QSuper and many other superannuation funds have a default investment strategy that automatically invests your money in different assets determined by your age. These strategies, commonly known as life cycle investment strategies, assume that you are becoming a short term investor with the goal to reduce your investments in growth assets (such as company shares). What it fails to mention is that you lose the ability to grow your retirement savings leading up to and throughout retirement, increasing the long-term risk of running out of money. For all listener questions/feedback, please contact the team at podcast@mo50.com.au.

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