Governance

To maximise the retirement savings of our members, it's important Cbus is well governed by the Trustee.

 

As the Trustee of Cbus, United Super Pty Ltd holds:

  • A Registrable Superannuation Entity (RSE) licence from the Australian Prudential Regulation Authority (APRA)
  • An Australian Financial Services Licence (AFSL) issued by the Australian Securities and Investment Commission (ASIC)
  • Indemnity insurance to protect, within limits, the Trustee from legal action

The primary source of the Trustee’s power are the Trust Deed (Governing Rules) of the Fund and the Company’s Articles of Association (Constitution).

These documents sets out the rules for running the fund including how Directors are appointed and removed.

Read our Trust Deed (PDF)

Read our Constitution (PDF).

Fund Governance Framework

The Fund Governance Framework informs our day-to-day decision making at Cbus.

The framework details the activities and responsibilities of our oversight and decision-making forums, such as the Board and its Committees. It also includes key policies and procedures to guide the Trustee on how Cbus is to be managed.

With guidance from our regulators, our policies are developed in line with industry best practice.

These policies and procedures come together under the Fund Governance Policy, which provides guidance to stakeholders on the integrity of Cbus’ operations.

The Fund Governance Policy is reviewed by the Board at least once a year or as required.

Read our Fund Governance Policy (PDF).

Register of relevant duties and relevant interests

Cbus maintains a register of duties and interests for itself, its responsible persons and associates, which includes:

  • all Directors of the Trustee
  • Company Secretary of the Trustee
  • all Executive Managers of the Trustee
  • external fund auditor
  • Cbus Property Pty Ltd, its Directors and officers.

This Register captures all external interests and appointments held by our Responsible Persons and Associates, providing transparency of their commercial and personal interests to our members and stakeholders.

Duties and interests will be disclosed in the register for as long as the Trustee, Responsible or Person has the relevant duty or interest. All gifts received by Directors and the Trustee above $500 in value will be included in the register for 24 months.

Read our Register of Relevant Duties and Relevant Interests (PDF).

Conflicts of interest

The Trustee has a conflicts management framework which applies across the entire Fund. The framework is a combination of systems, processes, policies and controls which enable the Trustee to identify, assess, mitigate, manage and monitor conflicts.

Read our Conflicts of Interest Policy (PDF).

Investment policies

Our investment policy framework provides a strong foundation for investment decisions and enhanced risk-adjusted returns for members.

Read our investment policies

Product dashboard

The Cbus superannuation product dashboard is set out to help you better understand the fees, risks and performance for our default investment option, Growth (Cbus MySuper).

You can use the dashboard to compare the Growth (Cbus MySuper) investment option with MySuper products offered by other funds.

See our product dashboard.

Further reading

You can read more about the information about our governance by clicking on the links to view relevant further reading.

Remuneration

Our remuneration practices reflect our core values, placing our members at the centre of all we do.

The way we resource Cbus provides quality products and services to members.

Our Remuneration Policy outlines our principles and remuneration arrangements.

Further reading

You can read more about our remuneration practices by clicking on the links to further reading.

Significant event notices

At Cbus, we have a responsibility to tell our members about material changes, especially if the change could impact their retirement savings.

A change (or event) is any decision that will affect a member’s investment, such as:

  • changes to fees and costs
  • changes to insurance cover or premiums
  • transfer of a member’s benefit without their consent.

We usually communicate these notices via the Cbus Newsletter we send to our members. If an event occurs outside of our publication schedule, we will send a separate communication to affected members, called a Significant Event Notice.

Significant event notice timing:

  • Change or event that doesn't relate to an increase to a fee or charge, members will be notified as soon as possible, but no later than three months after.
  • For a change that involves an increase in fees or charges, members will be provided with 30 days prior notice.

 

Notice date Nature of event or change Impact of the change Download
28 September 2017 Changes to how fees and costs are communicated

The Australian Securities and Investments Commission (one of the super industry regulators) has introduced new rules for all super funds to make fees clearer from 30 September 2017.

