Colonial Super Retirement Fund

Transcription

1 Part 1 Colonial Super Retirement Fund 2013/2014 Report to Members Colonial Mutual Superannuation Pty Ltd ABN AFSL

2 Abbreviations Abbreviation Description APRA ATO CMLA, the Insurer, the Administrator Corporations Act DHS RSEL SIS Australian Prudential Regulation Authority Australian Taxation Office The Colonial Mutual Life Assurance Society Limited ABN AFSL Corporations Act 2001 and Regulations Department of Human Services Registrable Superannuation Entity Licence Superannuation Industry (Supervision) Act 1993 and Regulations SuperTrace SuperTrace Eligible Rollover Fund ABN the Fund Colonial Super Retirement Fund ABN the Group TFN CMS, Trustee, we, us, our Commonwealth Bank of Australia ABN AFSL and its subsidiaries Tax File Number Colonial Mutual Superannuation Pty Ltd ABN AFSL This Report is issued by Colonial Mutual Superannuation Pty Ltd, trustee of the Colonial Super Retirement Fund. The Trustee and CMLA are both wholly owned subsidiaries of Commonwealth Bank of Australia. The Group, except to the extent expressly stated otherwise in this 2013/2014 Report to Members, does not guarantee, or in any way stand behind, the performance of the Fund or the repayment of the capital or interest from the Fund. Investments in the Fund are not deposits or liabilities of the Group (other than CMLA or the Trustee), and investment-type products are subject to investment risk including possible delays in payment of benefits and loss of principal invested. It is important to remember that your rights and benefits will be determined in accordance with the Fund Trust Deed and Rules and the respective life insurance policies where applicable, between the Trustee and the Insurer.

3 Contents Abbreviations Inside front cover Introduction 2 Important superannuation information 4 Information about the Fund 10 Information about the Fund s investments 14 Changes to the Fund 18 Contribution information 22 Taxation information 25 Access to benefits 28 Lost members and unclaimed monies 31 Eligible rollover fund 33 Your personal information 34 Enquiries and complaint resolution 37 Consents 39 Directory 40 1

4 Introduction Products within the Colonial Super Retirement Fund Refer below for a listing of the Customer Service Representatives phone number applicable to your product Customer Service Representatives Colonial Living Money CPI Pension 1 Colonial Retirement Plus Account Colonial Personal Superannuation Bond Colonial Superannuation Bond Colonial Retirement Investment Plan Colonial Retirement Accumulation Plan Colonial Life Umbrella Super Colonial Money Plan Super Colonial Umbrella Investment Plan Super Colonial Umbrella Financial Plan Super Customer Service Representatives Managed Investment SuperPlan Managed Personal SuperPlan Personal SuperCARE SuperGuaranteeCARE SuperUnits Retirement Saver Series 2 Retirement Saver Retirement Saver Plus SuperLink SuperLink Plus Series 2 SuperLink Plus Series 3 SuperWise Series 4 SuperWise Series 5 Customer Service Representatives Superannuation Bond SuperFlex Superannuation Lifebuilder Superannuation Superannuation Bond S Series SuperPlan Superannuation Wealth Portfolio Superannuation PruPlan Superannuation PruLink PruPlan Superannuation PruPlan Plus Superannuation PruPlan Superannuation Unit-Linked Customer Service Representatives CPSL Master Fund Superannuation Customer Service Representatives Endowment Pure Endowment Whole of Life Colonial PruPac Umbrella Term Plan Super 1 Total Care Plan Super 1 Term Life Super 1 Income Protection Super 1 Low Cost Life Super 1 Customer Service Representatives Commonwealth PensionSelect Commonwealth Personal Superannuation & Rollover Plan Commonwealth SuperSelect Colonial Flexible Income Retirement Plan Colonial Select Allocated Pension Colonial Select Personal Superannuation Colonial Personal Superannuation Portfolio 2 1 These policies do not have a savings benefit.

5 The Trustee is pleased to present its 2013/2014 Report to Members (this Report) for the Fund. If your product has a savings benefit the Report will be provided in two parts: Part 1 Colonial Super Retirement Fund 2013/2014 Report to Members and Part 2 Investment performance and other important information. Part 2 Investment performance and other important information contains details of investment objectives and strategies, investment performance and asset allocations relevant to your investment. If your product has a savings benefit and you would like a copy of Part 1 and Part 2 to be sent to you, please call us using the contact details listed on page 2 of this Report. However, if you have a Term Life Insurance product or a CPI Pension product, these products do not have a savings benefit. Accordingly, your Report will be provided in only one part, being Part 1 Colonial Super Retirement Fund 2013/2014 Report to Members. This Report provides you with an update on issues concerning your investment in the Fund and general information and details of the management of the Fund. This Report also outlines how you can obtain additional information about the Fund. Your Annual Statement and this Report gives details of your benefits in the Fund. If you have any questions about your superannuation benefits, please contact your financial adviser or call us using the contact details listed on page 2 of this Report. The information in this Report has been prepared without taking into account your objectives, financial situation or needs. You should, before acting on this information consider its appropriateness to your circumstances. You should speak to your tax adviser in relation to taxation issues and consider talking to a financial adviser before making any investment decision. 3

6 Important superannuation information Proposed changes impacting superannuation The federal government has recently announced a number of changes to superannuation. Please note they have yet to be legislated and may change prior to becoming law. Excess non-concessional contributions The Government has proposed that individuals will have the option to withdraw contributions made from 1 July 2013 that exceed their non-concessional contributions cap including associated earnings. If withdrawn, no excess contributions tax will be payable and any associated earnings will be taxed at the individual s marginal tax rate. Any excess non concessional contributions left in the Fund will be taxed at the top marginal tax rate on the amount of the excess. Change to the schedule for increasing the superannuation guarantee (SG) rate to 12% The SG rate will increase from 9.25% to 9.5% from 1 July The rate will remain at 9.5% until 30 June 2018, and subsequently increase by 0.5% every year until it reaches 12%, as the table indicates: Financial year SG rate (%) 2014/ / / / / / / / / Where your employer is already making contributions above the current SG minimum you will need to check what changes, if any, the employer may introduce as a consequence of the changes described. Changes to deeming rules for new account-based pensions From 1 January 2015, any new accountbased pensions will be treated as financial investments and subject to deeming under the Centrelink/DVA income test, which is used to determine your pension/allowance payment. What does this mean for you? If you are already receiving the Age Pension (or any other Centrelink/ DVA Income Support Payment) as at 1 January 2015, your account based pension will continue to be assessed under the previous rules. If you commence a new account-based 4

