Suncorp WealthSmart Product Guide

Transcription

1 Suncorp WealthSmart Product Guide Issued 1 July 2014

2 Suncorp WealthSmart Product Guide Suncorp EASE TM Product Disclosure Statement (for business) This Product Guide provides further information to the Suncorp WealthSmart Personal Super and Pension Product Disclosure Statement issued 1 July 2014 and the Suncorp WealthSmart Business Super Product Disclosure Statement issued 1 July The information contained in this Product Guide is of a general nature only and doesn t constitute financial advice. We haven t taken into consideration the personal objectives, circumstances or financial needs of any individual. Before deciding to open an account or continuing to hold an interest, you should consider how the information contained in this Product Guide relates to your own situation. We recommend that you speak to a financial adviser who will be able to help you with your investment and insurance decisions. If you re interested in Suncorp WealthSmart you should read this Product Guide together with the relevant Product Disclosure Statement (PDS) before making any investment decisions. If you re interested in Suncorp WealthSmart Business Super, you should read this Product Guide together with the PDS for Suncorp WealthSmart Business Super before making any investment decisions. Unless otherwise stated, terms in the Suncorp WealthSmart Personal Super and Suncorp WealthSmart Pension PDS and the Suncorp WealthSmart Business Super PDS have the same meaning in this Product Guide. Suncorp Portfolio Services Limited (Trustee) (ABN , AFSL , RSE Licence No L ), and Suncorp Life and Superannuation Limited (insurer) (SLSL) (ABN , AFSL ) are related bodies corporate of Suncorp-Metway Limited (Suncorp) (ABN , AFSL ). The obligations of the Trustee and SLSL aren t guaranteed by any other company within the Suncorp Group. Except as otherwise stated in the PDS and this Product Guide, Suncorp and its subsidiaries don t guarantee the repayment of capital invested in or the investment performance of this product. This product isn t a bank deposit or liability and is subject to investment risk including possible delay in repayment and loss of the interest and principal invested. Except as otherwise stated, an investment manager doesn t guarantee the repayment of capital invested in or the investment performance of their investment option. The Trustee is the issuer of this Product Guide and takes responsibility for its contents. Investment option information is provided by the investment managers which includes their objectives, strategies, asset allocations, investment fees and buy-sell spreads. The investment managers have consented to the publication of this information in this Product Guide and haven t withdrawn their consent at the time of its preparation. They take no responsibility for any other information in this Product Guide. This Product Guide is also the Product Disclosure Statement for Suncorp EASE (Suncorp EASE PDS). SPSL is the issuer of Suncorp EASE (clearing house) for employers and the Suncorp EASE PDS and takes responsibility for its contents. Part 2 of this Product Guide contains important information about Suncorp EASE which is a service for employers to make contributions to Suncorp and non Suncorp superannuation funds. Suncorp WealthSmart Personal Super (SPIN and Unique Superannuation Identifier RSA0004AU), Suncorp WealthSmart Pension (SPIN and Unique Superannuation Identifier RSA0002AU) and Suncorp WealthSmart Business Super (SPIN and Unique Superannuation Identifier RSA0003AU) (Suncorp WealthSmart) are part of the Suncorp Master Trust (Fund) (ABN , RSE Fund Registration No. R ). If you print an electronic copy of this document, please ensure you print all pages. The Trustee reserves the right to refuse or reject an application for membership or insurance. Insurance cover offered through Suncorp WealthSmart is provided by the insurer in a policy issued to the Trustee. This policy is a non-participating policy. As a result you don t have any right to any surplus in the statutory fund. Administration services are provided to Suncorp WealthSmart by SPSL (ABN ), a wholly owned subsidiary of the Suncorp Group. The Trustee is authorised by the Australian Prudential Regulatory Authority to offer a MySuper product under section 29T of the SIS Act in relation to the Suncorp Master Trust, Suncorp Lifestage Fund. Unique identifier The Payment agent is the person appointed by us from time to time to administer the distribution of contributions to external funds through the clearing house. The current payment agent is PayClear Services Pty Limited (PayClear) AFSL You can get a copy of the PDS and this Product Guide from our website at suncorp.com.au/super or for a printed version, free of charge, just call us on The information in the PDS and this Product Guide and its underlying Trust Deed may change. Where the change isn t materially adverse, we may update the information on our website at suncorp.com.au/super. The PDS (and any material incorporated by reference) can only be used by persons receiving it (electronically or otherwise) in Australia. Applications from outside Australia will not be accepted. Definitions of terms used in the Suncorp WealthSmart PDS and in this Product Guide Throughout the PDS and this Product Guide, unless otherwise specified, references to: Suncorp WealthSmart means Suncorp WealthSmart Personal Super, Suncorp WealthSmart Pension and Suncorp WealthSmart Business Super Suncorp WealthSmart PDS means the Suncorp WealthSmart Personal Super and Suncorp WealthSmart Pension PDS or the Suncorp WealthSmart Business Super PDS we, us, our and Trustee mean Suncorp Portfolio Services Limited insurer means Suncorp Life & Superannuation Limited bank account means an Australian bank, building society or credit union account business day means a Sydney business day other than a Saturday, Sunday or public holiday in Sydney licensee means an organisation that has obtained an Australian Financial Services Licence (AFSL) for the provision of financial services. For Suncorp WealthSmart Business Super members, Suncorp Lifestage Fund means a MySuper product MySuper member means any Suncorp WealthSmart Business Super member who has an investment in the Suncorp Lifestage Fund. In the Suncorp WealthSmart PDS and Part 1 of this Product Guide: you and member means a member of Suncorp WealthSmart employer means your employer, whether registered as an employer under Suncorp WealthSmart or not. In Part 2 of this Product Guide: you or employer means an employer registered as an employer under Suncorp WealthSmart clearing house means SPSL as holder of the Australian Financial Services Licence which offers a (non-cash payment) clearing house service to employers for the collection and distribution of contributions to multiple superannuation funds. 2 Suncorp Superannuation

3 About this Product Guide This Product Guide is divided into two parts Part 1 is for: customers who d like to learn more about Suncorp WealthSmart, and employees who joined Suncorp WealthSmart as part of their employer s super plan. Part 2 is for employers who want to learn more about: Suncorp WealthSmart and opening a Suncorp WealthSmart employer plan for their employees, and Suncorp EASE (our online super administration and payment system). This Product Guide works together with the eight-page Product Disclosure Statement (PDS) for Suncorp WealthSmart. Here s how: The Suncorp WealthSmart PDS is a summary of all the best things about Suncorp WealthSmart, and some easy to digest information about super generally. It also includes some information that we re required to tell you about by law, such as the risks of super. This Product Guide picks up where the PDS left off. If you want more detail about Suncorp WealthSmart and how it works, this is the first place you should look. This Product Guide contains material that we referred to in the Suncorp WealthSmart PDS. We have to describe this by the legal expression incorporated by reference. It is very important that before making any investment or insurance decisions, you read: the Suncorp WealthSmart PDS this Product Guide, and other material incorporated by reference. If you ve got any questions, or would like a copy of the Suncorp WealthSmart PDS, this Product Guide or any material incorporated by reference, just call us on or us at [email protected]. We ll be happy to help. Changes to the PDS In the world of superannuation, as in the real world, things change from time to time. So the information in the Suncorp WealthSmart PDS and any material incorporated by reference, such as this Product Guide and its underlying Trust Deed, may change at any time. (The Trust Deed is a legal document that sets out the rules within which we have to operate and your rights as a Suncorp WealthSmart account holder.) If the change isn t likely to be materially adverse for our Suncorp WealthSmart customers, we ll update the information on our website suncorp.com.au/super or by writing to you. If you d like a free paper copy of the updated information, just call us. Part About Suncorp WealthSmart Page 4 Putting money into your Suncorp WealthSmart super account Taking money out of your Suncorp WealthSmart account (this section includes details on opening a pension account and receiving pension payments) Page 6 Page 9 Risks of super Page 12 How we invest your money Page 14 Fees and costs Page 49 Tax Page 54 Insurance in your super Page 56 Other important information Page 65 Part 2 10 Suncorp WealthSmart for Business and Suncorp EASE Page 69 Suncorp WealthSmart Product Guide 3

4 PART ONE 1 About Suncorp WealthSmart Congratulations on taking an important step to securing your financial future Suncorp WealthSmart has the features and flexibility to help you reach your financial goals and enjoy the retirement lifestyle you want. Competitive fees Suncorp WealthSmart has competitive fees, and the administration fee may be discounted for larger account balances. We may also offer discounts if you link your Suncorp WealthSmart account with accounts held by your family members. Investment choice to suit all types of investors Suncorp WealthSmart provides a wide range of options to suit your changing needs with a choice of 41 investment options: Nine Suncorp diversified portfolios that have investments in a range of different asset classes 32 single sector investment options, including Suncorp WealthSmart Term Deposits. Default investment option for business super Our default investment option for Suncorp WealthSmart Business Super members is the Suncorp Lifestage Fund. When you join Suncorp WealthSmart Business Super, you ll automatically be invested in our simple, cost effective and MySuper compliant Suncorp Lifestage Fund. It s a diversified investment option that automatically changes its investment mix as you grow older. More about MySuper On 1 January 2014 the Australian Government introduced the MySuper reforms which have been designed to improve the way superannuation works in Australia. MySuper is a simple, cost effective superannuation investment. For Suncorp WealthSmart Business Super members, our MySuper investment option is the Suncorp Lifestage Fund. The PDS and this Product Guide provides all the information you need to know about the Suncorp Lifestage Fund. 4 Suncorp Superannuation Fees and costs for the Suncorp Lifestage Fund in Suncorp WealthSmart Business Super By law we are required to offer all Suncorp WealthSmart Business Super members invested in the Suncorp Lifestage Fund (MySuper) a standard set of fees and costs. Fees and costs associated with any Suncorp WealthSmart Business Super investment in the Suncorp Lifestage Fund will be separate from your other investment options. You ll find fees and costs associated with each of these separated on your online account and on any account statements issued, including your annual statement. Comprehensive insurance cover within your super There can be big advantages in taking out life insurance inside your super instead of arranging it independently. You can protect yourself and your family via your Suncorp WealthSmart account with the following types of insurance: Death cover to a maximum of $5 million Total and Permanent Disablement (TPD) cover to a maximum of $3 million Income Protection cover with a benefit period of 2 years, 5 years or until age 65 and a maximum of $25,000 per month. Insurance offered through Suncorp WealthSmart is provided by Suncorp Life and Superannuation Limited, an award-winning insurer that is part of the Suncorp Group with a proud heritage of protecting Australians that stretches back for 175 years. Stay in control with easy online access You can view and manage your Suncorp WealthSmart account online whenever you like. When you join, you ll automatically receive your online user ID and password. This allows you to access your account online at any time via suncorp.com.au/super. Through Suncorp WealthSmart online you can: check your account balance and investment holdings view and update your personal details view your super contributions plus your transaction and correspondence history change your pension payment strategy update your future investment strategy switch between investment options (excluding Suncorp WealthSmart Term Deposits) view your insurance details and nominated beneficiaries generate and print a report on your account choose to receive correspondence from us by instead of post submit your tax file number (TFN) send us a question! If you d prefer not to go online, you can call us on or write to us. Our contact details are on the back page. Other things you can find on our website at suncorp.com.au/super product dashboards daily unit prices monthly investment performance reports and asset allocation reports forms and other publications annual reports and product updates investment fund profiles and disclosure documents Suncorp WealthSmart Insurance premium rates guide. Tips and tools to help you grow your savings With our DIY educational support tools and resources, we ll show you how taking steps to boost your super needn t be time-consuming or difficult with: regular updates with links to online articles, news and investment market updates online updates on financial markets and investing an interactive online retirement simulator to help you see if your savings are on track an online risk profiler to help you learn which types of investments might best suit you an online super rollover wizard for easy combining of multiple super accounts into your Suncorp WealthSmart account an online learning centre with resources and education modules.

5 communications If you want to keep your super paperwork to a minimum, we ll send you important communications such as annual statements, and confirmations of transactions and changes to your account by . How do you..? What form do you need to use? Transaction options It s easy to add to your super You can choose from the following methods of making contributions to your Suncorp WealthSmart account: direct debit BPAY (from savings and credit card) cheque transfer from another super fund deposits at a Suncorp branch. Set and forget death beneficiary nomination You can have certainty over who ll receive your super benefit if you die, without the hassle of having to periodically update your nomination. Suncorp WealthSmart offers a range of estate planning options. For example, you can nominate a reversionary beneficiary to tax-effectively receive your pension payments if you die. You can also provide your children under age 18 with a tax-effective income stream if you die. Tax refund Suncorp WealthSmart Personal Super and Suncorp WealthSmart Pension provides an anti-detriment benefit if you die. This means your beneficiaries may get an amount that represents contributions tax you paid. This benefit is limited to your spouse (legal or de facto) or children and is only payable on lump sum benefits. Tax is complex and we recommend you consult a suitably qualified professional when considering tax matters relating to investing in your account. Amounts held in super and pension accounts are treated very differently for tax purposes. Apply for insurance cover Change your investment options Add or amend the auto-rebalancing service Set up or change a regular contribution plan Insurance application form ü ü Investment change form ü ü ü Investment change form ü ü ü Direct Debit Request form ü ü Change your address Change of details form ü ü ü ü Change your name Change of details form ü ü Change your bank account details Change your pension payment and bank account details Transfer funds from another super provider Direct Debit Request form ü ü Change of details form ü ü Transfer authority form ü ü Make a withdrawal Withdrawal form ü ü Nominate a pension payment strategy Nominate or change your death beneficiary Investment change form ü ü ü Non-lapsing death benefit nomination form ü ü ü Provide your TFN Change of details form ü ü ü ü Appoint an authorised representative Authorised representative form ü ü Cancel a request Put your request in writing ü ü Set up a personal advice fee payment Personal advice fee form ü ü Suncorp WealthSmart Product Guide 5

6 2 Putting money into your Suncorp WealthSmart super account Super is simply a way of saving for your retirement. All you are doing with super is growing a pot of money you can live off when you stop working. Your super account should grow through a combination of investment returns and the money, or contributions, which you and/or your employer put into it. Contribution types Super contributions fit into one of two categories. These are summarised below: Pre-tax ( concessional ) contributions Compulsory employer contributions (known as Super Guarantee (SG) or Award) Personal contributions that are tax deductible Salary sacrifice Voluntary employer contributions (above the compulsory Award/SG minimum amount). After-tax ( nonconcessional ) contributions Personal contributions made from after-tax dollars (your take home pay ) Spouse contributions. Compulsory employer contributions Your employer must make Award or Superannuation Guarantee (SG) contributions to your account (unless you re an exempt employee) at least every quarter. The SG contribution amount is currently equal to 9.5% of most employees salary (and is gradually rising to 12%). To find out how much your employer is contributing on your behalf, speak to them or check your payslip. The contributions your employer makes for you may not be enough to provide you with the kind of lifestyle you want in retirement. Here we ve outlined some ways to help boost your super account. Salary sacrifice contributions Salary sacrificing part of your pre-tax salary into your super is one of the easiest and most tax-effective ways of boosting your super account balance. Because the money paid into your super through salary sacrifice isn t subject to income tax, you can generally save up to 32% on tax (based on the highest income tax rate of 47%), including the Medicare levy for the 2014/15 financial year. And because these contributions don t count as part of your salary for income tax purposes, salary sacrificing into super may reduce your overall taxable income. So the drop in your take home pay is less than the amount of money going into your super account. A 30% contributions tax will apply to pre-tax contributions for individuals earnings over $300,000 pa. Personal, after-tax contributions and government co-contributions If you make a personal contribution from after-tax money (that s money you ve paid income tax on ie, your take-home pay), you may be eligible to receive an additional contribution into your account from the Government. This is known as the Government co-contribution scheme. If you earn less than $34,488 a year (in the 2014/15 financial year) and you make a $1,000 after-tax contribution, the Government may contribute the maximum $500 to your retirement savings. The Government s co-contribution amount decreases for those on higher incomes, but you can still benefit from the cocontribution scheme if you earn less than $49,488 a year (2014/15 financial year). Spouse contributions Contribution to your account If you earn less than $13,800 a year you could benefit from the spouse contribution scheme. By making a contribution on your behalf, your spouse may be entitled to a tax offset of up to $540 which can be claimed through their personal tax return. The offset is equal to 18% of a maximum contribution of $3,000 a year ie $540. This maximum rebate applies when the recipient spouse has a total income of less than $10,800 a year. The rebate gradually reduces up to the $13,800 a year earnings limit. Contributions to your spouse You can direct up to 85% of any pre-tax contributions made in the previous financial year from your account to your spouse s account. However, to do this your spouse must be under age 65 and not retired if aged 55 to 64 (ie must not yet be eligible to get access to their super). 6 Suncorp Superannuation

7 Investing your future contributions Note, if you are a Suncorp WealthSmart Business Super member and have an investment in the Suncorp Lifestage Fund as well as other investment options, your future contributions can t be split. This means that 100% of your future contributions must be made to either the Suncorp Lifestage Fund or across a selection of other investment options. You can however make additional contributions to your other investment options if you wish to do so, or switch super money between the Suncorp Lifestage Fund and other investment options. If you are a member of Suncorp WealthSmart Personal Super you can split your future contributions across all investment options, including the Suncorp Lifestage Fund. Putting money into the Suncorp Lifestage Fund If you are a member of Suncorp WealthSmart Business Super it is important to note that any investment you have in the Suncorp Lifestage Fund is subject to our MySuper fees and costs. Fees and costs have been outlined in the PDS and in more detail in the Fees and costs section of this Product Guide. Self-employed? If you re self-employed, you don t receive SG contributions from an employer to help you save for your retirement. The good news is that if you re self-employed or substantially self-employed and under age 75, you may be able to claim a tax deduction for personal contributions. Contribution caps There are limits (sometimes called contribution caps ) on the amounts you can contribute to super in any one financial year (from 1 July to 30 June), without penalty. Contribution Caps 2014/2015 Pre-tax ( concessional ) contributions After-tax ( non-concessional ) contributions $30,000 per year $35,000 per year (for individuals age 50 or older). $180,000 per year. If you re under age 65, you can contribute up to three times the cap in one or two financial years by combining some future years caps. What happens if you contribute amounts above the caps? Depending upon the circumstances, you may pay additional tax /charges or the contributions will be rejected. Excess concessional contributions are taxed at the marginal tax rate and you can request the release of up to 85% of these contributions from super. An additional interest charge applies. You can claim a tax deduction on all contributions you make as long as less than 10% of your income comes from an employer and you do not create a tax loss. If you ve made personal contributions into your account, we ll send you a notice at the end of the financial year. This is known as a s notice of intent to deduct (formerly a s82aat notice). To claim a tax deduction, simply complete the notice and send it back to us. You should consult with your financial adviser to ensure you are eligible to claim a tax deduction on personal contributions to super. Suncorp WealthSmart Product Guide 7

8 2 Putting money into your Suncorp WealthSmart super account It s easy to pay money into your super account There is a range of flexible methods for making contributions into your Suncorp WealthSmart super account. Contribution methods Direct debit BPAY You, your spouse and your employer can make regular contributions into your Suncorp WealthSmart account by setting up a direct debit facility. There s a minimum $100 per month for you or your spouse per contribution, but no minimum for direct debits made by your employer. Deductions from the nominated bank account are made on or around the first of each month. You can change or cancel this arrangement at any time, but we must receive your request on or before the 25th of the month for it to be effective for the next scheduled direct debit. BPAY allows you to contribute from your savings or credit card account by phone or internet. You ll need your Suncorp WealthSmart Customer Reference Number (CRN) and the BPAY code for the type of contribution you want to make. Your CRN is included in the welcome letter you ll receive after joining Suncorp WealthSmart or you can find it anytime by logging into your online account. If your employer or spouse is contributing to your account by BPAY, you ll need to give them the relevant biller code and your CRN. Registered to BPAY Pty Ltd ABN Contribution type Biller code Personal contribution Spouse contribution Employer SG/Award contribution Employer salary sacrifice contribution Employer voluntary contribution Cheque Visit a Suncorp branch Please make cheques payable to Suncorp Portfolio Services Limited with your account name and number on the back of the cheque, and send it with an Additional investment form (available on our website) to us at: Suncorp WealthSmart GPO Box 2585 Brisbane QLD 4001 Simply fill out a Suncorp WealthSmart Deposit Slip (available on our website) and then pop into a Suncorp branch, where we accept cheques, cash deposits or transfers from your other Suncorp accounts. Who can open a super account? You can open a Suncorp WealthSmart Super account at any age if you re receiving SG or certain Award employer contributions. You can make contributions into your super account if you re under age 65 (or aged 65 to 74 and have worked at least 40 hours in a consecutive 30-day period within the current financial year). Investment minimums If you are opening a Personal Super account you will require a minimum investment of $2,000 and a minimum of $2,000 for your ongoing account balance. There is no minimum if you re starting a Business Super account, although you will require a minimum ongoing account balance of $1,200. Transition to retirement option and pension account You will find information on how to open a transition to retirement option or pension account, as well as additional information on these features in the next section of this Product Guide. 8 Suncorp Superannuation

9 3 Taking money out of your Suncorp WealthSmart account Super is meant to help you save to fund your retirement, so it s logical that restrictions apply to when you can access your money. To give your super time to grow, it s preserved throughout your working life, and access is generally restricted until you reach retirement age or meet what s called a condition of release. However, you can transfer (rollover) your account balance to another complying super fund at any time. Preserved and non-preserved benefits Within your super account balance, different sums of money may be categorised into different types of benefits, which may determine how accessible that money is, as shown below: Type of benefit A preserved benefit A restricted non-preserved benefit An unrestricted non-preserved benefit When you can access these benefits You can only get access to these benefits once you ve satisfied a condition of release. (See the table on the right for more information.) These benefits can be accessed under the same conditions of release as your preserved benefits, but can also be paid to you when you leave the employer whose contributions made up these benefits. Generally, restricted non-preserved benefits arise from personal contributions made to an employer fund from 1 July 1983 up to 30 June 1999, and for which you couldn t claim a tax deduction. You can get access to this money at any time. Conditions of release You can access your preserved super benefits if you satisfy a condition of release as shown below: Condition of release Permanently retiring after reaching your preservation age Leaving your employer after turning age 60 Reaching age 65 Permanent incapacity Severe financial hardship Compassionate grounds Eligible temporary residents departing Australia Termination of your employment with the employer who contributed for you Lost member Using your benefits to start a non-commutable income stream after reaching your preservation age Terminal illness Temporary incapacity Death Your preservation age What types of super benefits can you access All All All All You may be limited to one lump sum payment between $1,000 and $10,000 within a 12 month period depending on your circumstances. You ll need to make an application to the Department of Human Services to have your benefits released. The amount you receive is determined by the Department of Human Services. All You can access all your restricted non-preserved benefits. If the amount is less than $200, you can access your preserved benefits. All - If contact is restored and your account balance is low enough. You ll need to commence a transition to retirement option. This is non-commutable, which means you can t make a lump sum withdrawal from your account. All You can access your super benefits as long as the withdrawal amount isn t greater than your income before becoming temporarily incapacitated. You can only receive the payments as a non-commutable income stream. All Your preservation age depends on when you were born. It determines when you can access some of your benefits. Once you ve reached age 60 and retired, your super benefits can be withdrawn tax-free as either a pension or lump sum amount. Your date of birth Your preservation age Before July July June July June July June July June July 1964 onwards Suncorp WealthSmart Product Guide 9

