How does it work?
This option employs multiple responsible investment approaches, including screening for shares (exclusions), ESG integration, sustainability-themed investing, and stewardship as set out in our Super Savings Investment Guide and in addition to our approach to sustainable investing for other available options.
Objective: over rolling 10 year periods, beat inflation by 3.5% p.a. (Accumulation account and Transition to retirement income account) or by 4.0% p.a. (Income account), after investment fees and costs, transaction costs and, where applicable, investment taxes.1, 2
Minimum suggested timeframe: 5 years
Standard risk measure: the expected number of years of negative returns over any 20-year period is between 4 and 6.
The Socially Conscious Balanced option offers members the choice to invest in a diversified portfolio aligned with an extended set of environmental, social and governance (ESG) principles.
Socially Conscious Balanced returns
to 30 September 2023
Past performance is not a reliable indication of future performance.
Frequently asked questions
If you are considering whether the Socially Conscious Balanced investment option is right for you, you should speak to your financial adviser or to one of Australian Retirement Trust's advisers. You can give Australian Retirement Trust a call on 13 11 84 or to change your investment option online, log in to Member Online.
Exclusions: what industries does this investment option avoid investing in? (Australian and international shares asset classes only)
The following exclusions apply to the SCB option's Australian and international shares asset classes:
|Thermal coal||Mining of thermal coal (including lignite, bituminous, anthracite and steam coal) and its sale to external parties.||5% gross revenue (reported or estimated) threshold in most recent year of financial reporting|
|Metallurgical coal||Mining of metallurgical coal (including coking coal) and its sale to external parties.|
|Oil and gas||Extraction and production or refining of oil and gas.|
|Fossil fuel power generation||Thermal coal, liquid fuel, and natural gas-based power generation|
|Alcohol||Companies that manufacture alcoholic products, including brewers, distillers, and vintners. It also includes companies that own or operate wine vineyards.|
|Gambling||Companies that operate gambling facilities such as casinos, racetracks, bingo parlours, or other betting establishments.|
|Adult entertainment2||Companies that produce adult entertainment materials.|
|Tobacco and alternative smoking products3||Companies that manufacture tobacco products, or products aimed to replace or supplement tobacco products.||No threshold (companies deriving any revenue from the manufacturing of these products are excluded)|
|Controversial weapons||Companies that have any tie to controversial weapons (cluster munitions, landmines, biological / chemical weapons, depleted uranium weapons, blinding laser weapons, incendiary weapons, and/or nondetectable fragments)||Any involvement|
|Nuclear weapons||Companies that have an industry tie to nuclear weapons|
|Live animal exports||Australian listed companies that own and/or operate live animal export operations||Australian listed companies identified by internal desktop research to own and/or operate live animal export operations|
Exceptions to these exclusions
The screening criteria do not apply to pooled vehicles or derivatives, which may have indirect exposure to companies exceeding the negative screens.
The thermal coal and metallurgical coal exclusions do not apply to companies deriving revenue from coal mined for internal power generation, intra-company sales of mined thermal and metallurgical coal, or revenue from coal trading.
The implementation of the exclusions above (other than the exclusion concerning live animal exports) relies upon accuracy of data from a third-party provider (MSCI).
Sometimes we may accept excluded listed shares as part of super fund mergers. In this instance, we seek to divest in a manner aligned with members' best financial interests, usually within 30 days. Exclusion lists are updated twice yearly. Following those updates, we inform external investment managers which listed equity shares are required to be excluded from new and existing investments.
For other asset classes to which the negative screens referred to above do not apply, we still take steps to integrate consideration of material ESG risks and opportunities into investment decisions we make for the Super Savings ESG options as set out in the Super Savings Investment Guide.
1. Thermal coal, oil and gas, and fossil fuel power generation exclusions are based on MSCI ESG Climate Change Metrics Methodology (November 2022) and associated universe coverage. The metallurgical coal exclusion uses data supplied through, and defined within, MSCI ESG Manager platform. The alcohol, gambling, adult entertainment, tobacco and alternative smoking products, controversial weapons, and nuclear weapons exclusions use MSCI ESG Business Involvement Screening Research Methodology (October 2022) and associated universe coverage. The live animal export exclusion applies to listed Australian shares companies, and internal desktop research is conducted by Australian Retirement Trust.
2. Companies that produce adult entertainment materials that fall into the following six categories: producer of X-rated films, producer of pay-per-view programming or channels, producer of sexually explicit video games, producer of books or magazines with adult content, live entertainment of an adult nature, producer of adults-only material on the internet.
3. Tobacco and alternative smoking products refers to companies that manufacture tobacco products (or products aimed to replace or supplement tobacco products), such as cigars, blunts, cigarettes, e-cigarettes, inhalers, beedis, kreteks, smokeless tobacco, snuff, snus, dissolvable and chewing tobacco. This also includes companies that grow or process raw tobacco leaves.
Where can I see what this option invests in?
- Portfolio holdings disclosure information for all of Australian Retirement Trust’s Super Savings Products in line with specific requirements of Australian law can be found here.
- Information relating to the holdings of the Super Savings Socially Conscious Balanced Option as at 30 June 2023 specifically prepared for the disclosure standards of RIAA certification can be found here.
Can I see a breakdown of the option's asset allocation?
When reading the objectives and/or risks, you should also read the important information about Risks of our investment options and Important information about expected returns in the Super Savings Investment Guide. ART sets these objectives to monitor its investment performance.
I want to join and choose this option. How do I start?
Find out more
Check out information relating to the holdings of the Super Savings Socially Conscious Balanced Option as at 30 June 2023, specifically prepared for the disclosure standards of RIAA certification. Please note that portfolio holdings disclosure information for all of Australian Retirement Trust’s Super Savings Products in line with specific requirements of Australian law can be found here.
- Past performance is not a reliable indication of future performance. Returns may vary considerably over time.
- This is the Super Savings Accumulation account version of the Socially Conscious Balanced option as at July 2023.
- If you are considering whether the investment option for your super is the right one for you, you should speak to your financial adviser or to one of Australian Retirement Trust's advisers. You can give Australian Retirement Trust a call on 13 11 84 or to change your investment option online, log in to Member Online.
- RIAA’s RI Certification Symbol signifies that a product or service offers an investment style that takes into account environmental, social, governance or ethical considerations. The Symbol also signifies that the Socially Conscious Balanced option adheres to the strict operational and disclosure practices required under the Responsible Investment Certification Program for the category of Product. The Certification Symbol is a Trademark of the Responsible Investment Association Australasia (RIAA). Detailed information about RIAA, the Symbol and Socially Conscious Balanced option’s methodology, performance and stock holdings can be found at www.responsiblereturns.com.au, together with details about other responsible investment products certified by RIAA. The Responsible Investment Certification Program does not constitute financial product advice. Neither the Certification Symbol nor RIAA recommends to any person that any financial product is a suitable investment or that returns are guaranteed. Appropriate professional advice should be sought prior to making an investment decision. RIAA does not hold an Australian Financial Services Licence.