OPTIMUM CORPORATE SUPER FOR STANDARD PACIFIC PRODUCT GUIDE Issued 31 January 2013

Transcription

OPTIMUM
CORPORATE SUPER FOR STANDARD PACIFIC
PRODUCT GUIDE
Issued 31 January 2013
Important information
Suncorp Portfolio Services Limited (Trustee) (ABN 61 063 427 958, AFSL 237905, RSE Licence No L0002059), Suncorp Life &
Superannuation Limited (Insurer) (SLSL) (ABN 87 073 979 530, AFSL 229880) and Suncorp-Metway Limited (SML) (ABN 66 010 831 722,
AFSL 229882), are related bodies corporate of Suncorp Group Limited (Suncorp Group) (ABN 66 145 290 124).
The information contained in the PDS, this Product Guide, and any other material incorporated by reference, is of a general nature only
and doesn’t constitute financial advice. It has been prepared without taking into account your particular objectives, financial situation or
needs. Before deciding to open an account or continuing to hold an interest, you should consider how the information contained in the
PDS, the Product Guide, and any other material incorporated by reference, relates to your own situation. We recommend that you speak
to an adviser who will be able to help you with your investment and insurance decisions.
Various products and services are provided by different entities of the Suncorp Group. The different entities of the Suncorp Group are not
responsible for, or liable in respect of, products or services provided by other entities of the Suncorp Group. The obligations of the Trustee
and the Insurer aren’t guaranteed by any other company within the Suncorp Group. Except as otherwise stated, Suncorp and its
subsidiaries don’t guarantee the repayment of capital invested in or the investment performance of this product. This product is not a
bank deposit or other liability and is subject to investment risk including possible delays in repayment and loss of the interest and principal
invested.
The Product Disclosure Statement (PDS), this Product Guide, and any other material incorporated by reference, were prepared on
30 January 2013. The Trustee is the issuer of the PDS, the Product Guide, and any other material incorporated by reference, and takes
responsibility for its contents. Investment option information is provided by Standard Pacific which includes their objectives, strategies,
asset allocations, fees and buy/sell spreads. Standard Pacific have consented to the publication of this information in the Product Guide
and haven’t withdrawn their consent at the time of its preparation. They take no responsibility for any other information in the PDS, the
Product Guide, and any other material incorporated by reference.
Optimum Corporate Super for Standard Pacific (Optimum) (SPIN RSA0111AU) is part of the Suncorp Master Trust (Fund) (ABN 98 350 952 022,
RSE Fund Registration No. R1056655). Applications can only be accepted from persons receiving the PDS (including electronically) within
Australia. If you print an electronic copy, please ensure you print all pages of the PDS and the Product Guide. If you would like a printed
version, free of charge, just call us on 1800 819 499 or email us at [email protected]
Administration services are provided by Suncorp Life & Superannuation Limited, a wholly owned subsidiary of the Suncorp Group.
We reserve the right to refuse or reject an application for membership or insurance. Insurance cover offered through Optimum is provided
by the Insurer in a policy issued to us. This policy is a non-participating policy.
Definitions of terms used in the Optimum PDS, this Product Guide, and any other material incorporated by reference
Throughout the PDS (and any material incorporated by reference, including this Product Guide), unless otherwise specified, references to:
›› ‘we’, ‘us’, ‘our’ and ‘Trustee’ mean Suncorp Portfolio Services Limited
›› ‘adviser’ means a qualified financial adviser
›› ‘Insurer’ and ‘Suncorp Life’ and ‘SLSL’ mean Suncorp Life & Superannuation Limited
›› ‘bank account’ means an Australian bank, building society or credit union account
›› ‘business day’ means a Sydney business day other than a Saturday, Sunday or public holiday in Sydney
›› ‘licensee’ means an organisation that has obtained an Australian Financial Services Licence (AFSL) for the provision of financial
services
›› ‘Optimum’ means Optimum Corporate Super for Standard Pacific
›› ‘plan’s adviser’ means the qualified financial adviser for your employer superannuation plan
›› ‘Standard Pacific’ means Standard Pacific Consulting Limited.
In the PDS and Part 1 of this Product Guide:
›› ‘you’ and ‘member’ means a member of Optimum (an employee)
›› ‘employer’ means your employer.
In Part 2 of this Product Guide:
›› ‘you’ or ‘employer’ means an employer registered as an employer under Optimum
›› ‘clearing house’ means SPSL as holder of the Australian Financial Services Licence 237905 which offers a (non-cash payment)
clearing house service to employers for the collection and distribution of contributions to multiple superannuation funds.
B Optimum Corporate Super
About this Product Guide
Changes to the PDS
This Product Guide is divided into two parts:
In the world of superannuation, as in the real world,
things change from time to time. So the information in
the Optimum PDS and any material incorporated by
reference, such as this Product Guide and it’s underlying
Trust Deed, may change at any time. (The Trust Deed is a
legal document that sets out the rules within which we
have to operate and your rights as an Optimum member.)
Part 1 is for employees who joined Optimum as part of
their employer’s super plan.
Part 2 is for employers who want to learn more about
opening an Optimum account, and Asteron EASE.
If you’re reading this, we hope you’ve already seen the
eight page Product Disclosure Statement (PDS) for
Optimum, because the two documents work together.
Here’s how:
›› The PDS is a summary of all the best things about
Optimum, and some simple information about super
generally. It also includes some information that
we’re required to tell you about by law, such as the
risks of super.
If the change isn’t likely to be materially adverse for our
Optimum customers, we’ll update the information on our
website asteronlife.com.au. If you’d like a free paper copy
of the updated information, just call us.
›› This Product Guide picks up where the PDS left off. If
you want more detail about Optimum and how it
works, this is the first place you should look.
This Product Guide contains material that we referred to
in the PDS. We have to describe this by the legal
expression ‘incorporated by reference’.
Having said that, it is very important that before making
any investment or insurance decisions, you read:
›› The PDS
›› This Product Guide, and
›› Other material incorporated by reference.
If you’ve got any questions or would like a copy of the
PDS, this Product Guide or any material incorporated by
reference, just call us on 1800 819 499 or email us at
[email protected]
Optimum Corporate Super for Standard Pacific Product Guide 1
Contents
Part 1
Welcome to Optimum Corporate Super for Standard Pacific
3
Product summary
4
Contributions6
Managing your account
9
Accessing your benefits
12
How we invest your money
14
Risks of super
14
Optimum investment menu
21
Insurance31
Fees and other costs
41
Additional explanation of fees and other costs
43
Taxation information
46
Keeping in touch
47
What happens when you leave your employer?
48
Other things you need to know
49
Part 2
Optimum for business and Asteron Ease
How to contact us
2 Optimum Corporate Super for Standard Pacific Product Guide
52
back cover
PART 1
Welcome to Optimum Corporate Super
for Standard Pacific
Your employer has chosen Optimum Corporate Super for
Standard Pacific (Optimum) as your superannuation fund.
Optimum is a super solution to help you invest and save
for your retirement.
Standard Pacific specialises in providing corporate
employers and their employees comprehensive and
tailored superannuation solutions. Their services include
benefit design, portfolio advice, human resources support,
member communications and individual member advice.
Standard Pacific is able to offer members of Optimum
Corporate Super for Standard Pacific a series of exclusive,
specialised investment portfolios.
We’d like to welcome you to the plan and invite you to get
to know your super account. After all, your super’s going
to play a big role in your family’s financial security, and
even small decisions now could make a big difference later.
What you can expect from us
We take the responsibility for your investment very
seriously. That’s why we’ll do all we can to support you
and help you make the most of your super account.
How will we do this?
›› We’ll keep things simple.
›› If you’re unsure about where your super should be
invested, we’ll help you with information about how
to match your attitude to risk with your investment
choice.
›› We’ll help you protect what’s important with
insurance within your super.
›› We’ll make it easy for you to manage your account,
by giving you a range of contact options – from
online, telephone, fax or post.
With Optimum and Standard Pacific, you’re on the way to
a better future for you and your family.
Product summary
The following sets out key features of Optimum. Take a few moments to get to know your account.
The choice is yours
Where you invest your superannuation is your choice. ‘Super Choice’ is legislation that allows you (if you're eligible)
to choose where you want your compulsory employer contributions paid. If your compulsory employer contributions
are currently being paid into another account and you’d like them to be paid into your Optimum account, fill in a
‘Standard Choice Form’, available from our website.
Your super account at a glance
Features
Refer to page
Investment minimums
Initial investment
No minimum
–
Ongoing account balance
No minimum
–
Regular contribution plan
$50 per contribution
–
Diversified investment options
5
14
Single sector investment options
6
14
Maximum number of investment
options
Unlimited
14
Default investment option
Standard Pacific Growth Fund
14
Investment switching
You have the flexibility to switch between investment options at any time
18
Auto rebalancing
You can choose to maintain your investment portfolio holdings in line with
your future investment selection on a monthly, quarterly, half-yearly or
yearly basis
18
Family accounts
Your family members can enjoy most of the benefits associated with your
plan, including competitive fees, by setting up their own Optimum account
44
Super consolidation service
Consolidating your super accounts could reduce the amount of fees you
pay and the amount of paperwork you receive
49
Investment choice
General features
We can help you transfer all your super balances into the one account, or,
if you’d prefer to do it yourself, we also have an online super rollover
wizard
Lost super service
We can help you find your missing super benefits by conducting searches
on the Australian Taxation Office (ATO) databases on your behalf
49
Binding or non-binding death
benefit nomination
You can have a binding or non-binding death benefit nomination
10
Contribution methods
Making contributions to your Optimum Superannuation account is easy,
and you can choose from the following methods:
7
›› Direct Debit
›› BPay®
›› Cheque
›› transfer from another super fund
Insurance options
Optimum gives members the option of having the following types of
insurance:
›› Death only or
›› Death & Total and Permanent Disability (TPD)
›› Income Protection (IP)
31
Features
Refer to page
General features
Online access
Log on to WealthSolutions at asteronlife.com.au to access your super
account at any time
47
Member education
Log on to our website at asteronlife.com.au to access educational tools
47
Email communications
By providing us with your email address, you can opt to receive many of
the more important communications, such as annual statements,
transaction confirmations and confirmations of changes to your account
details via email. If your employer gives us your email address, we’ll use this
to communicate with you whenever possible
–
Establishment fee
Nil
–
Contribution fee
Up to 4.1% of contributions and transfers for plans that commenced on or
after 1 December 20041
41
Fees and costs
Up to 4.1% of contributions and 5.0% of transfers for plans that
commenced before 1 December 20042
Withdrawal fee
$50 for withdrawing your entire balance
41
Termination fee
Nil
–
Asset fee
1.55% pa for members of plans that commenced on or after 5 March
2007
3
41
2.00%4 pa for members of plans that commenced before 5 March 2007
A discount applies for balances over $250,0005
Investment fee
Depends on the investment option(s) selected and range from 0.60% pa to
1.98% pa This includes an investment fee of 0.10% pa to 0.350% pa
payable to Standard Pacific and a fee of 0.20% payable to the Trustee
41
Performance fees
Depends on the investment option(s) selected and range from 0% to
1.00%
42
Member fee
$57.60 pa
42
Investment switching fee
Nil
42
Adviser Service fee
Up to 2% pa of your account balance or a fixed monthly dollar amount
42
Contribution splitting fee and
superannuation splitting fee
$50
42
Family law enquiry fee
$50 – Where cases are complex we may charge a higher fee
42
1 This fee includes an amount paid to your plan’s adviser. Please see Fees and other costs on page 41.
2 Your employer can agree different amounts with your plan’s adviser for contributions and transfers.
3 Up to 0.55% may be paid to your plan’s adviser excl GST.
4 Up to 1% may be paid to your plan’s adviser excl GST.
5 Please see Fees and other costs for more details.
Other features of Optimum to suit your lifestyle
Continued flexibility, even when you leave your employer
If you leave your employer, you can still keep your super account in Optimum. We’ll also provide you with the
information you need so that your new employer can contribute to your Optimum account on your behalf.
For more information on what happens when you leave your employer, please see page 48 of this Product Guide.
Contributions
Get off to a super start
Your super is your key to a life of financial independence.
But it’s easy to forget about your super – you probably
don’t see the money going in, and for most people
there’s no way of getting it out. Until you retire that is.
The fact is that your super is likely to be the second largest
asset you build in your lifetime, after the family home.
Optimum can help you reach your financial goals and
achieve the retirement lifestyle you want. By taking
advantage of the tax-effective nature of the superannuation
environment and investing regularly in Optimum now, you
can make saving for your retirement easier.
How much is your employer
contributing for you?
Did you know that unless you are an exempt employee,
your employer must make superannuation guarantee (SG)
contributions to your account on a quarterly basis? This is
the minimum amount your employer must contribute on
your behalf (unless you have a specific agreement in place
with your employer to contribute more).
The SG contribution amount is currently equal to 9% of
most employees’ salary. This will gradually increase from
9% to 12% between 1 July 2013 and 1 July 2019. To find
out how much is being contributed to your super account
on your behalf, check your payslip.
Super strategies to boost your
savings for your retirement
The current level of SG contributions to your super
account by your employer is a great start, but the truth is
it probably won’t be enough to provide you with the
lifestyle you want in retirement. To help you boost your
savings for retirement, the Government has put in place a
number of initiatives to encourage you to save more for
your retirement.
The following snapshots give you a flavour of these super
boosting strategies. For more information on how these
strategies can work for you, speak to your adviser or
call us.
Salary sacrifice
Putting a portion of your pre-tax salary into your super is
one of the most powerful and tax-efficient ways to boost
your Optimum account. Rather than paying income tax
which can be up to 46.5%, you’ll generally only pay 15%
tax on these contributions. And because these
contributions aren’t considered salary for tax purposes,
salary sacrificing can potentially reduce your overall
taxable income.
Government co-contributions
If you are eligible to receive the co-contribution, earn less
than $31,920 pa (in the 2012/13 financial year) and you
make a $1,000 after-tax contribution, the Government has
proposed that it will contribute the maximum $500 to your
retirement savings.
The Government’s co-contribution amount decreases for
those on higher incomes, but you can still benefit from the
co-contribution scheme if you earn less than $46,920 a
year (proposed for the 2012/13 financial year).
Low income super contribution
From 1 July 2012, the Government will pay a new super
contribution to low income earners. Individuals with
adjusted taxable income less than $37,000 pa will receive
a Government contribution of up to $500 paid
automatically to their super fund. The amount paid by the
Government will be calculated based on concessional
contributions (including SG contributions) made from 1
July 2012 and will be paid after lodgement of the
individual’s tax return for the year in which the
concessional contributions were made. The amount
payable will be 15% of before-tax contributions and
capped at a maximum of $500.
For example, an employee earning $30,000 pa will have a
SG (ie. concessional contribution) of $2,7001 annually.
Therefore, the Government contribution will be $4052.
Note: This example assumes a 9% SG paid in the 2012/13 financial year.
1 SG of $2,700 calculation: $30,000 x 0.09 = $2,700
2 Government contribution of $405 calculation: $2,700 x 0.15 = $405
Spouse contributions
Having your spouse contribute to your super is a great
way to work towards your retirement goals. By making a
contribution on your behalf, your spouse may be entitled
to a tax offset of up to $540 which can be claimed
through their personal tax return. The offset is equal to
18% of a maximum contribution of $3,000 pa (that
is $540).
Contribution splitting
You can direct up to 85% of any concessional contributions
made in the previous financial year, from your account to
your spouse’s account. Your spouse must be under age 65,
but if they are between preservation age (currently age 55)
and age 60, they must not be retired.
Concessional
contributions
Types accepted
›› Compulsory
employer (SG
and Award)
›› Salary sacrifice
As a self-employed person, you can’t rely on SG
contributions to help you save for your retirement. The
good news is if you’re self-employed or substantially selfemployed, you may be able to claim a tax deduction for
personal contributions if you’re under age 75. All the
more reason to contribute extra to your super!
›› Voluntary
employer
If you’ve made personal contributions into your account
and haven’t subsequently withdrawn them, we’ll send you
a notice at the end of the financial year. This is known as
a ‘section 290-170 notice of intent to claim a tax
deduction’. If you wish to claim a tax deduction, simply
complete the notice and send it back to us. We’ll take
care of the rest and will let you know what information
you’ll need to claim a tax deduction.
Who can contribute?
Personal circumstances, such as your age and employment
status, determine who can open an account and
contribute to super.
You can make contributions into your Optimum account
if you’re:
›› under age 65 or
›› age 65 to 74 and have worked at least 40 hours in a
consecutive 30-day period within the current
financial year.
›› Spouse
›› Personal
(after-tax)
›› Personal
(deductible)
Self-employed?
You can claim a tax deduction on all contributions you
make. To be eligible for this deduction, less than 10% of
your assessable income, plus reportable fringe benefits
and reportable employer super contributions may come
from an employer.
Non-concessional
contributions
Contribution caps
for the 2012/13
and 2013/14
financial years
$25,000
(indexed)*
$150,000^ or
$450,000 over
three years
What happens if
your contributions
exceed the caps?
Depending on the circumstances, you
may pay additional tax or the
contributions will be rejected.
* The $25,000 concessional contributions cap is reviewed annually for
indexation to average weekly ordinary time earnings (AWOTE) but will only
increase in $5,000 increments. However, currently the Government has
paused the indexation which will resume for the 2014/15 year.
^ The Government has announced changes that, if passed by parliament, will
increase the concessional contributions cap from 1 July 2014 to $50,000 for
individuals who have total super balances below $500,000 and are aged 50
years or older.
The non-concessional contributions cap is three times the
concessional contributions cap, which means it will
increase whenever the concessional contributions cap
increases. For the 2012/13 and 2013/14 financial years
the limit is $150,000.
However, a person under age 65 is able to bring forward
the limit over three years to allow an amount up to
$450,000 to be contributed in a single financial year. This
$450,000 limit will not increase if the concessional
contributions cap increases during the three year period.
If the non-concessional contributions cap is exceeded,
depending on the circumstances, the contributions will
either be rejected or taxed at 46.5% on the excess
amount. An excess contributions tax assessment is sent to
you by the ATO. This excess tax must be deducted from
your fund.
What types of contributions are accepted?
Contribution methods
Contributions made to your super account fit into one of
two categories, known as:
It’s easy to contribute to your super account, with a range
of flexible methods.
›› Concessional contributions or
›› Non-concessional contributions.
Both of these contribution categories are subject to caps
on the amount you may contribute in a financial year
(from 1 July to 30 June). The table below shows what
category each type of contribution made into your super
account falls into and the contributions caps for the
2012/13 and 2013/14 financial years. Direct debit
You, your spouse and your employer can conveniently
contribute to your Optimum account on a regular basis by
setting up a direct debit facility. The minimum direct debit
amount for contributions made by you or your spouse is
$50 for each contribution. There is no minimum for direct
debit contributions made by your employer.
Contributions continued
Deductions from the nominated bank account are made on
or around the 15th of the relevant month. You can change
or cancel this arrangement at any time and we must
receive your request on or before the 10th of the month for
it to be effective for the next scheduled direct debit.
Contributing by BPAY®
BPAY® allows you to contribute to your super account by
phone or internet. You’ll need your Optimum Customer
Reference Number (CRN) and the BPAY® code for the type
of contribution you wish to make.
Your CRN is included in the welcome letter you’ll receive
after joining Optimum or you can find it anytime by
logging into your account online.
If your employer or spouse is contributing to your account
by BPAY®, you’ll need to provide them with the relevant
biller code and your CRN.
The Optimum Biller Codes:
Contribution type
Biller Code
Personal contribution
787218
Spouse contribution
787226
SG employer contribution
787200
Cheque
Please make cheques payable to ‘Suncorp Portfolio
Services Limited – <your account name>’ and send it with
an Additional Investment form to us at:
Customer Service Centre
GPO Box 1576
Sydney NSW 2000
Managing your account
It’s easy to manage your Optimum account via the following
transaction options
The table below answers some questions you may have and helps you identify the choice of options available for each
transaction. All forms are available from our website at asteronlife.com.au
How do you?
What form do you need to use?
Apply for insurance cover
Insurance application form
Change your investment options
Investment change form
Set up or change a regular
contribution plan
Direct debit request form
Change your address
Change of details form
Change your name
Change your bank account details
Direct debit request form
Transfer money from another
super fund
Transfer authority form
Make a withdrawal
Withdrawal form
Nominate or change your death
beneficiary
Death benefit nomination form
Provide your TFN
Appoint an authorised
representative
Cancel a request
Transaction options