10 3 Taking money out of your Suncorp WealthSmart account (continued) What happens if you die? Your Suncorp WealthSmart account will be paid to your beneficiary. Your beneficiary is the person or people you ve chosen to receive your super benefit (including any insurance benefit) if you die. There are rules around who you can nominate to receive your super benefit on your death but it must be paid to your estate or one or more of your dependants. A dependant includes: your spouse (legal and de facto including same-sex partners) a child of any age a person in an interdependency relationship with you, and a financial dependant. Make sure your beneficiary nomination is valid For your nomination to be valid, your beneficiary must be a dependant or your legal representative. Further information on who can be a dependant and how to make a death benefit nomination is on this page. If you don t nominate a beneficiary or your nomination is invalid, we can use our discretion to pay any death benefit, generally to your dependant(s) and/or your estate. If we can t find your dependants or your estate, and we haven t received a contribution for you for at least two years, your benefit will be considered unclaimed money and transferred to the Australian Tax Office. To provide certainty as to who ll receive your benefit, Suncorp WealthSmart gives you the following options for nominating a beneficiary: 1. Non-lapsing death benefit nomination 2. Child pension nomination 3. Reversionary pension nomination (pension members only). 1. Non-lapsing death benefit nomination A non-lapsing death benefit nomination allows you to nominate your dependants and/or your estate to receive part or all of your death benefit (including any insurance benefit). We must pay the benefit to your beneficiaries when you die (provided your nomination is valid at the time). For your nomination to be valid: each beneficiary must be a dependant and/or your legal representative at the time of your death if there is more than one beneficiary, the apportionment of your benefit must be clear and add up to 100% two adult witnesses who aren t beneficiaries must witness and sign the nomination. While your nomination is non-lapsing, it s still a good idea to keep it up to date. We recommend you review your nomination whenever your circumstances change eg. with marriage, divorce, birth of a child or when a beneficiary ceases to be a dependant. 2. Child pension nomination The child pension is an extension of the non-lapsing death benefit nomination. You can nominate your child under age 18 to receive an income stream paid from your benefits when you die. You can restrict your child from accessing their account until a pre-determined age. However the pension must be paid out as a lump sum when the child reaches age 25 (unless they re permanently disabled and meet certain other requirements). 3. Reversionary nomination (pension members only) A reversionary nomination allows your nominated beneficiary to tax-effectively continue to receive your pension payments when you die. You can only nominate a reversionary beneficiary at the time you apply for a Suncorp WealthSmart Pension by completing the relevant section of the application form. You can t add or change a reversionary beneficiary other than by stopping your current pension and starting a new one. Using the transition to retirement option Have you reached the age when you can retire but aren t quite ready to leave the workforce? Using Suncorp WealthSmart s transition to retirement option allows you to access your super benefits as a retirement income stream while still continuing to work. It s particularly beneficial for those aged 60 or over. There are minimum amounts you must withdraw (the same as pension) and you can t withdraw more than 10% of your account balance in a financial year. If you re transitioning to retirement the income stream is non-commutable, which means you can t take lump sum cash withdrawals until you reach 65 or meet another condition of release, such as retirement. Information on how to apply for a transition to retirement option within a pension account is available through the Suncorp WealthSmart Personal Super and Suncorp WealthSmart Pension PDS. 10 Suncorp Superannuation

11 Funding your retirement with a Suncorp WealthSmart Pension If you re ready to retire, Suncorp WealthSmart makes the change simple and hassle-free. A Suncorp WealthSmart Pension provides regular income to fund your retirement needs, while continuing to let your savings grow at a taxeffective rate. Information on how to apply for a pension account is available through the Suncorp WealthSmart Personal Super and Suncorp WealthSmart Pension PDS. Opening a pension account You can open a Suncorp WealthSmart Pension account if you: have reached your preservation age and want to access your preserved benefits through the transition to retirement option within a Suncorp WealthSmart Pension. To find your preservation age, please see Your preservation age on page 9 of this Product Guide have reached your preservation age and have ceased gainful employment and intend never again to work 10 hours or more in a week are aged 60 to 64 and have retired, or since turning 60 have resigned from or changed your employment are aged 65 and over are permanently incapacitated have a super lump sum consisting entirely of unrestricted non-preserved benefits are still able to contribute to super but meet an immediate condition of release. Pension minimum The minimum amount for opening a pension account is $25,000. Once your pension account is established, you can t add any further money. Flexible regular payments You ve worked hard over the years to build your retirement savings, so you want to make them last once you stop working. If you have a pension account, you can access the entire balance of your account at any time. You can do this by receiving regular income payments or by requesting an additional lump sum withdrawal from your account. You can choose to receive your pension payments in your nominated bank account: monthly quarterly (you choose the month) half-yearly (you choose the month) yearly (in the month before the anniversary date of your pension starting). Payments are made into your nominated bank account on or around the 15th of the month. Pension payment strategy You can choose which investment options you d like your pension payments drawn from (excluding Suncorp WealthSmart Term Deposits). We ll continue to fund your pension payments from your nominated investment options until they have a nil balance. We ll then choose which investment options to draw the remainder of your pension payments from (excluding Suncorp WealthSmart Term Deposits). If you don t provide a drawdown nomination, your pension payments will be taken proportionally across your investments (excluding Suncorp WealthSmart Term Deposits). Minimum pension payment amounts By law, in each financial year you must receive at least one pension payment, and the total amount of your payments must be at least the minimum amount specified by the Government for your age. There are no limits on how much you can withdraw from your pension account, except if you are under age 65 and haven t met another condition of release that gives you access to all your benefit. Your age Under 65 4% % % % % % 95 or older 14% Minimum pension amount you must withdraw from your account balance (each financial year) Pro-rata amounts apply if you start your pension part of the way through the year. Suncorp WealthSmart Product Guide 11

12 4 Risks of super Even though the government makes it partly compulsory, investing in super carries certain risks. One of the biggest (aside from super generally being preserved until you retire) is that you won t end up with enough money to meet your retirement needs. This could happen: when an investment decreases in value where money is invested conservatively in assets which provide more stable but lower long-term returns. It s a good idea for you to consider what these risks might mean for you. If you re not sure how you feel about risk, log into your online account and check out our range of tools and calculators on super and investing or give us a call and we can help you. General risks that could affect your Suncorp WealthSmart account Some of the risks that could affect the investments in your super account are shown below. We regularly monitor these risks for their impact on the investment menu as a whole, but it s a good idea for you to consider what they might mean for you. Risk type Market risk Investment options risk Liquidity risk Credit risk Interest rate risk Inflation risk Currency risk Derivatives risk Gearing risk Changes in law Early withdrawal risk What is it? This can arise due to changes in government or economic policy, interest rates and exchange rates, market sentiment, global events, technological change, environmental conditions or changes in legislation. All these things can adversely affect the financial markets in which your super may be invested. Investment managers and the strategies they adopt may change, which may not be in line with your expectations when you first invested. They may also fail to meet their stated investment objectives. It s also possible an investment option may be terminated. This arises where an investment can t be easily converted into cash or sold at fair value, at a time when you need it. This is where someone doesn t meet their obligations to, or relating to, the investment option. For example, it includes the risk that we or an underlying investment manager are unable to make payments. The value of fixed interest investments such as bonds will fall when interest rates rise, and vice versa. If inflation exceeds an investment s return, it will reduce the investment s purchasing power. Inflation risk is more common in low-risk investments such as cash, which generally fluctuate less but potentially provide lower long-term returns. The value of international investments will change with the rise and fall of the Australian dollar. An investment manager can manage currency risk via a strategy referred to as currency hedging. Generally, if the Australian dollar rises, the value of unhedged international investments (those not currency hedged) held in other countries will fall and vice versa. Derivatives are securities that derive their value from another security. Commonly known derivatives include futures and options. Investment managers may use derivatives to manage risks in a portfolio or to leverage a portfolio in the hope of generating greater returns. The risks of using derivatives include that they may be costly or difficult to reverse and their value may not move in line with that of the underlying security. Gearing involves borrowing money to invest in an asset. Geared investment options are internally geared, meaning the investment option borrows the money, rather than you. The cost of borrowing, including interest rates, and the level of gearing influence returns on a geared investment. Gearing magnifies both the gains and losses of an investment option. Super and tax legislation changes frequently. These changes could affect when you can access your benefits and how they ll be treated upon withdrawal. We ll tell you about any changes we think are likely to affect your investment. Generally, we do this through the annual report. If you re invested in Suncorp WealthSmart Term Deposits and withdraw your investment before its maturity date, the income (interest) payable to you will be less than you would have received by not making an early withdrawal. 12 Suncorp Superannuation

13 Reduce your risk via diversification The most common way to reduce your risk is by diversification, or not putting all your eggs in the one basket. Suncorp WealthSmart can help you diversify your investments: How we can help you diversify your super investment Across asset classes Within an asset class Across investment managers The relationship between risk and return Our nine diversified investment options are invested across a range of investments, including Australian and international shares, Australian and international fixed interest, Australian and international property, cash and alternative assets. You can also create your own investment mix from our 32 single sector investment options. You can invest in different markets, different industries or different investment styles within one asset class. With a choice of quality investment managers to select from, you can invest with different investment managers of differing investment styles. As a general rule, investments with a higher level of risk will provide a higher potential return. By the same token, the smaller the risk an investment poses, the smaller the potential return it will provide. This is illustrated below: High Property Shares Standard Risk Measure The Standard Risk Measure (SRM) is a calculation we do to help make it easier for you to compare the riskiness of investment options. Technically it tells you how many negative annual returns an investment option can be expected to deliver over any 20 year period. The SRM is not a complete assessment of all forms of investment risk. For instance, it doesn t detail what the size of a negative return could be or the potential for a positive return to be less than you may require to meet your objectives. Further, it doesn t take into account the impact of the administration fee or any part of the management fee that is not paid to an investment manager, and tax on the likelihood of a negative return. You should still ensure you are comfortable with the risks and potential losses associated with your chosen investment option(s). You can find more information on the methodology we use to calculate the SRM, and a SRM for all of our investment options, in the Understanding Investment Risk flyer on our website. The SRMs are shown below: Return Cash and Term Deposits Fixed interest Income investments Growth investments Risk band Risk label 1 Very Low Less than 0.5 Estimated number of negative annual returns over any 20 year period 2 Low 0.5 to less than 1 3 Low to medium 1 to less than 2 4 Medium 2 to less than 3 5 Medium to high 3 to less than 4 Low Risk High 6 High 4 to less than 6 7 Very high 6 or greater The actual measure for each investment option can change at any time, for example because of market conditions, so you should always check the most up-to-date information before you make a decision. Suncorp WealthSmart Product Guide 13

14 5 How we invest your money Making the right investment choice could make a big difference to your super savings. Suncorp WealthSmart provides a wide range of options to suit your changing needs with a choice of 41 investment options: Nine Suncorp diversified portfolios, including the Suncorp Lifestage Fund, that have investments in a range of different asset classes 32 single sector investment options, including Suncorp WealthSmart Term Deposits. The choice is yours and we provide a full list of the investment options available later in this section, please see The Suncorp WealthSmart investment menu on page 19 of this Product Guide. Things you should know before investing Understanding the asset classes Each investment option is invested into what are called underlying assets. These underlying assets have different characteristics and may be either income assets, growth assets, or a combination of both. Income assets include such things as cash and fixed interest, which provide income returns in the form of interest Growth assets include property, shares and alternative assets, which provide for investment returns comprising both capital growth (increase in value of the investment) and income. Asset class Cash Fixed interest Property Shares Alternative assets What is it? Default investment option for Suncorp WealthSmart Business Super Cash generally refers to short-term liquid investments and may include bank deposit securities, such as term deposits. Fixed interest generally refers to debt instruments issued by governments and companies. Investments may include bonds, debentures and other hybrid securities. The value of fixed interest assets may go up or down. Property generally refers to direct or indirect property investments in Australian and international property via listed and unlisted real estate trusts (REITs), exchange traded funds (ETFs) and companies. Shares represent a part ownership in a company (ie a share). Returns from the ownership of shares combine both the income received (dividends) and growth (capital gains) through the increase in the share price. The value of international shares may also be affected by fluctuations in the exchange rate. Alternative assets are investments that are not classified or may not be correlated to the traditional asset classes of cash, fixed interest, property or shares. Typically they may involve investments in asset classes (eg. commodities such as gold, infrastructure or private equity) or investment strategies (eg. financial instruments such as exchange traded or Over The Counter (OTC) derivatives, or trading techniques) that aren t liquid and require specialised skills to manage. Your super contributions will be automatically invested in the Suncorp Lifestage Fund. This means you will be invested in the Suncorp Lifestage Fund for your year of birth. For example, if you were born in 1982 you will be invested in the Suncorp Lifestage Fund This could be a perfectly reasonable investment option for you. But no single investment option suits everyone. And the risk you take is that the default investment option won t deliver what you want, or need, from your investments. Matching your investments to your risk profile, and to your long-term lifestyle goals, is a good start to achieving your retirement goals. With so much choice there s sure to be an investment option, or a combination of investment options, to suit you. It s just a matter of finding out what they are and discussing with your financial adviser the investment strategy that s right for you. Details of your investments are included in your welcome pack. Who manages the Suncorp WealthSmart investment options? The 41 investment options available in Suncorp WealthSmart are managed by world class investment managers including Ibbotson Associates Australia Limited (Ibbotson). For more information, please see Information about the investment managers on page 45 of this Product Guide. About the investment options For some investment options, a PDS is issued by the underlying investment manager, free of charge. You can download copies from our website or ask us for a printed version. Before you select or change your investments to a new investment option, you should consider the relevant investment manager s PDS. In general, if there s a conflict between the terms and conditions shown in an investment manager s PDS and the Suncorp WealthSmart PDS and this Product Guide, you should refer to the Suncorp WealthSmart PDS and this Product Guide to understand the terms and conditions applying to your investment. 14 Suncorp Superannuation

15 If you d like to find out what the differences are in investing into an investment option through Suncorp WealthSmart as opposed to investing directly with the underlying investment manager, please see page 17 of this Product Guide. Please note that we don t take labour standards, environmental, social and ethical considerations into account when selecting, retaining or terminating investment options. Multi-manager investment options A multi-manager approach to investing uses the skills of more than one investment manager. It s based on the view that no single investment manager consistently outperforms the market in all conditions. Over any given timeframe, it s difficult to predict which investment managers or which investment style will outperform the market and its peers. Some investment styles will perform well in one stage of the market cycle, while others may perform poorly in the same conditions. Suncorp WealthSmart s multi-manager investment options blend a combination of quality investment management styles to create investment options aimed at reducing investment risk and the volatility of returns. Can you change your investment options? Because your financial needs may change, you have the flexibility to switch between investment options at any time, without paying a switching fee. This includes switching between the Suncorp Lifestage Fund and other investment options. You may incur a buy-sell spread, which is charged by the investment manager, depending on the options you select. For more information, please see Buy-sell spreads in the Fees and costs section of this Product Guide. Changing investment options Changing your future investment strategy (or switching your investment) from the Suncorp Lifestage Fund to other investment options in Suncorp WealthSmart Business Super may mean: A change to the fees and costs you pay, including investment and administration fees. Please see Fees and costs in this Product Guide for more information. A change in your investment strategy and risk on your investment. Please see The Suncorp WealthSmart investment menu in this Product Guide for more information, including the Standard Risk Measure for your investment option. Suncorp WealthSmart Term Deposits If you re looking for income certainty for your super or pension, you can invest as little as $1,000 in a Suncorp WealthSmart Term Deposit and receive a fixed interest rate for your chosen investment term. With Suncorp WealthSmart Term Deposits: you won t pay any management fees on balances invested in term deposits income (interest) earned will be paid into your account yearly and on maturity (interest is calculated using simple interest) interest will be paid to the Suncorp Cash Fund you have the choice of six month, one, three or five year terms you can invest in as many term deposits as you like provided you don t invest more than 70% of your account balance in total you won t get a Suncorp Bank Term Deposit directly, because under superannuation law we re required to hold term deposits and other fund assets on behalf of members. You can get the latest Suncorp WealthSmart Term Deposit rates from our website or by calling us. You may select a maximum of 20 investment options at any time. Please note, each Suncorp WealthSmart Term Deposit you hold counts as one investment option. How you can invest in Suncorp WealthSmart Term Deposits Simply switch at least $1,000 from your other investment options into the term deposit and choose your preferred term. You can t invest more than 70% of your account balance in term deposits. The information below shows what happens if your investment in term deposits exceeds this amount. What happens on maturity or when your term deposit is broken? With a Suncorp WealthSmart Term Deposit, your money is generally locked in for your chosen investment term. However, there are some circumstances when you, or we can break your term deposit early: Breaking a term deposit When can you break your term deposit? When can we break your term deposit? If you ask to switch out of a term deposit before it matures If you request a partial withdrawal and there s not enough money in your other investment options to pay out your requested amount If you ask to withdraw or rollover in full, or close your Suncorp WealthSmart account. If the balance of your account invested in Suncorp WealthSmart Term Deposits exceeds 85% of your account balance at any time. You ll need to make sure you maintain at least 15% of your account balance in other investment options (not in term deposits) If there s not enough money left in your other investment options to pay for fees, costs, insurance fees, contributions tax, pension payments, or any other amount we need to deduct. If we need to break your term deposit for one of the reasons shown above, we will break the term deposit which is closest to maturity. Suncorp WealthSmart Product Guide 15

16 5 How we invest your money (continued) If your term deposit is broken for any reason, it will be broken in full. In other words it can t be partially broken. If your term deposit is broken before the end of your chosen investment term, any interest earned will be adjusted, as shown below: Term completed 0% 25% (eg. within the first three months of a 12 month term) Interest adjustment (% of interest earned reduced by the percentage shown below) 80% 26% 50% 60% 51% 75% 40% 76% 100% 20% Interest earned is calculated by adding together interest that has been accrued (but not yet paid) plus any interest that has been paid. This means that if the interest adjustment is greater than what has been accrued to your account, the difference will be taken from the principal (ie the amount you originally invested into the term deposit). When your Suncorp WealthSmart Term Deposit matures or is broken (including if you switch out from it), we ll invest the proceeds in the Suncorp Cash Fund (for a switch, this is temporary until your money is invested in your chosen replacement option). The amount we ll pay is your principal invested, plus interest accrued, less any applicable interest adjustment and any applicable taxes (which may include some of your principal). Other important information Investment performance Investment performance lets you see how your investment is going. How is investment performance calculated? Your super balance can go up and down. Past performance is not an indicator of future performance. In accordance with industry standards, investment performance is generally calculated net of taxes, levies and ongoing fees such as the administration fee, member fee, performance fee, and investment fee. However, when calculating investment performance, we generally don t take into account contributions tax, entry fees, deferred entry fees, exit fees and any discretionary ongoing fees such as insurance fees and adviser service fees. If we calculate the investment performance for an investment option in a way different from that set out above, we ll explain this in the monthly Suncorp WealthSmart investment performance report which is available from our website. You should be aware that the investment performance information for the investment options may differ from the performance of the underlying investment managers. This may be due to: holding some assets in cash or short-term securities, for liquidity purposes, or provisions for tax, levies and distribution of tax credits, or the fees and charges that apply, or a lag between when the underlying investment managers report their performance and when the value of the underlying investment option is reflected in the unit prices. Suncorp Traditional Capital Guaranteed Fund (closed to new members) The Suncorp Traditional Capital Guaranteed Fund isn t unit priced. SLSL declares interest rates in arrears for this investment option at 30 June each year. Interest is calculated on the daily account balance and credited to your account on 30 June each year. An investment in the Suncorp Traditional Capital Guaranteed Fund provides a participating benefit. This means that the profits arising in respect of this option are allocated 80% to members and 20% to SLSL as shareholder. SLSL guarantees that the interest credited to your account at 30 June each year won t be negative. We use an interim interest rate to calculate interest on full withdrawals made before the interest rate is declared (including full switches to another investment option). The interim rate can be changed by SLSL at any time and will apply from the previous 1 July. The final declared rate on 30 June may be less than the interim rate that has applied during the past year. The declared interest rates are determined based on several factors, including: the investment income received after an allowance for tax, including both realised and unrealised capital gains and losses transfers to and from reserves in order to smooth returns over time and provide for guarantees administration and investment fees expenses such as brokerage, stamp duty, taxes, and other expenses incurred in managing the assets. 16 Suncorp Superannuation

17 Investing through Suncorp WealthSmart and investing directly When you invest with Suncorp WealthSmart, we hold the investment on your behalf, instead of you holding it directly. There are differences in investing into an investment option through Suncorp WealthSmart as opposed to investing directly with the underlying investment manager. These include: Timing of information Differing returns Differing fees Minimum and maximum transaction amounts Tax implications Receipt of reports The rights to attend and vote at unit holder meetings An investment manager s PDS may have a different preparation date from this PDS and may include investment information effective as at different dates. Investment returns based on unit prices as calculated for Suncorp WealthSmart are likely to differ from any returns in an investment manager s PDS or reports. This could be due to differences in investment fees, costs, taxes, and the timing impact of differences in transactions for the investment options offered within Suncorp WealthSmart relative to those for the investment manager s financial product. The fees incurred when investing through Suncorp WealthSmart are likely to differ from the fees charged by the investment manager as a result of fees levied to administer Suncorp WealthSmart. An investment manager s PDS may set out minimum and maximum investment amounts. These don t apply to you when investing through Suncorp WealthSmart. Suncorp WealthSmart is liable to pay tax for each investment option. The unit prices of investment options in Suncorp WealthSmart will reflect any applicable tax liability. You won t receive reports directly from investment managers when you invest in Suncorp WealthSmart. When you invest in Suncorp WealthSmart, you won t hold any rights to attend and vote at meetings of unit holders of the underlying financial product. Before you make any investment decisions, you should consider the relevant investment manager s PDS. You can download copies from our website or you can ask us for a printed version, free of charge. The information in an investment manager s PDS may change from time to time. This means that when you make a contribution into an investment option, you may not have referred to the most recent PDS for that investment option. You may not therefore be aware of material changes or significant events that would be in the most recent PDS. However, you can download from our website information about material changes or significant events that affect a matter in the underlying PDS. We ll provide this information as soon as practicable after the change or event takes place. You should therefore check our website each time you make an additional contribution to see whether any matter in the PDS has been affected by a materially adverse change or significant event. Unit prices For all investment options, except the Suncorp Traditional Capital Guaranteed Fund and Suncorp WealthSmart Term Deposits, your account balance is calculated by multiplying the number of units you hold by the investment option s exit price and moves up and down over time. Your unit balance represents a partial holding in an investment option. Buying units When you invest or switch into an investment option, units in your chosen investment option are allocated to you. The number of units allocated will depend on the investment option s entry price of the units at the time and the amount you invest. Selling units When we sell units in an investment option, the amount you receive will depend on the exit price of the investment option s units at the time and the number of units sold. We can sell units from your investment options to pay for taxes, insurance fees (if applicable) and certain fees or charges. We can also sell units when you switch to another investment option, request a withdrawal or transfer to another super fund. Switching between investment options If you request a switch, we ll sell units from one investment option and use the proceeds to buy units in the other investment option. The buy-sell spread is applied to cover transaction costs associated with processing the switch. Calculation of unit prices Unit prices are usually calculated daily and reflect the value of the underlying assets of the investment option. This takes into account income entitlements, investment fees, taxes, levies and other expenses and liabilities. The underlying asset value is divided by the number of units on issue to arrive at the price per unit. Buy or sell spreads are then applied to this price per unit to calculate the entry and the exit prices, respectively. Like the values of the underlying investments, the price of units can move up and down. The daily unit price for each Suncorp WealthSmart investment option (except for the Suncorp Traditional Capital Guaranteed Fund and Suncorp WealthSmart Term Deposits) is available on our website. The Suncorp Traditional Capital Guaranteed Fund and Suncorp WealthSmart Term Deposits are not unit priced. You can find information about the calculation of performance for the Suncorp Traditional Capital Guaranteed Fund on page 16 of this Product Guide. Suncorp WealthSmart Product Guide 17