7 pension on or after 1 January 2015, then the entire balance of the new account-based pension will be subject to the new deeming rules rather than the previous rules. If you are not receiving a Centrelink/ DVA income support payment (i.e. age pension) as at 1 January 2015, then your account-based pension will be subject to the new deeming rules should you then apply for a Centrelink/ DVA income support payment from 1 January Resetting the asset test deeming rate thresholds From 20 September 2017, the Government will reset the deeming thresholds used in the pension assets test to $30,000 for singles and $50,000 for couples. Current Proposed Single $46,600 $30,000 Couples $77,400 $50,000 This measure effectively increases the amount of assessable income from deemed financial investments. The proposal will impact the social security entitlements of income test affected pensioners and allowees. Increase the Age Pension qualifying age to 70 From 1 July 2025, the Age Pension qualifying age will continue to rise by six months every two years, from the qualifying age of 67 years that will apply by that time, to gradually reach a qualifying age of 70 years by 1 July The table below sets the Age Pension eligibility age by date of birth. Date of birth Qualifying age at Commencing from 1 July 1952 to 31 December July January 1954 to 30 June July July 1955 to 31 December July January 1957 to 30 June July July 1958 to 31 December July January 1960 to 30 June July July 1961 to 31 December July January 1963 to 30 June July July 1964 to 31 December July January 1966 onwards 70 1 July

8 Important superannuation information Age Pension indexation From September 2017, indexation increases in the Age Pension will be linked to the Consumer Price Index (CPI), rather than the higher of the increase in CPI, Male Total Average Weekly Earnings or the Pension and Beneficiary Living Cost Index. Legislated changes impacting superannuation These changes are legislated and, depending on your individual circumstances, may have an impact on you. Medicare Levy increase From 1 July 2014, the Government will increase the Medicare Levy from 1.5% to 2% of taxable income to provide funding for DisabilityCare Australia, the national disability insurance scheme. The current exemptions from the Medicare Levy will remain in place. Change of name for Department of Immigration The Department of Immigration and Citizenship (DIAC) is now known as the Department of Immigration and Border Protection (DIBP). Temporary visa holders exiting Australia will need to request that DIBP stamp their passport at the time they depart Australia. If you are a temporary resident, who plans to leave Australia, whose superannuation account balance is less than $5,000 and claim your super benefit as a Departing Australia Superannuation Payment, please ensure you request that your passport be stamped. Temporary Budget Repair Levy From 1 July 2014, temporary budget repair levy will apply to clients with taxable income above $180,000 until 30 June This levy increases the top marginal income tax rate by 2% during this time. The levy is calculated as 2% of taxable income exceeding $180,000. Certain types of income subject to an effective tax rate cap are provided tax offsets to ensure that the effective marginal rate applied does not exceed the specified cap rate. Examples of these may include: The taxable component of superannuation lump sums received within the low rate cap or untaxed plan cap. The taxable component of superannuation death benefits received by a beneficiary who is not a death benefits dependant. The taxable component of employment termination payments to which a concessional rate of tax applies (for example, amounts within both the ETP cap and whole of income cap). For anti-avoidance purposes, other tax rates based upon the top marginal income tax rate have been increased during the period of this levy, or in the case of the FBT rate, from 1 April 2015 to 31 March

9 Departing Australia Superannuation Payment (DASP) From 1 July 2014, the DASP tax rate referable to the Taxable Component Taxed Element will increase from 35% to 38%, and the Taxable Component Untaxed Element from 45% to 47%. Significant event notification Superannuation supervisory levy (Levy) The Government imposed Levy is used to recover operational costs of APRA and certain costs of some other Commonwealth departments and agencies. Until 2017/2018 inclusive, there will be a temporary increase in the Levy to cover the costs associated with implementation of the Government s SuperStream measures. The amount of the Levy is determined by the Government each year. Payment of the Levy from the Fund s assets will flow through as a reduction in your account balance at the time the Levy is applied and will be included as part of your Indirect Cost Ratio. This will mean a reduction in your rate of return. Stronger Super cost recovery A temporary fee increase is also being introduced for the Fund. It is designed to recover a portion of the extraordinary costs that have been incurred by the Fund s administrator in complying with the Government s mandatory Stronger Super reforms. The major reforms enhance governance frameworks, improve administrative efficiencies and allow for transfer of default members into simple low cost default arrangements (MySuper products). The temporary fee increase will mean your Indirect Cost Ratio will increase by up to 0.10% per annum for at least the financial years ending 30 June 2015 to 2017, after which we would expect to remove the need for the fee increase. Applies to the following products: CPSL Master Fund Superannuation Colonial Select Personal Superannuation Colonial Personal Superannuation Portfolio SuperFlex Superannuation Lifebuilder Superannuation SuperPlan Superannuation 7

10 Important superannuation information PruPlan Superannuation PruLink PruPlan Plus Superannuation Personal SuperCARE SuperGuaranteeCARE Retirement Saver Plus Retirement Saver Series 2 Retirement Saver Superannuation Bond Colonial Superannuation Bond Colonial Life Umbrella Super Colonial Money Plan Super Superannuation Bond Superannuation Bond S Series Personal SuperCARE Colonial Personal Superannuation Bond Colonial Superannuation Bond Colonial Retirement Accumulation Plan Colonial Living Money Colonial Retirement Plus Account Colonial Flexible Income Retirement Plan Colonial Select Allocated Pension Alignment of insurance definitions From 1 July 2014 certain insurance terms and definitions must be aligned with similar definitions under superannuation law for new insurance arrangements. As a result of this change, we have decided that, from 1 July 2014, we will no longer offer members the option of taking out new insurance cover through their existing super account. What does this mean for you? If you had insurance cover in place as at 30 June 2014, you can continue with it and increase or decrease it from 1 July 2014 as you require. Please note, if your insurance cover has lapsed or lapses for any reason, you will not be able to reinstate the cover from 1 July If you did not have insurance cover in place as at 30 June 2014, the option to take out new insurance cover through your existing super account is no longer available to you. However, new insurance cover may be available to you through other insurance products offered by CommInsure #. If you would like to explore your insurance options, please contact your financial adviser or us. #CommInsure is a registered business name of The Colonial Mutual Life Assurance Society Limited. 8

11 Other Important information Accrued default amount The Government s Stronger Super legislation requires us to identify and transfer, by 30 June 2017, any accrued default amount ( ADA ) in your Account to a MySuper product. You will have an ADA if you have not given the trustee prior direction on an investment option or if your investment is in the Fund s default investment option (even if you had given a direction). If your Account is currently considered to be an ADA a message will be displayed on your Annual Statement. Should your Account still be an ADA closer to the transfer period (currently expected to be between July 2016 and June 2017) we will contact you with more details, including how you can opt out of the transfer. Reduction in company tax rate The company tax rate is proposed to be reduced by 1.5% to 28.5% from 1 July For companies earning more than $5,000,000 in taxable income, this proposed reduction may be offset by the 1.5% levy to fund the paid parental leave scheme which is also proposed to commence from 1 July