These changes don’t affect the actual return you receive from Cbus – they represent the different fees that already apply to your super account.

Notice for super members - Changing how fees and costs are communicated (PDF)

Notice for income stream members - Changing how fees and costs are communicated (PDF)

24 May 2017 Changes to the taxation of investment earnings on transition to retirement income streams

Investment earnings on all income stream accounts are currently tax free, but from 1 July 2017 these will be taxed at up to 15% for transition to retirement income streams. This tax doesn’t apply to the Fully Retired option.

On 1 July 2017 money in existing Transition to Retirement accounts will be transferred to new taxed investment options. These will be the same range of investment options, with minor changes to allow for the tax.

 

Notice for Transition to Retirement option members not invested in Cbus Self Managed (PDF)

 

Notice for Transition to Retirement option members invested in Cbus Self Managed (PDF)

 

Notice for Fully Retired option members - Important changes to your income stream accounts from 1 July 2017 (PDF)

Removal of the Cbus Self Managed investment option for members in the Transition to Retirement option

The Cbus Self Managed investment option will not be available to members in the Transition to Retirement option from 16 June 2017.

Members affected by this change will need to change the way they invest the money they currently have in Cbus Self Managed assets.

Introduction of limits on tax-free retirement accounts

The Government has limited the amount of super you can have in tax-free retirement accounts (like the Fully Retired option) to $1.6 million from 1 July 2017. This is called your transfer balance cap and will be indexed in future years.

This is the limit across all of your retirement income accounts – with Cbus and any other super funds.

Tax penalties apply if you exceed the cap from 1 July 2017 and any amount over the limit will need to be withdrawn or transferred to a super account.

This limit doesn’t apply to the Transition to Retirement option.

Changes to the Trustee Operating Cost for income stream members

The Trustee Operating Cost (TOC) charged for all income stream accounts will increase by an estimated 0.04% per year from 1 July 2017 – to a total of 0.07% per year.

This cost forms part of the indirect cost ratio for each of the standard Cbus investment options and the asset based fees for the Cbus Self Managed option.

The TOC is reviewed each year and can range up to 0.25% per year.

 

 

 

 

22 February 2016

Changes to when fees are deducted from a member's super and income stream account.

From May 2016, the frequency of the administration fees deducted from the member's account at the end of each financial year or earlier (if the member closes their account during the year) will instead be deducted on a monthly basis.  

The same administration rates apply for member's super and Income stream account.  However the 0.08% of account balance for Cbus Super Income Stream (up to $640) will now be calculated based on the number of days in the month.

 

 

 

 

Important changes to your super (PDF)

Trust Deed updated

The rules around the release of superannuation benefit on the grounds of 'Terminal Medical Condition' has been updated from 12 months to 24 months.  In addition, the term 'Total and Permanent Disablement' is replaced with 'Permanent and Temporary Incapacity'.

 

22 September 2015 Changes to asset allocations and objectives From 1 November 2015, the investment return objective is lowered by 0.25% and the likelihood of negative returns for the High Growth option has been increased to 5 in every 20 years.  The asset class ranges in each of our investment options have also changed. Changes to the asset allocation and objectives for investment options (PDF)
22 September 2015 Changes to insurance from 1 November 2015

From 1 November 2015, TAL Life Ltd (TAL) has been appointed as the new insurer after a successful tender process.

Other changes include:
- TPD cover extend to age 70 years to eligible members
- Introduction of Professional category for insurance
- Introduction of underwriting exclusions
- Changes to automatic cancellation of cover terms
- No default cover offered for members of Cbus Personal Super division
- Changes to the insurance terms and conditions to Cbus Personal Super division members

Important changes to insurance from 1 November 2015 - Appointment of a new insurance provider TAL Life Ltd (PDF)
22 September 2014 Changes to how Cbus calculates contributions tax From 1 October 2014, tax rebate on insurance premiums will no longer be charged against members' accounts.  Instead the rebate will be redirected to reduce the insurance premiums paid to the insurer and to fund other insurance-related costs incurred by the fund. Changes to how Cbus calculates contributions tax (PDF)