18 5 How we invest your money (continued) Unit pricing delays We may suspend unit pricing where in our opinion: a significant event or incident occurs that has the potential to affect investment markets, or an event occurs that has the potential to affect unit prices, or an external investment manager closes the underlying investment to applications and withdrawals, or the unit prices calculated have the potential to prejudice specific members. Changes to investment options Suncorp WealthSmart s investment menu may change from time to time, including the fees and charges relating to the investment options. It s important to check our website regularly for any changes to your investment options. From time to time, investment options may also be closed, suspended or terminated by an external investment manager or by us. This may happen where: the investment option is no longer offered by the investment manager, or the total amount of investor s money in the investment option has grown too large for the investment manager to continue with its current investment strategy, or laws change so that some investment types become no longer permissible, or we determine that it s in the best interests of the members, or the investment option may no longer be economically viable. If an investment option is closed, suspended or terminated, this may cause delays in processing withdrawals and transfer requests. This delay may be more than 30 days and the unit price used to process your transaction may differ from the price applicable on the day you lodged your request. Where an investment option is closed, suspended or terminated, we ll write to you in advance (where possible) to tell you. You ll then be able to review your investment strategy with your financial adviser or call us. If we can t tell you in advance, we ll choose a replacement investment option in which to invest your money until you ve been able to review your investment strategy. Related companies We, Suncorp Custodian Services Pty Limited (ABN ), Suncorp Funds Pty Ltd (ACN ) (SFPL), Suncorp-Metway Limited (ABN , AFSL ), SLSL, and the Optimum Pooled Superannuation Trust (SFN ) are part of the Suncorp Group. We don t deal with our related companies more favourably than we would with any other independent service provider. The Fund invests through either the Optimum PST or a group investment policy with SLSL or directly. The Optimum PST then invests in the underlying investment options. SLSL invests in trusts issued by SFPL. The Fund and SFPL currently invest in bank deposits issued by Suncorp-Metway Limited. Auto-rebalancing on super accounts Keeping track of movements in your investment options can be a time-consuming task. Over time, variances in investment performance may result in your investment options moving away from the percentages nominated in your original investment selection. By using the auto-rebalancing service, you can choose to have your investment options regularly rebalanced in line with your future investment strategy without having to constantly monitor your account. For example, you invest 50% in Option A and 50% in Option B and you want to maintain this investment strategy. Over time, your actual investment allocation may change to 40% in Option A and 60% in Option B as a result of movements in the unit price. Your account will then be automatically rebalanced to your future investment strategy (50% in Option A and 50% in Option B) at the frequency you select. You can choose to have your account rebalanced: quarterly (in March, June, September, and December) half-yearly (in June and December), or yearly (the month after we receive your request and every June thereafter). Rebalancing takes effect on or around the 22nd of the month. Auto-rebalancing will not apply to any money invested in Suncorp WealthSmart Term Deposits. For Suncorp WealthSmart Business Super members, the auto-rebalancing feature is not available if future contributions are invested in the Suncorp Lifestage Fund. The auto-rebalancing feature works differently on pension accounts, please read the information below. Auto-rebalancing on pension accounts Please note that if you select the auto-rebalancing service on your Suncorp WealthSmart Pension, your investment strategy will be rebalanced in line with your pension payment strategy. For example, if your pension payments are drawn 50% from Option A and 50% from Option B, your investment strategy will be rebalanced to reflect this. If you would like your investments to be allocated differently to your pension payment strategy, you will not be able to use auto-rebalancing and should complete an investment switch if/when your investment strategy changes. 18 Suncorp Superannuation

19 The Suncorp WealthSmart investment menu For easy investing, you can pick any of our diversified multimanager portfolios, which include the Suncorp Lifestage Fund, Suncorp Diversified Portfolios or the Suncorp Universal Funds. These options are designed in conjunction with Ibbotson with the aim of achieving the diversification you need in one portfolio. Suncorp Universal Funds The Suncorp Universal Funds give you access to a range of professionally managed investments within the one portfolio. However, these investment options give you greater exposure to assets managed according to an index style. There are different approaches to investing money, including index where the investment option has the same exposure to a group of securities as an index (eg. S&P/ASX 200 Accumulation Index) or active where the investment manager makes decisions to invest or not in a particular security based on their own research and valuation. There s a diversified portfolio to suit everyone no matter what your risk profile. High Return Low Suncorp Universal Growth Fund Suncorp Growth Portfolio Suncorp Universal Capital Stable Fund Suncorp Conservative Portfolio Suncorp Secure Portfolio Suncorp High Growth Portfolio Suncorp Universal Balanced Fund Suncorp Balanced Portfolio Risk High How does the Suncorp Lifestage Fund work? We got together with our investment partner Ibbotson, a worldwide leader in investing, and created the diversified multi-manager Suncorp Lifestage Fund. They bring together the skill and expertise from a number of quality investment managers from Australia and around the world. They make super investing super easy. When you re younger, we ll put more of your money in growth investments (such as shares and property) because you have a long time before retirement to ride the ups and downs of investment markets. And as you get older, we ll put more of your money in income investments (such as fixed income, infrastructure and cash) better suited to investors with shorter time horizons. The illustration below shows how this works and there s more information about the Suncorp Lifestage Fund on page 21. Proportion of growth investments 100% 80% 60% 40% 20% 0% More growth investments, such as shares and property How we invest your money with the Suncorp Lifestage Fund We change your investment mix a s you get older Fewer growth investments (and more income investments like fixed interest and cash) 0% Your age Illustrative only Diversified investment options Page Lifestage Suncorp Lifestage Fund Multi-manager 21 Secure Suncorp Secure Portfolio Multi-manager 22 Conservative Suncorp Conservative Portfolio Multi-manager 22 Suncorp Universal Capital Stable Fund Multi-manager 23 Balanced Suncorp Balanced Portfolio Multi-manager 23 Suncorp Universal Balanced Fund Multi-manager 24 Growth Suncorp Growth Portfolio Multi-manager 24 Suncorp Universal Growth Fund Multi-manager 25 High growth Suncorp High Growth Portfolio Multi-manager % 80% 60% 40% 20% Suncorp WealthSmart Product Guide 19

20 5 How we invest your money (continued) Other investment options Alternatively, if you re looking for a more customised solution and want to select your own mix of asset classes, you can also invest in our 32 single sector investment options. Single sector investment options Page Cash Suncorp Cash Fund Single manager 26 Suncorp Guaranteed Cash Fund Single manager 26 Suncorp WealthSmart Term Deposits Single manager 27 Australian fixed interest Tyndall Australian Bond Fund Single manager 27 Vanguard Australian Fixed Interest Index Fund Single manager 28 International fixed interest Vanguard International Fixed Interest Index Fund (Hedged) Single manager 28 Diversified fixed interest Macquarie Diversified Fixed Interest Fund Multi-manager 29 Diversified income Colonial First State Global Credit Income Fund Single manager 30 Australian property Ironbark Paladin Property Securities Fund Single manager 30 Vanguard Australian Property Securities Index Fund Single manager 31 International property Vanguard International Property Securities Index Fund (Hedged) Single manager 31 Australian shares Ausbil Australian Active Equity Fund Single manager 32 BT Wholesale Imputation Fund Single manager 32 Fidelity Australian Equities Fund Single manager 33 Ibbotson Australian Shares Active Trust Multi-manager 33 Single sector investment options (cont) Australian shares (cont) Perennial Growth Shares Wholesale Trust Single manager 34 Perpetual Wholesale Industrial Fund Single manager 34 Suncorp Australian Shares Fund Multi-manager 35 Tyndall Australian Share Wholesale Portfolio Single manager 35 Vanguard Australian Shares Index Fund Single manager 36 Australian shares specialist Ausbil Australian Emerging Leaders Fund Single manager 36 Perpetual Wholesale Geared Australian Fund Single manager 37 Tyndall Australian Share Income Fund Single manager 37 Zurich Investments Equity Income Fund Single manager 38 International shares Grant Samuel Epoch Global Equity Shareholder Yield (Unhedged) Fund Page Single manager 38 Platinum International Fund Single manager 39 Suncorp Global Shares Fund Multi-manager 39 Vanguard International Shares Index Fund Single manager 40 Walter Scott Global Equity Fund Single manager 40 International shares specialist BlackRock Global Allocation Fund Single manager 41 Colonial First State Global Resources Fund Single manager 41 Lazard Global Small Cap Fund Single manager Suncorp Superannuation

21 Suncorp Lifestage Fund Investment objective The Suncorp Lifestage Fund aims to maximise capital growth, real capital preservation and income returns from a diversified mix of investments. The emphasis changes from capital growth to capital preservation and income as you get older. Investment strategy The Suncorp Lifestage Fund holds a diversified mix of growth and income investments, with an increased allocation to income investments as you get older. Each Suncorp Lifestage Fund is tailored to suit the investment needs and risk profile of investors within the specified age group. Investment fee % pa Buy-sell spread - Nil Suncorp Lifestage Fund Investment objective (net of fees) 1934 or earlier Primarily capital preservation with a return objective of CPI + 1.5% over 10 years Primarily capital preservation with a return objective of CPI + 1.5% over 10 years Primarily capital preservation with a return objective of CPI + 2.0% over 10 years Primarily capital preservation with a return objective of CPI + 2.0% over 10 years Tilted towards capital preservation with a return objective of CPI + 2.0% over 10 years Tilted towards capital preservation with a return objective of CPI + 2.5% over 10 years Tilted towards capital preservation with a return objective of CPI + 3.0% over 10 years Tilted towards wealth generation with a return objective of CPI + 3.0% over 10 years Tilted towards wealth generation with a return objective of CPI + 3.5% over 10 years Primarily wealth generation with a return objective of CPI + 3.5% over 10 years Primarily wealth generation with a return objective of CPI + 4.0% over 10 years Primarily wealth generation with a return objective of CPI + 4.0% over 10 years Primarily wealth generation with a return objective of CPI + 4.5% over 10 years Primarily wealth generation with a return objective of CPI + 4.5% over 10 years Primary wealth generation with a return objective of CPI + 4.5% over 10 years (%) for the different investments Cash Aus fixed interest Intl fixed interest Infrastructure Property Aus shares Intl shares The Consumer Price Index (CPI) is a key measure of inflation. A performance objective including CPI means it aims to preserve the real value of your investment (ie to at least keep pace with inflation). Suncorp WealthSmart Product Guide 21

22 Diversified investment options Suncorp Secure Portfolio Secure Aims to earn a rate of return that exceeds Consumer Price Index increases by at least 0.5% pa over a rolling 1 year period. Suncorp Conservative Portfolio Conservative Aims to earn a rate of return that exceeds Consumer Price Index increases by at least 1.0% pa over rolling 3 year periods. Predominantly defensive assets, largely cash with a small diversified exposure to growth assets to provide some capital growth. Predominantly defensive assets and strategies with a mix of both Australian and international investments. Australian shares 0-10% International shares 0-10% Australian property securities 0-10% International property securities 0-10% Global infrastructure 0-10% Australian bonds 0-20% International bonds (Hedged) 0-20% Global inflation-linked securities (Hedged) 0-15% Cash % Alternative strategies 0-10% Australian shares 0-30% International shares 0-30% Australian property securities 0-15% International property securities 0-15% Global infrastructure 0-10% Australian bonds 0-30% International bonds (Hedged) 0-30% Global inflation-linked securities (Hedged) 0-20% Cash 10-70% Alternative strategies 0-25% 1 Very low Multi-manager 1 year plus 0.34% pa Performance fee: Yes 1 Buy-sell spread as at 1 July 2014: +/- 0.03% 3 Low to medium Multi-manager 3 year plus 0.54% pa Performance fee: Yes 1 Buy-sell spread as at 1 July 2014: +/- 0.10% 22 Suncorp Superannuation

23 Suncorp Universal Capital Stable Fund Conservative CPI + 1.0% over 10 years. Suncorp Balanced Portfolio Balanced Aims to earn a rate of return that exceeds Consumer Price Index increases by at least 2.5% pa over rolling 5 year periods. Holds a diversified mix of growth and income investments, with a tilt towards fixed income and cash. A balance between return seeking and defensive assets and strategies with a mix of both Australian and international investments. Strategic Allocation Australian shares 15.0% 0-40% International shares 10.5% 0-30% Property 4.5% 0-30% Infrastructure 2.0% 0-30% Australian fixed interest 20.0% 0-70% International fixed interest 18.0% 0-70% Cash 30.0% 0-100% Australian shares 0-45% International shares 0-45% Australian property securities 0-20% International property securities 0-20% Global infrastructure 0-15% Australian bonds 0-30% International bonds (Hedged) 0-30% Global inflation-linked securities (Hedged) 0-20% Cash 0-55% Alternative strategies 0-25% 3 Low to medium Multi-manager 10 year plus 0.30% pa Performance fee: No Buy-sell spread as at 1 July 2014: +/- 0.11% 4 Medium Multi-manager 5 year plus 0.56% pa Performance fee: Yes 1 Buy-sell spread as at 1 July 2014: +/- 0.14% Suncorp WealthSmart Product Guide 23

24 Diversified investment options (continued) Suncorp Universal Balanced Fund Balanced CPI + 2.5% over 10 years. Suncorp Growth Portfolio Growth Aims to earn a rate of return that exceeds Consumer Price Index increases by at least 3.5% pa over rolling 7 year periods. Holds a balanced diversified mix of growth and income investments. Predominantly return seeking assets and strategies with a mix of both Australian and international investments. Strategic Allocation Australian shares 25.0% 0-60% International shares 18.5% 0-50% Property 7.5% 0-50% Infrastructure 3.0% 0-20% Australian fixed interest 17.5% 0-60% International fixed interest 15.5% 0-60% Cash 13.0% 0-100% Australian shares 0-60% International shares 0-60% Australian property securities 0-25% International property securities 0-25% Global infrastructure 0-20% Australian bonds 0-20% International bonds (Hedged) 0-20% Global inflation-linked securities (Hedged) 0-15% Cash 0-45% Alternative strategies 0-25% 5 Medium to high Multi-manager 10 year plus 0.30% pa Performance fee: No Buy-sell spread as at 1 July 2014: +/- 0.11% 5 Medium to high Multi-manager 7 year plus 0.56% pa Performance fee: Yes 1 Buy-sell spread as at 1 July 2014: +/- 0.16% 24 Suncorp Superannuation

25 Suncorp Universal Growth Fund Growth CPI + 3.5% over 10 years. Suncorp High Growth Portfolio High growth Aims to earn a rate of return that exceeds Consumer Price Index increases by at least 5.0% pa over rolling 10 year periods. Holds a diversified mix of growth and income investments, with a tilt towards shares, property and infrastructure. Return seeking assets and strategies with a mix of both Australian and international investments. Strategic Allocation Australian shares 36.0% 0-70% International shares 27.0% 0-60% Property 11.0% 0-60% Infrastructure 3.5% 0-20% Australian fixed interest 9.5% 0-40% International fixed interest 8.5% 0-40% Cash 4.5% 0-100% Australian shares 0-70% International shares 0-70% Australian property securities 0-30% International property securities 0-30% Global infrastructure 0-20% Australian bonds 0-10% International bonds (Hedged) 0-10% Global inflation-linked securities (Hedged) 0-10% Cash 0-20% Alternative strategies 0-35% 6 High Multi-manager 10 year plus 0.30% pa Performance fee: No Buy-sell spread as at 1 July 2014: +/- 0.17% 6 High Multi-manager 10 year plus 0.76% pa Performance fee: Yes 1 Buy-sell spread as at 1 July 2014: +/- 0.17% Suncorp WealthSmart Product Guide 25

26 Single sector investment options Suncorp Cash Fund Cash To provide a stable, cash-based investment delivering a higher return than the RBA cash rate over the full interest rate cycle. Suncorp Guaranteed Cash Fund Cash To outperform the UBS Australia Bank Bill Index over any three year period through exposure to short-term highly rated credit investments. Invest in bank deposits across a range of terms to deliver strong, secure interest income with capital stability and minimal risk. The fund is restricted to investing in debt securities issued or guaranteed by Australian government and semi-government authorities, fixed interest instruments, floating rate instruments and short-term deposits or loans, bills of exchange, promissory notes or other negotiable instruments with the average duration of the fund not exceeding 12 months. Derivatives are permitted. Suncorp Life & Superannuation Limited guarantees that the unit price of the Suncorp Guaranteed Cash Fund will not fall. Strategic Allocation Cash 100.0% 100% Strategic Allocation Cash 100.0% 100% 1 Very low 1 Very low Active Active 1 year 1 year 0.00% pa 0.50% pa Performance fee: No Performance fee: No Buy-sell spread as at 1 July 2014: Nil Buy-sell spread as at 1 July 2014: Nil 26 Suncorp Superannuation

27 Suncorp WealthSmart Term Deposits Cash To provide a stable, cash based investment delivering a fixed return over the nominated investment term. Tyndall Australian Bond Fund Australian fixed interest The fund aims to outperform the UBS Australian Composite Bond (All Maturities) Index over any three-year rolling period. Invests in fixed term deposits issued by Suncorp Bank. Strategic Allocation Cash 100.0% 100% The fund is a managed investment scheme that invests in a range of Australian fixed interest securities, and cash and short-term securities. It is designed for investors looking for income returns from a diversified portfolio of Australian fixed interest securities which is actively managed to take advantage of interest rate movements and the pricing of liquidity and credit risk in the Australian fixed income market. The fund s portfolio is predominantly comprised of investment grade securities with a Standard & Poor s long-term credit rating of A- or above. Exposure to securities with a credit rating below A- is limited to 10% of the value of the fixed interest securities of the fund. Tyndall Investment Management Limited uses multiple strategies such as duration, yield curve positioning, sector rotation and credit management to take advantage of opportunities in all parts of the Australian fixed interest market in all market conditions. Derivatives may be used however the fund s investment strategy does not permit derivatives to be used for speculative or gearing purposes. Strategic Allocation Fixed interest 100.0% % Cash and short term securities 0.0% 0-50% 1 Very low - 6 months plus 0.00% pa Performance fee: No Buy-sell spread as at 1 July 2014: Nil 3 Low to medium Active 3 years plus 0.45% pa Performance fee: No Buy-sell spread as at 31 May 2014: +/- 0.03% Suncorp WealthSmart Product Guide 27

28 Single sector investment options (continued) Vanguard Australian Fixed Interest Index Fund Australian fixed interest The fund seeks to track the return (income and capital appreciation) of the UBS Composite Bond Index TM before taking into account fund fees, expenses and tax. Vanguard International Fixed Interest Index Fund (Hedged) International fixed interest The fund seeks to track the return (income and capital appreciation) of the Barclays Global Treasury Index (hedged into Australian dollars) before taking into account fund fees, expenses and tax. Vanguard aims to hold most of the securities in the Index (360 bonds issued by the Commonwealth Government of Australia, State Government authorities and treasury corporations, as well as investment grade corporate issuers) to form the portfolio. Bonds have a finite life which means the composition of the index is constantly changing. Futures may be used to gain market exposure without investing directly in fixed interest securities. This allows Vanguard to maintain fund liquidity without being underinvested. Importantly, derivatives aren t used to leverage the fund s portfolio. The Barclays Global Treasury Index is a value-weighted index of approximately 1,200 securities (bonds) issued by the governments of approximately 34 countries. Bond indices change far more quickly than share indices because bonds have a finite life (maturity). Every maturity and inclusion of new issues changes the composition of the index and requires Vanguard to modify the portfolio. Strategic Allocation Australian fixed interest 100.0% 100% Cash 0.0% 0% Strategic Allocation International fixed interest 100.0% 100% Cash 0.0% 0% 2 Low Index 3 years plus 0.24% pa Performance fee: No Buy-sell spread as at 31 May 2014: +/- 0.10% 1 Very low Index 5 years plus 0.26% pa Performance fee: No Buy-sell spread as at 31 May 2014: +/- 0.10% 28 Suncorp Superannuation

29 Macquarie Diversified Fixed Interest Fund Diversified fixed interest The fund aims to outperform the UBS Composite Bond Index over the medium term (before fees) while providing a level of risk similar to that of an Australian fixed interest fund. It aims to provide a consistent level of income with some capital growth by using a diversified investment strategy. The fund provides exposure to an actively managed diversified portfolio of Australian fixed interest securities. The fund may also provide exposure to international fixed interest, such as global sovereign bonds, as well as an exposure to global investment grade credit securities, global high yield credit securities, emerging market debt and a range of other credit opportunities when they are expected to outperform and reduce exposure to these sectors when they are expected to underperform. Generally, exposure will be to fixed rate notes. The duration profile of the fund is actively managed through the use of derivatives such as swaps and futures. The investment process aims to reduce the risk of the fund being adversely affected by unexpected events or downgrades in the credit rating of the underlying investments. A disciplined framework is used to analyse each sector and proposed investment to assess its risk. The fund gains exposure to securities either directly or through funds managed by Macquarie and external managers. This gives Australian investors access to leading fixed interest managers around the world. Macquarie selects and continually reviews managers using a rigorous process that draws upon the resources and skills of all aspects of our investment management operations. The fund may be exposed to derivatives to implement its investment strategy. For example, protection may be purchased on issuers that are believed to be over-valued or at risk of downgrade. These positions increase in value when the underlying instrument falls in value and decrease in value when the underlying instrument rises in value. The portfolio is generally hedged to Australian dollars. Strategic Allocation Sovereign bonds* 55.0% 0-100% Investment grade # 30.0% 0-70% Global high yield 7.5% 0-20% Emerging market debt 7.5% 0-20% Credit opportunities^ 0.0% 0-20% 1 Very low Active 3 years plus 0.622% pa Performance fee: No 2 Buy-sell spread as at 31 May 2014: +/- 0.08% ^ For example: Australian RMBS, offshore ABS, bank loans and other credit related securities. * Includes Australian government, Australian semi government, supranational, global sovereign and cash. # Includes Australian and global investment grade credit. Suncorp WealthSmart Product Guide 29

30 Single sector investment options (continued) Colonial First State Wholesale Global Credit Income Fund Diversified income To provide income-based returns and to outperform the UBS Bank Bill Index over rolling three-year periods by investing in a diversified portfolio of higher yielding Australian and international fixed interest investments. Ironbark Paladin Property Securities Fund Australian property The investment objective of the fund is to outperform its benchmark, the S&P/ASX 300 A-REIT Accumulation Index, after fees, over rolling three year periods. The fund invests in a portfolio of predominantly global corporate debt investments. The fund s strategy is to earn an income return from its investments, controlling risk through careful selection and monitoring, combined with broad diversification. The increased credit risk of corporate debt means that these investments have the potential to deliver higher returns over the medium term compared to cash. The option uses derivatives to manage interest rate sensitivity and credit risk, and to hedge currency risk. The fund invests predominately in Australian property trusts and property related securities with some exposure to cash investments. The fund may also invest in unlisted Initial Public Offering ( IPO ) securities, provided those securities are expected to be listed within three months of issue. The fund may have exposure to derivatives, for investment and currency management purposes. In particular, derivatives may be used by the Investment Manager for hedging to protect an asset in the fund against market value fluctuations; to reduce volatility in the fund; as a substitute for a physical security; or when adjusting asset exposures within the investment parameters of the fund. Strategic Allocation Cash and fixed interest 100.0% 100% Strategic Allocation Property related securities 95% % Cash 5% 0-10% 3 Low to medium Active 3 year 0.62% pa Performance fee: No Buy-sell spread as at 31 May 2014: +/- 0.25% 6 High Active 5 years plus % pa 3 Performance fee: No Buy-sell spread as at 31 May 2014: +/- 0.25% 30 Suncorp Superannuation