12 Information about the Fund About the Trustee? Colonial Mutual Superannuation Pty Ltd is the trustee of the Fund. The Trustee holds an RSEL under SIS and is a wholly owned subsidiary of Commonwealth Bank of Australia. The Fund is a regulated and registrable superannuation entity in accordance with SIS. The Trustee s role is to make sure that the Fund is administered in accordance with the Trust Deed, SIS and other superannuation law, and in the best interest of members of the Fund. No penalties have been imposed on the Trustee under superannuation law. Indemnity insurance The Trustee as a member of the Group is covered under the Group s Directors & Officers indemnity and professional indemnity insurance policies. Financial information During the reporting period, all assets of the Fund were invested in life insurance policies (Investment Policies) issued by CMLA. Insurance benefits (if applicable) are provided to the respective products in the Fund through life insurance policies (Life Policies) issued to us by CMLA. All benefits due to the Trustee under the respective Investment and Life Policies are paid from, or from a combination of, the CMLA No. 1, 2L, 3 and 4 Statutory Funds (depending upon the nature of the benefit being paid). Benefits applicable to each member are wholly determined by reference to the respective life insurance policy/policies. Who manages your investment? CMLA manages all investments of the Statutory Funds. CMLA has appointed Colonial First State Investments Limited (ABN AFSL ) as an investment manager and has appointed Colonial First State Property Limited (ABN ) as manager of its direct property portfolio and infrastructure investments and has appointed CFX Funds Management Limited (ACN ) as manager of its direct property portfolio. Colonial First State may outsource investment management to external fund managers. Access to further information about the Fund When requested in writing, we will make copies of the following information available to you free of charge once each year: a copy of the recent audited accounts of the Fund; and a copy of the auditor s report. 10

13 You can also request certain other information relevant to the Fund or your entitlements. In some cases, however, a fee may be charged. The Trust Deed The Fund Trust Deed outlines the rights and obligations of the Trustee and Members. The Trust Deed can be changed at any time, although any change that may adversely affect your benefits can generally only be made if: it is expressly permitted by SIS or all affected Members agree to the change or APRA agrees. We will let you know if a change is made to the Trust Deed that affects you as required by law. If you would like a copy of the Fund s Trust Deed it is available on request by calling us (see page 2 of this Report for contact details). Trust Deed changes During the period 1 July 2013 to 30 June 2014 there were no Trust Deed amendments. Complying status of the Fund The Fund is a complying superannuation fund and is eligible for concessional tax treatment. The complying status of the Fund can only be revoked in exceptional circumstances. It is the Trustee s intention to ensure that the Fund continues as a complying superannuation fund. Nomination of dependant beneficiary(ies) Non-binding nomination You can nominate one or more dependants and/or your legal personal representative (i.e. the representative of the estate) in any proportions to receive your benefits on your death. The Trustee will consider your nomination but is not bound by it and has sole discretion to determine to whom the benefit is paid. A dependant means: your spouse (legal or de facto, including same sex) and a person with whom you are in a relationship that is registered under State and Territory law, including same-sex relationships, a child (includes an adopted child, step-child or an ex-nuptial child, a child of your spouse, and your child within the meaning of the Family Law Act 1975) of any age, 11

14 Information about the Fund any person with whom you have an interdependency relationship or any person financially dependent on you on the date of your death. SIS outlines a number of circumstances the trustee should take into account when identifying whether an interdependency relationship exists, and provides some examples of interdependency relationships. To make or change your nomination, please contact us (see page 2 of this Report for contact details) to obtain the necessary documentation. Please note, if your circumstances have changed, e.g. you have married or divorced, you should review any nomination(s) you have previously made. We suggest that you consult with your financial adviser as this area is complex and involves different taxation implications. Binding nomination This facility is only available to members of Total Care Plan Super. Where you have made a binding nomination under Total Care Plan Super and that nomination was accepted by the Trustee, the nomination is binding on the Trustee if the nominated beneficiary is a dependant as defined in superannuation law at the time of your death. If you were eligible to do so and have made a binding nomination for Total Care Plan Super, you may change your nomination at any time. Your binding nomination is valid for three years from the date you sign it, renew it or update it, unless you cancel it. Making a new binding nomination revokes a previous one. Family law Family law legislation allows the superannuation of married and de facto couples who have been separated or divorced, as the case may be, to be divided. The legislation allows the following key Family Law process to occur in relation to your account: Information request is a written request for information about your account and is used to determine the value of the superannuation asset. This request may be made by you, your spouse (including a de facto spouse) or a person intending to enter a superannuation agreement with you (such as a pre-nuptial agreement). The response to an information request will be issued only to the requestor. If a request is received from your spouse or intending spouse, the legislation states that you must not be informed of the request. Payment flag may be placed on your superannuation account through an agreement by you and your spouse or 12

15 through a court order. The presence of this flag requires the Trustee to prevent certain types of withdrawals from being made from your account. Splitting instructions specify how your superannuation account is to be divided. This may be expressed as a dollar amount or as a percentage. These splitting instructions may be made in the form of a superannuation agreement between you and your spouse, or by a court order. In both cases a valid instruction will be binding on the Trustee. If your spouse does not provide payment instructions within a specified timeframe, their entitlement will be transferred to SuperTrace (see page 33 of this Report for SuperTrace details). The provisions of the family law legislation allow for the charging of reasonable fees for the administration of family law transactions. We have decided not to charge family law fees at this time. You will be notified if a decision is made to introduce fees for family law transactions in the future. For full details regarding the family law processes which can occur on your Account, please contact your financial adviser or simply call between 9am and 5pm (Sydney time), Monday to Friday. 13

