Superannuation

Fixed Interest

Fixed interest can play an important role in diversified super strategies - providing a stabilising effect during periods of share market volatility. Conservative investors can also enjoy the more stable returns the sector provides.

Typically, fixed interest options invest in debt securities issued by Commonwealth Governments, state governments, semi-government authorities and companies. As fixed interest securities have longer investment terms than cash, they usually offer a higher interest rate or yield.

Vanguard’s Personal Superannuation Plan Australian Fixed Interest option is available to super investors with a minimum initial contribution of $20,000.

Benefits

  • low to medium risk
  • access a diversified portfolio of high quality fixed interest securities
  • potential for higher yields than cash funds
  • can help stabilise returns during periods of share market volatility when used as part of a diversified investment strategy

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Resources

Personal Superannuation Plan - Investment Options at a Glance*

Show all options or Hide all options.

Cash Cash funds suit investors who prefer capital stability and regular income to longterm growth.
 BenchmarkMinimum investment amountsInvestment option management feeInvestment option buy/sell spread costsManagement fees that apply to your member account balance
Initial contributionAdditional contributionsAccount balanceMember account keeping fee for balances less than $20,000Plan administration management fee for the first $50,000Plan administraion management fee for the portion above $50,000
Vanguard® Cash Plus A customised Index, the Vanguard® Cash Plus Index $20,000
$200
$7,500
 0.29% p.a.
Nil
 $66 p.a.
0.75% p.a.
0.50% p.a.
Fixed interest Fixed interest funds suit short to mediumterm investors seeking a steady and reliable income stream..
 BenchmarkMinimum investment amountsInvestment option management feeInvestment option buy/sell spread costsManagement fees that apply to your member account balance
Initial contributionAdditional contributionsAccount balanceMember account keeping fee for balances less than $20,000Plan administration management fee for the first $50,000Plan administraion management fee for the portion above $50,000

Vanguard® Australian Fixed Interest
UBS Australian Composite Bond Index
 $20,000
$200
$7,500
 0.31% p.a.
0.10% / 0.10%
 $66 p.a.
0.75% p.a.
0.50% p.a.
PropertyProperty trusts suit investors with a longterm timeframe (five years plus).
 BenchmarkMinimum investment amountsInvestment option management feeInvestment option buy/sell spread costsManagement fees that apply to your member account balance
Initial contributionAdditional contributionsAccount balanceMember account keeping fee for balances less than $20,000Plan administration management fee for the first $50,000Plan administraion management fee for the portion above $50,000
Vanguard® Australian Property Securities S&P/ASX 300 A-REIT Index $20,000
$200
$7,500
 0.31% p.a.
0.20%/ 0.20%
 $66 p.a.
0.75% p.a.
0.50% p.a.
Australian shares Shares are high risk and generally suited to longerterm investors (seven years plus)
 BenchmarkMinimum investment amountsInvestment option management feeInvestment option buy/sell spread costsManagement fees that apply to your member account balance
Initial contributionAdditional contributionsAccount balanceMember account keeping fee for balances less than $20,000Plan administration management fee for the first $50,000Plan administraion management fee for the portion above $50,000

Vanguard® Australian Shares

 S&P/ASX 300 Index $20,000
$200
$7,500
 0.36% p.a.
0.20%/ 0.10%
 $66 p.a.
0.75% p.a.
0.50% p.a.
International shares International Shares are high risk generally suited to longerterm investors (seven years plus)
 BenchmarkMinimum investment amountsInvestment option management feeInvestment option buy/sell spread costsManagement fees that apply to your member account balance
Initial contributionAdditional contributionsAccount balanceMember account keeping fee for balances less than $20,000Plan administration management fee for the first $50,000Plan administraion management fee for the portion above $50,000
Vanguard® International Shares MSCI World ex-Australia Index in AUD $20,000
$200
$7,500
 0.36% p.a.
0.30%/ 0.10%
 $66 p.a.
0.75% p.a.
0.50% p.a.
Vanguard® International  Shares (Hedged) MSCI World ex-Australia Index hedged to AUD $20,000
$200
$7,500
 0.41% p.a.
0.35%/ 0.15%
 $66 p.a.
0.75% p.a.
0.50% p.a.
Diversified Diversified funds allow investors to select the alternative that best matches their risk profiles.
 BenchmarkMinimum investment amountsInvestment option management feeInvestment option buy/sell spread costsManagement fees that apply to your member account balance
Initial contributionAdditional contributionsAccount balanceMember account keeping fee for balances less than $20,000Plan administration management fee for the first $50,000Plan administraion management fee for the portion above $50,000
Vanguard® LifeStrategy® Conservative 70% income and 30% growth (Weighted average of target indexes of the underlying Vanguard Wholesale Index Funds) $20,000
$200
$7,500
 0.35% p.a.
0.15%/ 0.10%
 $66 p.a.
0.75% p.a.
0.50% p.a.
Vanguard® LifeStrategy® Balanced 50% income and 50% growth (Weighted average of target indexes of the underlying Vanguard Wholesale Index Funds) $20,000
$200
$7,500
 0.36% p.a.
0.20%/ 0.15%
 $66 p.a.
0.75% p.a.
0.50% p.a.
Vanguard® LifeStrategy® Growth 30% income and 70% growth (Weighted average of target indexes of the underlying Vanguard Wholesale Index Funds) $20,000
$200
$7,500
 0.38% p.a.
0.25%/ 0.15%
 $66 p.a.
0.75% p.a.
0.50% p.a.
Vanguard® LifeStrategy® High Growth 10% income and 90% growth (Weighted average of target indexes of the underlying Vanguard Wholesale Index Funds) $20,000
$200
$7,500
 0.39% p.a.
0.30%/ 0.20%
 $66 p.a.
0.75% p.a.
0.50% p.a.

 * Information correct as of March 1 2010.

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GENERAL ADVICE WARNING

Vanguard Investments Australia Ltd (ABN 72 072 881 086 / AFS Licence 227263) is the product issuer. We have not taken your circumstances into account when preparing the above information so it may not be applicable to your circumstances. You should consider your circumstances and our Product Disclosure Statement (PDS) before making any investment decision. You can access our PDS on our website or by calling us. This information was prepared in good faith and we accept no liability for any errors or omissions. Past performance is not an indication of future performance.

We are the trustee of: Vanguard® Personal Superannuation Plan ABN 81 550 468 553 / Vanguard® LifeStrategy® Index PST - Conservative ABN 73 765 732 050 / Vanguard ® LifeStrategy® Index PST – Balanced ABN 23 846 775 905 / Vanguard ® LifeStrategy® Index PST - Growth ABN 95 836 361 772 / Vanguard® LifeStrategy® Index PST – High Growth ABN 61 378 605 876.

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