How investments work in super

The contributions that are paid into your super account don’t just sit there. To help your contributions grow over time, and this could be many years, they are invested in financial markets.

The investments you choose for your super could shape the type of lifestyle you’ll enjoy in retirement. So it’s important to make a considered choice. The investments that may suit you best will depend on a range of factors specific to you, your needs and your investment goals.

With Vanguard Super, you can choose from a wide range of different investment options. Our Diversified options are invested across a broad mix of asset classes, while our Single Sector investment options offer investments in specific asset classes. And you can select just one option or a combination of options for your super – it’s up to you.

Diversified investment options – all-in-one investments for your super

The Diversified investment options are designed to offer you a complete, all-in-one portfolio of investments. Each option is made up of a mix of assets, diversified across the major asset classes. The investment mix is pre-determined, and the asset allocation is monitored and managed for you on an ongoing basis. And in the case of the Lifecycle investment option, the asset allocation automatically adjusts according to your age.

Lifecycle (with its auto-adjusting asset allocation)
High Growth
Ethically Conscious Growth
Growth
Balanced
Conservative

Single Sector investment options – building blocks to create your portfolio

Each Single Sector investment option invests in one asset class only. They’re designed to form the building blocks of an investment portfolio for your super. You can choose which asset classes you’d like to invest in and in what proportion.

Mix and match the Single Sector options in varying proportions to create your own unique investment mix for your Vanguard Super SaveSmart account. Or, you can combine one or more Single Sector options with any of the Diversified investment options. It’s up to you.

Lifecycle – super that changes with you

Like our other Diversified investment options, Lifecycle is invested across a broad mix of different assets to provide a broadly diversified portfolio of investments. But unlike our other Diversified investment options, the asset mix in the Lifecycle option automatically adjusts according to your age. There are 36 Lifecycle stages:

Age 47 and under: This is the first stage of the Lifecycle investment. During this time your super is spread across a mix of different assets designed to help your savings grow.
From age 48 until age 82: Your Lifecycle investment undergoes a series of annual changes. Your overall asset mix is still structured to help your super grow, while also helping to reduce the level of investment risk by making changes to the way your account is invested annually.
Age 82 and above: This is the last Lifecycle stage. Your asset mix is designed to help your savings last through your expected retirement years, including a greater emphasis on shielding your savings from the impacts of volatility.

Choosing the right super investment option