Then, consider if you want to make a change
“There are a few reasons you may decide to change your investments: Do you want your super to be simpler? Do you want higher returns? Do you want to invest in particular assets? Or do you want your super to be safer? In short, what do you want to achieve by switching your investment choice?”, asks Ng.
Want to make it simple and easy to manage? Our most popular option is MySuper. This option adjusts as you age: higher risk when you’re younger to maximise returns, lower risk as you age to preserve what you have. It’s called a ‘lifecycle’ approach because it’s designed to adapt to different life stages. It particularly suits those who want to be less involved in their super.
Want higher returns or to keep your super safe as possible? Then look at our investment returns page. There you can review the performance of each option for up to seven or 10 years. Pay attention to the first column in those return tables, ‘Growth assets %’, as the higher figure indicates an option with more risk and potentially more return, while a lower growth assets figure means less risk but potentially lower return. (Consideration around risk is deeply connected to life stage and age – see below.)
You’ll notice that our investment performance tables are split into two sections: pre-mixed options (based on their level of risk) and sector options (based on particular assets such as shares or property). We also have detailed lists of what each option is invested in if you want to know.
“If you’re confident in your investment knowledge you may be inclined to pick one of those pre-mixed or sector options, eg growth, defensive, international shares, or cash. You can also split super between a number of options (it doesn’t all have to go into just one). It’s important to think through what it is you want to achieve, what level of risk you’re comfortable with, and what options will help you get there. Our article, Building wealth is all about risk, can give you some useful background here,” says Ng.
Keep in mind the investment performance you see in our returns tables is past performance and is not a reliable indicator of future performance. It is also advisable to speak with a financial adviser or a smartMonday smartCoach if you feel you need guidance.