University Conservative Diversified Strategy
Strategic asset allocation: 19.0% liquid growth; 81.0% liquid defensive.
Investment objective: To achieve an investment objective of CPI+0.5% p.a. over a rolling 4 year period with a greater than 50% probability of exceeding the objective.
Risk: Low to Medium (Risk Band 3: from 1 to less than 2 negative annual return estimated over any 20 year period). For further information about the risk measure for the University Conservative Diversified Strategy, please refer to the Standard Risk Measures document.
Investment time horizon: The University Conservative Diversified Strategy has been designed for a short-term investment horizon (3-5 years) with little tolerance for market volatility and a preference for security.
Strategic asset allocation
| At 1 July 2018 | Dynamic asset allocation | |
|---|---|---|
| Liquid growth | 19.0% | 11.0% - 27.0% |
| Australian Equities | 8.0% | |
| International Equities | 11.0% | |
| Alternatives | 0.0% | |
| Liquid defensive | 81.0% | 73.0% - 89.0% |
| Australian Fixed Interest | 4.0% | |
| International Fixed Interest | 2.0% | |
| Cash | 75.0% | |
| Total | 100.0% |
Note
Annual negative returns can occur in consecutive years and may exceed the estimated standard risk measure. For example, the University Conservative Diversified Strategy is estimated to experience on average 1 to 2 negative annual return in any 20 years. Despite this expectation, negative annual returns can occur consecutively. Further negative annual returns may also be experienced after these negative returns and within the same 20 year time frame.