Learning the basics of investing will help you make better decisions now and in the future.
Our fundamental beliefs regarding the key aspects of investment risk and return are listed below. These beliefs have been formed on the basis of experience and rigorous analysis, as well as the Fund’s investment edge and its values, which provide an important foundation for formulating the Fund’s investment strategies.
We believe that:
Our diverse portfolio generates stronger risk-adjusted returns over the long-term
The greatest threat to achieving our members’ long-term return objectives is taking insufficient risk, as taking on risk, within the Fund's risk appetite, is inseparable from maximising long-term returns. The strategic asset allocation is, therefore, the main driver of risk/return outcomes, which is enhanced through our expertise and flexibility to invest in the built environment and other diversifying investments that are not accessible to many investors. These strengths also enable us to effectively manage the associated risks of market falls and illiquidity.
Our investment approach gives us the flexibility to continuously improve returns after fees
Our hybrid model is an innovative approach that provides flexibility to selectively pair high calibre internal capabilities with trusted external partners across both active and passive strategies. Our aim is to continuously improve returns after fees - every little bit counts. The combined insights across these teams also supports our assessment of market cycles and allows us to implement dynamic asset allocation tilts to further enhance member returns.
Our long-term perspective, size and private market expertise allows access to unlisted assets that improve risk-adjusted returns
Holding these illiquid investments across property, infrastructure, private equity as well as private debt, where through active management we expect to earn relatively higher returns over the long-term. Our size and internal expertise, including its wholly owned entity, Cbus Property1, allows us to invest directly and work with trusted strategic partners to access these types of diverse opportunities.
An integrated approach to responsible investment helps support sustainable long-term returns.
Well-governed companies and assets that manage material2 environmental, social and governance risks and opportunities in their operations and supply chains are typically more stable and are expected to enhance value for our members over the long term. Our approach aims to incorporate responsible investment across portfolios and asset classes so that our members benefit from effective management of material risks and opportunities over time.
Built over more than four decades, our investment governance and culture underpins disciplined investment decision-making
A sound investment governance framework leads to better investment outcomes for members by maintaining appropriate controls, delegations, accountability and oversight of our internal investment teams and external partners. We foster a risk culture focused on supporting best practices in investment decision-making.
1Cbus Property Pty Ltd is a wholly-owned entity of United Super Pty Ltd and is responsible for the development and management of a portfolio of Cbus Super’s property investments.
2Material ESG risks are those that are likely to affect business or investment performance.
What is our investment edge?
Not only are we unique in that we take a direct interest in the industries in which our members work, we believe the following areas set us apart:
A long-term perspective
The average member is over 20 years from retirement. This allows us to benefit from identifying longer term risks and opportunities.
Our size
We can manage risks holistically, while retaining the flexibility to pursue a broad range of opportunities in adapting to market dynamics.
Access to hard-to-source assets
Positive cash inflows from our members enables investment in unlisted assets that can provide diversification benefits and higher risk-adjusted returns.
Expertise in the built environment
Decades of investing in this space gives us an edge in establishing approaches that give us greater control over our investment outcomes.
Our hybrid model
Flexibility to draw upon internal expertise and trusted external partners to invest in a targeted and cost-effective manner as we grow.
Learn more about how we invest
Investment Handbook
Find out everything you need to know about our superannuation investment choices.
Investment spotlight
Explore the ways we support industries that are important to our members.