16 Information about the Fund s investments Fund investment objectives and strategies The Trustee has determined investment objectives and strategies for the Fund. Part 2 Investment performance and other important information which is mailed to you as part of your Annual Statement and is also available online at commbank.com.au/ personal/super-retirement, contains details of the Trustee s investment objectives and strategies for the Fund as it relates to those products that have a savings benefit in the Fund. An investment market commentary is available online at commbank.com.au/ personal/investments/unit-prices-andperformance.aspx This commentary is updated on a quarterly basis. Trustee policy towards use of derivatives The Trustee does not use derivatives directly. Investments in derivatives, such as futures and options, may be used by the underlying investment manager to protect the values of portfolios against major falls in market prices, or to change the portfolio s exposure to markets more rapidly and efficiently than could be done by purchasing or selling the assets directly. To ensure the objective of a managed investment option is achieved, the managers of the underlying investments may also use tactical asset allocation methods which include investment in derivatives. Labour standards, environmental, social and ethical considerations CMS and CMLA do not have a predetermined approach for considering labour standards or environmental, social or ethical considerations when making investment decisions. However, should sustainability of earnings of those companies we invest in be adversely affected due to poor labour standards or activities considered environmentally, socially or ethically unacceptable, we may divest ourselves of the investment. Hence, these factors may sometimes be considered when investment decisions are made. Responsible investing CMLA aims to be a responsible investor. To help achieve this CMLA has become a signatory to the United Nations Principles for Responsible Investment (UN PRI). The UN PRI provides a framework for responsible investing, including the consideration of environmental, social and corporate governance (ESG) factors into the investment process. Responsible investing is only concerned with the financial impact 14

17 of ESG factors on investment decisions. CMLA believes that the consideration of ESG factors into investment decisions enhances a portfolio s long term performance. Therefore, CMLA encourages managers to take ESG factors into consideration in their investment processes and collaborates with fund managers, and other industry participants, to advance the UN PRI and responsible investing. Valuation of unlisted assets The Fund may have exposure to a variety of unlisted assets. CMLA will ensure the valuations of investment assets and associated liabilities are appropriate. This includes the valuation of real property and other investments (including infrastructure) which are not valued on a daily basis. Other investment information In consideration of brokerage paid to stockbrokers for purchases and sales of assets held in the Fund, certain brokers directly or indirectly provide research and/or data on financial markets to the investment managers. All fees charged to the Fund in relation to the investments of the Fund are commercial fees. The holding of units is subject to investment and other risks. The investment managers do not endorse or otherwise recommend the Fund or guarantee or warrant the performance of the Fund. The Trustee is responsible for all applications, withdrawals, reports and enquiries relating to investment in the Fund. Where is your money invested? For unit-linked products, your investment is pooled with money from other investors in one or more of CMLA s Statutory Funds 1, 2L, 3 and 4. The aim is to improve returns to all investors through the use of a range of investments usually unavailable to individual small investors. For unit-linked products, contributions are used to purchase units in your selected investment option/s. Changes in the value of these units constitute the investment returns. In general terms, for participating and non-participating traditional and investment account business, your contributions are used to increase the equity in the underlying insurance policy at a rate determined by CMLA. 15

18 Information about the Fund s investments Important information about your unit-linked investment CMLA has a unit pricing policy and procedures about how it manages the unit pricing of your investment. These unit pricing policies have been adopted with a view to your investment being appropriately valued in all circumstances and investors being treated consistently and equitably. We set out below how CMLA might act under certain circumstances. Suspension policy Under extraordinary circumstances, such as during periods of market disruption or other significant events, CMLA may need to temporarily stop calculating unit prices or the processing of transactions. The types of events that may result in the suspension of unit price calculations or processing of transactions include (but are not limited to): where there is a significant disruption to the data, systems or other applications necessary to establish a reliable estimate of the value of assets, liabilities or unit prices; where unforeseen events mean that the valuation of assets cannot in good faith be estimated to an acceptable level of accuracy; and where there is a significant market movement and/or cash flow. The calculation of unit prices and transaction processing will resume when the risk to investor interests as a whole has abated or been mitigated to a level acceptable to CMLA based on the consideration of the interests of our investors. During such events, information and updates will be available to you by calling us. Backdating and other events Backdating occurs when a transaction needs to be processed with an old unit price rather than the current unit price. For example, to meet the obligations under a policy, a price at the date the instruction is received may be used rather than the date the instruction is processed. CMLA will: backdate transactions where necessary to ensure that transacting investors receive the appropriate unit price required by the relevant policy obligations; and make appropriate adjustments to the unit price of affected investment options to mitigate the impacts of the backdating and ensure that investors are not unduly affected by backdated transactions. CMLA might also need to make adjustments to unit prices to ensure they reflect the best estimate of the net value of the investment option and its units. 16

19 CMLA may adjust the calculation of its unit prices, rather than suspend unit pricing, in circumstances where: errors are known to have occurred in the calculation of a unit price before it is released, or there are reasonable grounds to suspect an error has occurred, and these could not have been corrected immediately or would have taken time to investigate further; or CMLA believes that the available asset valuations do not reflect the true or fair value of those assets or there are inconsistencies between the value of assets and liabilities. Unit pricing adjustment and error compensation Unit prices are calculated on a daily basis by CMLA. The calculation process for these unit prices takes into account a number of inputs and assumptions. Sometimes, it is discovered that an error has been made in the calculation process, resulting in an incorrect unit price. In that case an adjustment in the unit price may be required. Also, if you have transacted at the incorrect unit price, the value of your policy could be incorrect. If the error is material, you may be entitled to compensation. CMLA will generally use a variance of 0.30% (0.05% for cash based investment options) in the unit price in determining whether individual compensation is payable. If a unit pricing error is greater than or equal to these variances, we may pay you compensation: by crediting your account with the amount due; or where your account is closed, if the amount of the adjustment is greater than a payment threshold of $20 (or less at CMLA discretion), by sending you a payment by cheque or electronic funds transfer. Note: if you have not met a condition of release, compensation will be paid to a new account in SuperTrace or another superannuation or retirement savings account product. The tolerance levels we use are in line with industry standards and regulatory practice guidelines. In some cases we may provide compensation where the unit pricing error is less than the tolerance levels. CMLA has established a policy to deal with these events and return investors to a financial position that is materially the same as if the error had not occurred. 17

20 Changes to the Fund The following changes apply to Colonial Select Personal Superannuation and Colonial Select Allocated Pension which are products of the Fund. Changes to the Perpetual Split Growth Fund Effective 14 May 2014, the Perpetual Split Growth Fund was terminated and replaced with the FirstChoice Wholesale High Growth Fund. Member s account balances and unit prices were unaffected however normal transaction costs applied. The following table is a description of the FirstChoice Wholesale High Growth Fund. FirstChoice Wholesale High Growth Investment objective Risk/return profile Suggested investment time horizon 1 Investment strategy To provide long-term capital growth by investing in growth assets. High At least 7 years To invest in a diversified portfolio of shares, property and infrastructure securities. In order to provide further diversification, the portfolio is allocated across a number of leading investment managers. The portfolio aims to hedge currency risk except for the allocation to emerging market shares and part of the allocation to global shares. Asset allocation as at: 30 June June Select Personal (%) Select Allocated Pension (%) Select Personal (%) Select Allocated Pension (%) Australian shares International shares Fixed interest Listed property Alternative assets Cash

