PensionNews
May 2013
Investments update
The third quarter of the financial year was
positive, particularly for Australian and
international shares and built on the strong
performance of the first half.
Australian shares returned 25.44%* for the financial year to
date (FYTD), while international shares returned 15.45%.^
LUCRF’s Super and Pension Balanced (default) investment
options – which have almost 50 per cent of their investments
allocated to Australian and international shares – returned
11.78% and 13.71% respectivley, for the same period.
They also outperformed the Master Trust (Retail Funds)
Median return over the rolling three year period.
LUCRF has worked hard to reduce the exposure to volatility in
the Balanced (default) option, to help provide competitive but
stable long-term results.
Therefore, it forgoes some potential gains when investment
markets are up but minimises loses when investment
markets are down.
Super accounts
Option name
LUCRF Super –
Balanced (default)
Master Trust
(Retail Funds) Median
FYTD
Rolling
3 year
Rolling 10
year
11.78%
6.25%
6.96%
12.68%
4.95%
5.52%
Source: SuperRatings Fund Crediting Rate Survey – SR50 Balanced (60-76)
Index, March 2013
Pension accounts
Option name
FYTD
Rolling 3 year
LUCRF Pension – Balanced (default)
13.71%
7.53%
Master Trust (Retail Funds) Median
13.90%
5.89%
Source: SuperRatings Pension Fund Crediting Rate Survey – SRP50 Balanced
(60-76) Index, March 2013
Note: past performances is not a reliable indicator of future investment returns.
*
ASX 300 Accumulation Index, FYTD performance
^
MSCI Word ex Australia Index in AUD net return, FYTD performance
Keep your finances on track
Sorting out your finances and ensuring you are getting the
most out of what you have can be confusing, but LUCRF’s
Financial Advisers can help to keep you on the right track.
It is important to review your finances every three to five
years even in retirement. LUCRF offers super, pension and
general financial advice, including Centrelink. We can also
help you with all the necessary paperwork.
Call us today to speak to one of our
qualified Financial Advisers.
Search for @LUCRFSuper or
www.twitter.com/lucrfsuper
lucrf.com.au
Fee changes
From 1 July 2013 some of LUCRF’s fees will change, however
most fees will either decrease, remain unchanged or will
be eliminated. Fee changes to LUCRF’s investment options are
outlined in the table shown. Importantly, the investment fee on
LUCRF’s Balanced (default) option will remain at 0.69%, as it
has since 2008.
Investment fee
Current
From
1 July 2013
Balanced (default)
0.69%
0.69%
Conservative
0.48%
0.48%
Moderate
0.60%
0.58%
Targeted Return
0.90%
0.77%
•• Severe hardship or compassionate grounds – $80
High Growth
0.75%
0.75%
•• Death, TPD or Family Law – $225.
Cash
0.20%
0.28%
The Member Benefit Protection fee will be removed.* This fee
covered the cost of protecting members’ account balances
where their balance was very low and at risk of being depleted
by fees. If you have a very low balance (under $1,000), you
should be aware that it will no longer be protected in this way
after 1 July.
Indexed Shares
0.39%
0.28%
Australian Shares
0.60%
0.67%
International Shares
0.65%
0.85%
Property
0.39%
0.28%
Investment option
When exiting the Fund the following fees apply from
1 July 2013:
•• Partial or full exit – $70
•• Retirement – $60
Need investment advice?
As at 26 April 2013, this had not yet become law.
*
Call us to speak to a qualified Financial Adviser.
Concessional caps may increase
You may have heard the government is proposing to increase
the concessional (before-tax money) contributions cap for
people approaching retirement. If passed by Parliament, this
change will see the concessional cap for people aged 60 years
and over increase to $35,000 per year (currently $25,000)
from 1 July 2013.
This is also likely to be extended to people aged 50 and over
from 1 July 2014.
More super for you
The upper age limit for super entitlements will be
removed on 1 July 2013. So if you are 70 or over
and still working, you can keep building
your retirement savings.
Contact us
Web Email
Post
Fax
lucrf.com.au
mypartner@lucrf.com.au
PO Box 211 North Melbourne VIC 3051
(03) 9326 6907
An award-winning fund
This newsletter is issued May 2013 by L.U.C.R.F Pty Ltd ABN 18 005 502 090 AFSL 258481, as Trustee for Labour Union Co-operative Retirement Fund ABN 26 382 680 883 (LUCRF Super). It is general in nature and
has been prepared without taking into account your personal financial situation, objectives or needs. Ratings (awards) are only one factor to be taken into account when deciding whether to join LUCRF Super. These
ratings were current at the time of publication and may change. You should assess your personal financial situation before making a decision about LUCRF Super. To help you decide we recommend you read our current
Super Member Guide (Product Disclosure Statement), Super Member Essentials (Additional Information and Financial Services Guide) and awards available from our website or by calling us.
LUCRF0207_0513
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