31 Vanguard Australian Property Securities Index Fund Australian property The fund seeks to track the return (income and capital appreciation) of the S&P/ASX 300 A-REIT Accumulation Index before taking into account fund fees, expenses and tax. Vanguard International Property Securities Index Fund (Hedged) International property The fund seeks to track the return (income and capital appreciation) of the FTSE EPRA/ NAREIT Developed ex Australia Rental Index, (with net dividends reinvested) hedged into Australian dollars before taking into account fees, expenses and tax. The S&P/ASX 300 A-REIT Index comprises between 20 and 30 property securities (shares) listed on the Australian Securities Exchange (ASX). The number of securities in the index may vary from time to time. These securities are real estate investment trusts and companies that own real estate assets and derive a significant proportion of their revenue from rental income. The fund will hold all of the securities in the index most of the time, allowing for individual security weightings to vary marginally from the index from time to time. The fund may invest in securities that have been removed from or are expected to be included in the index. The securities within the index are real estate investment trusts and companies that own real estate assets and derive a significant proportion of their revenue from rental income. The fund meets its investment strategy by investing in the Vanguard International Property Securities Index Fund, securities in the index and forward foreign exchange contracts. Strategic Allocation Australian listed property 100.0% 100% Strategic Allocation International property securities (hedged) 100.0% 100% 7 Very high Index 5 years plus 0.24% pa Performance fee: No Buy-sell spread as at 31 May 2014: +/- 0.15% 7 Very high Index 5 years plus 0.43% pa Performance fee: No Buy-sell spread as at 31 May 2014: +/- 0.30% Suncorp WealthSmart Product Guide 31

32 Single sector investment options (continued) Ausbil Australian Active Equity Fund Australian shares Aims to outperform the S&P/ASX 300 Accumulation Index over the medium-to-long term with moderate tax-effective income by investing in a portfolio of listed Australian equities that are generally chosen from the S&P/ASX 300 Index. BT Wholesale Imputation Fund Australian shares The fund aims to provide a return (before fees, costs and taxes) that exceeds the S&P/ASX 300 Accumulation Index over the medium-to-long term. Ausbil employs a four-stage process to provide the framework for portfolio construction consistent with its active, core investment process as follows: macro analysis sectoral analysis stock selection portfolio construction. This fund is designed for investors who want the potential for long term capital growth and tax effective income, diversification across a broad range of Australian companies and industries and are prepared to accept higher variability of returns. The fund is an actively managed portfolio of Australian shares, including Australian property and convertible preference shares, that offer above average income returns. The fund may also hold cash and may use derivatives. BTIM s investment process for Australian shares is based on our core investment style and aims to add value through active stock selection and fundamental company research. BTIM s core investment style is to select stocks based on our assessment of their long term worth and ability to outperform the market, without being restricted by a growth or value bias. BTIM s fundamental company research focuses on four key factors: valuation, financial risk, franchise and management quality. Strategic Allocation Australian shares 100.0% % Cash 0.0% 0-10% Strategic Allocation Australian shares 100.0% % Australian property 0.0% 0-15% Convertible preference shares 0.0% 0-15% Cash 0.0% 0-15% 6 High Core 5 years plus 0.90% pa Performance fee: No Buy-sell spread as at 31 May 2014: +/- 0.25% Performance fee: Buy-sell spread as at 31 May 2014: 6 High Core 5 years plus 0.90% pa No +0.50% / Nil 32 Suncorp Superannuation

33 Fidelity Australian Equities Fund Australian shares To achieve a return (before fees, costs and taxes) that exceeds the S&P/ASX 200 Accumulation Index over a period of five to seven years. Ibbotson Australian Shares Active Trust Australian shares Aims to maximise outperformance relative to the S&P/ASX 300 Accumulation Index over rolling 7 year periods by investing predominantly in listed Australian shares. Fidelity believes that markets are semi-efficient and share prices don t always reflect inherent value. Through in-house, bottom-up company research, Fidelity aims to uncover the opportunities which they believe offer the greatest scope for outperformance. Based on this research approach, the portfolio manager seeks out stocks that they believe are undervalued and likely to generate growth. The companies selected for the portfolio must demonstrate good management, strong competitive advantages and favourable industry dynamics. Fidelity makes contact with each company in the portfolio every 90 to 120 days to constantly refresh the investment thesis and to ensure that the company is continuing to perform in line with the fund s objectives. The portfolio is invested predominantly across listed Australian shares. Strategic Allocation Australian shares 100.0% % Cash 0.0% 0-10% Australian shares % International shares 0-20% Cash 0-10% 6 High Growth 5 years plus 0.85% pa Performance fee: No Buy-sell spread as at 31 May 2014: +/- 0.25% 6 High Multi-manager 7 years plus 0.62% pa Performance fee: Yes 1 Buy-sell spread as at 1 July 2014: +/- 0.15% Suncorp WealthSmart Product Guide 33

34 Single sector investment options (continued) Perennial Growth Shares Wholesale Trust Australian shares To grow the value of your investment over the long term via a combination of capital growth and tax effective income by investing in a diversified portfolio of growth oriented Australian shares and to provide a total return (after fees) that exceeds the S&P/ASX 300 Accumulation Index measured on a rolling three-year basis. Perpetual Wholesale Industrial Fund Australian shares Aims to provide long-term capital growth and regular income through investment in quality Australian industrial shares. The fund aims to outperform the S&P/ASX 300 Industrial Accumulation Index (before fees and taxes) over rolling three-year periods. Perennial Growth, the investment manager, seeks to invest in companies that offer profitable growth prospects at attractive prices. Perennial Growth believes that growing companies generate the most value for shareholders and that these companies attract management interested in building businesses rather than merely managing them. Perennial Growth s investment process also takes into account the effect that competitive forces have on a company s growth prospects. Perpetual researches companies of all sizes using consistent share selection criteria. Perpetual s priority is to select those companies that represent the best investment quality and are appropriately priced. In determining investment quality, investments are carefully selected on the basis of four key investment criteria: conservative debt levels, sound management, quality business, and recurring earnings. Derivatives may be used in managing the fund. Strategic Allocation Australian shares 100.0% % Cash 0.0% 0-10% Strategic Allocation Australian shares 100.0% % 4 Cash 0.0% 0-10% 6 High Growth, large cap 5 years plus 0.92% pa Performance fee: No Buy-sell spread as at 31 May 2014: +/- 0.30% Performance fee: Buy-sell spread as at 31 May 2014: 6 High Value 5 years plus 0.99% pa No +0.30% / Nil 34 Suncorp Superannuation

35 Suncorp Australian Shares Fund Australian shares The fund aims to provide distributable income and achieve capital growth over time. The fund aims to outperform the S&P/ASX 200 Accumulation Index by more than 0.8% over rolling three-year periods. Tyndall Australian Share Wholesale Portfolio Australian shares The fund aims to outperform the S&P/ASX 200 Accumulation Index by more than 2.5% p.a. over rolling five-year periods. The fund aims to meet its objective by investing in a diversified range of securities listed on the Australian Stock Exchange. The fund is a managed investment scheme that invests predominantly in a selection of listed Australian shares, with a strong preference for readily marketable securities. The fund is designed for investors looking for long-term returns (capital growth and income) from a portfolio of shares which is actively managed by an investment team that seeks to identify shares that represent good value. Tyndall Investment Management Limited applies its Comparative Value Analysis process and risk management tools to select intrinsic value investments that offer the best compromise between risk and expected return. The fund may retain exposure to a company that ceases to be listed on the ASX by holding shares in the same company listed on any international exchange. The fund may invest in shares that are expected to be listed within six months. Derivatives may be used however the fund s investment strategy does not permit derivatives to be used for speculative or gearing purposes. Strategic Allocation Australian shares 100.0% % Cash 0.0% 0-15% Strategic Allocation Australian shares 100.0% % Cash and short term securities 0.0% 0-10% Performance fee: Buy-sell spread as at 1 July 2014: 6 High Multi-manager 5-7 years 0.25% pa No Nil 6 High Value 5 years plus 0.80% pa Performance fee: No Buy-sell spread as at 31 May 2014: +/- 0.30% Suncorp WealthSmart Product Guide 35

36 Single sector investment options (continued) Vanguard Australian Shares Index Fund Australian shares The fund seeks to track the return (income and capital appreciation) of the S&P/ASX 300 Accumulation Index before taking into account fund fees, expenses and tax. Ausbil Australian Emerging Leaders Fund Australian shares - specialist The aim of the fund is to outperform the benchmark (70% S&P/ASX Midcap 50 Accumulation Index and 30% S&P/ASX Small Ordinaries Accumulation Index) over the medium-to-long term. The fund invests in listed Australian equities primarily chosen from the S&P/ASX 300 Index, but generally exclude securities from the S&P/ASX 50 Leaders Index. The S&P/ASX 300 Index comprises approximately 300 of the largest companies (shares) listed on the Australian Securities Exchange (ASX). The index represents approximately 85 per cent of the value of all Australian-based companies and property trusts listed on the ASX. The fund will hold most of the securities in the index, allowing for individual security weightings to vary marginally from the index from time to time. The fund may invest in securities that have been removed from or are expected to be included in the index. Ausbil employs a four-stage process to provide the framework for portfolio construction consistent with its active management investment philosophy, as follows: macro analysis sectoral analysis stock selection portfolio construction. Strategic Allocation Australian shares 100.0% 100% Strategic Allocation Australian small-to-mid cap company shares 100.0% % Cash 0.0% 0-10% 7 Very high Index 5 years plus 0.18% pa Performance fee: No Buy-sell spread as at 31 May 2014: +0.15% / -0.10% 5 Medium to high Core 5 years plus 0.56% pa Performance fee: Yes 5 Buy-sell spread as at 31 May 2014: +/- 0.30% 36 Suncorp Superannuation

37 Perpetual Wholesale Geared Australian Fund Australian shares - specialist Aims to enhance long-term capital growth through borrowing (gearing) to invest in quality industrial and resource shares. The fund aims to outperform the S&P/ASX 300 Accumulation Index (before fees and taxes) over rolling three-year periods. Tyndall Australian Share Income Fund Australian shares - specialist The fund aims to provide a tax-effective income stream that exceeds the dividend yield of the S&P/ASX 200 Accumulation Index (grossed up for franking credits) by 2% p.a. over rolling five-year periods plus the potential for capital growth over the long term. Perpetual research companies of all sizes using consistent share selection criteria. Perpetual s priority is to select those companies that represent the best investment quality and are appropriately priced. In determining investment quality, investments are carefully selected on the basis of four key investment criteria: conservative debt levels, sound management, quality business, and in the case of industrial shares, recurring earnings. The gearing level of the fund must be kept within predetermined guidelines. Within these, Perpetual aims to ensure that the gearing level is maximised, subject to the cost of borrowing being adequately covered by net income. Derivatives may be used in managing the fund, including for gearing purposes. The fund is a managed investment scheme that invests primarily in a selection of shares issued by the largest 200 companies listed on the ASX with a preference for readily marketable shares that deliver tax-effective income. It is designed for investors, seeking a tax-effective income stream and the potential for long-term returns (capital growth and income). Stocks are selected via an active, bottom-up, stock picking process using Tyndall Investment Management Limited s intrinsic value approach. The fund is managed primarily for grossed up yield and secondly for capital growth. A tax-effective return is achieved through: low turnover to minimise capital gains tax a selection of stocks that provide dividends, distributions, franking credits or tax-deferred income a selection of stocks that have capital structures where off-market buy-backs or capital returns are likely use of derivatives to manage tax exposures and generate additional income. Strategic Allocation The fund s investment strategy does not permit derivatives to be used for speculative or gearing purposes. Australian shares 100.0% % 6 Cash 0.0% 0-10% Strategic Allocation Gearing level n/a 0-60% 7 Australian shares and hybrids 100.0% % Cash and short term securities 0.0% 0-20% 7 Very high Value 7 years plus 1.17% (gross) / 2.34% (net) pa 8 Performance fee: No Buy-sell spread as at 31 May 2014: +/ % 5 Medium to high Value 5 years plus 0.95% pa Performance fee: No Buy-sell spread as at 31 May 2014: +/- 0.30% Suncorp WealthSmart Product Guide 37

38 Single sector investment options (continued) Zurich Investments Equity Income Fund Australian shares - specialist To provide investors with regular income and some capital growth from the Australian share market. The fund aims to provide 10% gross running yield per annum over rolling three year periods before fees and taxes. Grant Samuel Epoch Global Equity Shareholder Yield (Unhedged) Fund International shares The fund s goal is to generate superior risk adjusted returns with a dividend yield that exceeds the dividend yield of the benchmark (MSCI World ex-australia Index in A$, Net dividends reinvested) over a period of 5-7 years. The fund invests in a range of securities listed on the Australian Stock Exchange that are expected to deliver a regular income stream. The fund maintains a portfolio of bought and sold options over shares and equity index futures in order to deliver additional income and reduce investment risk. Strategic Allocation Australian shares % % Cash 0.0% 0-40% The fund pursues attractive total returns with an above average level of income by investing in a diversified portfolio of global companies with strong and growing free cash flow. Companies in the portfolio possess managements that focus on creating value for shareholders through consistent and rational capital allocation policies with an emphasis on cash dividends, share repurchases and debt reduction the key components of shareholder yield. The portfolio generally holds between 90 and 120 stocks from equity markets worldwide, with risk controls to diversify the sources of shareholder yield and minimise volatility. Epoch s chief risk officer is a co-portfolio manager on all its strategies which highlights the importance of risk management in Epoch s investment process. In addition, while the portfolio is constructed from the bottom up, decisions are made with consideration of the macro context. Epoch s Investment Policy Group, composed of senior members of its different strategy groups, provides insight and guidance on the global market environment and macroeconomic and industry trends. Epoch invests with the expectation that not only will the company meet their current shareholder yield targets but that it will also grow and meet these targets again the following year. Sales, or reductions in securities, in this buy and hold philosophy occur when managements do not maintain a capital allocation philosophy consistent with Epoch s shareholder yield philosophy eg. they do not use capital to buy back shares, pay dividends or reduce debt as promised. Additional position adjustments may occur if industry or company specific changes negatively impact the company s ability to either generate or pay shareholder yield. Cash 0-10% Equities % 6 High Income focus - option overlay 5 years plus 1.87% pa Performance fee: No Buy-sell spread as at 31 May 2014: +/- 0.15% 5 Medium to high Value 5-7 years 1.25% pa Performance fee: No Buy-sell spread as at 31 May 2014: +/- 0.20% 38 Suncorp Superannuation

39 Platinum International Fund International shares To provide capital growth over the long-term through searching out undervalued listed (and unlisted) investments around the world. The fund aims to outperform the MSCI All Country World Net Index (A$) over rolling five-year periods before fees and taxes. Suncorp Global Shares Fund International shares To provide strong long-term capital growth by investing in the global sharemarket. The fund aims to outperform (before ongoing fees) the MSCI All Countries World Index ex Australia (with net dividends re-invested) in A$ (unhedged) over rolling five-year periods. The fund primarily invests in listed securities. The Portfolio will ideally consist of 100 to 200 securities that Platinum believes to be undervalued by the market. Cash may be held when undervalued securities cannot be found. Platinum may short sell securities that it considers overvalued. Platinum may use Derivatives for risk management purposes and to take opportunities to increase returns. The underlying value of Derivatives may not exceed 100% of the Net Asset Value (NAV) of the fund; and the underlying value of long stock positions and Derivatives will not exceed 150% of the NAV of the fund. The Portfolio will typically have 50% or more net equity exposure. The fund s currency exposures are actively managed. The fund invests in a combination of international investment managers, each with their own particular investment strategy. Derivatives are permitted to ensure a balance of return and risk. Strategic Allocation International shares n/a 0-100% Fixed income and cash n/a 0-100% Strategic Allocation International shares 100% % Fixed income and cash 0.0% 0-20% 5 Medium to high Long-short 5 years plus 1.54% pa Performance fee: No Buy-sell spread as at 31 March 2014: +/- 0.25% Performance fee: Buy-sell spread as at 1 July 2014: 6 High Multi-manager 5 years plus 0.80% pa No Nil Suncorp WealthSmart Product Guide 39

40 Single sector investment options (continued) Vanguard International Shares Index Fund International shares The fund seeks to track the return (income and capital appreciation) of the MSCI World ex- Australia Index (with net dividends reinvested) in Australian dollars before taking into account fund fees, expenses and tax. Walter Scott Global Equity Fund International shares The fund aims to achieve a long-term total return (before fees and expenses) that exceeds the MSCI World ex Australia Index, in $A unhedged with net dividends reinvested. The MSCI World ex-australia Index comprises approximately 1,600 securities (shares) listed on the exchanges of approximately 23 of the world s major developed economies. The fund will hold most of the securities in the index, allowing for individual security weightings to vary marginally from the index from time to time. The fund may invest in securities that have been removed from or are expected to be included in the index. The fund will be fully exposed to the fluctuating values of foreign currencies, as there will not be any hedging of foreign currencies to the Australian dollar. The fund provides exposure to a concentrated portfolio of global equities by investing in securities which, in Walter Scott s opinion, offer strong and sustained earnings growth. The fund is actively managed using a benchmark unaware, fundamental, bottom-up and research-driven approach to build a portfolio of strong growth companies capable of generating wealth over long periods of time. The investment approach combines detailed financial analysis with business and management analysis. The portfolio is constructed with a primary focus on stock-based analysis and a bias towards strong growth companies which Walter Scott believes are capable of generating high earnings growth. The fund may be exposed to derivatives to either obtain or reduce market exposures. The fund may use foreign exchange spot contracts to facilitate settlement of stock purchases. The fund s exposure to international assets is unhedged. Strategic Allocation International shares 100.0% 100% Strategic Allocation International shares n/a % Cash n/a 0-10% 7 Very high Index 7 years plus 0.18% pa Performance fee: No Buy-sell spread as at 31 May 2014: +0.15% / -0.10% 6 High Growth 7 years plus 1.28% pa Performance fee: No Buy-sell spread as at 31 May 2014: +0.19% / -0.14% 40 Suncorp Superannuation

41 BlackRock Global Allocation Fund International shares - specialist The fund aims to provide high total investment returns through a fully managed investment policy utilising international equity securities, debt and money market securities, the combination of which will be varied from time to time both with respect to types of securities and markets in response to changing market and economic trends. The fund aims to outperform its reference benchmark before fees over a full market cycle. Total return means the combination of capital growth and investment income. Currency is actively managed in the fund around a fully hedged A$ benchmark. The reference benchmark is comprised of the following indices (Hedged in A$): 36% S&P 500, 24% FTSE World (ex.-us), 24% BofA ML Current 5-year US Treasury Bonds, 16% Citigroup (non-us$) World Government Bonds. The investment process combines a top-down approach with bottom up security selection. The top down analysis provides the broad direction for the fund s asset allocation, with the key objective being identifying asset classes which appear to be meaningfully under or over-valued. The bottom-up security selection process means investments are based on research and analysis of individual securities to determine their investment merits. This process assists in validating the overall direction derived from the top-down analysis and focuses on identifying securities with attractive risk/reward profiles. Colonial First State Global Resources Fund International shares - specialist To provide long-term capital growth by predominantly investing in resource companies from around the world. The option aims to outperform the HSBC Global Mining Accumulation Index (75%) and the MSCI All Country World Energy Net Index (25%) over rolling five-year periods before fees and taxes. To add value over the medium-to-long term by investing in quality global resource companies. Rather than attempting to predict commodity price movements, Colonial First State chooses to focus on quality resource companies all over the world. Companies typically have strong balance sheets, quality management, high quality assets and a low cost of production. The fund does not hedge currency risk. Strategic Allocation Shares 60.0% 0-100% Fixed income and cash 40.0% 0-100% Strategic Allocation Australian and global shares 100.0% % Cash 0.0% 0-10% 6 High Total return 5 years plus 0.20% pa Performance fee: Yes 10 Buy-sell spread as at 31 May 2014: +/- 0.30% 7 Very high Core 7 years 1.18% pa Performance fee: No Buy-sell spread as at 31 May 2014: +/- 0.30% Suncorp WealthSmart Product Guide 41

42 Single sector investment options (continued) Lazard Global Small Cap Fund International shares - specialist The fund seeks to achieve total returns (including income and capital appreciation and before the deduction of fees and taxes) that exceed those of the MSCI World Small Cap Accumulation Index ( the benchmark ) by 3% per annum over rolling three-year periods. The investment strategy of the fund is to provide investors with access to investments in global small companies in any geographical location. Lazard Asset Management (LAM) considers global small cap equity securities to have market capitalisations generally between US$300 million and US$5 billion and to be domiciled in countries in the benchmark. The number of securities will generally range from 60 to 90 which means LAM makes active decisions as to which securities the fund holds. The fund cannot invest: more than 5% of its assets in the equity securities (including equity like and securities convertible into equity securities) of any one issuer at the time of purchase; more than 10% of the outstanding equity securities (including equity like and securities convertible into equity securities) of any one issuer, and more than 25% of its assets in the equity securities (including equity like and securities convertible into equity securities) of issuers located in emerging market countries. Emerging market countries will be determined by LAM but are generally considered to be countries not included in the benchmark. Strategic Allocation International shares 100.0% % Cash 0.0% 0-5% 6 High Value 5 years plus 0.97% pa Performance fee: No Buy-sell spread as at 31 May 2014: +/- 0.50% 42 Suncorp Superannuation

43 Closed investment options The following investment option is closed to new members. Members who currently have an investment in this investment option may continue to invest in it. Suncorp Traditional Capital Guaranteed Fund Secure To provide a capital guarantee and maximise returns from a balanced mix of shares, property, alternative growth assets, fixed interest securities and cash. The fund aims to earn a rate of return that exceeds Consumer Price Index increases by at least 1% p.a. over a rolling 10 year period. The option is designed to hold a diversified mix of growth and defensive assets with an emphasis on defensive assets. Strategic Allocation 11 Australian shares 5.0% International shares (Hedged) 5.0% Infrastructure and property 10.0% Alternatives 10.0% Australian fixed interest 15.0% Cash 55.0% 20-40% 60-80% Performance fee: Buy-sell spread as at 1 July 2014: 1 Very low Multi-sector Up to 3 years 0.40% pa No Nil Suncorp WealthSmart Product Guide 43

