FAQs

I have seen on your website that you have changed investment return objectives and target asset allocations – do I need to do anything?

You don't need to take any action. You should however review the changes to the investment objectives and the asset allocations. These are available in the PSSap Product Disclosure Statement (PDS) and the Investment Options and Risk booklet (which forms part of the PDS), available from the PDS page.

As always, you should consider whether any investment option is appropriate for your situation and needs.

Why have the investment objectives changed for some investment options?

Investment return objectives are as follows:

CSC has changed the investment objectives for these options because it expects that, for the same level of risk taking, average investment returns in the decade ahead will be lower than those generated in the stronger‑growth environment of the 1980s -2000s. This reflects the ongoing impact of the global financial crisis. As developed economies reduce their debt, growth in economic activity and in corporate earnings is likely to be lower, on average, than the decades preceding the crisis.

CSC believes that it is important to reflect our view on future investment returns into investment objectives. There is no value to members in stating a return objective which CSC believes is unlikely to be met. Reviewing and updating investment objectives allows members to make informed choices about which investment options are most suitable for them, based on those objectives and, importantly, the tolerance for risk within each investment option.

Why are you renaming options?

The Conservative option will be renamed to Income Focused from 1 July 2013. The option is being renamed because this better reflects the underlying objectives and investments of this option.

I am a member in the Balanced investment option.  Why is this being merged with the Trustee Choice option?

CSC is taking steps to reduce the number of investment options offered in the schemes for which it is the trustee.  It is doing this so that it can focus its investment effort on a smaller number of investment options which invest across various asset classes.  The current Balanced and Trustee Choice options invest across the same asset classes. The Balanced investment option also has a relatively small amount of funds in it compared to the Trustee Choice option. In the interests of providing clearer investment choices for members, reducing the number of investment options that need to be managed and achieving efficiencies associated with that, CSC believes that it makes sense to merge these options.