21 Asset allocation ranges 3 Underlying investment manager % Australian shares 20 50% Global shares 0 25% Fixed interest 0 15% Global property securities 0 26% Alternative assets 0 20% Cash Colonial First State 1 The suggested period is based on analysis of the past performance of the types of assets held in each investment option and is not intended to imply or guarantee any particular return from any investment option. You should be aware that the value of your investment could fall as well as rise. 2 These assets include private equity, mortgages, direct property, development capital and/or infrastructure. 3 The asset allocation ranges represent the expected minimum and maximum exposure to each asset class within the investment option over the long-term. Asset allocations may move outside these ranges temporarily depending on movements in the value of financial markets. The asset allocation ranges may change over time. 4 Refers to the investment manager/adviser of the underlying fund. 5 Refers to Perpetual Split Growth asset allocation (replaced by FirstChoice Wholesale High Growth effective 14 May 2014). Investment Option Name Updates There have been some inconsistencies in naming of investment options in various product material to date. We therefore provide you with a list of investment options below which have had their names altered to assist you with locating them. Name of previous Investment option RREEF Property Securities Option Colonial First State Wholesale Global Share Fund Colonial First State Wholesale Geared Global Share Fund Current name of Investment option Ironbark Wholesale Property Securities Colonial First State Wholesale Worldwide Leaders FirstChoice Wholesale Geared Global Share Fund 19

22 Changes to the Fund Colonial First State Wholesale Global Share Fund Effective 4 December 2013 the Trustee approved changes to the Colonial First State Wholesale Global Share Fund investment option. What has changed? The Colonial First State Wholesale Global Share Fund has been re-named the Colonial First State Wholesale Worldwide Leaders Fund. First State Stewart has been appointed as the new manager of the fund. The Colonial First State Wholesale Worldwide Leaders Fund differs from the Colonial First State Wholesale Global Share Fund in terms of investment strategy, and benchmark. Details of the Colonial First State Wholesale Worldwide Leaders Fund are below. The fees and costs remain the same. Colonial First State Wholesale Worldwide Leaders Fund Objective To provide long-term capital growth that exceeds the MSCI AII Countries World Index over rolling three year-periods before fees and taxes. Strategy/Style To invest in a diverse portfolio of securities primarily of larger companies (typically a market capitalisation of over $3bn) which are listed, traded or dealt on any of the regulated markets worldwide Benchmark MSCI All Countries World Index Colonial First State Geared Global Share Fund Effective 4 December 2013 the Trustee approved some changes to the Colonial First State Geared Global Share Fund investment option. What has changed? The Colonial First State Wholesale Geared Global Share Fund has been re-named the FirstChoice Wholesale Geared Global Share Fund. FirstChoice Investments has been appointed as the new manager of the fund. The FirstChoice Wholesale Geared Global Share Fund differs from the Colonial First State Wholesale Geared Global Share Fund in terms of investment strategy and benchmark. Details of the FirstChoice Wholesale 20

23 Geared Global Share Fund are below. The fees and costs remain the same. FirstChoice Wholesale Geared Global Share Fund Objective To magnify long-term capital growth by borrowing to invest in a diversified portfolio of global shares. The option aims to outperform the MSCI All Countries World Index, over rolling seven-year periods before fees. Strategy/Style To invest in a diversified portfolio of companies. The investments are managed by combining the portfolios of a number of leading global share managers to provide an actively managed, diversified portfolio. The option utilises gearing to magnify returns from underlying investments. Investors capital in the option is not hedged, but the option may hedge up to 100% of the currency exposure relating to the borrowings of the option. Benchmark MSCI World All Countries World Index 21

24 Contribution information Contribution types The rules around how and when contributions can be made to your super and the way that they are taxed depend upon the type of contribution. Contributions can be broadly classified into two categories: whether the contribution is an employer or member contribution and whether the contribution is a concessional or non-concessional contribution. Employer and member contributions An employer contribution is a contribution that an employer makes to your super. These generally include employer superannuation guarantee (SG) contributions and salary sacrifice contributions. From 1 July 2013, if an employer contribution is not accompanied by a TFN, the Trustee must request the employer to provide it. If the TFN is still not provided, the Trustee must refund the contribution to the employer not later than 20 days after receiving the contribution. A refunded contribution is taken not to have been made. A member contribution is a contribution that is not an employer contribution and includes a personal contribution. If we do not have your valid TFN or you do not quote it to us within 30 days of making a member contribution, then the contribution will be refunded. You can provide your TFN by contacting us (see page 2 of this Report for contact details). Concessional and nonconcessional contributions Concessional contributions can include employer contributions, salary-sacrificed contributions and self-employed contributions (for which a tax deduction has been claimed). Non-concessional contributions include contributions made directly by you from aftertax income, and eligible spouse contributions and government co-contributions. Concessional contributions cap There is a cap of $25,000 p.a. for concessionally taxed contributions made in the 2013/14 income year. This threshold is indexed to Average Weekly Ordinary Time Earnings (AWOTE). The $25,000 threshold will only increase once the indexed amount is greater than $5,000. From 1 July 2013 concessional contributions over $25,000 will be included in your assessable income and taxed at your marginal tax rate. You may also need to pay excess 22

25 concessional contribution charge on the increase in your tax liability. Non-concessional contributions cap There is a cap of six times the concessional contributions cap on non-concessional contributions (currently $150,000 p.a). No tax will apply to contributions up to this cap. If you are aged under 65, you will be able to contribute up to $450,000 averaged over 3 years without incurring tax. Your three-year averaging period starts in the year in which your contributions first exceed $150,000. If you are aged 65 and over, you will not be able to average your contributions over 3 years and will only be able to make non-concessional contributions up to $150,000 p.a. subject to satisfying the work test (refer to Acceptance of contributions section on this page for more details). All superannuation funds supply details of contributions data to the ATO following the end of each year. If the ATO detects that your personal aggregate non-concessional contributions exceed your contributions cap for a year they will issue you with an assessment at the rate of 46.5% of the excess. You will then be required to serve that notice on your superannuation fund trustee who will deduct tax from your superannuation account and remit the proceeds to the ATO. Acceptance of contributions The table on page 24 provides general information only. Please contact us (see page 2 of this Report for contact details) for details of the specific contribution types that are applicable to your product. Government Co-contribution Under the Government Co-contribution scheme, the Government will provide a superannuation contribution in the form of a Government Co-contribution for a qualifying low to medium income member who makes non-concessional contributions during a financial year. The entitlement to the Government Co-contribution is dependent on, amongst other things, your income and the amount of non-concessional contributions made during a financial year. The ATO will assess your entitlement to a co-contribution from the information in your tax return as well as contribution information supplied to the ATO by us. Any contribution received from the Government Co-contribution scheme will be credited to your Account. We recommend you contact your financial adviser to determine if you are eligible for a Government Co-contribution. 23