44 Specific notes 1. All Suncorp diversified investment options and Ibbotson Australian Shares Active Trust Certain underlying investment managers and underlying Ibbotson Associates trusts may charge performance fees. These fees are payable if the relevant investment manager meets specific investment performance targets. Performance fees are structured so that an investment manager s remuneration is linked to the investment return achieved over an appropriate benchmark index. Underlying investment managers performance fees are typically between 10.25% and 30.75% pa of performance in excess of the relevant benchmark index, although they can be higher or lower. For trusts managed by Ibbotson Associates which charge a performance fee, the performance fee is currently 10.25% pa of performance in excess of the relevant benchmark and can be changed so long as it is within the maximum of 25% pa permitted by the relevant trust constitution. Where Ibbotson Associates charges performance fees in the underlying Ibbotson trusts a sufficient number of units are redeemed in the trusts to fund payment of the performance fee. Any performance fees payable that aren t covered by the investment fee will be an additional cost to you. The method of charging performance fees (including the performance amount of the performance fee) may change in the future. Members will be notified via the monthly investment performance report (available via suncorp.com.au/super) if performance fee arrangements change and result in the estimated performance fees exceeding the range disclosed. 2. Macquarie Diversified Fixed Interest Fund The fund does not charge a performance fee but may invest in underlying funds (including other funds managed by Macquarie) that charge performance fees. Such performance fees will be borne by the fund and reflected in the fund s unit price. Performance fees for underlying funds will generally not exceed 25% of the outperformance of the underlying fund over its benchmark. It is not possible to reliably estimate what the performance fee of an underlying fund will be for the following reasons: the underlying funds and the amount invested in those underlying funds may vary the methodology employed by each underlying fund or manager in calculating the performance fee may differ, and Macquarie cannot accurately forecast what the performance of the underlying fund will be in any given period or provide a forecast of what the performance fee will be. 3. Ironbark Paladin Property Securities Fund The investment fee constitutes 0.75% pa (Management Fee) % (Estimated Expense Recovery at 31 March 2014) of the net asset value of the fund. This information will be updated quarterly and will be available at Please note that Expense Recovery is capped at 0.225% pa. 4. Perpetual Wholesale Industrial Fund Where shares held in the portfolio de-list from an Australian exchange and the holdings are tradable on an international exchange, the stock must be sold within 12 months of de-listing. Currency hedges may be used from time to time. 5. Ausbil Australian Emerging Leader Fund A performance fee may be payable by the Fund. This fee is only payable where the Fund outperforms the relevant performance hurdle. The performance fee is set at % of the gross (inclusive of management fees) amount of outperformance. The performance hurdle is the return of the benchmark, which is 70% S&P/ASX Midcap 50 Accumulation Index and 30% S&P/ASX Small Ordinaries Accumulation Index, plus 0.85%. 6. Perpetual Wholesale Geared Australian Fund The fund invests primarily in Australian listed or soon to be listed shares but may have up to 20% exposure to stocks outside Australia. Currency hedges may be used from time to time. 7. Perpetual Wholesale Geared Australian Fund The gearing level is the fund s borrowings divided by the total gross value of assets. It will depend on the present levels and future expectation of the fund s net income (income after fees and expenses and excluding franking credits) and the cost of borrowings. If the fund s gearing level exceeds 60% (due to withdrawals or negative market movements), Perpetual will reduce the gearing level to 60% (or lower) within a reasonable period of time by repaying part of the borrowings through inflows or selling some of the fund s assets. 8. Perpetual Wholesale Geared Australian Fund The percentages quoted are based on the fund s gross asset value and net asset value. If the average gearing level is 50%, the management cost will be 2.340% of net asset value. If the average gearing level over the year is higher than 50%, the management cost will be higher than 2.340%. The maximum cost under the fund s constitution is 5% of the gross asset value of the fund. 9. Zurich Investments Equity Income Fund The fund s long term asset allocation to Australian shares of % is reduced to an effective exposure of between 25% to 75% of the fund (but with a maximum of 85%, and a benchmark of 50%). This is achieved by selling options against the physical Australian shares, and buying options to control and manage portfolio risk, as well as to generate income. The process of buying and selling options results in an effective exposure which differs from that of the actual physical assets. The balance of the fund will be then held in Australian cash. 10. BlackRock Global Allocation Fund * BlackRock Investment Management (Australia) Limited is currently entitled to a performance fee of 12.5% of any out-performance of the fund above a defined High Water Mark level. The fee is accrued daily and paid monthly out of the fund s assets. 11. Suncorp Traditional Capital Guaranteed Fund SLSL may depart from the allocations and ranges. 44 Suncorp Superannuation

45 Information about the investment managers References to we, us and our in this section refer to the investment manager. Ausbil Dexia Limited Ausbil Dexia Limited (Ausbil) is an Australian equities specialist with approximately $9.3 billion in funds under management as at 31 May Established in April 1997, Ausbil is a joint venture between senior members of the Australian investment/management team and Dexia Asset Management, the asset management arm of the Dexia Group. Ausbil offers its clients the focus and specialisation of an employee-owned boutique backed by the financial integrity of a global banking partner. BlackRock Investment Management (Australia) Limited (ABN , AFSL ) BlackRock is a leader in investment management, risk management and advisory services for institutional and retail clients worldwide. At March 31, 2014, BlackRock s AUM was $4.401 trillion. BlackRock helps clients meet their goals and overcome challenges with a range of products that include separate accounts, mutual funds, ishares (exchange-traded funds), and other pooled investment vehicles. BlackRock also offers risk management, advisory and enterprise investment system services to a broad base of institutional investors through BlackRock Solutions. Headquartered in New York City, as of March 31, 2014, the firm had approximately 11,500 employees in 30 countries and a major presence in key global markets, including North and South America, Europe, Asia, Australia and the Middle East and Africa. For additional information, please visit the Company s website at BT Investment Management (Institutional) Limited (ABN , AFSL ) (BTIM) BT Investment Management (Institutional) Limited is a wholly owned subsidiary within the BT Investment Management group of companies. BT Investment Management has a unique multi-boutique structure aligning its clients interests with BTIM s own. This approach brings together multiple investment boutiques run by experienced fund managers who have a real financial interest in the decisions they make, and the returns they generate for their investors. BTIM believes this approach firmly positions it to achieve outstanding risk-adjusted returns for its clients. BTIM offers investors a range of investment choices including Australian Shares and listed property, fixed income and cash, absolute return investments, international shares and property. To complement its in-house expertise, BTIM also partners with leading global and domestic investment managers. BT Investment Management is listed on the Australian Securities Exchange and manages $62.1 billion* (31 March 2014) for investors. BT Investment Management is majority owned by the Westpac Group. * includes J O Hambro Capital Management assets under management. Colonial First State Investments Limited Colonial First State (CFS) is committed to delivering quality investment solutions which enhance the wealth of our investors. CFS is the largest Australian based investment manager, with a growing presence in selected international markets. Our specialist investment teams manage portfolios across a diverse range of global markets, investment styles and asset classes, including Australian equities, global equities, global emerging market equities, global resource equities, global property securities, global listed infrastructure securities, global fixed interest and credit and short term investments. In addition, we have a direct asset management business which offers investors specialist property and infrastructure investments. Our aim as an investment manager is to understand and manage risk appropriately relative to the return objectives of the funds we manage. We do this through the implementation of disciplined investment and risk management processes. CFS is also a signatory to the United Nations Principles for Responsible Investment, a framework we follow to incorporate environmental, social and governance issues into our investment process. Our approach to investment is driven by a commitment to providing the best possible outcomes over the long term for our investors. To achieve this, we ensure our interests are aligned with our investors and uphold a culture of always acting in our clients best interests. Suncorp WealthSmart Product Guide 45

46 Information about the investment managers (continued) Epoch Investment Partners, Inc. Epoch Investment Partners, Inc. (Epoch), a New York-based global asset management firm, was formed in 2004 and provides a variety of U.S. and global equity investment strategies to clients worldwide. Epoch became a wholly owned subsidiary of The Toronto Dominion Bank in March 2013 and it continues to be led by three of the founders: Bill Priest, David Pearl and Tim Taussig. Epoch is registered as an investment adviser with the SEC. At the cornerstone of Epoch s investment philosophy and process is its belief that the growth and application of free cash flow represents the best predictor of long term shareholder return. As a result, Epoch s security selection process is focused on free-cash-flow metrics and capital allocation as opposed to traditional accounting based metrics such as price-to-book and price-to-earnings. In Epoch s view, the key to producing superior risk-adjusted equity returns is the identification of companies with a consistent ability to both generate free cash flow and to properly allocate it either: to internal reinvestment opportunities and acquisitions; or return to shareholders as dividends, share repurchases and debt repayments which Epoch define as shareholder yield. Fidelity Worldwide Investment Fidelity Worldwide Investment (Fidelity) is one of the world s largest investment institutions. But size is not our only advantage. At Fidelity, we combine the strength of our size with a proprietary investment process that we believe provides a clear advantage in picking stocks that will outperform over the long term. Fidelity s global network of investment professionals have visibility of markets and companies few other fund managers can match. In fact, we have one of the largest buy-side research teams in the world, with over 350 investment professionals on the ground in 12 countries 1. No matter which country a company operates in, we can call on our own resources to research its local and offshore connections first-hand. Importantly, our global resources enable us to refresh our views on these companies every 90 days 2. Add to this our ability to talk to a company s competitors, suppliers, distributors and customers and we can create a proprietary three dimensional view. All this information is then shared seamlessly across the Fidelity network of investment professionals, effectively making every piece of information hundreds of times more valuable. 1. As at 31 March For smaller companies we make contact at least every 120 days. Ibbotson Associates Australia Limited Ibbotson Associates is a leading provider of asset allocation, portfolio construction and investment research services with over 30 years experience in the United States, Australia and other international markets. Ibbotson advises and manages funds for superannuation funds, institutions, platform distributors, financial advisers and individuals. Ibbotson leverages its in-depth research to deliver innovative investment solutions, help investors reach their financial goals, and provide independent investment thought leadership. Ibbotson is a unit of Morningstar s Investment Management division. Ibbotson s experienced investment professionals research potential investment managers, asset classes and investment strategies and then combine these in a way which they believe is most likely to deliver on the Trust s investment objective. Ibbotson s investment process involves a structured decision making framework which provides the necessary flexibility to respond to the dynamic nature of markets, while maintaining the direction and structure that a well thought out and disciplined investment process provides investors. In its diversified trusts, Ibbotson will dynamically allocate across asset classes, within allowable ranges, guided by long-term economically justified relationships between asset prices, valuations, and fundamentals. 46 Suncorp Superannuation

47 Ironbark Asset Management (Fund Services) Limited As an independent provider of best in class asset management solutions, Ironbark Asset Management ( Ironbark ) seeks to build investment solutions that are relevant and meet the needs of its distributors and investors. To achieve this, Ironbark invests in quality people to deliver the highest service standards. Through our strategic partnerships with international and Australian fund managers, we provide investment solutions across a diverse range of asset classes including Australian and international securities, alternative investments, domestic and global property securities, and fixed income securities. Lazard Asset Management Pacific Co. Lazard Asset Management Pacific Co. (Lazard Pacific) is a subsidiary of Lazard Asset Management (LAM). LAM provides investment management services to Lazard Pacific for Australian-based clients for specified products. Lazard Pacific is responsible for managing assets for its clients across domestic equities, global equities, fixed income and alternative assets. At 31 March 2014, LAM managed more than A$182 billion in assets worldwide, of which Lazard Pacific managed over A$19 billion on behalf of its clients. LAM has research analysts in the USA, Australia, Japan, Korea, the UK, Singapore and Germany. Macquarie Investment Management Limited Macquarie Investment Management Limited is a responsible entity for Macquarie Investment Management s business activities in Australia. Part of the Macquarie Group, Macquarie Investment Management offers securities investment management expertise across a range of asset classes including fixed interest, listed equities (domestic and international) and infrastructure securities. It delivers a full-service offering to both institutional and retail clients in Australia and the US, with selective offerings in other regions. Macquarie Investment Management also partners with selected specialist investment managers to bring their signature strategies to you through the Macquarie Professional Series. As at 31 March 2014, Macquarie Investment Management had over $310 billion of assets under management and a team of over 900 staff. Perennial Investment Partners Limited Perennial is a specialist active funds management firm whose business objective is to manufacture superior investment outcomes for clients. Perennial operates as a suite of specialist, active boutique investment management businesses who collectively manage approximately $19 billion as at 31 March The structure of Perennial has been designed to create and foster a specialist investment management culture, allowing the investment professionals to focus on investing. Under this structure, Perennial shares equity ownership of each boutique investment management business with key professionals who work in that business. Perennial believes that the boutique structure cultivates an environment where the interests of investors and investment professionals are more clearly aligned. This approach has led to superior performance in many of Perennial s investment management capabilities. Perpetual Investment Management Limited Perpetual Investment Management Limited (Perpetual Investments) is one of Australia s leading investment managers, with $29.7 billion in funds under management (as at 31 March 2014). Perpetual Investments is part of the Perpetual Group, which has been in operation for 125 years. By employing some of the industry s best investment specialists and applying a proven investment philosophy, Perpetual Investments has been able to help generations of Australians manage their wealth. Suncorp WealthSmart Product Guide 47

48 Information about the investment managers (continued) Platinum Asset Management Platinum Investment Management Limited trading as Platinum Asset Management ( Platinum ) is an Australian-based manager specialising in international equities. Platinum manages approximately $23 billion (as at 31 March 2014) with approximately 13% of funds from investors in New Zealand, Europe, America and Asia. Platinum s investment strategy is applied with the aim of achieving absolute returns for investors. Platinum is owned by Platinum Asset Management Limited ABN , a company listed on the Australian Securities Exchange. The majority of issued shares, however, remain held by staff (and related parties). Tyndall Investment Management Limited (Tyndall AM) Established in 1989, Tyndall Investment Management Limited (Tyndall AM) ABN AFS Licence is an award-winning Australian investment manager, specialising in Australian shares, international shares, Australian fixed interest, international fixed interest and alternative assets. Our management style is active and disciplined. As at 31 December 2013, Tyndall AM s investment teams manage approximately AUD 23 billion in funds on behalf of retail and institutional investors, private clients, superannuation funds and charitable trusts. Tyndall AM is part of the Nikko Asset Management Co., Ltd. (Nikko AM) Group, Asia s premier global asset management company headquartered in Tokyo, with approximately AUD 182 billion in funds under management (as at 31 December 2013). Vanguard Investments Australia Ltd With over A$3 trillion (US$2.8 trillion) in assets under management in the US and through subsidiaries worldwide as of 31 March 2014, including A$387 billion (US$350 billion) in ETFs, The Vanguard Group, Inc. is one of the world s largest global investment management companies. In Australia, Vanguard has been serving financial advisers, retail clients and institutional investors for more than 16 years. Walter Scott & Partners Limited Macquarie Investment Management Limited (Macquarie) is the responsible entity for the Walter Scott Global Equity Fund. Macquarie has appointed Walter Scott & Partners Limited (Walter Scott) as investment manager of the Walter Scott Global Equity Fund. Walter Scott is an independent global investment manager established in 1983, in Edinburgh, Scotland. Walter Scott has a wealth of experience in global equity investment and currently manages $73.7 billion (as at 31 March 2014) in assets for its global client base. Walter Scott is a classical, fundamental and long-term growth manager. Zurich Investment Management Limited Zurich Investment Management Limited (Zurich Investments) is a subsidiary of Zurich Financial Services Australia Limited, which is part of the worldwide Zurich Financial Services Group based in Switzerland. In Australia, Zurich s core lines of business are general insurance, life risk, investments and superannuation solutions. Zurich Investments provides exclusive access to specialist investments by combining the expertise of specialist fund managers with the distribution and customer service strength of Zurich. 48 Suncorp Superannuation

49 6 Fees and costs This section of the Product Guide shows fees and costs that you may be charged. The fees and costs for Suncorp WealthSmart may be deducted from your account balance, from the returns on your investment or from the Fund assets as a whole. Taxes and insurance costs are set out later in this Product Guide. You should read all the information about fees and costs because it s important to understand their impact on your investment. In this Product Guide where we refer to other investment options we mean Suncorp WealthSmart Business Super investments that are not the Suncorp Lifestage Fund. Where we refer to your other balance we mean your balance in the other investment options. DID YOU KNOW? Small differences in both investment performance and fees and costs can have a substantial impact on your long-term returns. For example, total annual fees and costs of 2% of your fund balance rather than 1% could reduce your final return by up to 20% over a 30-year period (for example, reduce it from $100,000 to $80,000). You should consider whether features such as superior investment performance or the provision of better member services justify higher fees and costs. Your employer may be able to negotiate to pay lower administration fees. Ask the fund or your financial adviser. 1 TO FIND OUT MORE If you d like to find out more, or see the impact of the fees based on your own circumstances, the Australian Securities and Investments Commission (ASIC) website (moneysmart.gov.au) has a superannuation fee calculator to help you compare different fee options. 1 We re required by law to include this paragraph. Sorry, but our fees aren t negotiable. Fees and costs for Suncorp WealthSmart Personal Super and Pension This table outlines the fees and costs applicable to your Personal Super and Pension account and across all your investment options. Please see over the page for fees and costs for Suncorp WealthSmart Business Super. Type of fee Amount How and when paid Investment fee Administration fees Buy-sell spread Switching fee Exit fee Advice fees relating to all members investing in the Suncorp Lifestage Fund or other investment options Other fees and costs This depends on the investment option(s) you choose. They range from 0.00%-1.87% pa. 0.76% pa 0% on Suncorp WealthSmart Term Deposits. $1.50 per week if your account balance is below $20,000 on the day this fee is deducted (super only). Up to +/- 0.50% depending on the investment option(s) you choose. Nil Nil Nil Indirect cost ratio Nil 1 This fee is included in the daily unit price calculation for each investment option. This fee is calculated on the value of your total account balance, and is deducted monthly by withdrawing units from your account. This fee is deducted monthly by withdrawing units from your account. This cost will be reflected in the buy-sell price of the investment option(s) you choose. Please refer to the Additional explanation of fees and costs section for more information. 1 A brokerage fee may be applied to any investment in Suncorp WealthSmart Term Deposits. Please refer to Payments to and from other parties in this section of the Product Guide for more information. Additional explanation of fees and costs (Suncorp WealthSmart Personal Super and Pension) Administration fee discounts We reward you as your account balance grows by discounting the administration fee on your Suncorp WealthSmart account. The greater the balance, the bigger the discount you get. If you have more than one Suncorp WealthSmart Personal Super and/or Pension account, discounting may apply by calculating the administration fee payable based on your combined accounts. Balances invested in Suncorp WealthSmart Term Deposits are not included for administration fee discount purposes. For amounts Discount on administration fee How and when paid? Over $100,000 to $250, %pa This discount is calculated monthly on the Over $250, %pa combined value of your accounts or linked accounts and is credited back into your account by adding units on or around the 16th of each month. Suncorp WealthSmart Product Guide 49

50 6 Fees and costs (continued) Insurance fees If you have insurance cover, your insurance fees will be deducted monthly in advance by withdrawing units from your account. For more information on the costs of insurance, please see Insurance in your super starting on page 56 of this Product Guide. Family values You can start receiving discounts sooner by linking your Suncorp WealthSmart account with your family s accounts. The administration fee is then calculated on the combined value of your linked accounts. Any applicable discount is then shared amongst the linked group proportionately on account balances. For the purposes of family account linking, family member means your spouse (including legal, defacto and interdependency relationship), children, parents, and siblings. Fees and costs for Suncorp WealthSmart Business Super This table outlines the fees and costs applicable to your Business Super account and across all your investment options. Type of fee Suncorp Lifestage Fund Other investment options Investment fee 0.20% pa This depends on the investment option(s) you choose. They range from 0.00%-1.87% pa. Administration fees 0.65% pa 0.91% pa 0% on Suncorp WealthSmart Term Deposits. Buy-sell spread Nil Up to +/- 0.50% depending on the investment option(s) you choose. Switching fee Exit fee Advice fees relating to all members investing in the Suncorp Lifestage Fund or other investment options Other fees and costs How and when paid This fee is included in the daily unit price calculation for each investment option. For the Suncorp Lifestage Fund, this fee is reflected in the daily unit price. For all other investment options, it is deducted monthly from your account. $1.50 per week This fee is charged as a monthly fee of $6.50 and will be deducted from any investment in the Suncorp Lifestage Fund providing there is sufficient balance to cover the amount. If there is not sufficient balance, it will be deducted from your other investment options. We ll deduct this fee each month by withdrawing units from your account. Nil Nil Nil This cost will be reflected in the buy-sell price of the investment option(s) you choose. Please refer to the Additional explanation of fees and costs section for more information. Indirect cost ratio Nil 1 1 A brokerage cost may be applied to any investment in Suncorp WealthSmart Term Deposits. Please refer to Payments to and from other parties in this section of the Product Guide for more information. 50 Suncorp Superannuation

51 Additional explanation of fees and costs (Suncorp WealthSmart Business Super) Administration fee discounts We may reward you as your employer s plan grows by discounting the administration fee on your other investment options. The greater the balance, the bigger the discount you get. Balances invested in Suncorp WealthSmart Term Deposits are not included for administration fee discount purposes. For amounts Over $250,000 to $1,000,000 Over $1,000,000 Insurance fees Discount on Administration Fee How and when paid? 0.26% pa This discount is calculated monthly on the combined value of 0.61% pa your employer s super plan other balance and is credited back into your account by adding units on or around the 16th of each month. If you have insurance cover, your insurance fees will be deducted monthly in advance by withdrawing units from your account unless you have an alternate arrangement with your employer. If you are invested in the Suncorp Lifestage Fund and other investment options, your insurance fees will be deducted from your other investments options. If the balance in your other investment options is insufficient to pay your insurance fees, we will then deduct your insurance fees from your investment in the Suncorp Lifestage Fund. For more information on the costs of insurance, please see Insurance in your super starting on page 56 of this Product Guide. Family values Your family members may be able to benefit from the discounted fees associated with your employer s super plan. The discount received will be calculated based on other balances within the plan instead of individual balances - allowing your family members to reach the discount hurdles faster. For the purposes of family account linking, family member means your spouse (including legal, defacto and interdependency relationship), children, parents, and siblings. Associated employer linking Your employer may also be eligible to link your Suncorp WealthSmart plan with an associated employer s Suncorp WealthSmart plan. This could mean you receive discounts on the administration fee sooner because they would be calculated on the combined value of the linked employer plans. Any applicable discount is then shared among the linked plans proportionately on account balances. For the purposes of associated employer linking, associated employer means any subsidiary or associated company or business. Only the administration fee for your other investment options is discounted. Additional information for all Suncorp WealthSmart members APRA levy APRA imposes a levy on the Trustee, a proportion of which will be recouped from your underlying investments on a monthly basis (excludes investments in Suncorp WealthSmart Term Deposits). For the year ending 30 June 2015 this levy should be no more than 0.02% of the value of your investments and may change each year based on the levy set by APRA. As the APRA levy is an expense of the fund any variation to the APRA levy will be passed onto you without notice. Please see our website suncorp.com.au/super for more information. Taxes All fees in this PDS are quoted after the expected effect of income tax and inclusive of GST (less any available reduced input tax credit). This means the fees you see are the fees you ll actually pay. In some cases the Trustee may be able to claim a further tax benefit in relation to these fees. If so, it may pass this benefit on to you. For more information on tax in your Suncorp WealthSmart account, please see Tax in this Product Guide. Personal advice fee You can authorise us to pay a personal advice fee to your financial adviser (agreed by us) and have the fee charged to your Suncorp WealthSmart account. Personal advice fees can be payable as: A one-off fixed dollar fee, or a percentage of your account balance. As an ongoing fixed monthly dollar fee, or percentage of your account balance, deducted from your account at the end of each month. Any personal advice fees that relate to your investment in the Suncorp Lifestage Fund can not be deducted from your other investment options. The ongoing personal advice fee payable on the Suncorp Lifestage Fund will be available on or around August You should refer to your financial adviser s Statement of Advice for details of this fee. Any personal advice fee will include GST. The Fund may be able to pass on the benefit of reduced input tax credits (if available) in respect of this fee, so the amount deducted from your account may be less than the amount paid to your financial adviser. The Trustee may at its discretion refuse to deduct a personal advice fee or any other fee. You can cancel an ongoing personal advice fee at any time. Fees relating to investment options You can get the latest investment fees, performance fees and buy-sell spreads from the monthly Suncorp WealthSmart investment performance report available on our website, or by calling us. Suncorp WealthSmart Product Guide 51