–
–
–
–


–
–




–





–
–
–
–
–
–
–
–


–
–
–

Authorised representative form


–
–


No form – Put your request
in writing

–
–


By mail
GPO Box 1576
SYDNEY NSW 2000
By phone
1800 819 499
By fax
02 8275 3108
Original signature required
We must receive an original ink signature

managing your account continued
Our service standards
We’re committed to delivering consistent, superior service.
Our service standards apply from when we receive your
complete instructions. If we receive a complete
investment transaction request from you by 12pm (Sydney
time) on a business day, you’ll receive the unit price
effective for the Optimum investment option for that day.
If we receive a completed investment transaction request
after 12pm on a business day, we’ll process the request
using the investment option unit prices for the following
business day.
The 12pm cut-off applies to all contributions, switches
and withdrawal requests.
Generally, we aim to process and pay withdrawals within
3 business days.
We process switches on the third business day following
receipt of a completed Investment change form.
We strive to consistently meet our service standards,
however the unit price used to process your transactions
may differ from the effective unit price for that day or
processing your transactions may be delayed in some
circumstances including:
›› incomplete or incorrect information from you
›› we’re not responsible to you for any loss suffered by
you because we process a fax that has been
corrupted during transmission
›› we won’t compensate you for any losses arising from
the use of this facility and
›› we’ll be released and indemnified by you against any
liabilities as a result of acting on any faxed
communication received in relation to your account.
Nominating your beneficiaries
Have certainty over who will receive your death benefits
by nominating a dependant.
Who is a dependant?
You can only nominate your estate or your dependants to
receive your death benefits. A dependant under super law
includes:
›› spouse (legal, de facto, same sex)
›› child (any age)
›› person in an interdependency relationship with you
and
›› financial dependant.
›› a delay in confirmation or payment from an external
investment manager
Choice of binding or non-binding death
benefit nomination
›› carrying out the transaction may materially impact
other members
Optimum offers you the choice of either a binding or a
non-binding death benefit nomination.
›› us receiving a direction from a lawful authority to
suspend or amend the transaction
Binding death benefit nomination
›› the investment manager suspending redemptions
from your underlying investment
›› the proximity to the end of the financial year and
›› any other delays in redeeming assets.
We may from time to time review our service standards.
Please also refer to ‘Unit pricing delays’ on page 18 of this
Product Guide.
Terms and conditions for accepting faxes
We’ll accept faxed instructions on our relevant forms.
Before using this option, there are a few things you need
to know, like:
›› we’re not responsible to you for any loss resulting
from any fraudulently completed request
A binding death benefit nomination allows you to nominate
your dependants and/or your estate to receive part or all of
your death benefit (including any insurance benefit). We
must pay the benefit to your beneficiaries when you die
(provided your nomination is valid at the time).
For your nomination to be valid:
›› each beneficiary must be a dependant and/or your
legal representative at the time of your death
›› if there is more than one beneficiary, the
apportionment of your benefit must be clear and add
up to 100% and
›› the nomination must be made, confirmed or
amended every three years
›› two adult witnesses who aren’t beneficiaries must
witness and sign the nomination.
Where a dependant you have nominated as a beneficiary
dies before you and your binding nomination is still valid,
on your death, the Trustee will divide that dependant’s
share equally among your surviving nominated
dependants. Where there are no remaining dependants,
your binding nomination is invalid or you do not make a
binding nomination, the Trustee can use its discretion and
will generally pay the death benefit to your dependants
and/or to your estate.
Non-binding death benefit nomination
If you make a non-binding death benefit nomination, the
Trustee will consider your nomination and use its
discretion to pay any death benefit, generally to your
dependants and/or your estate. Unlike a binding
nomination, a non-binding nomination does not have to
be renewed every 3 years.
We recommend you review your nomination whenever
you experience a change in circumstances such as
marriage, divorce, birth of a child or when a beneficiary
ceases to be a dependant.
Accessing your benefits
When can you withdraw from your Optimum account?
Super is a long-term investment designed to help you save for your retirement and government legislation defines when
you can access your super benefits. While you can only access your super benefits before your preservation age under
certain circumstances, you can transfer to another complying super fund at any time.
What can you access?
Preserved benefits
These benefits can only be accessed once you have satisfied a condition of release.
Restricted non-preserved benefits
These benefits can be accessed under the same conditions of release as your
preserved benefits, but can also be paid to you when you leave the employer who
made the contributions for you. Generally, restricted non-preserved benefits arise
from personal contributions made to an employer fund from 1 July 1983 up to 30
June 1999, and for which you couldn’t claim a tax deduction.
Unrestricted non-preserved benefits
These benefits are fully accessible at any time.
When have you met a condition of release?
You’ll be able to access your preserved benefits if you satisfy one of the following conditions of release:
Condition of release
What you can access
Permanent retirement from the workforce (after reaching your
preservation age)
All
Leaving your employer after turning age 60
All
Reaching age 65
All
Permanent incapacity
All
Severe financial hardship
You may be limited to one lump sum payment between $1,000
and $10,000 within a 12-month period depending on your
circumstances.
Compassionate grounds
You’ll need to make an application to the Department of Human
Services (DHS) to have your benefits released. The amount you
receive is determined by DHS.
Temporary residents departing Australia
All
Termination of your employment with the employer who
contributed for you
You can access all your restricted non-preserved benefits. You
can access your preserved benefits if the amount is less than
$200.
Lost member who is found and have less than $200 in your
account
All
Reaching preservation age and using your benefits to start a
non-commutable pension (transition to retirement)
You’ll need to commence a non-commutable income stream that
is limited to a maximum pension payment of 10% of the
account balance.
Terminal illness
All
Temporary incapacity
You can access an amount as long as it doesn’t exceed your
income level before becoming temporarily incapacitated. You
can only receive payments as a non-commutable income stream.
Death
All
Your preservation age
Your preservation age is based on when you were born and
determines when you can access some of your benefits. Once
you have reached age 60 and retired, your money can be taken
out of your super tax free as a pension or a lump sum.
Date of birth
Preservation age
Before 1 July 1960
55
1 July 1960 – 30 June 1961
56
1 July 1961 – 30 June 1962
57
1 July 1962 – 30 June 1963
58
1 July 1963 – 30 June 1964
59
After 30 June 1964
60
How we invest your money
Make the right investment choice. A few small decisions now
could make a big difference to where you’ll end up.
Our investment menu
Risks of super
Optimum makes it simple for you to choose an
investment option that’s right for you.
Even though the Government makes it partly compulsory,
investing in super carries certain risks. One of the biggest
is that you won’t end up with enough money to meet
your retirement needs. This could happen:
As a member of Optimum, you have a choice of 11
investment options, including five diversified investment
options and six single sector investment options.
›› Standard Pacific Conservative Fund
›› Standard Pacific Moderate Fund
›› when an investment decreases in value
›› where money is invested conservatively in assets
which provide more stable but lower long-term
returns.
›› Standard Pacific Growth Fund
›› Standard Pacific High Growth Fund
›› Standard Pacific Aggressive Fund
›› Standard Pacific Cash Fund
›› Standard Pacific Fixed Interest Fund
›› Standard Pacific Property and Infrastructure Fund
›› Standard Pacific Australian Shares Fund
General risks that could affect your
Optimum account
Some of the risks that could affect your investments in
your Optimum account are shown below. We regularly
monitor these risks for their impact on the investment
menu as a whole, but it’s a good idea for you and your
adviser to consider what they might mean for you.
Risk type
What is it?
Market risk
This can arise due to changes in
government or economic policy, interest
rates and exchange rates, market
sentiment, global events, technological
change, environmental conditions or
changes in legislation. All these things can
adversely affect the financial markets in
which your super may be invested.
Default investment strategy
Investment
options risk
If your employer hasn’t selected a default investment
option, your super will be invested in the Standard Pacific
Growth Fund. The Standard Pacific Growth Fund has a
diversified investment mix, so you don’t put all your eggs
in one basket. Details of your investments are included in
your welcome pack.
Investment managers and the strategies
they adopt may change, which may not be
in line with your expectations when you
first invested. They may also fail to meet
their stated investment objectives. It’s also
possible an investment option may be
terminated.
Liquidity risk
This arises where an investment can’t be
easily converted into cash or sold at fair
value, at a time when you need it.
Credit risk
This is where someone doesn’t meet their
obligations in, or relating to, an investment
option. For example, it includes the risk that
we or an underlying investment manager
are unable to make payments.
Inflation risk
If inflation exceeds an investment’s return,
it will reduce the investment’s purchasing
power. Inflation risk is more common in
low-risk investments, such as cash, which
generally fluctuate less, but potentially
provide lower long-term returns.
›› Standard Pacific International Shares Fund
›› Standard Pacific Small Cap Shares Fund.
Optimum gives you the flexibility to switch between the
investment options at any time. You can also have your
current account balance invested differently from how
your future contributions are invested, if you want.
This could be a perfectly reasonable investment option for
you. But no single investment option suits everyone. And
the risk you take is that the default investment option
won’t deliver what you want, or need, from your
investments.
Matching your investments to your risk profile, and to
your long-term lifestyle goals, is a good start to achieving
your retirement goals. With so much choice there’s sure
to be an investment option, or a combination of
investment options, to suit you. It’s just a matter of
finding out what they are and discussing with your adviser
the investment strategy that’s right for you.
Check out the Optimum investment menu in this
Product Guide for details on each investment option.
Risk type
What is it?
Currency risk
The value of international investments will
change with the rise and fall of the
Australian dollar. An investment manager
can manage currency risk via a strategy
referred to as ‘currency hedging’. Generally,
if the Australian dollar’s value rises, the
value of unhedged investments (those not
currency hedged) held in other countries
will fall and vice versa.
Derivatives risk
Derivatives are securities that derive their
value from another security. Commonly
known derivatives include futures and
options. Investment managers may use
derivatives to manage risks in a portfolio or
to leverage a portfolio in the hope of
generating additional returns. The risks of
using derivatives include that they may be
costly or difficult to reverse and their value
may not move in line with that of the
underlying security.
Gearing risk
Gearing involves borrowing money to invest
in an asset. Geared investment options are
internally geared, meaning the investment
option borrows the money, rather than you.
The cost of borrowing, including interest
rates, and the level of gearing influence
returns on a geared investment. Gearing
magnifies both the gains and losses of an
investment option.
Changes in law
Super and tax legislation changes
frequently. These changes could affect
when you can access your benefits and
how they’ll be treated upon withdrawal.
We’ll tell you about any changes we think
are likely to affect your investment.
Generally, we do this through the annual
report.
How can you reduce risk?
The most common way to reduce your risk is by
diversification, or ‘not putting all your eggs in the one
basket’. Optimum can help you diversify your investments:
How we can help you diversify your super investment
Across asset classes
Our diversified investment options
are invested across a range of
investments, including Australian
and international shares, Australian
and international fixed interest,
Australian and international
property, infrastructure, cash and
alternative assets. You can also
create your own investment mix
from our eleven investment options.
Within an asset class
You can invest in different markets,
different industries or different
investment styles, within the one
asset class.
How we invest your money continued
The relationship between risk and return
As a general rule, investments with a higher level of risk will provide a higher potential return. By the same token, the
smaller the risk an investment poses, the smaller the potential return it will provide. This is illustrated below:
High
Shares
Property
Return
Fixed interest
Growth assets
Cash
Income assets
Low
Risk
Balancing this relationship can be tricky. That’s why it’s
important to speak to your adviser before making any
investment decisions. Your adviser can recommend an
investment option or a combination of investment options
that suits your own risk tolerance level.
APRA Standard Risk Measure
The Standard Risk Measure (SRM) is a calculation we do
to help make it easier for you to compare the riskiness of
