As a member of Virgin Super, your superannuation investments are allocated across a range of asset classes.
Chris Sozou, Virgin Money Australia’s General Manager Wealth & Insurance, outlines the key factors in determining how your Virgin Super is invested.
- Your age – different stages of life generally come with different investment needs
- Your appetite for risk – members may wish to modify the defensiveness or aggressiveness of their funds
Read the full transcript: How does Virgin Super allocate your investment mix?
“For our LifeStage Tracker® members, there are two factors which influence the amount allocated to each asset class.
Firstly, there is your age. Virgin Super’s LifeStage Tracker® funds provide four different aged based allocation mixes. Namely, Under 40s mix, 40s mix, 50s mix and Over 60s mix. The younger age mixes generally have a higher allocation to Australian Shares and International Shares. These asset classes are considered more risky however have potential for greater returns both positive and negative. This mix is generally appropriate for younger members as they have more time to ride out the ups and downs. Our older age mixes have a higher allocation to Fixed Interest, Cash and Australian Listed property. These asset classes are considered defensive, and less risky than assets such as Australian shares. This mix is generally more appropriate for older members as they are likely to access their super sooner, and are therefore more sensitive to the ups and downs of markets.
Secondly, Virgin Super gives you the choice of 2 LifeStage Tracker® funds, Balanced and Aggressive. The Aggressive fund is designed for members with a higher appetite for risk. It will allocate more of their investment towards Australian Shares and International Shares than the Balanced fund within each age mix.
Therefore, based on your age and investment choice, Virgin super will allocate the appropriate mix of asset classes.”