52 6 Fees and costs (continued) Investment fees The investment fee is charged by the investment manager of the underlying investment option. This fee generally includes the investment manager s fee, audit, custody and other general costs incurred in the administration of the underlying investment option. These fees and expenses may be varied by the investment manager and are equal to the management costs of the underlying investment option. As this is an expense of the Fund, for investment options not issued by Suncorp, these variations will be passed on to you without notice. To understand all of the fees payable in respect of your investment, you should consider both this PDS and the relevant investment manager s PDS. The latest investment fees are provided in the monthly Investment Options Performance Reports available on our website at suncorp.com.au/super. Indirect cost ratio (ICR) This ratio is the total of the indirect costs for an investment option to the total average net assets of the Fund attributed to the investment option. Indirect costs are any amount that will reduce the return on an investment option that is not charged to you as a fee. It is an additional cost to you. Performance fees This fee is only charged by some investment managers for certain investment options when they outperform their stated benchmarks. It s an additional amount to the investment fee. As this is an expense of the Fund, any performance fee payable will be passed onto you without notice. Performance fees are not charged for any investment in the Suncorp Lifestage Fund. To find out which investment options have a performance fee, please see The Suncorp WealthSmart investment menu starting on page 19 of this Product Guide. Buy-sell spreads You may incur a buy-sell spread when you make contributions, withdraw or change your investment options. This spread is the difference in the buying price and selling price of the investment option, and generally covers the transaction costs of buying and selling the underlying assets of that investment option. It ensures that nontransacting members are not disadvantaged by the activity of transacting members. The spread isn t a fee paid to us or the investment manager. It is retained within the underlying investment option to cover the transaction costs. No buy-sell spreads are applicable for any investment in the Suncorp Lifestage Fund. The investment manager (including us) may vary the buy-sell spread costs from time to time including increasing these costs without notice when it is necessary to protect the interests of existing investors and if permitted by law. The updated information will be disclosed in the monthly Investment Options Performance Reports available on our website at suncorp.com.au/super. Suncorp Traditional Capital Guaranteed Fund If you re invested in the Suncorp Traditional Capital Guaranteed Fund, the amount you ll pay will ultimately reflect the actual expenses of the option. Expense recovery and reserves We can recover any expenses and costs incurred in the administration and management of the Fund. The Fund holds a tax reserve and a general expense reserve which may be used to meet the expenses associated with the administration, management and operation of the Fund. Any excess amounts are retained within the reserve to meet future costs. No expenses or costs incurred are recovered from any investment in the Suncorp Lifestage Fund. Changes to fees and costs We can introduce certain new fees or change the level of current fees that you pay at any time. If we do this, we ll notify you in writing at least 30 days in advance of any adverse change. Payments to and from other parties Any payments (or benefits) we make to or receive from other parties are not an additional cost to you unless otherwise stated in the PDS or this Product Guide. We may receive payments from investment managers or other parties for certain investment options of up to 0.45% pa of the total amount of funds invested. These payments are not an additional charge to you. For investments in Suncorp WealthSmart Term Deposits we receive brokerage as agreed with the bank that issues the underlying term deposits (including Suncorp Bank) of up to 0.60% pa. This brokerage is deducted by the bank before we declare the rate and we receive it monthly. Brokerage is an additional cost to you. Any alternative forms of remuneration we may also pay or receive will be in accordance with the Financial Services Council Industry Code of Practice. We keep a register of these payments which you can view by contacting us. 52 Suncorp Superannuation

53 Other fee arrangements If you open a new Suncorp WealthSmart Personal Super or Pension account you may be able to carry over some of the existing arrangements from your previous account, as set out below. Current nil entry fee members If you have an existing nil entry fee Suncorp WealthSmart account, the following applies to you: Contribution fee You ll pay 0% on each contribution and transfer made into your Suncorp WealthSmart account. Administration fee You ll pay 0.44% pa on top of the standard administration fee. Withdrawal fee You ll be charged 4% on each amount withdrawn or transferred to another super fund within three years of each contribution. Up to 20% of your pension account (calculated at 1 July each year, or a proportional amount if your pension starts on a later date) can be taken as a pension payment, withdrawn or transferred each year without triggering the withdrawal fee. The withdrawal fee isn t charged on payments as a result of your Death or Total and Permanent Disablement. If you wish to transfer your existing account to a new Suncorp WealthSmart account you can choose from the following options: Current deferred entry fee members The deferred entry fee option is no longer available in new Suncorp WealthSmart accounts. However, if you are an existing member with outstanding deferred entry fees and are transferring to a new Suncorp WealthSmart account, you can choose from the following options: Have any remaining deferred entry fee payments charged from your existing account before you transfer to your new Suncorp WealthSmart account. Have any remaining deferred entry fee payments deducted from your new Suncorp WealthSmart account where they ll be deducted over the remaining instalment period under the terms of the PDS effective when you joined. If you later withdraw from Suncorp WealthSmart before the full deferred entry fee has been paid, any remaining amounts will be deducted from your withdrawal payment. Under either option you can t have any new deferred entry fees on your new account and can agree to fees on all transferred and new monies, as set out in the information starting on page 49. Open a new Suncorp WealthSmart account with fees as set out on page 49. In this case, any remaining withdrawal fee will be charged before the amount is transferred to the new account. Carry over your existing nil entry fee arrangements to a new nil entry Suncorp WealthSmart Personal Super or Pension account. If you do so, the remaining withdrawal fee period will apply to the amount transferred from your existing account. Please note if you add new monies at the time you open your new account, the withdrawal fee period will restart for the whole account balance. Suncorp WealthSmart Product Guide 53

54 7 Tax The table below can help you understand the basics when it comes to tax and your Suncorp WealthSmart account. However, as tax can be complex, we always recommend you seek tax advice in respect of your own individual circumstances. This information is based on our interpretation of tax legislation at the date of the PDS (and any material incorporated by reference) and assumes you are an Australian tax resident. Future changes in legislation may affect how your super is taxed. How super is taxed Tax Super Pension On contributions received 0% on non-concessional contributions 15% on concessional contributions 1 47% on excess amounts over the non-concessional contribution cap 3 0% in most cases However, if your transfer contains any untaxed components, this will be taxed at 15%. Your marginal tax rate plus an excess concessional contributions charge on excess amounts over the concessional contribution cap 47% 2 on concessional contributions where a TFN is not held by the super fund 15% if your transfer contains any untaxed components 4 On your investment earnings Up to 15% on investment earnings 0% on investment earnings On withdrawals For lump sum withdrawals: 0% if you re age 60 or over 15% 2 on taxable components over $185,000 4 if received when you re between your preservation age and age 59 20% 2 on taxable components if you re under your preservation age. For death benefits paid as a lump sum withdrawal: 0% if paid to a tax dependant 15% 2 on taxable (taxed) component paid to a non-tax dependant 30% 2 on taxable (untaxed) component paid to a non-tax dependant. For lump sum withdrawals: 0% if you re aged 60 or over 15% 2 on taxable components over $185,000 4 if you re between your preservation age and age 60 20% 2 on taxable components if you re under your preservation age. For pension payments: 0% if you re age 60 or over If you re under age 60, the taxable part of your pension payments is taxed at your marginal income tax rate 2. However, you can claim a 15% tax offset based on the taxable portion if you have attained your preservation age, qualify for the disability super benefit or are receiving a death benefit pension. 1. If income exceeds $300,000 per annum, contributions tax of 30% will apply. 2. Plus Medicare levy. 3. It is proposed if your non-concessional contribution exceeds the non-concessional contribution cap, you can withdraw the excess contributions with no excess contribution tax payable and with associated earnings taxed at your marginal tax rate. However, if you leave your excess non-concessional contributions in your super, you will be taxed on these at the top marginal tax rate plus budget repair and Medicare levies. 4. Any excess over your untaxed plan cap amount (which is up to $1,355,000 for the 2014/15 financial year) is taxed at 47% plus Medicare levy. 5. For the 2014/15 financial year. 54 Suncorp Superannuation

55 Tax file numbers (TFN) It s important we have your TFN. You don t have to give it to us, but if you don t: we can t accept any after-tax contributions from you you may pay more tax on pre-tax contributions (eg. salary sacrifice) or on withdrawals, than you would otherwise it might be difficult to find super funds you may have forgotten about, and to combine your super in one account. Your employer should provide your TFN to us unless you instruct them not to do so. We re legally authorised to collect your TFN. And of course we ll keep it confidential and only use it for lawful purposes, including: finding or identifying your super funds calculating tax on any superannuation lump sums providing your TFN and other information to the ATO providing your TFN to your future super fund trustee or retirement savings account provider if you re transferring your account. We won t pass on your TFN to another super fund if you write and tell us not to, and we won t disclose your TFN to anyone else. It s easy to give us your TFN. If we didn t receive it when you joined Suncorp WealthSmart, you can submit your TFN to us online, by or by phone. Our contact details are on the back page of this Product Guide. Goods and services tax (GST) Any expenses we incur from administering the Fund may be subject to GST. If we can claim a credit for the GST paid, we may pass the benefit on to you. Tax and government charges Taxes, duties and levies incurred by us are recovered directly from the assets of the investment options (where the expenses are investment costs) before determining unit prices, or from your account. We deduct an amount from your account for contributions tax at the applicable rate. The total amount of contributions tax for the Fund is calculated at the end of the financial year. The amount is reduced by deductions allowable to the Fund. Therefore the total amount of contributions tax which is remitted to the ATO may be less than the aggregate amount which has been deducted from relevant members accounts. We retain any excess amount deducted for contributions tax within the Fund and may use this amount for authorised purposes including to cover expenses incurred in the proper administration, management or maintenance of the Fund. Refund of excess contributions tax If you made a contribution and were charged additional tax on it because we didn t have your TFN, we may be able to refund the additional tax paid if you provide us with your TFN within three years of the end of the financial year in which the contributions were made. Any refund will not be payable until the Fund recovers the amount from the ATO. Suncorp WealthSmart Product Guide 55

56 8 Insurance in your super Today we take out insurance for all our assets, including the car, house and valuables such as jewellery. However, many people neglect to insure their most important asset themselves, and their ability to earn an income. Fortunately, Suncorp WealthSmart offers a range of insurance options tailored to help protect you and your family from life s uncertainties. Why is insurance important? Insurance can t prevent the unfortunate things happening, but it could help your family s financial security if you died or became unable to take care of your loved ones yourself. It gives you the peace of mind of knowing you ll have taken care of the most important people in your life, if the unexpected happens. What are the advantages of having insurance through super? By attaching insurance to your Suncorp WealthSmart account, you can have your insurance fees conveniently and tax-effectively deducted from it. This means it can potentially be cheaper than buying insurance outside super. And there is also the added advantage that your nominated beneficiary may be able to choose to receive your death benefit in the form of a Suncorp WealthSmart Pension, should you die. Insurance offered through Suncorp WealthSmart is provided by Suncorp Life & Superannuation Limited (SLSL) (referred to in the PDS as the insurer ). SLSL is part of the Suncorp Group and is an award-winning insurer with a proud heritage of protecting Australians that stretches back for 175 years. Insurance in Suncorp WealthSmart Business Super The added bonus of being a member of your employer s super plan is that you may be eligible for automatic cover which means you may be granted cover without the need to apply. For more information, please see Automatic cover later in this Product Guide. For specific information regarding the insurance cover chosen by your employer, please see your welcome pack. Employer selected cover doesn t apply to family account members. If your employer has arranged non-suncorp WealthSmart insurance cover for you as agreed by the Trustee, the terms and conditions of insurance set out in this Product Guide and the accompanying PDS s will not apply to that cover. Your welcome pack will state if your insurance cover is provided by an insurer other than SLSL, and will contain the Insurance Policy and any relevant endorsements that apply to you. What insurance cover is available? We outlined the insurance options that are available to you in the PDS, but here is some more information about the type of insurance benefits in Suncorp WealthSmart. Death cover A lump sum benefit is paid if you die (or earlier if you become terminally ill ). Any death benefit amount payable will be paid into your Suncorp WealthSmart account and be invested in the Suncorp Cash Fund. We ll then pay the benefit to one or more of your dependants and/or your estate. If you ve made a valid death benefit nomination, we ll pay this benefit in accordance with this nomination. Your dependants can then elect to receive the benefit as a lump sum, or in some circumstances, as a pension or a combination of a lump sum and pension payments. Total and Permanent Disablement (TPD) A lump sum benefit is paid if you become totally and permanently disabled. If a TPD benefit is paid, we ll credit the proceeds (less any tax) to your Suncorp WealthSmart account, where it ll be invested in the Suncorp Cash Fund. To access any TPD benefits, you must satisfy a condition of release. For more information about when you satisfy a condition of release, please see Conditions of release on page 9 of this Product Guide. Your chosen amount of TPD cover can never be higher than your Death cover. If this happens, we ll adjust your chosen amount of TPD cover. Income Protection An ongoing monthly benefit is paid if you can t work for an extended period due to illness or injury. You must meet the definition of totally disabled or partially disabled for the whole of your waiting period to be entitled to any Income Protection benefits. Any Income Protection benefits you re entitled to are subject to superannuation conditions of release under current superannuation law. You may be able to access your benefits on the grounds of temporary incapacity which is similar to (but not the same as) the total disability definition under Suncorp WealthSmart cover. Under current superannuation law, temporary incapacity exists if in relation to a member who has ceased to be gainfully employed (including a member who has ceased temporarily to receive any gain or reward under a continuing arrangement for the member to be gainfully employed ), means ill-health (whether physical or mental) that caused the member to cease to be gainfully employed but does not constitute permanent incapacity. If the temporary incapacity release condition is met, Income Protection benefits will be paid as a non-commutable income stream for the duration of the incapacity. Income tax is payable on any benefits you receive. Income Protection benefits are paid monthly in arrears. If you re covered for super contributions, any amounts will be paid into your Suncorp WealthSmart account and be subject to the normal charges applying to your contributions. If you die while receiving Income Protection benefits, we ll then stop paying the benefit amount and credit your Suncorp WealthSmart account with a lump sum of three times the monthly benefit amount. What is the maximum amount of insurance cover that you can apply for? The following table provides a summary of the maximum levels of cover available, depending on your insurance type: Maximum amount of cover Death TPD Income Protection $5 million ($3 million for terminal illness) If you are a Personal member $3 million $25,000 per month (up to 75% of your salary) How to apply for insurance in Suncorp WealthSmart To apply, simply fill out an Insurance application form which you can download from suncorp.com.au/super. You will need to provide medical evidence when you apply for the first time or for additional cover. 56 Suncorp Superannuation

57 In the interim While your application is being assessed, you may be eligible for interim accident cover for up to 90 days from the time we receive your completed insurance application form. The maximum amount of interim accident cover is the lesser of the amount of cover you requested and: $1 million for Death cover $500,000 for TPD cover, or $13,000 per month for Income Protection cover. Interim accident cover may stop before 90 days in a number of circumstances. These are set out in Suncorp WealthSmart s Group Life and Income Protection insurance policies. How much does it cost? The cost of insurance varies depending on several factors including: the type of cover the amount of cover your age your gender your occupation your smoking status your health whether you undertake any hazardous pursuits. For the rates and examples of how insurance fees are calculated, please see the Suncorp WealthSmart Insurance Premium Rates Guide, which is available on our website. Payment of insurance fees Your insurance fees will be deducted from your account monthly in advance. If you are a Suncorp WealthSmart Personal Super member, your fees will be deducted proportionally across your investment options. If you are a Suncorp WealthSmart Business Super member, your insurance fees are deducted proportionally across your non-suncorp Lifestage investment options. Once you no longer have sufficient funds available in your non-suncorp Lifestage investments, your insurance fees will be paid directly from the Suncorp Lifestage Fund. If your account balance is insufficient to pay for your monthly insurance fee when it falls due, we ll write to let you know. You ll then have 30 days to pay the outstanding insurance fee and an additional one month s insurance fee. If these insurance fees remain outstanding at the end of the 30 days, we ll cancel the cover and close your account. If you are a member under your employer plan Automatic cover If your plan has an Automatic Acceptance Limit (AAL), you ll be covered up to the AAL from the date you re first eligible for insurance, without the need to apply, provided: you are aged over 15 and under 65 you re at work on that day the insurer is willing to provide cover for your occupation we receive your personal details and sufficient contributions to cover the insurance fees within 130 days of when you re first eligible for insurance you re an Australian resident, or a non-australian resident holding a valid visa. For TPD and Income Protection you must be gainfully employed on a permanent basis of at least 15 hours per week to apply for cover. The personal details we need are: title last name given name(s) residential address tax file number date of birth gender date commenced employment occupation basis of employment (permanent, casual or contract) salary hours worked per week and membership category. The date you re first eligible for insurance, and when your cover will begin, is the day you start employment with your employer or another date agreed by us. If you re not at work on this day, we ll provide you with new events cover only. You then must be at work for 60 consecutive days before we can provide you with all events cover. If we don t receive your personal details and sufficient contributions to cover the insurance fees within 130 days of the date you re first eligible for insurance, all cover will be deemed to have never commenced. If your employer has selected cover for you that s above the AAL, you ll need to apply and be underwritten for any excess cover. New events cover This is cover provided for death or a disability arising from an illness which first becomes apparent or an injury which first occurred on or after the commencement date. All events cover This is cover provided for death or a disability arising from an illness or injury regardless of the date the illness first became apparent or the date the injury occurred. Trustee Minimum Cover If your employer does not have a chosen insurance design, and you are a MySuper member who meets the eligibility criteria on this page, you will be automatically provided with Death and TPD on an opt out basis. The standard MySuper design for Trustee Minimum Cover is as follows: Death cover: $1750 x (65 age at last review date). TPD cover: $250 x (56 age at last review date). The amount of cover you receive will automatically alter in line with your age at each review date. If your occupation is not known at the time of application, or at the time of being provided with automatic cover under the MySuper design, we may still award Trustee Minimum Cover but will calculate your insurance fees based on you being in a heavy blue collar occupation (see the Suncorp WealthSmart Insurance premium rates guide for more information on Suncorp WealthSmart Product Guide 57

58 8 Insurance in your super (continued) how the ratings work and how they affect your insurance fees). If this is not correct, it is important that you tell us so we can correctly calculate your insurance fees. If you are in a non-insurable occupation for Death or TPD insurance cover, we will cancel your insurance cover as at the date your cover commenced. If we do not receive details about the number of hours you work per week, we may still award Trustee Minimum Cover for TPD. If you are not gainfully employed on a permanent basis for at least 15 hours per week when you claim, the definition of TPD that applies to you may not be standard. How to apply for member selected cover If you d like to apply for cover, simply fill out an Insurance application form which you can get from our website. Acceptance of cover isn t automatic and is subject to an underwriting assessment by the insurer. We ll advise you in writing if your application has been accepted and the date your cover starts. While your application is being assessed, you may be eligible for interim accident cover for up to 90 days from the time we receive your completed insurance application form. The maximum amount of interim accident cover is the lesser of the amount of cover you requested and: $1 million for Death cover $500,000 for TPD cover, or $13,000 per month for Income Protection cover. Interim accident cover may stop before 90 days in a number of circumstances. These are set out in Suncorp WealthSmart s Group Life and Income Protection insurance policies. Family account members can also apply for any of these options. Automatic Acceptance Limits (AALs) The AAL is the maximum amount of cover you ll be able to receive without having to apply. AALs are awarded by the insurer. When making its decision on the size of the AAL, the insurer will consider the number of eligible members with each type of benefit. Members who all have Income Protection insurance, but with different benefit periods, will be treated as having different types of cover for AAL/ pricing purposes. 58 Suncorp Superannuation As the number of insured members in your plan changes, the AAL may be adjusted. The AAL for your plan may also be reduced or withdrawn if the number of insured members is less than 75% of your plan s membership. Any change to the AAL won t affect your accepted cover. Automatic increases in cover If your employer selected cover goes above your plan s AAL, you ll need to apply and be underwritten for any excess cover. If your application is accepted, and your employer selected cover is based on salary, we may give you a forward underwriting limit (FUL). This means you may avoid the need for underwriting each time your salary increases in the future. We ll automatically increase your salary based cover up to the AAL or any FUL you ve been provided at the time of the annual review, generally 1 October each year, if your salary has increased. The automatic increases in cover are limited to 30% each year. Leave without pay If you take leave without pay approved by your employer, your insurance cover will continue for up to 12 months without the need to obtain confirmation, as long as you continue to pay your insurance fees. For longer periods, you ll need to get written confirmation from us for cover to continue. Your waiting period for Income Protection cover won t start until the return to work date you agreed with your employer before you started leave without pay. Please note that leave without pay does not apply to personal members. Change of role If your role at work changes significantly (for example you re promoted), your employer selected cover may be revised up or down on the day of that change. Any existing member selected cover you have will be unaffected. How much does it cost? The cost of insurance varies depending on several factors including: the type of cover the amount of cover your age your gender your occupation your smoking status. You ll be charged at either group rates or individual rates. The table below shows you when you ll be charged group or individual rates. For the rates and examples on how insurance fees are calculated, please see the Suncorp WealthSmart Insurance premium rates guide, which you can get from our website or by calling us. What rates are charged? Employer selected cover (including above the AAL), or Trustee Minimum Cover before you leave your employer Higher benefit amount than what your employer has selected Different type of cover than what your employer has selected Income Protection with a longer benefit period or shorter waiting period than your employer has selected Cover for family account members When you leave your employer Group rates Group rates Individual rates Individual rates Individual rates Individual rates Further information about insurance cover in Suncorp WealthSmart Going overseas? Providing insurance fees continue to be paid, your cover will continue while you re away on holidays, without you needing to obtain confirmation before you go. However, if you re intending to work overseas, you ll need to get written confirmation from the insurer for your cover to continue. Cover will stop if you move overseas permanently. We ll waive insurance fees Your monthly Income Protection insurance fees will be waived during the period you receive a total disability or partial disability benefit. We ll then restart deducting insurance fees from your account in the month that you stop receiving the benefit.