investment options. Technically it tells you how many
negative annual returns an investment option can be
expected to deliver over any 20 year period.
The SRM is not a complete assessment of all forms of
investment risk. For instance it doesn’t detail what the
size of a negative return could be or the potential for a
positive return to be less than you may require to meet
your objectives. Further, it doesn’t take into account the
impact of the administration fee and tax on the likelihood
of a negative return.
You should still ensure you are comfortable with the risks
and potential losses associated with your chosen
investment option(s).
High
You can find more information on the methodology we
use to calculate the SRM in the Understanding
Investment Risk flyer on our website.
A description of the SRMs are shown below:
Risk band
Risk label
Estimated number of
negative annual returns
over any 20 year period
1
Very low
Less than 0.5
2
Low
0.5 to less than 1
3
Low to medium
1 to less than 2
4
Medium
2 to less than 3
5
Medium to high
3 to less than 4
6
High
4 to less than 6
7
Very high
6 or greater
You’ll find an SRM for each of our investment options either in the PDS or later in this Product Guide. The actual measure
for each investment option can change at any time, for example because of market conditions, so you should always check
the most up-to-date information before you make a decision. You can find any updates in the Understanding Investment
Risk flyer on our website.
Understanding the asset classes
Each investment option is invested into what are called ‘underlying assets’. These underlying assets have different
characteristics and may be either income assets, growth assets or a combination of both.
›› Income assets include such things as cash and fixed interest, which provide income returns in the form of interest.
›› Growth assets include property, shares and alternative assets, which provide investment returns comprising both
capital growth (increase in value of the investment) and income.
Asset class
What is it?
Cash generally refers to short-term liquid investments and may include bank deposit securities, such as
term deposits.
Cash
Fixed interest generally refers to debt instruments issued by governments and companies. Investments
may include bonds, debentures and other hybrid securities.
Fixed interest
Property generally refers to direct or indirect property investments in Australian and international property
via listed and unlisted real estate trusts (REITs), exchange traded funds (ETFs) and companies.
Property
Shares represent a part ownership in a company (ie. a ‘share’). Returns from the ownership of shares
combine both income received (dividends) and growth (capital gains) through the increase in the share
price. The value of international shares may also be affected by fluctuations in the exchange rate.
Shares
Alternative assets
Alternative assets are investments that are not classified or may not be correlated to the traditional asset
classes of cash, fixed interest, property or shares. Typically they may involve investments in asset classes
(eg. gold, infrastructure or private equity) or investment strategies (eg. financial instruments such as
exchange traded or Over The Counter (OTC) derivatives, or trading techniques) that aren’t liquid and
require specialised skills to manage.
Can you change your
investment options?
Because your financial needs may change, you have the
flexibility to switch between investment options at any
time. You need to fill out an Investment change form
and send it to us. You may incur a buy/sell spread, which
is charged by the investment manager, depending on the
options you select.
For more information, please see Buy/sell spreads in the
Additional explanation of fees and other costs
section of this Product Guide.
Auto-rebalancing
Keeping track of movements in your investment options
can be a time consuming task. Over time, variances in
investment performance may result in your investment
options moving away from the percentages nominated in
your original investment selection.
By using the auto-rebalancing service, you can choose to
have your investment options rebalanced in line with your
future investment selection on a regular basis without
having to constantly monitor your account. You can
choose to have your account rebalanced each:
›› month
›› quarter (March, June, September, December)
›› half-year (June and December) or
›› year (June).
Rebalancing takes effect on or around the 22nd of the
month.
For example, you invest 50% in Option A and 50% in
Option B and you want to maintain this investment
strategy. Over time, your actual investment allocation may
change to 40% in Option A and 60% in Option B as a
result of movements in the unit price. Your account will
then be automatically rebalanced to your investment
strategy (50% in Option A and 50% in Option B) at the
frequency you select.
Unit prices
For all Optimum investment options, your balance in that
investment option is calculated by multiplying the number
of units you hold by the investment option’s exit price and
moves up or down over time. Your unit balance
represents a partial holding in an investment option.
Buying units
When you invest or switch into an investment option,
units in your chosen investment option are allocated to
you. The number of units allocated will depend on the
investment option’s entry price at the time, and the
amount you invest.
Selling units
When we sell units in an investment option, the amount
you receive will depend on the exit price of the
investment’s units at the time and number of units sold.
We can sell units from your investment options to pay for
taxes, insurance premiums (if applicable) and certain fees
or charges. We also sell units when you switch to another
investment option, request a withdrawal or transfer to
another super fund.
Switching between investment options
If you request a switch, we’ll sell units from one
investment option and use the proceeds to buy units in
the other investment option. A buy/sell spread may also
be applied to cover transaction costs.
How are unit prices calculated?
Unit prices are usually calculated daily and reflect the value
of the underlying assets of the investment option. This
takes into account income entitlements, investment fees,
taxes and other expenses and liabilities. The underlying
asset value is divided by the number of units on issue to
arrive at the price per unit. Buy or sell spreads are then
applied to this price per unit to calculate the entry and the
exit prices, respectively. Like the values of the underlying
investments, the price of units can move up and down.
If you want information about daily unit prices, give us a
call on 1800 819 499.
Unit pricing delays
We may suspend unit pricing where in our opinion:
›› a significant event or incident occurs that has the
potential to affect investment markets or
›› an event occurs that has the potential to affect unit
prices or
›› an external investment manager closes the
underlying investment to applications and
withdrawals or
›› the unit prices calculated have the potential to
prejudice specific investors.
Investment performance
About the investment options
Investment performance lets you see how your investment
is going.
Before you select or change your investment selection to
a new investment option, you should refer to the
Optimum PDS and this Product Guide to understand
the terms and conditions applying to your investment.
How is investment performance calculated?
Your super balance can go up or down. Past performance
is not an indicator of future performance.
In accordance with industry standards, investment
performance is generally calculated net of taxes and
ongoing fees such as the administration fee, member fee,
performance fee and investment fee.
However, when calculating investment performance,
we generally don’t take into account contributions tax,
contribution fees, exit fees and any discretionary ongoing
fees such as insurance premiums and adviser service fees.
If we calculate the investment performance for an
investment option in a way different from that set out
above, we’ll explain this in the monthly Optimum
investment performance report which is available
from our website.
You should be aware that the investment performance
information for the investment options may differ from
the performance of the underlying investment managers.
This may be due to:
›› holding some assets in cash or short-term securities,
for liquidity purposes or
›› provisions for tax and distribution of tax credits or
›› the fees and charges that apply or
›› a lag between when the underlying investment
managers report their performance and when the
value of the underlying investment option is reflected
in the unit prices.
If you’d like to find out what the differences are in
investing into an investment option through Optimum as
opposed to investing directly with the underlying
investment manager, please see Investing through
Optimum and investing directly in this Product Guide.
Please note that we don’t take labour standards,
environmental, social and ethical considerations into
account when selecting, retaining or terminating
investment options.
Multi-manager investment
options
A multi-manager approach to investing uses the skills of
more than one investment manager. It’s based on the
view that no single investment manager consistently
outperforms the market in all conditions. Over any given
timeframe, it’s difficult to predict which investment
managers or which investment style will outperform the
market and its peers. Some investment styles will perform
well in one stage of the market cycle, while others may
perform poorly in the same conditions.
Optimum’s multi-manager investment options blend a
combination of quality investment management styles to
create investment options aimed at reducing investment
risk and the volatility of returns.
Who manages Optimum
investment options?
›› Standard Pacific
For more information, please see Information about the
investment manager in this Product Guide.
Changes to investment options
Optimum’s investment menu may change, so it’s
important to check our website regularly in case your
investment options have changed, including the fees and
charges relating to the investment options.
From time to time, investment options may be closed,
suspended or terminated by an external investment
manager or by us. This may happen where:
›› the investment option is no longer offered by the
investment manager or
›› the total amount of investor’s money in the
investment option has grown too large for the
investment manager to continue with its current
investment strategy or
Investing through Optimum
and investing directly
When you invest with Optimum, we hold the investment
on your behalf, instead of you holding it directly. There
are differences in investing into an investment option
through Optimum as opposed to investing directly with
the underlying investment manager.
These include:
Timing of
information
An investment manager’s PDS may
have a different preparation date from
this PDS and may include investment
information effective as at different
dates.
Differing returns
Investment returns based on unit
prices as calculated for Optimum are
likely to differ from any returns in an
investment manager’s PDS or reports.
This could be due to differences in
investment fees, costs, taxes, and the
timing impact of differences in
transactions for the investment options
offered within Optimum relative to
those for the investment manager’s
financial product.
Differing fees
The fees incurred when investing
through Optimum are likely to differ
from the fees charged by the
investment manager as a result of fees
levied to administer Optimum.
Minimum and
maximum
transaction amounts
An investment manager’s PDS may set
out minimum and maximum
investment amounts. These don’t apply
to you when investing through
Optimum.
Tax implications
Optimum is liable to pay tax for each
investment option. The unit prices of
investment options in Optimum will
reflect any applicable tax liability.
Receipt of reports
You won’t receive reports directly from
investment managers when you invest
in Optimum.
The rights to attend
and vote at unit
holder meetings
When you invest in Optimum, you
won’t hold any rights to attend and
vote at meetings of unit holders of the
underlying financial product.
›› laws change so that some investment types become
no longer permissible or
›› we determine that it’s in the best interests of the
members or
›› the investment option may no longer be
economically viable.
If an investment option is closed, suspended or
terminated, this may cause delays in processing
withdrawals and transfer requests. Such a delay may be
more than 30 days. The unit price used to process your
transaction may therefore differ from the price applicable
on the day you lodged your request.
Where an investment option is closed, suspended or
terminated, we’ll write to you in advance (where possible)
to tell you. You’ll then be able to review your investment
strategy, with your adviser or call us.
If we can’t tell you in advance, we’ll choose a
replacement investment option in which to invest your
money until you’ve been able to review your investment
strategy.
You should check our website each time you make an
additional contribution to see whether any matter in the
PDS has been affected by a materially adverse change or
significant event.
Related companies
We, Suncorp Custodian Services Pty Limited
(ABN 85 010 421 931) Optimum Pooled Superannuation
Trust (PST) (SFN 269 403 949), and Suncorp Life &
Superannuation Limited (SLSL), are part of the Suncorp
Group. We don’t deal with our related companies more
favourably than we would with any other independent
service provider.
The underlying assets of the Fund are invested in a group
insurance policy with SLSL which then invests into the
Optimum PST. The Optimum PST then invests into the
underlying investment options.
Optimum investment menu
For straight forward investing you can pick one of the
diversified portfolios in the box below.
These portfolios were designed in conjunction with
Standard Pacific, with the aim of achieving the
diversification you need in one portfolio.
Investment options
Type
Page
Standard Pacific Conservative Fund
Diversified
22
Standard Pacific Moderate Fund
Diversified
23
Diversified
24
Standard Pacific High Growth Fund
Diversified
25
Standard Pacific Aggressive Fund
Diversified
26
Single manager
27
Standard Pacific Cash Fund
Standard Pacific Fixed Interest Fund
Multi-manager
27
Standard Pacific Property and
Infrastructure Fund
Multi-manager
28
Standard Pacific Australian
Shares Fund
Multi-manager
28
Standard Pacific International