26 Contribution information Age Under 65 Employer contributions (including salary sacrifice) Your employer may contribute to your account subject to product limitations Your employer may contribute to your account (subject to product limitations) if: the contribution is a mandated employer contribution*; or you have been gainfully employed at least 40 hours in a period of 30 consecutive days during the same financial year in which the contributions are made Your employer may contribute to your account (subject to product limitations) if: the contribution is a mandated employer contribution*; or you have been gainfully employed at least 40 hours in a period of 30 consecutive days during the same financial year in which the contributions are made, provided that contributions (other than mandated employer contributions) are received no later than 28 days after the end of the month in which you turn 75. Age 75 and over Your employer may (subject to product limitations) contribute only if the contributions are mandated employer contributions.* Member contributions (your TFN must be provided) You and others can contribute subject to product limitations. You and others may contribute (subject to product limitations) on your behalf if you have been gainfully employed at least 40 hours in a period of 30 consecutive days during the same financial year in which the contributions are made. You may contribute (subject to product limitations) if you have been gainfully employed at least 40 hours in a period of 30 consecutive days during the same financial year in which the contributions are made, provided that contributions made by you are received no later than 28 days after the end of the month in which you turn 75. You cannot contribute. * Mandated employer contributions are concessional contributions that the employer has to make under Superannuation Guarantee legislation or arrangements such as awards. The Government has abolished the maximum SG age limit with effect from 1 July Until 30 June 2013, under the current SG legislation, your employer only needed to pay your SG contribution up to age

27 Taxation information How is your super taxed? We have only provided general statements on taxation. You should seek professional advice regarding your own specific circumstances. Tax components of your benefit Your lump sum benefit in the Fund is made up of tax-free and/or taxable components. Tax-free component The tax-free component of your lump sum benefit will be exempt from tax. Taxable component The remaining portion of your superannuation benefit is the taxable component. The taxable component of your benefit is generally taxed depending on your age. A summary of these arrangements referable to tax-free and taxable components is provided in the next column. Note all tax rates include the Medicare Levy of 1.5%: If you cash your super when you are: Age 60 or over Age Under preservation age Your benefits will be taxed as follows Taxable component (taxed element) Tax-free Tax-free up to the low rate cap of $180,000*; 16.5% thereafter Tax-free component Tax-free Tax-free 21.5% Tax-free * For the 2013/2014 financial year indexed in line with Average Weekly Ordinary Times Earnings (AWOTE) in increments of $5,000. The low rate cap amount is reduced by any amount previously applied to the low rate threshold. Please note: Different tax rates may apply to temporary residents who have permanently departed Australia or where a member has not provided his or her TFN. To withdraw your benefit you must satisfy a condition of release. For further information on accessing your benefits please refer to page 28 of this Report. 25

28 Taxation information Tax treatment of death benefits Lump sum death benefit payments are taxfree if paid to a dependant (as defined by tax legislation). A dependant for tax purposes is as at the date of your death: your spouse (legal, de facto or former, including same sex) and a person with whom you were in a relationship registered under State or Territory law, including same sex your child aged under 18 (including an adopted child, step-child or ex-nuptial child, a child of your spouse or your child within the meaning of the Family Law Act 1975) a person with whom you were in an interdependency relationship, or a person financially dependent on you. For payments to non-dependants (irrespective of their age) the taxable component (taxed element) will attract 16.5% tax (inclusive of Medicare Levy of 1.5%), while the taxable component (untaxed element) will be taxed at 31.5% (inclusive of Medicare Levy of 1.5%). Death benefits paid as a pension A death benefit paid as a reversionary pension will generally be tax-free if either the primary or reversionary beneficiary is aged 60 or over. If both are under age 60 at the time of death, then the pension, less any tax-free portion will continue to be taxed at the reversionary beneficiary s marginal tax rate (less 15% pension tax offset) until the reversionary beneficiary turns age 60 (at which time it will become tax exempt). A dependant includes a child of the deceased, but note that the balance of the pension must be paid as a tax-free lump sum when the child turns 25 (unless the child is disabled in accordance with the Disability Services Act 1986). From 1 July 2007, non-dependants cannot receive a death benefit as a pension. Payments to non-dependants must be paid as a lump sum. Death benefits may be able to be paid as a pension to a dependant if the member dies before the pension has commenced. This is taxed in the same manner as a reversionary pension. Please note: that higher tax rates may apply where a non-dependant beneficiary does not provide their TFN. 26

29 Superannuation contributions surcharge The superannuation contributions surcharge ceased to have effect from 1 July Please note the ATO will continue to issue surcharge assessments after 1 July 2005 for prior financial years. The ATO will contact you directly about any surcharge obligations. Any surcharge payable will be debited from your Account solely on instructions to us from the ATO. CMS is also not a registered tax (financial) adviser under the Tax Agent Services Act 2009 and you should seek tax advice from a registered tax agent or a registered tax (financial) adviser if you intend to rely on this information to satisfy the liabilities or obligations or claim entitlements that arise, or could arise, under a taxation law. Superannuation contribution surcharge objections If you are dissatisfied with your surcharge assessment you can lodge an objection with the ATO in your capital city of residence. In the course of lodging an objection, you will need to include specific grounds for your objection. We recommend that you contact your taxation adviser or accountant to discuss your personal tax position. Tax advice Taxation considerations are general and based on present taxation laws and may be subject to change. You should seek independent, professional tax advice before making any decision based on this information. 27

30 Access to benefits Preservation rules Your account may include preserved benefits, restricted non-preserved benefits and unrestricted non-preserved benefits. Preserved benefits are benefits that must be retained in the superannuation system, until you satisfy a condition of release. Refer below for the conditions of release. Restricted non-preserved benefits are benefits which are not preserved, but which cannot be cashed until you satisfy a condition of release. Unrestricted non-preserved benefits are benefits that do not need to be preserved, usually because a condition of release has been met. Accordingly such benefits are payable at any time on request. All earnings are preserved until a condition of release is met. Restrictions on when you can get access to your benefits The conditions of release that apply if you are not or were never a temporary resident include: you have permanently retired after reaching your preservation age. Your preservation age is determined according to your date of birth as follows: Date of birth Preservation age Before 1 July July 1960 to June July 1961 to June July 1962 to June July 1963 to June 1964 After 30 June you have reached age 65 you have reached age 60 and an arrangement under which you were gainfully employed has come to an end and you will never again be gainfully employed either full time or part time (i.e. for 10 hours or more a week) you have reached age 55 and have elected to purchase a transition to retirement or non-commutable income stream you have become permanently incapacitated you die we believe that you satisfy the severe financial hardship criteria (after meeting a number of regulatory requirements) DHS approves payment on specified 28