59 Suncorp WealthSmart s Insurance Policy The Suncorp WealthSmart Group Life policy and the Suncorp WealthSmart Group Income Protection policy contain the full terms and conditions of insurance, including all definitions. In the event of any inconsistency between this PDS and the insurance policies, the insurance policies will prevail. You can get a copy of the insurance policies, free of charge, by contacting us. Lifestyle Event Cover option We understand that your circumstances can change over time. Our Lifestyle Event Cover option makes sure you re covered for some of life s milestones by increasing your insurance amount without the hassle of undergoing any medical assessment. Once you ve been accepted for Suncorp WealthSmart insurance cover (other than Trustee Minimum Cover), you can apply for the Lifestyle Event Cover option for the same type of cover. The terms of your original cover, such as loadings or exclusions, will apply to the increases to your sum insured as a result of this option. If you re under age 60, you can apply for additional Death or Death and TPD cover within 90 days of any of the following events: Lifestyle event Minimum cover amount Maximum cover amount Get married $25,000 The lesser of: $100,000 and 50% of your Death cover amount. Apply for a mortgage or increase your mortgage (where the mortgage or the increase is at least $25,000) Have a child (by birth or adoption) $25,000 The lesser of: $100,000 and 50% of your Death cover amount the amount or increase of the mortgage. $25,000 The lesser of: $100,000 and 50% of your Death cover amount. This option can be taken out once in any 12 month period and a maximum of three times in total. If you re part of an employer plan, this additional cover will be treated as member selected cover. Terminal illness benefit If you re covered and become terminally ill we ll pay you an early payment of your Death cover. The terminal illness benefit is the lesser of: your Death cover, or $3 million. Your Death cover will be reduced by the amount of terminal illness benefit paid out. If you re covered for both Death and TPD, your TPD cover will stop when we pay you the terminal illness benefit. Income Protection Total disability If you have Income Protection cover and are deemed to be totally disabled for longer than the waiting period that you or your employer has selected, the monthly benefit that you are insured for starts to accrue from the day after the end of the waiting period, and a benefit is paid to you monthly in arrears until the earliest of the following: you cease to meet the definition of being totally disabled you reach 65 you die you reach the end of the benefit period that you or your employer has selected. For more detail you can refer to the definition of totally disabled on page 63 of this Product Guide. If you are able to return to work in some capacity you may be eligible for a partial disability benefit. Partial disability If you have Income Protection cover and have been totally disabled for seven out of twelve consecutive days during the waiting period, and you remain partially disabled at the end of the waiting period, we ll pay you a partial disability benefit if you go back to work in a reduced capacity due to injury or illness. The benefit can compensate your partial loss of earnings if you can only return to work gradually. We ll pay this monthly benefit until you can return to work at full capacity (or you are medically certified to do so) or until the end of the benefit period. Your monthly benefit will be reduced in line with anything you earn while partially disabled. Rehabilitation benefit If you ve been totally disabled or partially disabled, we want you to get back on your feet as soon as possible. If you have Income Protection cover, we may pay some or all of the expenses of a return to work program, or some form of rehabilitation, if we believe that this may aid your return to work. Recurring disability If we ve paid you an Income Protection benefit and you become disabled from the same injury or illness within six months of the payments ending we ll consider it a continuation from the previous claim, as long as you re still covered. This means you ll skip the waiting period, but your benefit period will take into account your previous claim payments. If you have employer-selected cover, you ll still need to be employed by your employer (or have been accepted for cover when you left your employer) at the date of recurring disability, to be covered for this benefit. Indexation of benefit payments If you have Income Protection cover for a five-year benefit period or to age 65, and have received benefit payments for 12 continuous months, to keep your cover protected from inflation, we ll increase your benefit payments each year by the lesser of 5% or the indexation factor. Suncorp WealthSmart Product Guide 59

60 8 Insurance in your super (continued) How to make a claim We try to make sure that the claim process is as quick and simple as possible. If you need to make a claim, please contact us as soon as you can reasonably do so, but no later than: Claim type For a TPD claim For an Income Protection claim When you should make a claim by Twelve months from the time of the event giving rise to the claim One month from the time of the event giving rise to the claim If you make a claim later than this, we may reduce the amount paid, or not pay any benefit at all, if the delay is prejudicial to Suncorp Life. You can only make a claim if the event first happens while you re a member of Suncorp WealthSmart and your cover is in force. We ll pay the benefit if you die, meet the definition of totally and permanently disabled, totally disabled, partially disabled or terminally ill. Please see Summary of key definitions and concepts on page 61 of this Product Guide. When cover may be reduced If you re covered for Death or TPD cover under other policies issued by the insurer or any other company within the Suncorp Group, your cover may be reduced so that the sum of all cover doesn t exceed $5 million for Death and $3 million for TPD cover. Monthly Income Protection benefits will be reduced if you receive sick leave payments, worker s compensation or motor accident compensation, statutory compensation payments, Centrelink or similar government payments, or income replacement benefits from any other insurance policies or super funds. The amount paid for any claim may be reduced or not paid at all if you make a claim later than the period allowed and the delay is prejudicial to the insurer. Exclusions You won t receive benefits if the event giving rise to the claim is caused directly or indirectly by one of the exclusions listed below: Death only or Death and TPD (employer selected cover) exclusions None Death only or Death and TPD (any other cover) exclusions An intentional self-inflicted act within 13 months of starting cover, any increases in cover, or cover being reinstated. Income Protection (all cover) exclusions War An intentional self-inflicted act Normal and uncomplicated pregnancy Criminal activity for which you re convicted Imprisonment. When does your insurance cover stop? Cover will stop at the earliest of any one of the following: When insurance cover stops Scenario Death TPD Income Protection You reach age You reach age 70 1, You receive a payment for TPD - You receive a payment for terminal illness 3 - You die You haven t paid outstanding insurance fee amounts 30 days after sending you a notice You join any armed forces. Effective the day before joining. This excludes routine activities of reservists. 4 You work overseas for a period that hasn t been agreed with the insurer You have employer-selected cover and take leave without pay for a period that hasn t been agreed with the insurer You request in writing to cancel your cover You no longer hold a valid Australian visa You leave Suncorp WealthSmart You work less than 15 hours per week on a permanent - - basis 5 You reach the end of the benefit period and, if employed, do not return to work with your employer - - You move permanently overseas You leave your employer and we re notified. This applies to employer selected cover only TPD Trustee Minimum Cover ceases when you reach age 56. Death Trustee Minimum Cover will cease when you attain age If your employer selected cover is based on a percentage of future years of service to age 65, your cover will stop at age Death benefits will be reduced by any terminal illness benefit paid. 4. Reservists no longer on active duty may have their cover reinstated. 5. Other than because of total or partial disability. 60 Suncorp Superannuation

61 Summary of key definitions and concepts Definitions are important - they set out the test we ll apply when considering a claim. We have to make our definitions clear to avoid any uncertainty which helps make the claims process easier to understand. The following table contains a summary of some of the key definitions to help you get a clearer understanding. Throughout this Product Guide and PDS where you see these terms, you should refer to the policies for the definitions. Suncorp WealthSmart s Life Insurance and Group Income Protection policies contain the exact wording of all definitions. Death and TPD cover Date of disablement Salary This is the date from which a medical practitioner certifies you re no longer able to work because of illness or injury. Salary applies to members of Suncorp WealthSmart Business Super who are still employed by their Suncorp WealthSmart employer. Salary will be the salary we were advised at the annual review date before the date of death or disablement unless otherwise specified by us. Where we agree to include commission and bonuses in your salary, your employer must include a three-year rolling average of any paid commission or bonuses on the commencement date and at each annual review date. Where you haven t been eligible for commission or bonuses for a period of three years, then the average will be calculated over the shorter period. Benefits paid will be based on the salary at the last annual review date, unless otherwise specified by us. Salary applies to members of Suncorp WealthSmart Business Super who have ceased employment with their Suncorp WealthSmart employer, family account members and to members of Suncorp WealthSmart Personal Super. Salary will be the remuneration you receive for personal exertion from your occupation. Terminally ill Totally and Permanently Disabled (TPD) TPD means one of the following: You re considered terminally ill if: a. in the opinion of up to two specialist medical practitioners (one of which must be approved by the Insurer), your life expectancy is, due to illness and regardless of any available treatment, not longer than 12 months; or b. you become a member on or after 1 July 2014, two medical practitioners certify that your life expectancy is, due to illness or injury, likely to result in your death within 12 months of the date of the certification, and: - at least one of the medical practitioners is a specialist in an area related to the illness or injury ; and - the period of certification for each of the certificates has not ended. However, definition a) will apply instead if you were eligible for terminal illness insurance cover prior to 1 July 2014, but we were not advised of your eligibility for it and/or membership until on or after that date. a. TPD (Occupational) You were employed on a permanent basis at the date of disablement and i. as a result of illness or injury, have been absent from and totally unable to engage in such employment for a period of six consecutive months from the date of disablement and ii. in the insurer s opinion, after consideration of medical and other evidence (on the day which is six months after the date of disablement ), you re unlikely to ever engage in any occupation for which you re reasonably suited by education, training or experience. Or b. TPD (Specific loss) You suffer total and permanent loss of use of: i. two limbs or ii. sight of both eyes or iii. one limb and sight of one eye. Limb is defined as whole hand or whole foot, and loss of sight is defined as: i. visual acuity less than 6/60 in both eyes after correction or ii. a field of vision constricted to 20 degrees or less of arc or iii. a combination of visual defects resulting in the same degree of visual impairment as that occurring in either of the above. Suncorp WealthSmart Product Guide 61

62 8 Insurance in your super (continued) Or c. TPD (Activities of daily living) Or d. TPD (Home duties) Income Protection cover Benefit period Income producing duties Indexation factor In the insurer s opinion, after consideration of medical and other evidence, you re constantly and permanently unable to perform at least two of the following activities without the physical assistance of another person: i. bathing and showering ii. dressing and undressing iii. eating and drinking iv. maintaining continence with a reasonable level of personal hygiene and v. getting in and out of bed, a chair or wheelchair, or moving from place to place by walking, wheelchair or walking aids. If you re able to perform the activity on your own by using special equipment, you ll be treated as being able to perform that activity. You ve been engaged full-time in normal domestic duties in your own residence for more than six consecutive months before the date of disablement, and i. have suffered an illness or injury ii. are unable to engage in all of the normal domestic duties because of that illness or injury for a continuous period of at least six consecutive months (if you re able to perform any normal domestic duty you won t meet this requirement) iii. are unable to leave home unaided iv. in the insurer s opinion, after consideration of medical and any other evidence, you re incapacitated to such an extent that you re unlikely ever to be able to perform any normal domestic duty nor engage in any occupation for which you re reasonably suited by education, training or experience v. are under the regular treatment and following the advice of a medical practitioner for the illness or injury that prevents you from performing normal domestic duties. Normal domestic duties means the domestic duties normally performed by a person who remains at home and isn t working in regular employment for income, including: a. cleaning the home b. doing the washing c. shopping for food d. cooking meals and e. when applicable, looking after children. If you become a member on or after 1 July 2014 then, in addition to satisfying one of the above definitions a. TPD (Occupational), b. TPD (Specific loss), c. TPD (Activities of daily living) or d. TPD (Home duties) (whichever applies), the Insurer must have also determined that, after consideration of medical and any other evidence it is reasonably satisfied that your ill health (whether physical or mental) makes it unlikely that you will engage in gainful employment for which you re reasonably suited by education, training or experience. This additional requirement will also apply to a member who joined prior to 1 July 2014 but is provided with insurance cover for Total and Permanent Disablement on or after that date. However, it does not apply to a member who is eligible for Total and Permanent Disablement insurance cover prior to 1 July 2014, even if we are not advised of their eligibility for it and/or membership until on or after that date. The maximum period for which an Income Protection benefit will be paid. Income producing duties means those duties which could reasonably be considered primarily essential to producing a salary. The indexation factor is the percentage change in the Consumer Price Index (CPI) which is: a. the weighted average of the eight Australian capital cities combined as published by the Australian Bureau of Statistics or any body which succeeds it b. in respect of the 12 month period finishing on 30 September. It will be determined at 31 December each year and applied from 1 March in the following year. If the CPI is not published by 31 December, the indexation factor will be calculated using a retail price index which the insurer considers most nearly replaces it. If the percentage change in the CPI or any substitute is negative, the indexation factor will be taken as zero. 62 Suncorp Superannuation

63 Partially disabled Salary Totally disabled Waiting period You re considered partially disabled if, as a result of illness or injury, you were previously totally disabled, are no longer totally disabled and you re: a. performing, or able to perform, one or more of the important income producing duties of your occupation or are otherwise working and b. under the regular care, and following the advice of a medical practitioner and; c. earning less than your monthly rate of salary immediately before the waiting period as a result of illness or injury causing partial disability. If you become a member of the Plan on or after 1 July 2014, you also satisfy either the temporary incapacity or permanent incapacity conditions of release under the superannuation law (refer to page 9 of this Product Guide). This additional requirement will also apply to a member who joined prior to 1 July 2014 but is provided with insurance cover for Income Protection Benefit on or after that date. However, it does not apply to a member who is eligible for Income Protection benefit cover prior to 1 July 2014, even if we are not advised of their eligibility for it and/or membership until on or after that date. Salary applies to members of Suncorp WealthSmart Business Super who are still employed by their Suncorp WealthSmart employer. Salary will be the base salary we were advised at the annual review date before the date the totally disability is determined, unless otherwise specified by us. Where we agree to include commission and bonuses in your salary, your employer must include a three-year rolling average of any paid commission or bonuses on the commencement date and at each annual review date. Where you haven t been eligible for commission or bonuses for a period of three years, then the average will be calculated over the shorter period. Benefits paid will be based on the salary at the last annual review date, unless otherwise specified by us. Salary applies to members of Suncorp WealthSmart Business Super who have ceased employment with their Suncorp WealthSmart employer, family account members and to members of Suncorp WealthSmart Personal Super. Salary will be determined as your highest average monthly earnings from employment over any consecutive 12 months in the period of three years before the date of disablement. Where the period of employment is less than 12 months, salary will be determined from the average monthly earnings over the shorter period of your employment. You re considered totally disabled if, as a result of illness or injury, you: a. are unable to perform one or more of the important income producing duties of your occupation and b. are not working, whether or not for reward and c. have consulted and are under the regular care, and following the advice, of a medical practitioner. If you become a member of the Plan on or after 1 July 2014, you also satisfy either the temporary incapacity or permanent incapacity conditions of release under the superannuation law (refer to page 9 of this Product Guide). This additional requirement will also apply to a member who joined prior to 1 July 2014 but is provided with insurance cover for Income Protection Benefit on or after that date. However, it does not apply to a member who is eligible for Income Protection benefit cover prior to 1 July 2014, even if we are not advised of their eligibility for it and/or membership until on or after that date. The waiting period starts on the day you re first totally disabled. The waiting period may be 30, 60 or 90 days and determines the earliest day you ll be eligible to receive benefit payments. You ll be advised which waiting period is applicable to your cover. Generally, a longer waiting period means you ll pay lower insurance fees. You may return to work for a maximum of: five days if your waiting period is 30 days ten days if your waiting period is 60 or 90 days without having to restart the waiting period. Any days worked are added to the waiting period. Common to Death, TPD and Income Protection cover At work You re considered at work if you were actively performing all the duties of your occupation with your employer, and weren t receiving or entitled to claim income replacement benefits from any source including workers compensation, motor accident compensation, statutory compensation, Centrelink or similar government body or any other insurance policies or super funds. If you were on approved leave, you must ve been capable of performing all the duties of your regular occupation had you not been on approved leave. If you didn t meet these requirements you ll be considered not at work. Suncorp WealthSmart Product Guide 63

64 8 Insurance in your super (continued) Commencement date Commencement date means the date an insured person s insurance cover (or, when the context requires, increase in insurance cover) commences in accordance with the Terms and Conditions of the Insurance Policy. Common to Death, TPD and Income Protection Cover (cont) Gainfully employed Illness Injury Medical practitioner Permanent basis Underwriting You re considered gainfully employed if you re employed for gain or reward in any business, trade, profession, vocation, calling, occupation or employment without restriction due to illness or injury. Illness means a sickness or disease suffered by the insured person Injury means physical damage to the body caused solely and directly by violent accidental, external and visible means and which is not an illness. This is a medical practitioner who is legally qualified and registered to the equivalent Australian standards (and includes an appropriate specialist) who isn t you, your spouse, a relative, a business associate, the Trustee or employed by the Trustee. Permanent basis means you re engaged and performing all of the income producing duties of your usual occupation with your employer for a minimum of 15 hours each week and satisfy one of the following conditions: a. permanent full-time or permanent part-time employee b. casual employee employed for a minimum period of two years c. contractor working on a fixed term contract of at least 12 months duration, and your salary is paid to you directly by your employer who also makes SG contributions on your behalf. Underwriting is the assessment conducted by the insurer when you re applying for insurance cover before they make a decision on your application. Visa This is a current and valid visa issued in accordance with the Migration Act 1958 (Cth) or any amending or replacing act. It can be a: a. Subclass 457 working visa (with or without a 8107 condition) or; b. Spouse visa (spouse of a permanent Australian resident on a two year temporary stay visa) without a no work condition. War Honesty is the best policy War means any act of war (whether declared or not), revolution, invasion, rebellion, or civil unrest. We have a duty, under the Insurance Contracts Act 1984 (Cth), to disclose to the insurer every matter that we know, or could reasonably be expected to know, that is relevant to the insurer s decision whether to accept the risk of the insurance and, if so, on what terms. We have the same duty to disclose those matters to the insurer before it renews, extends, varies or reinstates a contract of life insurance. This duty, however, doesn t require disclosure of a matter: that diminishes the risk to be undertaken by the insurer that s of common knowledge that the insurer knows, or in the ordinary course of their business, ought to know as to which compliance with your duty is waived by the insurer. It s a condition of your membership in Suncorp WealthSmart that you discharge the same duty of disclosure to us. If you fail to comply with your duty of disclosure and the insurer wouldn t have entered into the contract on any terms if the failure hadn t occurred, the insurer may avoid the contract within three years of entering into it. If the non-disclosure is fraudulent, the insurer may avoid the contract at any time. An insurer who is entitled to avoid a contract of life insurance may, within three years of entering into it, elect not to avoid it but to reduce the sum that you ve been insured for in accordance with a formula that takes into account the insurance fee that would have been payable if you had disclosed all relevant matters to the insurer. This duty continues to apply until the insurer notifies you that the risk has been accepted. 64 Suncorp Superannuation

65 9 Other important information What happens if you re a Suncorp WealthSmart Business Super member and you leave your employer? Just because you ve left your employer doesn t mean you need to change your super, making it one less thing you need to worry about. Provided your account balance isn t zero, your super will automatically remain invested in Suncorp WealthSmart allowing you to keep the valuable benefits in the table below. We ll also provide you with the information you need so that your new employer can contribute to your Suncorp WealthSmart account on your behalf. When we are notified you have left employment, we ll write to you, explaining your options along with a Benefit Questionnaire. This allows you to provide updated personal details to us. Once we receive your completed questionnaire, your insurance fee may be reviewed and changed, depending on the information provided. To ensure you are paying the correct insurance fee amount, you should return the Benefit Questionnaire to us (eg. if you confirm that you are a non-smoker and have not smoked in the last 12 month period, then reduced non-smoker rates will be applied). Investment options Insurance cover Fees You continue to be invested in the same investment options, unless you tell us otherwise. Death and TPD cover Your Death and TPD cover will continue automatically, without underwriting. Your insurance cover will be fixed at the dollar amount of your insurance that applied at the time you left your employer. Income Protection cover Any employer selected income protection cover will cease. However, you have six months from the date you left your employer to apply to have your cover reinstated with limited underwriting. If accepted, your insurance fees will be based on individual rates. However, any member selected Income Protection will continue automatically. Insurance fees Insurance fees for your Death and TPD and Income Protection will now be based on individual insurance rates, instead of any group rates that may have applied. Any loadings or exclusions will continue to apply. These will be smoker rates unless you provide written confirmation that you are a non-smoker. Please see the Suncorp WealthSmart Insurance premium rates guide, which is available on our website suncorp.com.au/super. To ensure you re paying the correct insurance fee amount, let us know your smoker status and current occupation. If we don t receive this information, we ll assume that your occupation hasn t changed and you are a smoker. Insurance arrangements for family account members will remain the same. All the fees in the PDS and this Product Guide continue to apply to you and any family accounts, except for the following: Administration fee discount 0.10% pa for amounts over $100,000 to $250, % pa for amounts over $250,000. The discount will be calculated based on your individual account balance excluding any amounts invested in the Suncorp Lifestage Fund. Our service standards for investment transactions We re committed to delivering consistent, high-quality service. Our service standards apply from when we receive your completed instructions in our Sydney office. If we receive a completed investment transaction request from you by 12pm (noon) (Sydney time) on a business day, you ll receive the unit price effective for the investment option for that day. If we receive a completed investment transaction request after 12pm on a business day, we ll process the request using the investment option unit prices for the following business day. The 12pm cut-off applies to all contributions, switches, rollovers and withdrawal requests. Please call us if you would like additional information about our transaction service standards. What happens if we don t have all your information? We strive to consistently meet our service standards, however the unit price used to process your transactions may differ from the effective unit price for that day or processing your transactions may be delayed in some circumstances including: incomplete or incorrect information from you or your employer a delay in confirmation or payment from an external investment manager carrying out the transaction may materially impact other members us receiving a direction from a lawful authority to suspend or amend the transaction the investment manager suspending redemptions from your underlying investment the proximity to the end of the financial year any other delays in redeeming assets. Please note that 30 days notice should be provided to us if you wish to switch or withdraw more than $250,000. We may from time to time review our service standards. Please also refer to Unit pricing delays on page 18 of this Product Guide. Suncorp WealthSmart Product Guide 65

66 9 Other important information (continued) Terms and conditions for accepting faxes We ll accept faxed instructions on our relevant forms. Before using this option, there are a few things you need to know, such as: we re not responsible to you for any loss resulting from any fraudulently completed request we re not responsible to you for any loss suffered by you because we process a fax that has been corrupted during transmission we won t compensate you for any losses arising from the use of this facility we ll be released and indemnified by you against any liabilities as a result of acting on any faxed communication received in relation to your account. Keeping in touch We ll keep you informed throughout the year with any changes we make to our products, legislative updates, and to provide you with your annual account details plus any other news we think you d be interested in. But it s not all one way. We also make it easy for you to keep in touch with us and your super. It s important we don t lose contact with you Super customers with whom we ve lost contact are known as lost members. We re required to report all lost members to the Australian Tax Office (ATO) who keep a register. That s why it s important you keep us up to date with your current address at all times as you ll be considered a lost member if we receive one piece of returned mail or and we can t contact you to obtain a current address. Any applicable fees (including insurance fees) will continue to be deducted from your account and we may transfer the remainder of your account balance to an eligible rollover fund (ERF). For more details please see Eligible rollover fund later in this section. Do yourself a favour consolidate your super If you ve had a few jobs, you ve probably got a few different super accounts. One of the easiest ways to simplify your finances, and potentially boost the amount of money you ll have when you retire, is to combine multiple super accounts into one. Consolidating your accounts is easy, and we can help you. You can even do most of it online using our Super Rollover Wizard visit suncorp.com.au/combineyoursuper to get started. Before consolidating, we recommend you contact your other super funds to find out if any exit fees are payable and how your insurance arrangements may be affected. If you require further information or professional advice, we recommend you consult a financial adviser. Think you may have lost super? If you ve had more than one job, moved house or changed your name, you could have lost super. We can help you find missing super. Simply visit our website for information or give us a call. Unclaimed money Your account balance will be paid to the ATO if: you re age 65 or over and we haven t received a contribution or rollover for two years and we ve been unable to contact you for five years, or you re a lost member and your account balance is less than $2,000 or we haven t received a contribution or rollover for 12 months (and it is not possible to pay to you). A lost member is one that cannot be contacted, an inactive member or a member transferred from another super fund as a lost member. Any person who has a claim to your benefit will then need to contact the ATO. Eligible rollover fund If we lose contact with you or your account balance falls below $1,200 in Suncorp WealthSmart Personal Super, we may transfer your super to an eligible rollover fund (ERF). If your super is transferred to the ERF, you ll no longer be a member of Suncorp WealthSmart and any insurance cover you have will stop. We ve selected the SMF Eligible Rollover Fund as our ERF. You can contact them at: Fund Administrator SMF Eligible Rollover Fund GPO Box 529 Hobart TAS 7001 Phone @ioof.com.au Transfer of benefit for temporary residents The ATO may instruct us to transfer the benefits of temporary residents to the ATO if: a temporary resident has left Australia, and their temporary visa expired/ceased more than six months prior. If we re instructed to transfer your benefits to the ATO, your Suncorp WealthSmart account will be closed. We re not required to issue an exit statement under these circumstances, as it s unlikely to reach you. Once your benefit is transferred to the ATO, it can only be accessed if you meet a condition of release. Trans-Tasman portability Under the Trans-Tasman portability scheme arrangement, we are able to transfer your entire super account balance from Australia to a New Zealand KiwiSaver scheme provided certain pre-conditions are met. We don t currently accept transfers from KiwiSaver accounts. Please see our website suncorp.com.au/super for more information. Intra-fund Consolidation We are required to undertake a process called Intra-fund Consolidation on an annual basis, which means we will identify members who have more than one Suncorp 66 Suncorp Superannuation

