Return Crediting Rates are determined by reference to the investment returns of the APSS’ Cash Portfolio. The target asset allocation of the Cash Portfolio is 100% Cash. The Market Return Crediting Rates are determined by reference to the investment returns of a diverse portfolio of assets in the APSS that are mainly invested for the long term, known as the Market Return Portfolio. The target asset allocation of the Market Return Portfolio is 20% Bonds, 55% Shares, 17.5% Private Market Assets, 7.5% Property. The actual asset allocation may differ from time to time according to market conditions.
Risk level Risk level
Low. Protected by a Capital Guarantee, which means that the Crediting Rates for Cash Return Member Savings cannot be negative. However, the Crediting Rates are not guaranteed to keep pace with inflation and therefore the future purchasing power of your Member Savings may reduce.  High. The estimated number of negative annual returns is expected to be 4 to less than 6 out of every 20 years.