31 compassionate grounds other circumstances occur which are approved by DHS your employer has contributed as a standard employer sponsor to the Fund and an arrangement under which you are gainfully employed with that employer has come to an end and your preserved benefit in the Fund is less than $200 you have previously been classified as a lost member under superannuation legislation and are now found and your total benefit in the Fund is less than $200 the Trustee or you receives a release authority from the ATO relating to the withdrawal of money to meet a liability for excess contributions tax we are instructed to release monies to comply with a forfeiture order made under Commonwealth, State or Territory proceeds of crime legislation you suffer a terminal medical condition. Conditions of release for temporary residents If you are or were a temporary resident, from 1 April 2009 the conditions of release that apply to you are: you were a temporary resident who has departed from Australia and your visa has expired (see below) you die you have become permanently incapacitated you suffer a terminal medical condition we have to pay your benefit to the ATO as unclaimed money or the Trustee or you receives a release authority from the ATO relating to the withdrawal of money to meet a liability for excess contributions tax. Departing Australia Superannuation Payment (DASP) Available only to former temporary residents. If a temporary resident has not requested a DASP benefit within 6 months of their temporary visa expiring and their leaving Australia, we may be required to pay their balance to the ATO. In these circumstances they will no longer be an account holder of the Fund. CMLA does not have to issue you with an exit statement at this time. 29

32 Access to benefits No interest accrues on the account balance from the time it is paid to the ATO. If your benefit is transferred to the ATO, you may claim your benefit by contacting the ATO and downloading a DASP application form from their website or by calling or ing [email protected]. Portability Under superannuation portability rules, superannuation balances may be moved from one fund and consolidated into another fund upon your request. These rules complement the Choice of Fund legislation and generally require the trustee of a regulated superannuation fund to rollover or transfer benefits not more than 3 business days of your request. The 3 day period will commence after you have provided the transferring fund all the required information. Portability may also be subject to other important restrictions which may prevent you from transferring some or all of your benefits. If you are considering investing via a Self-Managed Superannuation Fund (SMSF), go to the Australian Securities & Investments Commission s Money Smart website for things to consider before making this decision. 30

33 Lost members and unclaimed monies Lost members Generally, you will be treated as lost if you are uncontactable, meaning: that we have no current address for you or two written communications to your last known address have been returned as unclaimed, and we have not received a contribution or rollover for you in the last 12 months. If you are lost at any time, we will report this to the ATO. The ATO maintains a Lost Member Register. We will also need to tell the ATO if you are subsequently found, or if you are subsequently transferred to another superannuation provider. Unclaimed monies In some circumstances your benefits in the Fund may become subject to unclaimed superannuation benefit laws. Your superannuation benefits may become unclaimed where: you have reached age 65 and we have not received a contribution or an amount in respect of you for at least two years and after the end of a period of five years since we last had contact with you, we have been unable to contact you again after making reasonable efforts or, in the case of a lost Member where: your Account balance is less than $2,000, termed small accounts and you have been inactive for a period of 12 months and for which we have insufficient records to identify you, termed insoluble accounts or, in the case of a non-member spouse where: a payment split applies to a splittable payment in respect of a Member s interest in the Fund and as a result, the non-member spouse (or their legal personal representative if they have died) is entitled to be paid an amount and after making reasonable efforts and after a reasonable period has passed, we have been unable to determine that the nonmember spouse or their legal personal representative received the amount or, in the case of a deceased Member where: we determine that, under the governing rules of the Fund or by the operation of the law, a benefit is immediately payable in respect of you (other than a pension) and we have not received an amount in respect of you for at least two years and after making reasonable efforts and after a reasonable period has passed, we have been unable to determine that the 31

34 Lost members and unclaimed monies benefit is being received by the person who is entitled to receive the benefit or, the ATO gives us notice that it is satisfied that as a former temporary resident, the member has ceased to hold a temporary visa and left Australia and the ATO requires payment of the Member s benefit. The Trustee will transfer unclaimed benefits to the ATO. Where the Trustee has transferred such benefits, any request for payment should be directed to: Unclaimed Super Money Australian Taxation Office PO Box 3578 Albury NSW 2640 You can also contact the ATO on or if calling from outside Australia. Alternatively, you can do an online search using SuperSeeker, available at 32

35 Eligible rollover fund Payment to eligible rollover fund (ERF) In December 2013 the Trustee approved amendments to the Fund s ERF policy. The policy is now: The Trustee has selected SuperTrace Eligible Rollover Fund as the fund where your benefits may be transferred if: you do not have insurance cover and two pieces of written communication to you are returned unclaimed; or we are unable to allocate a contribution or rollover to your Account and the transferor will not accept a refund of the monies; or you exercise cooling-off rights and the nominated fund will not accept the transfer; or you do not have insurance cover, no contributions or rollovers have been credited to your Account for a period of at least 12 months, and your Account balance is less than $1,000; or to meet family law requirements; or we have not had two-way contact with you for a period greater than three years. The trustee of SuperTrace ERF (SuperTrace) is Colonial Mutual Superannuation Pty Ltd ABN AFSL SuperTrace is part of the Commonwealth Bank Group s range of products and is administered by CMLA. On transfer to SuperTrace, you cease to be an account holder of the Fund and your insurance cover (if applicable) will cease. You should also note that SuperTrace: will apply a different fee structure. has a different risk investment approach. does not currently offer insured benefits in the event of death and disablement. You should refer to the SuperTrace Product Disclosure Statement for more details. You will need to consider whether this is appropriate for your circumstances at the time of transfer to SuperTrace. To obtain a copy of the current SuperTrace PDS, please contact: The Administrator SuperTrace Eligible Rollover Fund Locked Bag 5429 Parramatta NSW 2124 Telephone between 8.30am to 6pm Monday to Friday, Sydney time or visit supertrace.com.au. 33