Shares Fund
Multi-manager
29
Standard Pacific Small Cap
Shares Fund
Multi-manager
29
Standard Pacific Conservative Fund
Objective
To provide a return that exceeds the UBS Bank Bill index by 1.0% with a low probability of loss in
capital values over a three year period.
Strategy
To invest in core and satellite market funds with approximately 70% of the investment option in
income investments and balance in growth investments.
Standard Risk Measure
3 – Low to medium
Asset type
Strategic asset allocation
Cash
30.0
Fixed interest
40.0
Property & infrastructure
5.0
Australian shares
9.9
Small cap shares
1.6
International shares
5.5
Alternative assets
8.0
Asset type
Range
Strategic asset allocation (%)
Range (%)
Cash
10-40
Fixed interest
30-63
2-8
Australian shares
6-15
Small cap shares
0-5
3-13
Alternative assets
0-18
Investment fee
0.85% pa (This includes 0.29% pa payable to Standard Pacific and 0.20% pa payable to the Trustee.)
Performance fee
Yes1
Buy/sell spread
+/-0.12%
Recommended minimum time
to keep the investment
3 years plus
Style
Diversified multi-manager
1 Please see Specific notes on page 30.
Standard Pacific Moderate Fund
Objective
To provide a return that exceeds the UBS Bank Bill index by 2.0% with a low probability of loss in
capital values over a four year period.
Strategy
income investments and balance in growth investments.
5 - Medium to high
Asset type
Cash
20.0
Fixed interest
30.0
8.0
Australian shares
18.0
Small cap shares
2.8
10.2
Alternative assets
11.0
Asset type
Cash
Fixed interest
Range
Range (%)
5-30
19-50
4-13
Australian shares
12-26
Small cap shares
0-8
6-19
Alternative assets
0-26
Investment fee
Performance fee
Yes1
Buy/sell spread
+/-0.16%
Recommended minimum time
to keep the investment
4 years plus
Style
Objective
To provide a return that exceeds the UBS Bank Bill Index by 3.0% with a moderate probability of loss
in capital values over a five year period.
Strategy
growth investments and balance in income investments.
6 - High
Asset type
Cash
10.0
Fixed interest
20.0
10.0
Australian shares
22.5
Small cap shares
3.5
14.0
Alternative assets
20.0
Asset type
Cash
Fixed interest
Range
Range (%)
2-15
10-35
5-17
Australian shares
17-33
Small cap shares
0-11
9-25
Alternative assets
0-37
Investment fee
Performance fee
Yes1
Buy/sell spread
+/-0.19%
Recommended minimum
time to keep the investment
5 years plus
Style
Standard Pacific High Growth Fund
Objective
in capital values over a six year period.
Strategy
6 – High
Asset type
Cash
5.0
Fixed interest
10.0
13.0
Australian shares
28.8
Small cap shares
4.5
18.7
Alternative assets
20.0
Asset type
Range
Range (%)
Cash
0-10
Fixed interest
5-20
5-22
Australian shares
23-39
Small cap shares
0-14
Alternative assets
11-32
0-37
Investment fee
Performance fee
Yes1
Buy/sell spread
+/-0.22%
Recommended minimum
time to keep the
investment
6 years plus
Style
Standard Pacific Aggressive Fund
Objective
in capital values over a five year period.
Strategy
6 – High
Asset type
Cash
0.0
Fixed interest
0.0
15.0
Australian shares
36.0
Small cap shares
5.6
23.4
Alternative assets
20.0
Asset type
Cash
Range (%)
0-10
Fixed interest
Range
0
5-28
Australian shares
29-58
Small cap shares
0-16
Alternative assets
15-45
0-35
Investment fee
Performance fee
Yes1
Buy/sell spread
+/-0.25%
Recommended minimum
7 years plus
Style
Standard Pacific Cash Fund
Objective
To provide investors with exposure to a portfolio of cash and cash like securities.
Strategy
To predominantly invest with an external manager.
1 - Very low
Range
Asset type
Cash
100.0
Asset type
Range (%)
Cash
100
Investment fee
Performance fee
No
Buy/sell spread
Nil
Recommended minimum
time to keep the
investment
1 year plus
Style
Single manager
Standard Pacific Fixed Interest Fund
Objective
To provide investors with exposure to a diversified portfolio of income bearing securities.
Strategy
To predominantly invest in a range of externally managed underlying investment options. These
underlying investment options provide exposure to international shares and cash.
6 - High
Asset type
Fixed interest
Cash
Asset type
Range
Fixed interest
Cash
100.0
0.0
Range (%)
90-100
0-10
Investment fee
Performance fee
No
Buy/sell spread
+/-0.12%
Recommended minimum
time to keep the
investment
2 years plus
Style
Multi-manager
Standard Pacific Property and Infrastructure Fund
Objective
To provide investors with exposure to a diversified portfolio of listed domestic and international
property securities and international listed infrastructure investments.
Strategy
underlying investment options provide exposure to listed and domestic and international property
securities and international listed infrastructure investments and cash.
6 - High
Asset type
100.0
Cash
Asset type
Range
0.0
Range (%)
90-100
Cash
0-10
Investment fee
Performance fee
No
Buy/sell spread
+/-0.24%
Recommended minimum
5 years plus
Style
Multi-manager
Standard Pacific Australian Shares Fund
Objective
To provide investors with exposure to a diversified portfolio of predominantly Australian shares.
Strategy
underlying investment options provide exposure to Australian shares and cash.
6 - High
Asset type
Australian shares
Cash
Asset type
Range
Australian shares
Cash
100.0
0.0
Range (%)
90-100
0-10
Investment fee
Performance fee
No
Buy/sell spread
+/-0.25%
Recommended minimum
5-7 years
Style
Multi-manager
Standard Pacific International Shares Fund
Objective
To provide investors with exposure to a diversified portfolio of international shares.
Strategy
underlying investment options provide exposure to international shares and cash.
6 - High
Asset type
100.0
Cash
Asset type
Range
0.0
Range (%)
90-100
Cash
0
Investment fee
Performance fee
No
Buy/sell spread
+/-0.32%
Recommended minimum
time to keep the
investment
7 years plus
Style
Multi-manager
Standard Pacific Small Cap Shares Fund
Objective
To provide investors with exposure to a diversified portfolio of domestic and international smaller
company listed securities.
Strategy
To invest in a range of externally managed funds. These funds provide exposure to domestic and
international smaller company securities selected by specialist underlying managers. The allocation to
each underlying manager is actively managed.
6 - High
Asset type
Australian shares
100.0
0.0
Cash
0.0
Asset type
Range
Australian shares
Range (%)
45-100
0-55
Cash
0-25
Investment fee
Performance fee
No
Buy/sell spread
+/-0.13%
Recommended minimum
time to keep the
investment
7 years plus
Style
Multi-manager
Specific notes
1 Relates to the Standard Pacific diversified funds only.
Some underlying investment managers of alternative investments do charge a performance fee. Where an investment manager does charge a performance fee,
that fee will be charged in addition to the investment fee and passed onto investors by way of an adjustment to the unit price, which will reduce the investment
performance of the relevant investment option.
Investment managers that charge a performance fee only apply those fees when performance is greater that an agreed target. Accordingly, performance fees
arise when higher returns, relative to a specified target for a particular manager are achieved.
Underlying investment manager’s performance fees range from 0% to 1.00% pa of total investments in their underlying investment option.
Information about the investment manager
Standard Pacific
The Standard Pacific diversified and single sector investment options have been developed by Standard Pacific, in
association with Suncorp Life, to provide clients with a range of multi-manager investment options to suit different risk/
return profiles. These investment options are available exclusively to clients of Standard Pacific.
The investment options are managed within long-term asset allocation ranges, as shown for each investment option.
Standard Pacific sets short-term asset allocations within these ranges as part of their active management process.
Insurance
Why is insurance important?
Today we take out insurance for all our assets, including
the car, boat, house and personal valuables such as
jewellery. However, many people neglect to insure their
most important asset – themselves, and their ability to
earn an income.
Fortunately, Optimum offers a range of insurance options
tailored to help protect you and your family from life’s
uncertainties.
Insurance offered through Optimum is provided by
Suncorp Life (Insurer). Suncorp Life is part of the Suncorp
Group and is an award-winning insurer with a proud
heritage of protecting Australians that stretches back for
175 years.
Why have insurance through
super?
By attaching insurance to your Optimum account, you can
have your insurance premiums conveniently and taxeffectively deducted from it. Which means it can potentially
be cheaper than buying insurance outside super.
›› Death and Total and Permanent Disablement
(TPD) - A lump sum payment when you die or
become totally and permanently disabled
›› Income Protection (IP) - A monthly benefit is paid
if you become totally or partially disabled.
What if you want more insurance?
If the cover selected by your employer doesn’t suit your
needs, you have the option to apply for ‘member
selected’ or ‘individual cover’. You can:
›› apply for a higher sum insured
›› apply for a different type of cover (eg. if you were
automatically provided with Death only insurance
you can apply for TPD insurance cover of the same
amount).
You can apply for the following options:
Type of insurance
Benefit
Death only or
Death & TPD1
You can choose one of two options:
Cover in addition to your account
balance.
The total benefit payable on Death and
TPD is the nominated sum insured plus
your accumulated account balance (ie.
the actual sum insured amount will
remain fixed unless you apply to vary it)
By having your insurance through your super account,
you won’t have any out-of-pocket expenses, because
your insurance premiums will be deducted taxeffectively from your super account.
›› fixed sum insured (eg. $100,000)
Your insurance in Optimum
Cover including your account
balance.
The type of cover you will automatically receive as a
corporate member of Optimum is selected by your
employer. The insurance information will be detailed in
your welcome pack.
The total benefit payable on Death and
TPD includes your accumulated account
balance plus the sum insured (ie. the
actual sum insured amount will reduce as
your account balance increases)
If your employer has arranged insurance cover for your
plan with another insurer agreed by the Trustee, the terms
and conditions of insurance set out in the PDS and
Product Guide will not apply to you. Your welcome pack
will state if your insurance cover is provided by an insurer
other than Suncorp Life, and will contain the insurance
policy document and any relevant endorsements that
apply to you.
The policy document issued by the other insurer sets out
the terms and conditions that apply to your insurance
cover. Suncorp Life is not the insurer and is not
responsible for any arrangements that apply to you in
respect of such cover.
Your employer can choose:
›› Death only insurance - A lump sum payment when
you die
›› fixed benefit amount (eg. $100,000)
Income Protection
2
You can choose cover based on:
›› a monthly benefit (eg. $5,000 per
month) to a maximum of 75% of
your salary
›› an additional optional super
contribution component of up to
10% pa of salary3
›› a benefit period of 2 years
›› a waiting period of 30, 60 or 90
days.
1 The amount of TPD cover cannot be greater than the amount of death cover.
2 Monthly benefits can be reduced if you receive sick leave payments, worker’s
compensation, social security or income benefits from another source.
3 Payment of this benefit must be made to a complying super fund.
Family account members can also apply to be insured for
any of the cover options in the table above.
insurance continued
How do you apply for memberselected cover?
If you’d like to apply for insurance you’ll need to fill in an
Insurance application form, available on our website
and send it to us.
Acceptance of cover isn’t automatic and is subject to an
underwriting assessment by our underwriters. We’ll advise
you in writing if your application has been accepted and
the date your cover starts.
How do you know if you’re
eligible?
Anyone can apply for cover, as long as you’re:
›› age 15 and over, but less than age 65 (age 60 for
TPD and IP) and you are a member of Optimum
›› an Australian resident or non-Australian resident
holding a visa
›› gainfully employed on a permanent basis for at least
15 hours per week (TPD and IP).
What is the maximum amount
of insurance cover that you can
apply for?
The following table provides a summary of the maximum
levels of cover available, depending on your type of
insurance:
Maximum
amount of
cover
Death
TPD1
Income
Protection2
$5 million
$2 million
$20,000
per month
1 Where TPD cover from all insurers operating in Australia is more than $2
million, we may reduce any TPD benefit from Optimum so that the total
cover provided by Optimum and these insurers together is $2 million.
2 Monthly benefits can be reduced if you receive sick leave payments, worker’s
compensation, social security or income benefits from another source. If you
are considered to be partially disabled instead of totally disabled, you may be
able to receive a pro-rata monthly benefit. If you are entitled to receive a
benefit amount and die or become totally and permanently disabled, then
we will stop paying the benefit amount and will instead credit your Optimum
account with a lump sum of twice the monthly benefit amount.
Automatic Acceptance Limits
An Automatic Acceptance Limit (AAL) is the maximum
amount of insurance cover you will be able to receive,
without having to be underwritten.
Unless you have other arrangements with your employer,
you’ll automatically receive the insurance that is attached
to your employer plan (up to the AAL), from the date you
start employment, without the need to apply, provided:
›› we’ve received your details and initial contribution
from your employer
›› you’re under age 65 (Death), and 60 (TPD and IP)
›› you’re gainfully employed on a permanent basis for
more than 15 hours a week (TPD and IP)
›› you’re ‘at work’ in active employment on that day
›› we receive all your details from your employer and a
contribution sufficient to cover premiums within 130
days of you commencing employment.
An automatic acceptance limit may be reduced or
withdrawn where the number of insured members is less
than 80% of your plan’s membership. Any change will
not affect your currently accepted cover at the time.
When does your insurance cover stop?
Your insurance cover will stop at the earliest time of one of these happening:
Scenario
Death
TPD
Income Protection
Reach age 65
–


