Low fees

Telstra Super offers low member and administration fees and competitive investment management fees, plus with Telstra Super there are no entry fees, exit fees or commissions.

Fees and costs

The table below shows the possible fees and other costs that you may be charged. These fees and costs may be deducted from your balance, from the returns on your investment or from the fund assets as a whole.

Type of fee or cost Amount How and when paid
Establishment (entry) fee: the fee to open your investment Nil n/a
Contribution fee: the fee on each amount contributed to your investment – either by you or your employer Nil n/a
Withdrawal fee: the fee on each amount you take out of your investment Nil n/a
Termination (exit) fee: the fee to close your investment Nil n/a
Management costs: the fees and costs for managing your investment
          
Member fee
 $1.50 per week Deducted from your account at the end of each quarter or when you leave the fund.
+ +                     
 Administration fee
  0.2% pa.
 Deducted daily, as part of unit price calculation
The amount you pay for specific investment options Between 0.14% and 0.60% pa. Refer to the estimated 2010/2011 investment management fees below for further details.  

Management costs

Management costs include member and administration fees and investment management fees.

Member and Administration fees

The member fee is a low $1.50 per week and administration fee is 0.2% pa. This amount covers the accrued cost of looking after your super for the year. The administration fee is deducted daily as part of the unit price. The member fee is deducted from your account* by reducing your number of units at the end of each quarter or when you leave the fund. Telstra Super’s fees are comparable to most industry funds and lower than most other retail funds.

* Sensis Super Plus members who transferred from PASF in July 2001 - your administration fee is paid by your employer.

Investment management fees

Investment management fees below are an estimate for the 2011/2012 year based on the investment managers in place, their fee structure and the asset allocations for the financial year to 31 May 2011. The exact cost of managing your investment will vary from time to time. If you have more than one investment option, the fee deducted from gross investment earnings will be apportioned according to your investment mix.

At Telstra Super, some of our underlying investment managers receive performance fees. These fees are included in the total estimated investment management fees shown in the table below. These fees are calculated as an agreed percentage of any investment performance above an agreed hurdle rate.

The exact cost of managing your investment will vary from time to time due to changes to asset class weightings within investment options, asset class investment performance, investment manager or mandate changes, increases or decreases in the funds under management of a particular manager and/or performance fees payable to investment managers.

2011/2012 investment management fees
     Base investment
management fee 		+ Performance
fee 		= Estimated investment
management fee
Growth 0.49%   0.04%   0.53%
Balanced 0.45%   0.04%   0.49%
Defensive Growth† 0.38%   0.01%   0.39%
Conservative 0.32%   0.04%   0.36%
International Shares 0.60%   0.00%   0.60%
Australian Shares 0.42%   0.07%   0.49%
Property 0.42%   0.00%   0.42%
Fixed Interest 0.21%   0.02%   0.23%
Cash 0.11%   0.03%   0.14%

Additional costs

Type of fee or cost Amount How and when paid
Transaction costs: the cost of conducting member-initiated transactions
 Between 0.00% and 0.60% Reflected in the unit price calculation at the time of the transaction

Size versus cost

Telstra Super uses a number of specialist investment managers to manage your super investment. Due to the size of our fund, Telstra Super is able to negotiate wholesale fees. These fees are lower than an individual member could negotiate.

Comparing costs

When comparing the fees of your Telstra Super account with those of other investment products, it is important to consider all the costs involved. With Telstra Super, the total cost of managing your investment is generally low compared to the fees that usually apply to super investments.