Switching your investment options 1
As a Maritime Super member, you have the option to change your investment options. This is known as ‘switching’ your investment option for the market-linked investment options (ie. Growth, Balanced, Conservative, Cash Enhanced and Cash).
You can choose to switch your market-linked investment option(s) just for your future contributions or pension payments (if applicable) or all or part of your existing account balance.
You cannot, however, switch any super account balance you have invested in the Fixed Term Investment option to one or more of the market-linked investment options during its 12 month term. This can only occur on maturity of the Fixed Term Investment option. You also cannot switch to the Fixed Term Investment option for your future contributions or pension payments.
Members have different priorities when it comes to investing their super. You will need to feel comfortable with the investment option(s) you choose so that you are not tempted to switch too often.
We allow a maximum of 12 switches per year per member. Switching is free of charge to members.
Changing your investment option(s)
If you decide that you'd like to change your market-linked investment option(s), simply complete the Investment switching form and return it to us.
We will confirm the amount and details of any switch once your request has been
processed.
Please check the details of the letter carefully to ensure that we have correctly understood your intentions.
Alternatively, if you wish to switch part of your account balance from one or more of the market-linked investment options to the Fixed Term Investment option , complete the Fixed Term Investment Application form . Applications are able to be made for four quarterly investment dates (1 December, 1 March, 1 June, and 1 September).
When does switching take effect?
Switches take effect on the Wednesday* of each week and will only be implemented on receipt of a correctly completed Investment switching form or Variation of Pension Details and Investment Options form (if you are a pensioner) received before 5pm AEST on the preceding Sunday. Investment crediting rate(s) for a Wednesday are generally not declared until the next business day. It may then take us a couple of days to issue your confirmation. If you do not receive your switch acknowledgement by the Friday of the following week, you should contact us to confirm that your switch request has been received and processed.
Maritime Super may nominate an alternative day to process a switch request and may delay or suspend switches at its discretion.
Switches to the Fixed Term Investment option, however, only take effect on the investment date.
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In determining the unit price for each investment option, the Fund’s policy is to take the asset value at the close of business to calculate the unit price for that day. All transactions for the day are processed using this unit price.
This means that in the case of switches the unit price for Wednesday (the day switches are effected) are based on the value of assets at close of business on Wednesday and therefore take into account market movement up to the close of business on Wednesday.
This approach to unit pricing is known as forward pricing and is considered ‘best practice’ by the Regulators. The Fund’s primary objective is to ensure that members are treated fairly and equitably, both at a particular point in time and over time, and it is for this reason that unit prices are calculated on a forward pricing basis.
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What you should think about before switching your investment options
When reviewing your investments to decide whether you'd like to stay with the same option(s) or switch, make sure you think about your investment timeframe (or how long before you need to access your super) and the amount of risk you are comfortable with.
People's attitude to risk varies widely, so when choosing an investment strategy it's important for you to know how you feel about a negative return from time to time, and to get the right balance between risk and return given your levels of tolerance. Learn more about choosing your investment option.
If you would like help in working out what's right for you, a licensed financial planner can work with you to choose the right investment option to suit your needs and goals. To arrange an appointment with a qualified planner, contact Member Services.
While the option to switch means you are not locked into one investment strategy for a period of time, we encourage all members to consider their options carefully. It is generally not a good investment strategy to switch market-linked investment options too frequently, or to try and pick the best performing options. Frequent switching could result in lower returns over the longer term.
1 The ability to switch and/or nominate investment options does not apply to the following pensions:
Stevedores division
Fixed Term Income pensions
Seafarers division
Fixed-Term pensions
Lifetime pensions