Reach age 70





–
–




Leave your employment and continuation of
cover is nor requested or declined
–
–
Become unemployed
–
–
Work less than 15 hours per week on a
permanent basis1
–
–







Haven’t paid outstanding premium amounts 30
days after sending you a notice



Commence active duty with the armed forces of
any country2



Take unpaid leave or work overseas and Suncorp
Life has not agreed before your exit from
Australia to cover you for this period in writing









Request in writing to cancel your cover
Receive a payment for TPD
Leave Optimum
Die
No longer hold a valid Australian visa
Cease to be engaged in an occupation for which
cover is available from Suncorp Life
1 TPD cover will not stop if you work less than 15 hours a week. However the definition of TPD to obtain a benefit will change
2 This does not include regular activities of the Navy, Army or Air Force Reserves
insurance continued
Your insurance benefits in detail
Cover basics
The following table provides a summary of what you are
entitled to depending on your type of insurance:
Benefit
Death
TPD
Income
Protection
A lump sum
benefit is paid
if you die
A lump sum
benefit is paid if
you become
totally and
permanently
disabled
A monthly
benefit to
replace up to
75% of your
income for a
period of time
if you are
totally or
partially
disabled due to
sickness or
injury for
longer than the
nominated
waiting period
Death benefit
We will pay a benefit to your beneficiaries in the event of
your death. Having the right amount of Death cover
means that your family can afford the lifestyle you want
for them.
The amount of your Death cover (and the subsequent
benefit paid), is based on your insured amount at the time
of your death.
TPD benefit
If your family relies on your income, your TPD cover can
help alleviate some of the financial stress in the event that
you are unlikely to work again due to becoming totally
and permanently disabled, by providing money for living,
care and medical expenses.
We will pay a benefit to you if you are unlikely to work
again due to becoming ‘totally and permanently disabled’,
as defined in the Optimum Superannuation Insurance
Policy. A summary of these definitions can be found on
pages 38 to 39 of this Product Guide.
The amount of your TPD cover (and the subsequent
benefit paid) is based on your insured amount at the time
you become totally and permanently disabled.
Income Protection benefit
Total disability
If you have Income Protection cover and are deemed to
be ‘totally disabled’ for longer than the waiting period
that you or your employer has selected, the monthly
benefit that you are insured for starts to accrue from the
day after the end of the waiting period, and a benefit is
paid to you monthly in arrears until the earliest of the
following:
›› You cease to meet the definition of being Totally
Disabled*
›› You reach 65
›› You die
Interim Death cover
›› You become Totally and Permanently Disabled
Interim cover for accidental death is provided to you for
up to 90 days from receipt of your completed application
at our Sydney office for (or to increase) Death only or
Death and TPD cover, subject to sufficient funds being in
your account to cover an amount equal to the first
month’s premium for Death only or Death and TPD cover
requested.
›› You reach the end of the benefit period that you or
your employer has selected.
Refer to the definition of “Totally Disabled” on page 39 of
this Product Guide.
* If you are able to return to work in some capacity you may be eligible for a
“partial disability” benefit.
The maximum amount of interim cover is the lesser of
$500,000 or the amount of cover requested. We do not
charge an additional premium for this interim cover. The
period of cover ceases on the earlier of acceptance or
rejection of the application, your withdrawal of your
application and 90 days after receipt of a completed
application.
Partial disability
The interim cover is for accidental death only whereby
death is caused directly and solely by violent, accidental,
external and visible means and independently of all other
causes.
If you have Income Protection cover and are partially
disabled after being totally disabled for at least 14 days in
any period of:
If you have income protection cover and are working in a
reduced capacity due to sickness or injury, you’ll received
a monthly benefit to compensate your partial loss of
earnings. This payment will be paid until the end of the
benefit period and will be reduced in line with anything
you earn while partially disabled.
›› 19 days since you became totally disabled, if your
waiting period is 30 days or
›› 24 days since you became totally disabled, if your
waiting period is longer than 30 days
and are partially disabled for the remainder of the waiting
period, the monthly benefit is payable as a partial
disability benefit in proportion to the reduction in your
monthly income.
The partial disability benefit starts to accrue from the day
after the later of:
›› the end of your waiting period and
Return to work during the waiting period
If you have Income Protection cover and during the waiting
period, you return to any gainful employment for:
›› 5 days or less, if your waiting period is 30 days or
›› 10 days or less, if your waiting period is longer than
30 days
and again stop gainful employment due to total disability,
the waiting period will not restart but these days of
employment will be added to the waiting period.
›› the date you are no longer totally disabled
and is paid monthly in arrears until the end of the benefit
period.
The proportion of the monthly benefit payable will be:
Insured total disability benefit x (A - B)
A
Where:
A = pre-disability earnings and
B = your monthly earnings due to disability for the
month the benefit is payable.
If you are partially disabled and not working to your
capability, ‘B’ will be calculated based on what you could
reasonably be expected to earn if you were working to
the extent of your capability. We may request medical and
related evidence to determine ‘B’.
If you are continuously disabled for the first 3 months
immediately after the end of the waiting period and ‘B’ is
less than or equal to 20% of ‘A’, we will pay the monthly
benefit for the first 3 months.
Refer to the definition of ‘Partially disabled’ on page 38 of
this Product Guide.
Recurring disability
If you suffer total disability or partial disability from the
same or related injury or sickness within six months of
Suncorp Life having paid you an Income Protection benefit
under the policy, then Suncorp Life will deem it a
continuation of the previous claim and the waiting period
will not apply. However, the maximum claim period will be
adjusted to take into account prior claim payments. You
still need to be employed by your employer at the date of
the recurring disability to be covered for this benefit.
However, if you resume gainful employment for:
›› more than 5 days, if your waiting period is 30 days
or
›› more than 10 days, if your waiting period is longer
than 30 days
the waiting period starts again from the date you stop
gainful employment due to total disability.
Waiver of premium
We will stop deducting Income Protection premiums from
your account in the month that you start to receive the
benefit. We will recommence deducting the premium in
the month that we stop paying the benefit.
How much does it cost?
How are your premiums calculated?
Your premiums are calculated based on a number of
factors, which include:
›› The type of insurance cover
›› Amount of cover
›› Your age
›› Smoking status
›› Your occupation
›› Your health
›› Your gender
›› Waiting period chosen (IP)
›› Occupation rating of your plan (for employer
selected cover).
If you make another claim which arises from the same or a
related cause as a previous claim, the new claim will be
treated as a separate claim if it occurred after you have
returned to work (and been at work) for 6 consecutive
months.
insurance continued
You’ll be charged at either group rates or individual rates.
The table below shows you when you’ll be charged group
or individual rates. For a copy of the insurance premium
rates and examples on how premiums are calculated,
please see the Insurance premium and occupational
ratings guide.
Type of cover
Type of insurance
Employer selected cover within or over
the AAL
Group rates
Member/individual selected cover for a
higher sum insured than your employer
has selected
Group rates
Member/individual selected cover for a
different type of insurance your
employer has selected
Individual rates
Cover for a family members account
Individual rates
When you leave the plan and have
retained your insurance1
Individual rates
1 When you leave your employer plan any Death & TPD insurance
arrangements will remain in place but all premiums will be based on
individual smoker rates (unless and until we are informed that you do
not smoke). This is subject to conditions.
Who pays for your insurance?
Unless you have an alternative arrangement with your
employer, insurance premiums will be deducted monthly
from your super account.
How to make a claim
If you need to make a claim, we’ll make sure the process
is as quick and easy as possible, during what’s often a
difficult time. You can only make a claim if the event first
happens while you are a member of Optimum and your
cover is in force.
Making a claim is easy. Just contact us as soon as you can
reasonably do so, but no later than:
Claim type
When you should make a claim by
For a TPD claim
Twelve months from the time of the
event giving rise to the claim
For an Income
Protection claim
One month from the time of the
event giving rise to the claim
If you make a claim later than this, we may reduce the
amount paid, or not pay any benefit at all, if the delay is
prejudicial to Suncorp Life.
Choice of fund
If your plan commenced on or after 1 July 2005, your
employer must nominate Death cover at no less than either
the prescribed age based or premium based minimum, for
all Choice of Fund (Choice) eligible employees.
If your employer has made arrangements with us, we will
provide you with either the prescribed age based or
premium based minimum cover, which your employer has
selected.
No minimum level of Death only cover is required, or will
be provided, if you are aged 56 or older.
Suncorp Life does not have to provide cover for you if
your occupation is not acceptable.
Cover under either of these options is subject to
automatic acceptance requirements.
If you are not at work on the cover commencement date,
you will only be eligible for ‘New Events Cover’ until such
time as you have been at work performing all the normal
duties of your regular occupation for a period of 60
consecutive days, at which time you will be eligible for ‘All
Events Cover’.
If your employer does not supply your relevant details and
category information to determine the occupational rating
for your plan, any minimum cover provided will be rated
as skilled blue collar. We may change this rating if your
employer later provides this information.
When can you access your
insurance benefits?
Death
If you die while covered, any death benefit amount
payable will be paid into your Optimum account and be
invested in the Standard Pacific Growth Fund. We’ll then
pay the benefit to one or more of your dependants and/or
your estate.
If you’ve made a valid death benefit nomination, we’ll pay
this benefit in accordance with your nomination. Your
dependants can then choose to receive this benefit as a
lump sum, or in some circumstances, a pension or a
combination of both.
TPD
If you are eligible to receive a TPD benefit, we’ll pay the
benefit (less any tax) to your Optimum account, and
invest it in the Standard Pacific Growth Fund. To access
any TPD benefits, you must satisfy a ‘condition of release’.
For more information about when you have met a
condition of release, please see Accessing your benefits
on page 12 of this Product Guide.
Income Protection
You must meet the definition of totally disabled or
partially disabled to receive an Income Protection benefit.
Income tax is payable on any Income Protection benefits
received by you. Income Protection benefits are paid
monthly in arrears. If you are covered for superannuation
contributions, any amounts will be paid into your
superannuation account and will be subject to the normal
charges applying to your contributions. Your funds will be
fully preserved. Payment of this benefit must be made to
a complying superannuation fund.
Limitations
The following limitations apply to the payment of
benefits:
›› Income Protection benefits will not be paid for
disablement resulting from pregnancy, childbirth or
miscarriage, unless you are disabled for more than
three months from either the date your pregnancy
finishes or the date your disability starts, whichever is
later. The waiting period will be taken as starting at
that date.
›› If for any reason you have more than one
membership of Optimum, you can have an insured
benefit under only one membership.
Death only or Death and TPD cover will continue, subject
to payment of premiums, for up to 12 months without
obtaining written confirmation from Suncorp Life.
A request for cover to continue beyond any agreed period
requires written approval from Suncorp Life prior to the
end of the period.
Cancelling your cover
If you don’t want insurance cover, you can cancel your
insurance cover at any time by writing to us. If you cancel
or reduce your cover within 30 days of receiving your
confirmation of membership, we’ll refund all premiums
deducted from your account. If you cancel or reduce your
cover after the 30 day period, we will cancel cover and
stop deducting premiums or reduce cover and stop
deducting premiums or reduce cover and change the
premiums payable from the date we receive your written
instructions. You should read all the information in the
PDS and Product Guide before deciding whether to
cancel or keep your insurance cover.
When are salary based benefits under the
plan reviewed?
›› the risk being accepted by Suncorp Life
Any salary based benefits are reviewed each year on the
plan’s annual review date, which is generally 1 April. If an
automatic acceptance limit (AAL) applies, any salary based
cover will be revised automatically on your plan’s annual
review date if your salary has changed (and you are at
work), but only up to the AAL. Your employer must
provide us with updated salary information for you at
your plan’s annual review date. Otherwise, cover will
remain at the level consistent with your last advised salary.
Any amounts above the AAL will not be covered unless
you complete an Insurance application form and
acceptance is advised by Suncorp Life.
›› any increase in cover (but only in respect of the
increase) or
Future increases in cover
›› No Income Protection cover will be paid if your
disability is caused at any time by an intentional selfinflicted act, whether sane or insane.
›› Insurance cover will not be paid if Death or TPD is
caused directly or indirectly by an intentional selfinflicted act, whether sane or insane, within 13
months of:
›› the risk being reinstated by Suncorp Life after
lapsing.
›› No insured TPD or Income Protection benefit will be
paid if the event giving rise to a claim is caused
directly or indirectly by war or an act of war.
about your Insurance cover
Overseas cover and leave without pay
If you have employer selected cover based on your salary,
you may apply for cover above the AAL for your plan. If
this application is accepted you may be eligible for cover
that will increase automatically when we are notified of
any subsequent salary increases up to a maximum limit of
30% each year.
This means that you can avoid the need for future
underwriting each time your salary increases. If eligible,
we will advise you of the maximum limit. Your premiums
will be adjusted to take into account any increases, as
they take effect.
Before departing overseas or taking leave without pay,
you’ll need to get written confirmation from the Insurer
for all types of cover to continue. If you take unpaid
maternity/paternity leave approved by your employer, your
insurance continued
Key definitions and concepts
Definitions are important – they set out the test we’ll apply when considering a claim, so it’s important you take the
time to understand what they mean.
We want to help you with that, so we’ve created the following table, which contains a summary of some of the key
definitions – simplified, to help you get a clearer understanding of what they mean.
Where you see these terms throughout the PDS and this Product Guide, you should also refer to the policies for the
definitions. The Optimum Superannuation Group Life and Group Income Protection policy contains the exact wording of
all definitions.
Term
Definition
At work
You’re considered at work if you are:
Actively performing all the duties of your regular occupation, are not absent from work
because of illness or injury, and are not in receipt of an/or entitled to claim income support
benefits from any source including workers’ compensation benefits, statutory transport
accident benefits and disability income benefits. Where you are on approved leave you
must be capable of performing all the duties of your regular occupation had you not been
on approved leave. If you do not meet these requirements, you are correspondingly
described as not at work.
All Events Cover
means in accordance with all other terms and conditions of the policy, cover for death
arising from a sickness or injury regardless of the date the sickness or injury became
apparent.
Automatic acceptance limit (AAL)
means the amount of benefit specified in the benefit schedule for which we require no
evidence of insurability from you.
Benefit period
means the maximum period of time for which a benefit will be payable.
Gainfully employed
means being employed or self-employed for income or reward in any business, trade,
profession, vocation, calling or employment on a permanent basis.
Injury
means an accidental or unintentional bodily injury suffered by you while you are insured for
the relevant benefit under Optimum.
New Events Cover
means in accordance with all other terms and conditions of the policy, cover for death
arising from a sickness that becomes apparent or an injury that occurs on or after the
commencement of minimum death cover.
Partially disabled
means that, because of sickness or injury, you:
›› would be totally disabled except that you are performing, or are capable of
performing, one or more of the important duties of your regular occupation, or you
are working in another occupation and