67 WealthSmart super account with us and determine if it is in the member s best-interest to consolidate accounts into a single Suncorp WealthSmart super account. We will provide advance notice of any change to a member s super accounts. Please see our website suncorp.com.au/super for more information. Employer subsidisation of fees and costs Prior to 1 January 2014, some employers subsidised particular fees and costs for certain members within their Plan. These type of arrangements are no longer allowed for new Plans under the MySuper legislation. From 1 January 2014, any subsidised fees and costs must apply to all MySuper employees (ie. employees invested 100% in the Suncorp Lifestage Fund) on the same basis. Any additional employer payments may count towards the concessional contributions cap and be subject to contributions tax. Relationship breakdown Your Suncorp WealthSmart account may be split with your spouse following a relationship breakdown. This can be done either by court order or by agreement between you and your spouse. The splitting of super benefits as a result of a relationship breakdown or divorce may have tax consequences. For further information on family law issues, please speak to your legal adviser. We won t charge you a fee for family law enquiries or to split your account. Trust Deed, governing rules and provisions Suncorp WealthSmart is governed by the Trust Deed, a copy of which you can get free of charge by contacting us. The Trust Deed, combined with the PDS and any material incorporated by reference, (including this Product Guide) relevant laws and certain information and communications we send you, set out the governing rules and provisions by which we must operate, and your rights as a Suncorp WealthSmart customer. Anti-Money Laundering and Counter- Terrorism Financing Anti-Money Laundering and Counter-Terrorism Financing legislation requires us to collect and verify information about your identity and monitor transactions on accounts held with us. If we request personal information about you and you do not provide it, we may not be able to provide you with the financial product or service that you request, or provide you with the full range of services we offer. We welcome your feedback If you have any feedback, including problems or complaints, we d like to hear from you. We make every effort to resolve things quickly. However, if you aren t satisfied with our response, or haven t received one in 90 days, you may contact the Superannuation Complaints Tribunal (SCT) by calling , writing to Locked Bag 3060, Melbourne VIC 3001 or visiting sct.gov.au. The SCT is an independent body established by the Government to help members of super funds resolve complaints. What happens if your application is incomplete? If your application is incomplete or unclear, we may hold your money for up to 30 days. If we don t receive additional information or a completed application form within this timeframe, we ll return the money to whoever paid it to us without any interest. Your money will only be invested once a properly completed application form is received. The value you receive will be based on the relevant unit price at that time. Superannuation Privacy Statement Your privacy is important We are a member of the Suncorp Group, which we ll refer to simply as the Group. Why do we collect personal information? Personal information is information or an opinion about an identified individual or an individual who is reasonably identifiable. We collect personal information so that we can: identify you and conduct appropriate checks; understand your requirements and provide you with a product or service; set up, administer and manage our products and services; assess and investigate a right exercised by you under one or more of our products; determine eligibility for family discounts where applicable; manage complaints and disputes and report to dispute resolution bodies; manage, train and develop our employees and representatives; and get a better understanding of you, your needs, your behaviours and how you interact with us, so we can engage in product and service research and development including managing the delivery of our services and products via the ways we communicate with you. What happens if you don t give us your personal information? If we ask for your personal information and you don t give it to us, we may not be able to provide you with any, some, or all of the features of our products or services. How we handle your personal information We collect your personal information directly from you and, in some cases, from other people or organisations. We also provide your personal information to other related companies in the Group, and they may disclose or use your personal information for the purposes described in Why do we collect personal information? in relation to products and services they may provide to you. They may also use your personal information to help them provide products and services to other customers, but they ll never disclose your personal information to another customer without your consent. Under various laws we will or may be authorised or required to collect your personal information. These laws include the: Australian Securities and Investments Commission Act 2001, Superannuation Industry (Supervision) Act 1993, Corporations Act 2001, Anti- Money Laundering and Counter-Terrorism Financing Act 2006, Anti-Money Laundering and Counter-Terrorism Financing Rules Instrument 2007 (No. 1), Income Tax Assessment Act 1997, Taxation Administration Act 1953, Superannuation Guarantee (Administration) Act 1992, Small Superannuation Accounts Act 1995, Superannuation (Unclaimed Money and Lost Members) Act 1999, Suncorp WealthSmart Product Guide 67

68 9 Other important information (continued) Superannuation (Resolution of Complaints) Act 1993, Superannuation (Government Co-contribution for Low Income Earners) Act 2003 and Family Law Act 1975 (Part VIIIB), as those acts are amended and any associated regulations. From time to time other acts, may require, or authorise us to collect your personal information. We will use and disclose your personal information for the purposes we collected it as well as purposes that are related, where you would reasonably expect us to. We may disclose your personal information to and/or collect your personal information from: other companies within the Group and other trading divisions or departments within the same company (please see our Suncorp Group Privacy Policy for a list of the companies); any of our Group joint ventures where authorised or required; customer, product, business or strategic research and development organisations; data warehouse, strategic learning organisations, data partners, analytic consultants; social media and other virtual communities and networks where people create, share or exchange information; a third party that we ve contracted to provide financial, legal or professional services, financial products or administrative services for example: -- information technology providers; -- administration or business management services, consultancy firms, auditors and business management consultants; -- marketing agencies and other marketing service providers, claims management service providers; -- print/mail/digital service providers, and -- imaging and document management services; any intermediaries, including your agent, adviser or other representative or person acting on your behalf, other Australian Financial Services Licensee or our authorised representatives, advisers, and our agents; a third party claimant or witnesses in a claim; the Superannuation Complaints Tribunal or any other external dispute resolution body; an employer, trustee or custodian associated with membership of a superannuation fund, investment/ managed fund or life insurance policy; government, statutory or regulatory bodies and enforcement bodies; policy or product holders or others who are authorised or noted on the policy as having a legal interest, including where you are an insured person but not the policy or product holder; other insurers, reinsurers, insurance investigators and claims or insurance reference services, financiers; and hospitals and medical, health or wellbeing professionals. We ll use a variety of methods to collect your personal information from, and disclose your personal information to, these persons and organisations, including written forms, telephone calls and via electronic delivery. We may collect and disclose your personal information to these persons and organisations during the information life cycle, regularly, or on an ad hoc basis, depending on the purpose of collection. Overseas Disclosure Sometimes, we need to provide your personal information to or get personal information about you from persons located overseas, for the same purposes as in Why do we collect personal information? The countries we usually disclose your personal information to have been outlined on our website suncorpgroup.com.au/privacy or you can give us a call and we will provide a copy. From time to time, we may need to disclose your personal information to, and collect your personal information from, other countries not on this list. Nevertheless, we will always disclose and collect your personal information in accordance with privacy laws. Your personal information and our marketing practices Every now and then, we and any related companies that use the Suncorp brand might let you know including via mail, SMS, , telephone or online about news, special offers, products and services that you might be interested in. We will engage in marketing unless you tell us otherwise. You can contact us to update your marketing preferences at any time. In order to carry out our direct marketing we collect your personal information from and disclose it to others that provide us with specialised data matching, trending or analytical services, as well as general marketing services (you can see the full list of persons and organisations under How we handle your personal information ). We may also collect your personal information for marketing through competitions. We, and other people who provide us with services, may combine the personal information collected from you or others, with the information we, or companies in our Group, or our service providers already hold about you. We may also use online targeted marketing, data and audience matching and market segmentation to improve advertising relevance to you. How to access and correct your personal information or make a complaint You have the right to access and correct your personal information held by us and you can find information about how to do this in the Suncorp Group Privacy Policy. The Policy also includes information about how you can complain about a breach of the Australian Privacy Principles and how we ll deal with such a complaint. You can get a copy of the Suncorp Group Privacy Policy. Please use the contact details in Contact Us. Contact us For more information about our privacy practices including overseas disclosure or to tell us about your marketing preferences visit our website suncorp.com.au/privacy or give us a call on Suncorp Superannuation

69 PART TWO 10 Suncorp WealthSmart for Business and Suncorp EASE TM If you re running a business and would like to set up a super plan to manage your employee superannuation requirements, then this part of the document is for you. Part 1 of this Product Guide covers all the key features of Suncorp WealthSmart Business Super for your employees. Choosing Suncorp WealthSmart We make it easy for you to meet your superannuation needs by providing a free (if enough of your employees are using Suncorp WealthSmart) and simple to use payment solution that will meet your choice of fund requirements. So you spend less time on super, which means more time for your customers. And with a selection of insurance and investment options available through Suncorp WealthSmart, you can tailor a package to your employees needs, whilst allowing them to choose some options themselves if they want to. Saving you time Our online administration system and payment solution Suncorp EASE (technically known as a superannuation clearing house ) removes the hassle when it comes to managing your employees super, especially if you re paying super to multiple funds. More on this later. What is Suncorp EASE? Simplicity One easy-to-use online interface for managing multiple super payments Control Employee information and super payments at your fingertips Flexibility Choose whether to input each employee s details on screen individually, or upload a payroll file if you ve got lots of employees With Suncorp EASE you can: View and manage your super information all in one place online, anytime. Enjoy fast and reliable payment processing straight into your employees super accounts. Make your super contributions by direct debit from your bank or by direct credit to ours. Easily set up a Suncorp WealthSmart account or another super fund for new employees when they join your company. Quickly update employee details such as salary, address, and tax file numbers. Pay your employees super contributions including multiple super funds at the touch of a button. Painlessly delete your employees from your company when they leave your company. Get access in one convenient location to reporting for employees in your plan and those who ve chosen another super fund. What if an employee wants their super contributions paid to another account? Under Super Choice legislation, your employees (if eligible) can choose where they want their compulsory employer contributions paid. If they want them paid to a fund other than Suncorp WealthSmart you won t have to run around and make separate payments to each different fund. Suncorp EASE lets you make contributions to as many different complying funds as you need to. Employer obligations Contribution amounts For most employees, the Super Guarantee (SG) contribution amount is currently equal to 9.5% of their salary (and is gradually rising to 12%). Contribution frequency You must make Award or SG contributions to your employees accounts, unless they re exempt, at least every quarter. Payments are required by us or the external fund by the 28th day of the month following the quarterly period in which the contribution was deducted, otherwise you may become liable to pay the Superannuation Guarantee Charge (SGC). The SGC is a non tax-deductible charge and may include interest and penalties. Please also refer to Our turnaround time for processing contributions later in this section for more information on cut-off times for payments. MySuper obligations Suncorp offers the Suncorp Lifestage Fund as a compliant MySuper product for your employee contributions. Our low cost diversified investment strategy provides you with the flexibility you need to provide a MySuper solution for your employees. Choice of fund obligations Suncorp WealthSmart is a complying super fund for choice of fund purposes and more than meets the minimum insurance requirements. However, it s your responsibility (and not ours or any other member of the Suncorp Group) to check if you re able to use us as your default fund under the employment award or arrangements relevant to your industry. Suncorp WealthSmart helps you meet your insurance obligations under the choice of fund legislation by offering Trustee Minimum Cover. This cover exceeds the prescribed minimums for the provision of Death Cover and includes a smaller amount for TPD Cover. No minimum level of Death and/or TPD cover is required for employees aged 56 or older. The insurer does not have to provide cover for employees if their occupation and/or hours of work are not acceptable. Suncorp WealthSmart for business and Suncorp EASE Suncorp WealthSmart Product Guide 69

70 10 Suncorp WealthSmart for Business and Suncorp EASE TM (continued) How does Suncorp EASE work? Suncorp EASE (or Employer Administration Super Exchange) is our online superannuation clearing house facility. Simply, this is how it works: 1. Set up your employees 2. Upload your payroll Suncorp WealthSmart for business and Suncorp EASE 3. Make the payments (contributions) Making contributions This illustration below shows how contributions are made using Suncorp EASE: Choice Default Employer s bank Employer Employer s bank Choice $ Default $ Payment agent bank account Suncorp EASE Choice data Default fund data Suncorp WealthSmart fund account Payment agent Suncorp WealthSmart administration system Choice data $ Choice data $ Choice data $ External External External A payment agent is an external third party we use to administer the payment of contributions to external super funds. 70 Suncorp Superannuation

71 Suncorp WealthSmart insurance Holding life insurance through superannuation can be a tax-effective way to provide your employees with the security of knowing that they have taken care of the most important people in their life if the unexpected happens. You can select insurance for your employees for: Death and Total and Permanent Disablement (TPD) cover Income Protection cover Depending on eligibility. You cannot have Income Protection only. You may be able to apply for automatic insurance for all types of cover available through Suncorp WealthSmart. And, as Suncorp WealthSmart is flexible to cater for a wide range of business needs, you have the added flexibility to select different types and levels of cover for different categories of employees (eg. directors, management and general staff). Employer selected cover Death only or Death and TPD 1 The total benefit payable on Death and TPD is the nominated sum insured plus an employee s accumulated account balance (eg. the actual sum insured amount will remain fixed unless they apply to vary it). fixed sum insured (eg. $100,000 per employee), or multiple of an employee s salary, or percentage of an employee s salary multiplied by the number of years to age 65, or fixed insurance fee (eg. $1 per week) with insured benefits varying depending on age 2, or Income Protection 3 You can choose cover based on: up to 75% of an employee s salary an additional optional superannuation contribution component of up to 10% a year of salary 4 a benefit period of 2 years, 5 years or until age 65 a waiting period of 30, 60 or 90 days. 1. The amount of TPD cover chosen cannot be higher than the amount of Death cover. 2. Where a fixed insurance fee is selected, we will advise you of the sums insured which will depend on the occupation profile of your employees. 3. Monthly benefits can be reduced if the employee receives sick leave payments, worker s compensation or motor accident compensation, statutory compensation payments, Centrelink or similar government payments, or income replacement benefits from any other insurance policies or super funds. 4. Payment of this benefit must be made to a complying superannuation fund. Automatic acceptance limits (AAL) A benefit of employer selected cover is that Suncorp Life may be able to offer automatic levels of cover for your employees. The AAL is the maximum amount of cover a member is able to receive without having to apply. AALs are awarded by the insurer. When making its decision on the size of the AAL, the insurer will consider the number of eligible members with each type of benefit. Members who all have Income Protection insurance, but with different benefit periods, will be treated as having different types of cover for AAL/pricing purposes. Number of insured members Death only Death and TPD Income Protection two or five year or to age 65 benefit 0-5 Trustee Minimum Cover Trustee Minimum Cover Nil 6-9 Trustee Minimum Cover Trustee Minimum Cover Nil $300,000 $300,000 $5,000 per month $400,000 $400,000 $6,500 per month $500,000 $500,000 $8,000 per month $600,000 $600,000 $9,000 per month $750,000 $750,000 $10,000 per month $900,000 $900,000 $12,000 per month 1,000+ $900,000 $900,000 $14,000 per month As the number of insured members in your plan changes, the AAL may be adjusted in line with the table above. The AAL for your plan may also be reduced or withdrawn if the number of insured members is less than 75% of your plan s membership. Any change to the AAL won t affect an employee s accepted cover. Transfer of existing insurance arrangements We may allow you to transfer your employees existing insurance cover, subject to certain terms and conditions. Suncorp WealthSmart for business and Suncorp EASE Suncorp WealthSmart Product Guide 71

72 10 Suncorp WealthSmart for Business and Suncorp EASE TM (continued) Suncorp WealthSmart for business and Suncorp EASE Auto-rebalancing Keeping track of movements in investment options can be a time-consuming task. By selecting the auto-rebalancing feature, your employees can ensure that their investments are automatically adjusted in line with their future investment strategy at quarterly, half-yearly or yearly intervals. For more information on how this feature works, please see the auto-rebalancing on super accounts section on page 18 of this Product Guide. Your employees can choose to add this feature to their account. You can t select this feature at your plan level. You can pay your contributions by direct debit or direct credit Direct debit This is the easiest way to make your contributions. Just complete a Direct Debit Request form (for employers) which you can find on our website. We ll then draw payments from your nominated bank account. We ll debit your nominated account twice once for payments for your Suncorp WealthSmart default fund and another for payments to external funds (which will then be on-paid to them by direct credit or cheque). Direct credit If you choose direct credit then you ll send us payments directly from your bank account. This is a bit more complicated than using direct debit. Here s how it works: Step 1 - Please check that your bank offers direct credit (not all banks do). Step 2 - Tell us your contribution information and ensure you quote the correct reference on your payment. If you don t, we won t be able to pass these contributions on to any external funds on your behalf. Step 3 - Immediately after step 2, you ll need to make two separate payments for each contribution period: One to our bank account for the payment of contributions to the Suncorp WealthSmart default fund, and One to the payment agent s bank account for choice contributions to external funds. Whether you choose direct debit or direct credit, if we receive your contribution information before 12pm (noon) (Sydney time) on a business day, your payments will be deducted that night. Otherwise they may not be deducted until the end of the following business day. Our turnaround time for processing contributions Contributions made through Suncorp EASE into your employees super accounts should be processed within ten business days of receiving the contribution information and funds from Suncorp EASE. If we receive it on a non-business day, then we ll take it to have been received on the following business day. This means contribution information (and if paying by direct credit, contribution payments) should be sent to us by at least 12pm (Sydney time) on a cut-off day (the 14th of January, April, July or October, or the last business day before these dates if they fall on a non-business day). This will allow enough time for your payments to be distributed to, and processed by, each external fund into your employees super accounts. Otherwise you may become liable to pay the Superannuation Guarantee Charge (SGC) (we talked about this earlier in the section). Please make sure you send us accurate information If the information you ve given us is incomplete or contains errors, you may get an error message stopping you from sending it to us, and/or we may be unable to action some or all of your contribution information and payments. Sorry, but we re not liable for any loss you or any other person incurs as a result of this. We ll process your request based on what you ve sent us. But neither we nor the payment agent will check you ve sent us everything you need to or that what you ve sent to us is accurate. And of course, both you and your employees must have met the application requirements (if any) of any external funds before sending us a payment and contribution information via Suncorp EASE. Once we ve received your contributions along with your instructions you won t be able to cancel them. Fees and costs for using Suncorp EASE Suncorp EASE is free, as long as you: nominated Suncorp WealthSmart as your default employer plan and make contributions to it (except for those employees who have chosen an external fund) have contributed to your Suncorp WealthSmart default employer plan for at least 50% of your employees at the time you provide the contribution information. If the above conditions aren t met, we have the right to charge reasonable fees. And in any event, we can introduce new fees or change the current fees at any time. It s not our intention to do so but if we do this we ll always give you at least 30 days written notice. Risks of using a superannuation clearing house such as Suncorp EASE Using Suncorp EASE involves some risk. The main risk is that contributions for an employee who has exercised choice and chosen their own external fund (ie a fund other than Suncorp WealthSmart) may not get paid by the due date for SG contributions. This could happen if: You provide your contribution information late (please also refer to Our turnaround time for processing contributions) Your contribution information contains errors or is not complete There s not enough money in your nominated account at the time of withdrawal A contribution is rejected by an external fund. Also, by law you re only considered to have made a choice contribution to an external fund when the external fund accepts it. 72 Suncorp Superannuation

73 What if an external super fund rejects your employer super contributions? If this happens, our payment agent will refund the contribution payments into your bank account and will let you know (to the extent they can based on the information they receive from the external fund). For this reason, we must have your bank details. Sorry, but we wouldn t be able to help you resolve the issue at this point you d need to take this up with the trustee of the external fund and resend the contribution payment and supporting information directly to them. What if there s a problem with your employer contribution payments? Where you ve made a payment to us by direct credit for external funds and this doesn t match the contribution information from you, then all clearing house services will cease and you ll need to cover any costs in resolving the issue. If we can t sort this out with you, the contribution payment will be refunded to you. If you use direct debit and you receive notice that a payment to an external fund has been dishonoured, we ll let you know, but you re responsible for any dishonour fees you incur. You can then deposit amounts into your nominated account and re-send the contribution information to us. No interest or earnings will be paid to you on any amounts received by us. What happens to an employee s Suncorp WealthSmart account if they leave employment with you? When they leave your employment, they ll automatically remain a customer of Suncorp WealthSmart. But once you ve let us know they ve left, we ll take care of things for you by deleting them from your employer plan, so you ll no longer see them listed on Suncorp EASE under any employee reporting. Where are the terms and conditions of using Suncorp EASE? The terms and conditions for Suncorp EASE are on our website. It s important you read them carefully, and if we update the terms and conditions, this will be available on our website suncorp.com.au/super. If you d like a free, paper copy of the updated information, just call us. Cancelling your use of Suncorp EASE In the unlikely event that we do this, we ll let you know at least 14 days beforehand. Tax file numbers (TFN) By law, you must provide us with your employees TFNs, unless they instruct you not to. While it s not compulsory for them to provide us with their TFN, they should be aware there are consequences if they don t. Policy committees A policy committee lets you and your employees give us feedback on how your super plan is working, including on the general operation and performance of Suncorp WealthSmart. You should set up a policy committee if there are 50 or more employees in your Suncorp WealthSmart employer plan. For smaller plans, you can still set up a policy committee if five or more employees request it in writing. Please keep us up to date with your employee information Information you ve given us will change from time to time. For example, an employee may roll their super out of Suncorp WealthSmart to another fund, or change their external super fund, or the name or contact details of the external fund may change. It s important you tell us about any changes at least three business days before you provide the contribution information for a contribution period, otherwise there may be a delay in us processing your payments. What will your employees receive? Once your account has been opened, your employees will receive a welcome pack with all the details about their super and how to access their online account (see Part 1 of this Product Guide for further information). How do you open an account? There are two ways you can open a Suncorp EASE business account: 1. Apply online at suncorp.com.au/super it will only take around 10 minutes. 2. Call us on to apply over the phone. We ll be happy to help. What if you join Suncorp WealthSmart but then change your mind? When you join Suncorp WealthSmart, you get a 19-day cooling-off period in case you change your mind. The cooling-off period will start on the earlier of the time we confirm an account has been established for one of your employees, or five days after their account has been set up. During this period, you can cancel your membership simply by writing to us. Depending on legal requirements, we ll pay the balance of your account to either your employees or another super fund. You must provide us with the name of the super fund you d like the amount to be paid to within one month of requesting cancellation. The amount returned may be less than the original amount invested in Suncorp WealthSmart due to any applicable fees charged, tax payable and fluctuations in unit prices. Any insurance cover your employees have will be cancelled on the day we receive your request. Suncorp WealthSmart for business and Suncorp EASE Suncorp WealthSmart Product Guide 73

74 10 Suncorp WealthSmart for Business and Suncorp EASE TM (continued) Incomplete applications If your application is incomplete or unclear, we may hold your money for up to 30 days. If we don t receive additional information or a completed application form within this timeframe, we ll return the money to whoever paid it to us without any interest. A member s money will only be invested once a properly completed application form is received. The value they receive will be based on the relevant unit price at that time. Suncorp WealthSmart for business and Suncorp EASE And finally... The following information applies to you, just the same as it does for your employees for both Suncorp WealthSmart and Suncorp EASE. We provide further information on each of these in Part 1 of this Product Guide: Changes to the PDS What happens if you re a Suncorp WealthSmart Business Super member and you leave your employer? How we keep you updated Family accounts Your privacy We welcome your feedback Anti-Money Laundering and Counter-Terrorism Financing The information in this Product Guide may change. If the change isn t likely to be materially adverse, we ll update the information on our website suncorp.com.au/super. If you d then like a free paper copy of the updated information, just call us. If there s anything else you need to know, either now or any time after your new super plan is up and running, just give us a call on We ll be happy to help. 74 Suncorp Superannuation

75 This page has been left blank intentionally.

76 3 8 MYS UP ER ER SATION N ORI UM TH B AU How to contact us Suncorp WealthSmart GPO Box 2585, Brisbane QLD /07/14 01/01/14 A Customers Suncorp Financial Planners, Authorised Representatives and Independent Financial Advisers [email protected] suncorp.com.au/super