Diversified Income change

We’re making changes to our Diversified Income option

From 1 January 2020 we’ll be implementing a change to our Diversified Income (DI) investment option  that over time will allow us to be more flexible with our investment strategies and more effectively target higher yielding securities.

This change will not affect your balance, regardless of which option(s) you are invested in.

What is the change?

Essentially, we are aligning how we calculate the DI option unit price with how we calculate the unit prices of our other investment options.
Currently, when a DI option distribution is paid, the unit price of the option goes down while the number of units the member holds is unchanged. From 1 January 2020, the distribution will be made as an investment switch from the DI option to the Cash option. When the distribution is paid the unit price will not change, however the number of units a member holds will go down to offset the switch to cash.

Why the change?

The change will bring the DI portfolio in line with our other investment options. Together, with some other operational changes, this will enable us to make more targeted investing within all our investment options, including DI.

How will the distribution amount be calculated going forward?

The new distribution rate is based on an estimate of the expected income of the DI portfolio’s assets and will be reviewed periodically.

Need help with your investments?

At TelstraSuper we’re here to help you build a secure financial future. TelstraSuper Financial Planning has a team of phone based Advisers who can provide you with simple advice to help you work out what investment options may be suitable for you. If you’d like to discuss your investment options or if you have any other financial advice queries contact us on 1300 033 166 or fill in our online contact form.  

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