›› have monthly earnings which are less than your pre-disability earnings because of
your disability and are following the advice of a medical practitioner (acceptable to
Suncorp Life).
Pre-disability earnings
monthly earnings from your employment with your employer for any twelve consecutive
month period since the date three years before an Income Protection claim is made. If the
period of your employment with your employer is less than three years but greater than
twelve months, we will use the twelve consecutive month period with the highest average
during this period. Where the period of your employment with your employer is less than
twelve months, a monthly average will be determined for that period.
Salary
means, unless otherwise agreed in writing by Suncorp Life:
means an employee’s yearly remuneration package accepted by us at your plan’s
anniversary unless otherwise agreed by us in writing.
Term
Definition
Sickness
means a sickness or disease you suffer which becomes apparent while you are insured
under Optimum.
If you have:
›› surgery to transplant part of your body to someone else or
›› an operation to improve your appearance or
›› elective surgery on the advice of a medical practitioner (acceptable to Suncorp Life)
this is deemed to be a sickness, unless the surgery takes place within six months of
commencing your Income Protection cover, or an increase in this cover (but only in respect
of the increase).
Totally disabled
means that, because of sickness or injury you are:
›› not capable of doing the important duties of your regular occupation and
›› not working in any gainful occupation and
›› following the advice of a medical practitioner (both acceptable to Suncorp Life).
Totally and permanently disabled
Totally and permanently disabled means either:
›› You are gainfully employed for 15 hours or more per week on a permanent basis at
the time of the event giving rise to the claim, and you have been absent from
employment through sickness or injury for six consecutive months and we are
satisfied that you are incapacitated to such an extent that you are unlikely ever to be
able to resume work or attend any gainful profession or occupation for which you are
suited by reason of your education, training or experience or
›› You suffer the loss of both feet or both hands or both eyes; or any combination of
two of, a hand, a foot or an eye; where ‘loss’ means the total and permanent loss of
the use of the hand or foot from the wrist or ankle joint, or sight in the eye or
›› You are not gainfully employed for 15 hours or more per week on a permanent basis
at the time of the event giving rise to the claim, and are constantly and permanently
unable to perform two or more activities of daily living without the physical assistance
of someone else. Definitions of activities of daily living are:
›› bathing and showering
›› dressing and undressing
›› eating and drinking
›› maintaining of continence with a reasonable level of personal hygiene
›› getting in and out of bed, a chair or wheelchair or moving from place to place by
walking, wheelchair or walking aid.
If you can perform the activity on your own by using special equipment, we will
consider you able to perform that activity.
Underwritten
means that you have been assessed for cover by Suncorp Life other than that provided
under automatic acceptance.
Waiting period
means the nominated period during which you have to remain totally or partially disabled
before receiving Income Protection benefits.
War
War means any act of war (whether declared or not), revolution, invasion, rebellion or civil
unrest.
insurance continued
Honesty is the best policy
We have a duty, under the Insurance Contracts Act 1984
(Cth) to disclose to the Insurer every matter that we
know, or could reasonably be expected to know, that is
relevant to the Insurer’s decision whether to accept the
risk of the insurance, and, if so, on what terms. We have
the same duty to disclose those matters to the insurer
before it renews, extends, varies or reinstates a contract
of life insurance.
This duty, however, doesn’t require disclosure of a matter:
›› that diminishes the risk to be undertaken by the
insurer
›› that’s of common knowledge
›› that the insurer knows, or in the ordinary course of
their business, ought to know and
›› as to which compliance with your duty is waived by
the insurer.
It’s a condition of your membership in Optimum, that you
discharge the same duty of disclosure to us.
If you fail to comply with your duty of disclosure and the
Insurer wouldn’t have entered into the contract on any
terms if the failure hadn’t occurred, the Insurer may avoid
the contract within three years of entering into it. If the
non-disclosure is fraudulent, the Insurer may avoid the
contract at any time.
An Insurer who is entitled to avoid a contract of life
insurance may, within three years of entering into it, elect
not to avoid it but to reduce the sum that you’ve been
insured for in accordance with a formula that takes into
account the premium that would’ve been payable if you
had disclosed all relevant matters to the Insurer.
This duty continues to apply until the Insurer notifies you
that the risk has been accepted.
Where can you get more
information?
The Optimum Group Life policy contains the full terms
and conditions of insurance, including all definitions.
In the event of any inconsistency between the PDS, this
Product Guide and the insurance policies, the insurance
policies will prevail. You can get a copy of the Insurance
policy free of charge, by contacting us.
Fees and other costs
Did you know?
Small differences in both investment performance and fees and costs can have a substantial impact on your long-term
returns. For example, total annual fees and costs of 2% of your fund balance rather than 1% could reduce your final
return by up to 20% over a 30-year period (for example, reduce it from $100,000 to $80,000).
You should consider whether features such as superior investment performance or the provision of better member
services justify higher fees and costs. You may negotiate to pay lower contribution fees and management costs where
applicable. Ask us or your financial adviser.1
To find out more
If you’d like to find out more, or see the impact of the fees based on your own circumstances, the Australian
Securities and Investments Commission (ASIC) website (moneysmart.gov.au) has a superannuation fee calculator to
help you compare different fee options.
1 We are required by law to mention that members may be able to negotiate lower fees and costs. As the fees are agreed between your employer and your plan’s
adviser, the contribution and asset fees cannot be negotiated by you.
The table below outlines the fees and costs for investing through Optimum.
Fees for Optimum members
Type of fee or cost
Amount
How and when paid
Fees when your money moves in or out of Optimum
Establishment fee
Nil
Not applicable
Contribution fee1
Up to 4.1% of contributions and
transfers for plans that commenced on
or after 1 December 2004.
This fee is deducted from your account
when a contribution or transfer is made to
your account.
Up to 4.1% of contributions and 5.0%
of transfers for plans that commenced
before 1 December 2004.
This fee is agreed between your employer
and your plan’s adviser.2
Withdrawal fee
$50 for withdrawing your entire balance This fee is deducted from your account by
the withdrawal of units at the time of
withdrawal.
Termination fee
Nil
Not applicable
Management costs
The fees and costs for managing your investment
Asset fee1
1.55% pa for members of plans that
commenced on or after 5 March 2007.
This fee is deducted monthly in arrears from
your account by the withdrawal of units.
2.00% pa for members of plans that
commenced before 5 March 2007.
Your employer may also agree a lower fee
with your plan’s adviser.
A discount applies for balances over
$250,000.
Investment fee
Depends on the investment option(s)
selected and range from 0.60% pa
to 1.98% pa. This includes an
investment fee of 0.10% to 0.35% pa
payable to Standard Pacific and a fee of
0.20% payable to the Trustee.
Calculated in the daily unit price calculation
for each investment option.
Fees and other costs continued
Type of fee or cost
Amount
How and when paid
Performance fees
Depends on the diversified investment
option(s) selected and range from 0%
to 1.00% pa of total investments in the
underlying investment option. The fee
paid by members will be based on the
allocation to the underlying investment
option within each of the diversified
investment options.
Only applies when performance exceeds the
specified benchmark for certain investment
options and is included in the daily unit
price calculation for each investment option.
Member fee
$57.60 pa
Deducted monthly in arrears by withdrawing
units on or around the 15th of each month
Switching fee
Nil
Not applicable
Adviser service fee
Up to 2% pa of your account balance
or a fixed monthly dollar amount. You
can also agree a one-off fee for
additional services provided by your
plan’s adviser.
Deducted monthly from your account by a
withdrawal of units.
Contribution splitting fee and
superannuation splitting fee
$50
Deducted from your account by a
withdrawal of units at the time of the
transfer.
Family law enquiry
$50 – Where cases are complex we may
charge a higher fee.
Payable by cheque to Suncorp Portfolio
Services Limited at the time of enquiry.
Service fees
This fee is agreed between your employer
and your plan’s adviser.
1 This fee includes an amount paid to your adviser’s Licensee. Please see Additional explanation of fees and other costs.
2 Your employer can agree different amounts with your plan’s adviser for contributions and transfers.
The fees disclosed in this PDS are shown net of income tax and inclusive of GST (where applicable). They are the true
cost to you.
Example of annual fees and costs for an Optimum member invested in the Standard Pacific
Growth Fund
This table gives an example of how the fees and costs in the Standard Pacific Growth Fund can affect your
superannuation investment over a one year period. You can use this table to compare Optimum with other super
products.
Example – Standard Pacific Growth Fund
Balance of $50,000 with total contributions of $5,000 during the year
Contribution fee
0 - 4.1%1
For every $5,000 you put in, you will be charged between $0 and $205
PLUS management costs
2.51%pa2,3,4 + $57.60
And, for every $50,000 you have in Optimum, you’ll be charged $1,255
each year, plus a $57.60 member fee
EQUALS cost of Optimum
If you put in $5,000 during a year and your balance was $50,000, then for
that year you’ll be charged fees from:
$1,312.60 to $1,517.602,4
What it costs will depend on the investment option(s) you choose and the
fees negotiated with your plan or financial adviser
1 The maximum contribution fee for members of plans that commenced before 5 March 2007 is 5.0%. This means that some members may pay a higher
contribution fee than in this example.
2 The maximum asset fee for members of plans that commenced before 5 March 2007 is 2.0%. This means that some members may pay a higher asset fee than in
this example.
3 This amount includes the asset fee of 1.55% and investment fee of 0.94% for the Standard Pacific Growth Fund. Performance fees apply to some investment options.
Where a performance fee is payable, this will be in addition to any investment fees paid. See Additional explanation of fees and other costs in the Product Guide.
4 A discount applies for higher plan balances. See Additional explanation of fees and other costs.
Additional explanation of fees
and other costs
Contribution fee
For members of plans that commenced before
5 March 2007:
Your employer can agree with your plan’s adviser the
upfront fee amount that will be applied to all deposits
made into your account. Different amounts can be
nominated to apply to contributions and transfers into
Optimum.
›› For members of plans that commenced on or after
1 December 2004, the fee agreed can be up to 4.1%.
›› For members of plans that commenced before
1 December 2004, the fee agreed can be up to 4.1%
for contributions and up to 5.0% for transfers. We
may retain up to 0.88% of contributions and up to
0.08% of transfers on these plans.
How much of the contribution fee is paid to
my plan’s adviser?
Your plan’s adviser’s Licensee will receive all of the
contribution fee as commission (except for the
amounts that we retain for plans that commenced before
1 December 2004). The amount they receive is generally
higher than the fees paid from your account due to the
addition of any GST payable ie. Up to 4.4% of
contributions (regardless of the plan commencement
date) and up to 5.28% of transfers for plans that
commenced before 1 December 2004.
This additional amount is not payable by you for GST
purposes.
Your plan’s adviser will disclose any amounts split with
their Licensee in your employer’s Statement of Advice.
Asset fee
The asset fee is the fee payable to the Trustee for
managing your Optimum account. The maximum asset
fee is discounted dependent upon the combined value of
all accounts in your employer’s plan as below:
For members of plans that commenced on or after
5 March 2007:
Account balance
Maximum % pa
First $250,000
1.55%
Next $250,000
1.30%
Over $500,000
0.85%
Account balance
Maximum % pa
First $250,000
2.00%
Next $250,000
1.75%
Over $500,000
1.30%
How much of the asset fee does my plan’s
adviser receive?
We may pay your plan’s adviser’s Licensee commission for
the service that they provide to you on your account.
›› For members of plans that commenced on or after 5
March 2007, this ongoing payment amount is up to
0.55% pa (0.60% pa including GST).
›› For members of plans that commenced before 5
March 2007, this ongoing payment amount is up to
1.00% pa (1.10% pa including GST).
This payment is part of the asset fee and is not an
additional cost to you. This fee is negotiable by your
employer and your plan’s adviser may agree to a lesser
amount as their ongoing payment.
The percentage amount that your plan’s adviser directly
receives from their Licensee will be disclosed in your
employer’s Statement of Advice.
Adviser service fee
Your employer may agree with your plan’s adviser to pay
an extra amount to your plan’s adviser for the service and
advice they may provide.
This amount can be:
›› up to 2% pa of your account balance deducted
monthly or
›› a fixed monthly dollar amount.
In addition to what your employer has agreed, you are
also able to agree a one-off fee with your plan’s adviser.
Alternatively you may choose to pay your plan’s adviser
directly.
If an adviser service fee has been agreed with your plan’s
adviser:
›› if it is a percentage of your account, it will be based
on and deducted from your account balance at the
end of each month
›› if it is a fixed monthly dollar amount, it will be
deducted from your account at the end of each
month
Additional explanation of fees
and other costs continued
›› if it is a one-off fee, it will be deducted from your
account once we have received written notification
from you.
We pay the full amount to your adviser’s Licensee
including GST. Your plan’s adviser will disclose any
amounts they split with their Licensee in your employer’s
Statement of Advice.
Fees relating to investment
options
You can get the latest investment fees, performance fees
and buy/sell spreads from the monthly Optimum
investment performance report available on our website
or by calling us.
Investment fee
The nature of the Standard Pacific Funds means that the
ongoing investment fees are variable. The investment fees
applicable to each investment option are the weighted
average of the investment fees applied by each underlying
manager of the investment option, plus an investment
management fee of 0.10% pa to 0.35% pa payable to
Standard Pacific and a fee of 0.20% pa to the Trustee.
Investment fees generally include the underlying
investment manager’s fee, audit, custody and other
general costs incurred in the administration of the
underlying investment option. These fees and expenses
may be varied by the underlying investment manager. As
this is an expense of the Fund, these variations will be
passed on to you without notice.
Performance fees
This fee is only charged by some investment managers for
certain investment options when they outperform their
stated benchmarks. It’s an additional amount to the
investment fee.
Buy/sell spreads
You may incur a buy/sell spread when you make
contributions, withdraw or change your investment
options. This ‘spread’ is the difference in the buying price
and selling price of the investment option, and generally
covers the transaction costs of buying and selling the
underlying assets of that investment option. It ensures
that non-transacting members are not disadvantaged by
the activity of transacting members. The spread isn’t a fee
paid to us, but is a charge by the investment manager
which is reflected in the unit price and is retained within
the net asset value of the underlying investment option.
Family accounts
Your family members can choose to open their own
Optimum accounts which are linked to your plan. This
allows your family to have access to the features of
Optimum and also enjoy any fees applicable to your plan.
Where your employer pays the asset fee, family account
members will be charged the discounted fees applicable
to your plan. This may mean savings in fees when
compared to investing individually.
Insurance premiums
If you have insurance cover, your premiums will be
deducted monthly in advance on or around the 1st of
each month by withdrawing units from your account.
For more information on the costs of insurance, please
see the Insurance section in this Product Guide and the
Optimum insurance premium and occupational
ratings guide.
Expense recovery and reserves
The Fund holds a tax reserve and a general expense
reserve which may be used to meet the expenses
associated with the administration, management and
operation of the Fund. Any excess amounts are retained
within the reserve to meet future costs. Alternatively, the
Trustee has discretion to distribute excess amounts to
members’ accounts.
Small account protection
If your account balance is below $1,000 at the end of the
financial year, we’ll ensure the fees charged against your
account are not greater than your investment returns in
that financial year. We’ll credit any protected amounts by
adding units to your account at the end of the financial
year, or at the time of withdrawal. Taxes and insurance
premiums will continue to be deducted in full.
Dishonour fees