36 Your personal information Collection and verification of customer information Customer information is information about a customer. It includes personal information such as name, age, gender, contact details as well as your health and financial information. The law requires us to identify our customers. We do this by collecting and verifying information about you. We may also collect and verify information about persons who act on your behalf. The collection and verification of information helps to protect against identity theft, money-laundering and other illegal activities. We use your customer information to manage our relationship with you, provide you with the products and services you request and also tell you about the products and services offered by the Group, affiliated providers and external providers for whom we act as agent. If you have given us your electronic contact details, we may provide marketing information to you electronically. The collection and verification of customer information may be carried out in different ways and we will advise you of the most acceptable methods of doing this. We may disclose your customer information in carrying out verification, e.g. we may refer to public records to verify information and documentation, or we may verify with an employer that the information you have given us is accurate. The type of information we may collect and verify includes your full name, date of birth and residential address. If you are commonly known by two or more different names, you must give us full details of your other name or names. In addition, during your relationship with us, we may also seek, and collect further information about you and about your dealings with us. You must provide us with accurate and complete information. If you do not, you may be in breach of the law and also we may not be able to provide you with products and services that best suit your needs. Protecting customer information Change to the National Privacy Principles On 12 March 2014, the Australian Privacy Principles ( APP ) came into effect, replacing the National Privacy Principles and the Information Privacy Principles. These changes require us to be more transparent about how we collect, maintain and use the information we have about our customers. It also requires us to take more care when determining who we share our information with and how it is shared. Following the introduction of the APP, the Commonwealth Bank Group has introduced a new Privacy Policy outlining how we comply with them. The Privacy Policy can be viewed at 34

37 Other disclosures So that we can manage our relationships, customer information may be disclosed to: your employer (if any, to the extent required to assist your employer to meet their obligations) brokers and agents who refer your business to us any person acting on your behalf, including your financial adviser, solicitor, settlement agent, accountant, executor, administrator, trustee, guardian or attorney if you have insurance, medical practitioners (to verify or clarify, if necessary, any health information you may provide), claims investigators and reinsurers (so that any claim you make can be assessed and managed), insurance reference agencies (where we are considering whether to accept a proposal of insurance from you and, if so, on what terms) external product providers into which you might direct some of your investment, other product providers to which your investment might be transferred and organisations to whom we may outsource certain functions. In all circumstances where our contractors, agents and outsourced service providers become aware of customer information, confidentiality arrangements apply. Customer information may only be used by our agents, contractors and outsourced service providers for our purposes. We may be required to disclose customer information by law, e.g. under court orders or statutory notices pursuant to taxation or social security laws or under laws relating to sanctions, anti-money laundering or counter terrorism financing. We may send customer information overseas if: that is necessary to complete a transaction or we outsource certain functions overseas. We may also be permitted, as distinct from required, to disclose information in other circumstances. Further information For further information on our privacy and information handling practices, please refer to the Group s Privacy Policy, which is available at commbank.com.au, upon request from us or at any Commonwealth Bank branch. 35

38 Your personal information Access to your personal information The law allows you (subject to permitted exceptions) to access your personal information. You can do this by contacting us as follows: calling * between 8.30am and 5pm (Sydney time), Monday to Friday post: Customer Relations Commonwealth Bank Reply Paid 41 Sydney NSW 2001 We may charge you for providing access to your personal information. * A free call unless made from a mobile phone, which will be charged at the applicable mobile rate. Anti-Money Laundering and Counter-Terrorism Financing laws These laws were established to combat money laundering and the financing of terrorism. We are required to comply with these laws, including the need to establish your identity (and, if relevant, the identity of a beneficiary and other persons associated with your Account). Additionally, from time to time, we may require additional information to assist with this process. You will be notified if we need to establish your identity or if we require further information. We may be required to report information about you to the relevant authorities. We may not be able to tell you when this occurs. We may not be able to transact with you or other persons. This may include delaying, blocking, freezing or refusing to process a transaction. This may impact on your investment and could result in a loss of income and principal invested. 36

39 Enquiries and complaint resolution The Trustee is obliged to provide you with any information you reasonably require to understand your benefit entitlements. If you require further information about the Fund, require assistance in understanding your benefit entitlements, have any other enquiries or have a complaint, please contact us (see page 2 of this Report for contact details). What to do if you have a complaint We accept that sometimes we can get things wrong, and when this happens we re determined to make them right again. Talk to us Most problems can be resolved quickly and simply by talking with us. You can call us to get help resolving your problem. You can contact us these ways: Customer Relations Team Phone: Fax: [email protected] National Relay Service TTY/Voice Phone: Website: Relayservice.com.au If you need further assistance after your initial enquiry, you can also contact us by: Writing to: The Complaints Manager Customer Relations Commonwealth Bank Group Reply Paid 41 Sydney NSW 2001 Or you can contact us through a third party, providing you give us written authority to deal with them regarding the complaint. What we will do When you make a complaint to us we will: acknowledge your complaint and make sure we understand the issues do everything we can to fix the problem keep you informed of our progress keep a record of your complaint give you the name of the person dealing with your complaint, a reference number and contact details so that you can follow up if you want to provide you with regular updates on your complaint, and provide a final response within 90 days. Speak and Listen Relay (SSR) Phone:

40 Enquiries and complaint resolution If we are unable to provide a final response to your complaint within 90 days, we will: inform you of the reasons for the delay advise you of your right to complain to the Superannuation Complaints Tribunal (SCT), and provide you with the SCT contact details. Superannuation Complaints Tribunal (SCT) Before the SCT has jurisdiction to deal with the matter it must be satisfied that the complaint was referred to an appropriate person under our internal enquiries and complaints arrangements. The SCT cannot deal with your complaint until you have made reasonable efforts to have the complaint resolved by the Fund. If, after you have made a complaint to the Fund, you are not satisfied with the response, or do not receive a response, within 90 days, you can then lodge a complaint with the SCT. The SCT cannot deal with certain matters for example, decisions that relate to the management of the Fund as a whole, such as investment performance, the level of fees. If the SCT accepts the complaint, it will attempt to resolve the matter through conciliation. If a complaint cannot be resolved by conciliation and has not been withdrawn, it proceeds to Review. This means the SCT will consider submissions and make a decision to determine the outcome of the complaint. To contact the SCT, you can telephone between 9am and 5pm (Sydney time), Monday to Friday from anywhere in Australia. Alternatively, visit their website at 38

41 Consents No third party (other than CMLA) has caused the issue of this Report and is responsible for any statement within it. 39

42 Directory The Trustee Colonial Mutual Superannuation Pty Ltd Ground floor, Tower Sussex Street Sydney NSW 2000 Administration Manager and Insurer The Colonial Mutual Life Assurance Society Limited Locked Bag 5429 Parramatta NSW 2124 Principal Office of Administration Level 1 11 Harbour Street Sydney NSW

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