You may be required to pay any bank fees and charges
we incur as a result of your cheque being dishonoured or
direct debit amounts from your nominated account being
rejected.
Changes to fees and costs
We can introduce certain new fees or change the level of
current fees that you pay at any time. If we do this, we’ll
notify you in writing at least 30 days in advance of any
adverse change.
The investment fees, performance fees and buy/sell spreads
are charged by the investment managers and can change
at any time. As they’re not charged by us, any variations
will be passed onto you without notification from us.
Payments to and from other
parties
Any payments (or benefits) we make to or receive from
other parties are not an additional cost to you unless
otherwise stated in the PDS or this Product Guide. We
may pay additional amounts to your adviser or their
Licensee or other benefits on the total amount of funds
they introduce to us, or for its promotion. These payments
won’t exceed 0.50% pa of these funds and will be
disclosed in your employer’s Statement of Advice. These
payments are not an additional charge to you.
Any alternative forms of remuneration we may also pay or
receive will be in accordance with the Financial Services
Council Industry Code of Practice. We keep a register of
these payments which you can view by contacting us.
Taxation information
The facts on tax
Are you sketchy on tax details? The table below helps you understand the basics when it comes to tax and your
Optimum account. Remember it’s important to talk to your adviser before making any decisions.
This information in the table below is based on our interpretation of tax legislation at the date of this PDS and assumes
that you are an Australian tax resident. Changes in legislation in the future may impact how your super account is taxed.
How your super is taxed
On contributions received
›› 0% on non-concessional contributions
›› 15% on concessional contributions
›› 45%1 on excess amounts over the non-concessional and concessional
contributions caps
›› 15% if your transfer contains any untaxed components
On your investment earnings
On withdrawals
›› Up to 15% on investment earnings
For lump sum withdrawals
›› 0% if you’re age 60 or over
›› 15%1 on taxable components over $175,0002 if you’re between your preservation
age and age 60
›› 20%1 on taxable components if you’re under your preservation age
For death benefits paid as a lump sum withdrawal
›› 0% if paid to a tax dependant
›› 15%1 on taxable (taxed) component paid to a non-tax dependant
›› 30%1 on taxable (untaxed) component paid to a non-tax dependant
1 Plus Medicare levy, includes 15% contributions tax for concessional contributions
2 For the 2012/13 financial year.
From 1 July 2012, it is proposed that individuals with income greater than $300,000 pa will pay contribution tax of 30%
as opposed to the current rate of 15% on concessional contributions (on the portion over $300,000).
Goods and services tax (GST)
Any expenses we incur from administering the Fund may be subject to GST. If we can claim a credit for the GST paid, we
may pass the benefit on to you.
Tax and government charges
Taxes, duties and levies incurred by us are recovered directly from the assets of the investment options (where the
expenses are investment costs) before determining unit prices, or from your account.
We deduct an amount from your account for contributions tax at the applicable rate. The total amount of contributions
tax for the Fund is calculated at the end of the financial year. The amount is reduced by deductions allowable to the
Fund. Therefore the total amount of contributions tax which is remitted to the ATO may be less than the aggregate
amount which has been deducted from relevant members’ accounts.
We retain any excess amount deducted for contributions tax within the Fund and may use this amount for authorised
purposes including to cover expenses incurred in the proper administration, management or maintenance of the Fund.
Keeping in touch
We’ll keep you informed of any changes we make to our
products and legislative updates. We’ll also provide you
with your annual account details and any other news we
think you’d be interested in. But it’s not all one way. We
also make it easy for you to keep in touch with us and
your super.
Jump online!
Get 24/7 access to your Optimum account with our online
service WealthSolutions. When you join, you’ll
automatically receive your online user ID and password.
This allows you to access your account at any time through
our secure site available at asteronlife.com.au
Through WealthSolutions online you can –
›› view your Optimum account
›› access educational tools to assist you in
understanding your super and investing
›› view and update your personal details
›› check your account balance and investment holdings
›› view your super contributions
›› view transaction and correspondence history
›› view your nominated beneficiaries
›› view your bank account details
›› view your insurance details
›› generate and print a report on your account
Other tools available
›› daily unit prices
And if the internet isn’t for you …
… you can always call us on 1800 819 499 or write to us:
By post
GPO Box 1576
Sydney NSW 2000
By email
[email protected]
By fax
02 8275 3108
Keeping you informed and up
to date
We’ll notify you of any significant events affecting the
Fund that are relevant to you as soon as possible on our
website asteronlife.com.au or in writing as required by
legislation.
It’s important that you keep us up to date with your
current email address at all times. You can update your
email address by calling us on 1800 819 499.
It’s important we don’t lose
contact with you
We’re required to report all ‘lost members’ to the ATO,
which keeps a lost member’s register. That’s why it’s
important that you keep us up to date with your current
address at all times as you’ll be considered a ‘lost
member’ if we receive a piece of returned mail. Any
applicable fees and insurance premiums will continue to
be deducted from your account and we may transfer the
remainder of your account balance to an eligible rollover
fund (ERF). For more details please see Eligible rollover
fund and Unclaimed money on page 49.
›› historical charting of unit price movements
›› monthly investment performance reports
›› monthly investment asset allocation reports
›› product updates
›› forms and other publications
›› annual reports.
What happens when you
leave your employer?
Just because you’ve left your employer doesn’t mean you need to change your super, making it one less thing you need
to worry about. Provided your account balance isn’t zero, your super will automatically remain invested in Optimum –
allowing you to keep the valuable benefits in the table below.
We’ll also provide you with the information you need so that your new employer can contribute to your Optimum
account on your behalf.
What happens to your …
Investment options
You continue to be invested in the same investment options, unless you tell us otherwise.
Insurance cover
Death and TPD cover
Your Death and TPD cover will continue automatically.
Income Protection cover
Provided you are under age 60 and still working at least 15 hours per week, you can apply to continue
your Income Protection cover. You must apply within 30 days of leaving your employer, or your
employer notifying us that you have left employment, whichever is later.
To continue cover you will need to complete a Benefit Questionnaire, which includes information on
your current occupation, smoker status and any hazardous pursuits.
If your application is accepted, your insured amount will be equal to the dollar amount of your
insurance cover at the time you left employment or a benefit amount applicable to your new income,
whichever is less.
Premiums
Premiums for your Death and TPD cover will be charged at individual smoker rates, unless you notify us
otherwise.
If you apply to have your Income Protection cover reinstated and your application is accepted,
premiums will be based on individual rates.
If you had any exclusions or loadings on your Income Protection, these will still continue to apply.
Fees
The same fee structure will apply to your account. However any asset fee discount will be based on
your account balance and not the combined balance of the accounts in your employer plan.
Additionally, when you leave your employer, any fees which were agreed between your employer and
your plan’s adviser may now be agreed between you and your plan’s adviser.
This section provides you with important, yet often
overlooked information about your super investment in
Optimum.
Do yourself a favour –
consolidate your super
If you’ve had a few jobs, you’ve probably got a few
different super funds. One of the easiest ways to simplify
your finances, and potentially boost the amount of money
you’ll have when you retire, is to consolidate (also called
‘to rollover’) multiple super funds into one.
Consolidating (or ‘rolling over’) other funds into your
Optimum account is easy, since we do most of the work
for you. You have two options available to you:
1.Download and print a Super Rollover form, available
from our website at asteronlife.com.au, provide
certified proof of your identity (ID), and post the form
and ID back to us.
2.Fill in the Super Rollover form online, using our
Super Rollover Wizard, accessible via
asteronsuperrollover.com.au Once completed online,
print the form, provide certified proof of your identity
(ID), and post the form and ID back to us.
Once we have received your completed rollover form(s),
we’ll contact your old super fund(s) and arrange the
rollover for you.
Before consolidating, we recommend that you contact
your other super funds to find out if any exit fees are
payable and how your insurance arrangements may be
affected.
If you require further information or professional advice,
we recommend you consult a financial adviser or give us
a call.
Reclaim your missing super
If you’ve had more than one job in your lifetime, there’s a
chance you’ve left some of your super behind.
Optimum offers a lost super service to help members
match their missing super by searching ATO databases.
We may conduct this search on your behalf. If we find
your lost super, we’ll advise you and ask if you want us to
consolidate the funds into your Optimum account. If you
don’t want us to undertake this free service on your
behalf, please let us know by writing to us or calling us.
Unclaimed money
Your account balance will be paid to the ATO if you’re age
65 and over and we haven’t received a contribution or
rollover for 12 months and:
›› We’re unable to contact you within five years since
last contacting you, or
›› You’re a ‘lost member’ and your account balance is
less than $2,000.
Any person who has a claim to your benefit will then
need to contact the ATO.
Eligible rollover fund
If we lose contact with you or your super balance falls
below $1,000 we may transfer your super to an eligible
rollover fund (ERF). If your super is transferred to the ERF,
you’ll no longer be a member of Optimum and any
insurance cover you have will stop.
We’ve selected SMF Eligible Rollover Fund as our ERF. You
can contact them by:
Post Fund Administrator
SMF Eligible Rollover Fund
GPO Box 529
Hobart TAS 7001
Phone
1800 677 306
Fax
03 6215 5933
[email protected]
For investment options, features and details of what is
available to you under the SMF Eligible Rollover Fund
please refer to their Product Disclosure Statement.
Get involved in your Plan
Do you want to be part of the decision-making process
and management of your Plan? A policy committee allows
members to provide feedback to us on the operation of
the Plan. This can involve making decisions about your
Plan’s default investment strategy and on the performance
and operation of your employer plan in general.
Your employer should set up a policy committee if there
are 50 or more members in your plan. For smaller plans,
you can still set up a policy committee if five or more
members request it in writing. Your annual statement will
show if a policy committee is established for your plan.
Other things you need to know continued
Transfer of benefits for
temporary residents
The ATO may instruct us to transfer the benefits of
temporary residents to the ATO if:
›› a temporary resident has left Australia and
›› their temporary visa expired/ceased more than six
months prior.
If we’re instructed to transfer your benefits to the ATO,
your account will be closed. We’re not required to issue
an exit statement under these circumstances as it’s
unlikely to reach you.
Once your benefit is transferred to the ATO, it can only be
accessed if you meet a condition of release.
Relationship breakdown
You can get a copy of our privacy policy from our website
or by contacting us.
We welcome your feedback
If you have any feedback, we’d like to hear from you. You
can find details on how to contact us on the back cover
of this booklet, or on the front cover of the PDS. This also
includes any issues or complaints you may have. We make
every effort to ensure your complaints are resolved
satisfactorily and quickly.
However, if your complaint isn’t answered within 90 days,
or you’re not satisfied with the way it was handled, you
may take your complaint to the Superannuation
Complaints Tribunal (SCT). The SCT is an independent
tribunal set up by the Government to help with the
resolution of super complaints.
You can contact the SCT by:
Your Optimum account may be split with your spouse as
a result of relationship breakdown. This can be done
either by court order or by agreement between you and
your spouse. The splitting of super benefits as a result of
relationship breakdown or divorce may have tax
consequences.
PostSuperannuation Complaints Tribunal
Locked Bag 3060
Melbourne VIC 3001
For further information on family law issues, please speak
to your legal adviser. We will charge you a fee for family
law enquiries or to split your account. See Fees and
other costs for details.
We’re also a member of the Financial Ombudsman Service
(FOS). You can generally refer complaints outside the
SCT’s authority to FOS. Our member number is 11123.
Trust Deed, governing rules
and provisions
PostFinancial Ombudsman Service
GPO Box 3
Melbourne VIC 3001
Optimum is governed by the Trust Deed which you can
get free of charge, by contacting us. The Trust Deed,
combined with the PDS, this Product Guide, relevant laws
and certain information and communications sent to you
by us set out the governing rules and provisions by which
we must operate and your rights as a Optimum member.
Phone
We respect your privacy
The Anti-Money Laundering and Counter-Terrorism
Financing legislation requires us to collect and verify
information about your identity and monitor transactions
on accounts held with us.
Keeping your information private is important to us. We
mainly collect information about you so we can provide
super and insurance services, including opening and
managing your account. Without this we may not be able
to provide you with all our services. You can access this
information by calling us. As one of a number of
companies that form the Suncorp Group, we may also
provide information about you to any of our related
companies within this group. We don’t disclose your
personal information to any outside third party
organisation, unless it’s contracted to Suncorp to provide
administration services or activities on our behalf, or if
we’re required by law.
Phone
1300 884 114
Visiting onlinesct.gov.au
You can contact FOS by:
1300 780 808
Visiting onlinefos.org.au
Anti-Money Laundering and
Counter-Terrorism Financing
If we request personal information about you and you do
not provide it, we may not be able to provide you with
the financial product or service that you request, or
provide you with the full range of services we offer.
What happens if you or your
employer’s application is
incomplete?
If you or your employer’s application is incomplete or
unclear, we may hold your money for up to 30 days. If we
don’t receive additional information or a completed
application form within this timeframe, from your
employer, we’ll return the money to whoever paid it to us
without any interest.
Your money will only be invested once a properly
completed application form is received. The value you
receive will be based on the relevant unit price at that time.
part 2
Optimum for business and Asteron EASE
If you’re running a business and would like to set up a
super plan to manage your employee superannuation
requirements, then this part of the document is for you.
Why should I choose
Optimum?
We make it easy for you to meet your superannuation
needs by providing a free (if enough of your employees are
using Optimum) and simple to use payment solution that
will meet your choice of fund requirements. So you spend
less time on super, which means more time for your
customers. And with a selection of insurance options
available through Optimum, you can tailor an insurance
package to your employees’ needs, whilst allowing them to
individually apply for additional cover at their discretion.
How will Asteron save
me time?
Our online administration system and payment solution –
Asteron EASE (technically known as a ‘superannuation
clearing house’) removes the hassle when it comes to
managing your employees’ super, especially if you’re
paying super to multiple funds.
What is Asteron EASE?
Simplicity
One easy-to-use online interface for managing
multiple super payments
Control
Employee information and super payments at your
fingertips
Flexibility
Choose whether to input each employee’s details
on screen individually, or upload a payroll file if
you’ve got lots of employees
With Asteron EASE you can:
›› View and manage you super information all in one
place online, anytime.
›› Enjoy fast and reliable payment processing straight
into your employees’ super accounts.
›› Make your super contributions by direct debit from
your bank or by direct credit to ours.
›› Easily set up an Optimum account or another super
fund for new employees when they join your
company.
›› Quickly update employee details such as salary,
address, and tax file numbers.
›› Pay your employees’ super contributions including
multiple super funds at the touch of a button.
›› Painlessly delete your employees from your company
when they leave your company.
›› Get access in one convenient location to reporting
for employees in your plan and those who’ve chosen
another super fund.
What are your obligations
as an employer?
What is the contribution amount that I
need to pay?
For most employees, the Super Guarantee (SG)
contribution amount is currently equal to 9% of their
salary (and rising to 12% by 2019).
How often do I have to make super
contributions for my employees?
You must make Award or SG contributions to your
employees’ accounts, unless they’re exempt, at least every
quarter. Payments are required by us or the external fund
by the 28th day of the month following the quarterly
period in which the contribution was deducted, otherwise
you may become liable to pay the Superannuation
Guarantee Charge (SGC). The SGC is a non tax deductible
charge and may include interest and penalties. Please
also refer to Our turnaround time for processing
contributions later in this section for more information
on cut-off times for payments.
Does Optimum satisfy ‘choice of fund’
obligations?
Yes. Optimum is a complying super fund for choice of
fund purposes and more than meets the minimum
insurance requirements. However, it’s your responsibility
(and not ours or any other member of the Suncorp Group)
to check if you’re able to use us as your default fund
under the employment award or arrangements relevant to
your industry.
Optimum helps you meet your insurance obligations
under the choice of fund legislation by offering two
options of minimum Death cover that you can choose
from:
›› age based minimum or
The age based minimum insurance cover is only available
to plans with ten or more employees. Cover under either
of these options is subject to automatic acceptance
requirements.
The insurer does not have to provide cover for employees
if their health, occupation and/or hours of work are not
acceptable.
Optimum insurance
Holding life insurance through superannuation can be a
tax-effective way to provide your employees with the
security of knowing that they have taken care of the most
important people in their life if the unexpected happens.
You can select insurance for your employees for:
›› premium based minimum ($0.50 per week).
Where a premium based minimum is selected, we will
advise you of the sums insured. Both the age based
minimum and the premium based minimum will depend
on the occupational profile of your employees.
No minimum level of Death cover is required for
employees aged 56 or older.
›› Death only cover
›› Death and Total & Permanent Disability (TPD) cover*
›› Income Protection cover*.
You may be able to apply for automatic insurance for all
types of cover available through Optimum. And, as
Optimum is flexible to cater for a wide range of business
needs, you have the added flexibility to select different
types and levels of cover for different categories of
employees (eg. directors, management and general staff).
* Depending on eligibility. You cannot have Income Protection only.
Employer selected cover
Death only or Death & TPD1
You can choose one of two options:
Cover in addition to an employee’s account balance.
The total benefit payable on Death and TPD is the nominated sum insured plus an employee’s accumulated account balance (ie the
actual sum insured amount will remain fixed unless they apply to vary it)
›› fixed sum insured (eg $100,000 per employee) or
›› fixed premium (eg $1 per week) with insured benefits varying depending on age2.
Cover including an employee’s account balance.
The total benefit payable on Death and TPD includes an employee’s accumulated account balance plus the sum insured (ie. the
actual sum insured amount will reduce as their account balance increases)
›› percentage of an employee’s salary multiplied by the number of years to age 65 or
›› fixed benefit amount (eg $100,000 per employee) or
›› multiple of an employee’s salary.
Income Protection3
You can choose cover based on:
›› either 50%, 66.67% or 75% of an employee’s salary
›› an additional optional superannuation contribution component of up to 10% pa of salary4
›› a benefit period of 2 years
›› a waiting period of 30, 60 or 90 days.
1 The amount of TPD cover chosen cannot be higher than the amount of Death cover.
2 Where a fixed premium is selected, we will advise you of the sums insured which will depend on the occupation profile of your employees.
3 Monthly benefits can be reduced if the employee receives leave payments, worker’s compensation, social security or income benefits from another source.
4 Payment of this benefit must be made to a complying superannuation fund.
Optimum for business and
Asteron EASE continued
Automatic acceptance limits (AAL)
A benefit of employer selected cover is that Suncorp Life
may be able to offer automatic levels of cover for your
employees. Before deciding on your AAL, we will take a
number of factors into consideration, including:
›› If there are associated persons in your plan, we may
require certification they are permanent employees.
›› There must be eligibility rules that specify clearly
when an employee can join a category of insurance
cover (established prior to the commencement of
your plan). You can apply different eligibility rules to
different categories of employees. Your adviser can
help you determine appropriate eligibility rules for
your business.
›› An AAL may be reduced or withdrawn, where the
number of employees who decline or cancel
insurance cover is greater than 20% of your plan
membership. Any change will not affect any
employee’s currently accepted cover at that time.
›› Where some employees have an occupation Suncorp
Life would not normally accept, we may not offer an
AAL to those employees.
›› Where employees are insured elsewhere under a
group insurance arrangement, an AAL may not be
available.
›› The total number of employees in your plan and
within each category. Where your plan has different
categories of employees and there are less than ten
employees in each category, we may provide the
lowest common level of insurance benefit available
based on the total number of employees in the plan.
For information on the AALs available in Optimum, please
call Standard Pacific on 1300 232 001.
Transfer of existing insurance arrangements
We may allow you to transfer your employees’ existing
group insurance cover, subject to certain terms and
conditions. Call Standard Pacific for more information.
What if an employee wants their super
contributions paid to another account?
Under ‘Super Choice’ legislation, your employees (if
eligible) can choose where they want their compulsory
employer contributions paid. If they want them paid to a
fund other than Optimum, you won’t have to run around
and make separate payments to each different fund.
Asteron EASE lets you make contributions to as many
different complying funds as you need to.
How does Asteron EASE work?
Asteron EASE (or Employer Administration Super
Exchange) is our online superannuation clearing house
facility. Simply this is how it works:
1 - Set up your employees
2 - Upload your payroll
3 - Make the payments (contributions)
How do I make contributions?
This illustration below shows how contributions are made using Asteron EASE:
Employer’s
bank
Choice $
Choice
Choice data
Employer
Choice data $
Payment agent
Default fund data
Default $
Everyday Super
fund account
Choice data $
Choice data $
Asteron EASE
Default
Employer’s
bank
Payment agent
bank account
Everyday Super
admin system
External
External
External
A payment agent is an
external third party we use
to administer the payment
of contributions to external
super funds.
You can pay your contributions by direct debit
This is the easiest way to make your contributions. Just
complete a Direct debit request form (for registered
employers) which you can find on our website. We’ll
then draw payments from your nominated bank account.
We’ll debit your nominated account twice – once for
payments for your Optimum default fund and another for
payments to external funds (which will then be on-paid to
them by direct credit or cheque).
If we receive your contribution information before 12pm
(Sydney time) on a business day, your payments will be
deducted that night. Otherwise they may not be deducted
until the end of the following business day.
Our turnaround time for processing
contributions
We’ll try our best to make contributions into your
employee’s super accounts within ten business days of
receiving the contribution information from Asteron EASE.
If we receive it on a non-business day, then we’ll take it to
have been received on the following business day.
This means contribution information (and if paying by
direct credit, contribution payments) should be sent to us
by at least 12pm (Sydney time) on a cut-off day (the 14th
of January, April, July or October, or the last business day
before these dates if they fall on a non-business day). This
will allow enough time for your payments to be
distributed to, and processed by, each external fund into
your employee’s super accounts. Otherwise you may
become liable to pay the Superannuation Guarantee
Charge (SGC) (we talked about this earlier in the section).
Please make sure you send us accurate
information
If the information you’ve given us is incomplete or
contains errors, you may get an error message stopping
you from sending it to us, and/or we may be unable to
action some or all of your contribution information and
payments. Sorry, but we’re not liable for any loss you or
any other person incurs as a result of this.
We’ll process your request based on what you’ve sent us.
But neither we nor the payment agent will check you’ve
sent us everything you need to or that what you’ve sent
to us is accurate. And of course, both you and your
employees must have met the application requirements (if
any) of any external funds before sending us a payment
and contribution information via Asteron EASE.
What else do I need to know?
Fees and costs for using Asteron EASE
Asteron EASE is free, as long as you:
›› Nominated Optimum as your default employer plan
and make contributions to it (except for those
employees who have chosen an external fund)
›› Have contributed to your Optimum default employer
plan for at least 50 per cent of your employees at
the time you provide the contribution information.
If the above conditions aren’t met, we have the right to
charge reasonable fees. And in any event, we can
introduce new fees or change the current fees at any
time. It’s not our intention to do so but if we do this we’ll
always give you at least 30 days written notice.
Risks of using a superannuation clearing
house such as Asteron EASE
Using Asteron EASE involves some risk. The main risk is
that contributions for an employee who has exercised
‘choice’ and chosen their own external fund (ie. a fund
other than Optimum) may not get paid by the due date
for SG contributions.
This could happen if:
›› You provide your contribution information late
(please also refer to Our turnaround time for
processing contributions)
›› Your contribution information contains errors or is
not complete
›› There’s not enough money in your nominated
account at the time of withdrawal
›› A contribution is rejected by an external fund.
Also, by law you’re only considered to have made a
choice contribution to an external fund when the external
fund accepts it.
What if an external super fund rejects your
employer super contributions?
If this happens, our payment agent will refund the
contribution payments into your bank account and will let
you know (to the extent they can based on the
information they receive from the external fund). For this
reason, we must have your bank details.
Sorry, but we wouldn’t be able to help you resolve the
issue at this point – you’d need to take this up with the
trustee of the external fund and re-send the contribution
payment and supporting information directly to them.
Optimum for business and
Asteron EASE continued
What if there’s a problem with your
employer contribution payments?
Please keep us up to date with your
employee information
Where you’ve made a payment to us by direct credit for
external funds and this doesn’t match the contribution
information from you, then all clearing house services
will cease and you’ll need to cover any costs in resolving
the issue.
Information you’ve given us will change from time to
time. For example, an employee may roll their super out
of Optimum to another fund, or change their external
super fund, or the name or contact details of the external
fund may change.
If we can’t sort this out with you then the contribution
payment will be refunded to you. If you use direct debit and
you receive notice that a payment to an external fund has
been dishonoured, we’ll let you know, but you’re responsible
for any dishonour fees you incur. You can then deposit
amounts into your nominated account and re-send the
contribution information to us. No interest or earnings will
be paid to you on any amounts received by us.
It’s important you tell us about any changes at least three
business days before you provide the contribution
information for a contribution period, otherwise there
may be a delay in us processing your payments.
What happens to an employee’s
Optimum account if they leave
employment with you?
When they leave your employment, they’ll automatically
remain a customer of Optimum. But once you’ve let us
know they’ve left, we’ll take care of things for you by
deleting them from your employer plan, so you’ll no
longer see them listed on Asteron EASE under any
employee reporting.
Where are the terms and conditions of
using Asteron EASE?
The terms and conditions for Asteron EASE are on our
website. It’s important you read them carefully, and if we
update the terms and conditions, this will be available on
our website asteronlife.com.au. If you’d like a free, paper
copy of the updated information, just call us.
Cancelling your use of Asteron EASE
In the unlikely event that we do this, we’ll let you know
at least 14 days beforehand.
Tax File Numbers (TFN)
By law, you must provide us with your employees’ TFNs,
unless they instruct you not to. While it’s not compulsory
for them to provide us with their TFN, they should be
aware there are consequences if they don’t. (See Part 1
of this Product Guide for further information).
Policy committees
A policy committee lets you and your employees give us
feedback on how your super plan is working, including on
the general operation and performance of Optimum. You
should set up a policy committee if there are 50 or more
employees in your Optimum employer plan. For smaller
plans, you can still set up a policy committee if five or
more employees request it in writing.
What will my employees receive?
Once your account has been opened, your employees will
receive a Welcome Pack with all the details about their
super and how to access their online account. (See Part 1
of this Product Guide for further information.)
What if I join Optimum, but then change
my mind?
No stress. You get a 19 day cooling-off period which ends
on the day your first employee’s account has been set up.
If you want to close your Optimum account during the
cooling-off period, just call us. You and your employees
may get back less than you put in and any insurance
cover they have will be cancelled from the day we receive
your request.
And finally...
The following information applies to you, just the same as
it does for your employees for both Optimum and Asteron
EASE. We provide further information on each of these in
Part 1 of this Product Guide:
›› Changes to the PDS
›› How we keep you updated
›› Family accounts
›› Your privacy
›› We welcome your feedback
›› Anti-Money Laundering and Counter-Terrorism
Financing
The information in this Product Guide may change. If the
change isn’t likely to be materially adverse, we’ll update
the information on our website asteronlife.com.au. If
you’d then like a free paper copy of the updated
information, just call us.
And that’s pretty much it! Thanks for taking the time to
read all about Optimum for business and Asteron EASE. If
there’s anything else you need to know, either now or
any time after your new super plan is up and running, just
give us a call on 1800 819 499. We’ll be happy to help.
How do I open an account?
Employers
There are two ways you can open an Optimum and
Asteron EASE business account:
1. Apply online – it will only take around 10 minutes,
simply visit asteronlife.com.au
2. Call us on 1800 819 499 and apply over the phone.
We’ll be happy to help.
Cooling-off rights
Your cooling-off rights operate in the following way.
›› A 14 day ‘cooling-off’ period will commence on the
earlier time we confirm an account has been
established for one of your employees and the 5th
day after the day on which the account was
established.
›› During the 14-day period you may contact Standard
Pacific to request the return of your contributions.
You will need to provide us with written confirmation
of this request within this period.
›› Within one month after you tell us you wish to
exercise your cooling-off rights, if you have paid us
any employer contributions (including SG
contributions) you must tell us the complying super
fund or Retirement Savings Account (RSA) to which
you want us to transfer the contributions.
We will transfer all the contributions we have received for
your plan to the fund or RSA you have nominated. If they
wont accept them, we may transfer the contributions to
our nominated eligible rollover fund.
The amount of contributions we return or transfer may be
less than the amount you contributed due to adjustment
for any market fluctuations, any withdrawals already
taken and any tax that we may be required to deduct.
Any fees and charges, except those payable to investment
managers will be refunded.
The cooling-off period will end earlier if you or any of
your employees exercise any of your membership rights,
such as changing your investment portfolios.
Street Address Level 10 321 Kent Street
Sydney NSW 2000
Mail GPO Box 1576
Sydney NSW 2001
Fax 02 8275 3108
Email [email protected]
wwwasteronlife.com.au
Phone 1800 819 499, Monday to Friday,
8.30am-5.30pm (Sydney time)
Adviser
Standard Pacific Consulting Limited
ABN 84 003 315 802
AFSL 237 635
Street Address Level 10 321 Kent Street
Sydney NSW 2000
Mail GPO Box 1576
Sydney NSW 2001
Fax 02 8275 3820
Email [email protected]
www standardpacific.com.au
Phone 1800 232 001, Monday to Friday,
8.30am-5.30pm (Sydney time)
AS02537 31/01/13 A

OPTIMUM CORPORATE SUPER FOR STANDARD PACIFIC PRODUCT GUIDE Issued 31 January 2013

Transcription

Similar documents

“BE A JUNK FOOD FIGHTER!”

38 Super Auto

great tools, great prices free - Snap-on

SUPER HERO CAMP Batman Superman Spiderman

LCK YOU CAN SPEAK LATIN GAME

Meet the girls of Super Hero high – WONDER WOMAN

115922 R4 SuperPattyMachine

A new book

Cyclo-Vets Summer Classic Criterium

racking heavy duty shelving