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OneAnswer
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About OnePath
OnePath is one of Australia’s leading providers of
wealth, insurance and advice solutions. We have
been helping Australians grow and protect their
wealth for over 130 years, previously as Mercantile
Mutual and more recently as ING Australia.
Backed by the strength of ANZ
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OneAnswer – helping you reach your financial
goals sooner
When you invest in OneAnswer you can be confident that you have the support of a first class investment, superannuation and pension solution that can be tailored to meet your financial goals.
What is OneAnswer?
OneAnswer is designed to provide you with an extensive range of investment and life insurance offerings under one convenient administration solution.
Designed to support you through every stage in your life, OneAnswer can help you achieve your financial goals by providing a comprehensive solution to help you build your wealth, save for your retirement through superannuation and enjoy your retirement with a flexible income stream.
There are three OneAnswer products that your financial adviser can tailor to meet your lifestyle and financial goals.
18–25 25–35 35–45 45–55 55–65 65+ Age
BUILD
Build your wealth outside of super with the OneAnswer Investment Portfolio.
SAVE & PROTECT
Save for your retirement with OneAnswer Personal Super and protect what you’ve worked hard to achieve.
ENJOY
Transition and enjoy your retirement with OneAnswer Pension.
$
Investment Portfolio – build your wealth by generating capital growth and income. You have the ability to blend investment managers, investment styles and asset classes as well as the flexibility to access your money at any time.
Personal Super – save for your retirement by accumulating and growing your superannuation savings. You can also pay your life insurance premiums through your superannuation and take advantage of certain tax concessions.
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Why choose OneAnswer?
OneAnswer provides an easy way to invest in managed funds and cash. By investing under the greater buying power of a convenient administration solution you benefit from lower fees and greater access to wholesale fund managers focused on delivering strong, consistent returns in all market conditions.
OneAnswer also delivers a simple and secure way to track your investment performance along with regular reporting.
Insurance through OneAnswer enables you to conveniently protect yourself and the ones you love. You can also take advantage of the tax effective insurance options through Personal Super.
Independently recognised and highly awarded
While many claim to offer market leading features and services OnePath can demonstrate an award winning track record. In the past five years we have won national awards for our products and our commitment to customer service.
Our awards include:
• Money Magazine Best of the Best Awards – Best Featured Pension for OneAnswer Frontier Pension
• SuperRatings Rising Star of the Year Award for OneAnswer Frontier
• SuperRatings finalist in the Pension Product of the Year Award for OneAnswer Frontier Pension
• The Heron Partnership - ‘5 Quality Star’ rating for OneAnswer Personal Super & Pension and OneAnswer Frontier Personal Super
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What are the some of the features of OneAnswer?
OneAnswer provides you with a wide range of features designed to help your financial adviser tailor a solution that is suited to your financial goals.
Investment managers who are considered sector specialists
Leading insurance solutions
Convenient ways to grow and manage your investments
Exceptional online tools to track and manage your investments Borrow to invest with access to ANZ Margin Lending
Access to regular updates and educational material to help grow your investment
Exclusive InvestorBenefits membership
At-Call access to your pension through ATMs
OneAnswer
Comprehensive choice of investment options
OneAnswer allows you and your financial adviser to manage your investments by offering:
• Products to help you create your future whether you want to generate capital growth and income from your investment, accumulate your superannuation savings or transition and enjoy your retirement
• Choice and flexibility through an extensive choice of carefully selected investment funds including a range of ANZ term deposits and cash options
• Transparent fees provide flexibility for you and your adviser on how, when and the amount you will pay for your financial advice
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A comprehensive choice of investment options
When you invest with OnePath, you can be confident you’re accessing world leading investments, handpicked by experts and backed by the strength of ANZ. OneAnswer’s investment menu provides a wide range of options, enabling you to diversify and gain exposure to different asset classes, fund managers and styles – all via one convenient administration solution.
We make investing easy with a mix of investment options that include:
• More than 80 investment funds – including OnePath funds, managed by five specialist managers with a proven history and a record of strong performance across all asset classes
• OptiMix ‘Manage the Managers’ (MTM) investment funds – combining a number of carefully selected investment managers in one investment portfolio, providing a convenient way to diversify across investment managers
• OnePath Diversified Multi Manager funds – designed for investors who believe that consistent returns can be achieved by combining selected investment managers with market benchmark based investments
• ANZ’s flexible cash options – offering you a range of term deposits and cash options, from one of Australia’s largest banks.
Leading insurance solutions
There are three types of insurance cover available through the OneAnswer Personal Super account that give you the ability to pay for your premiums through your superannuation in a tax effective manner.
• Basic insurance cover – upon joining OneAnswer Personal Super you may be eligible to receive a basic level of Death and Total and Permanent Disablement (TPD) insurance cover (determined by your age).
• Customised insurance cover – if you require tailored Death Only or additional Death and TPD insurance cover, you can apply for customised insurance cover through OneAnswer Personal Super.
• Insurance cover through OneCare Super – cover may also be arranged through OnePath’s OneCare Super offering with your insurance premiums deducted from your Personal Super account.
As your circumstances change, OneAnswer offers the flexibility to adjust your insurance cover. You can apply for an increase in your existing cover (Death Only Cover or Death and TPD Cover) up to a specific amount without underwriting when specific life events occur*. You may also request that we automatically increase your insurance cover each year in line with inflation*.
Our insurance awards include:
• AFR Smart Investor Blue Ribbon Awards - Income Protection Product of the Year • Money Management - Risk Company of the Year
• CANSTAR Outstanding Value for Life Insurance Award
• The Heron Partnership - ‘Top 10 Insurance Features’ for OneAnswer Frontier Personal Super
*Not available with Basic insurance cover.
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Convenient ways to grow and manage your
investments
Multiple ways to invest – investments can be made anytime using BPAY® or internet
banking by direct debit from your bank account.
Regular Investment Plan – our direct debit option means you can contribute regularly to your Personal Super or Investment Portfolio account and watch it grow.
Flexible contribution types – as well as accepting compulsory Superannuation Guarantee contributions from your employer, we also accept voluntary contributions from you, your spouse or your employer. We even accept transfers of superannuation amounts that you may hold overseas.
Flexible distribution options – OneAnswer Investment Portfolio – the distributions received from investments in your OneAnswer Investment Portfolio can be reinvested in additional units or paid into your bank or financial institution account, the choice is yours.
Easy switching options
One off switching – conveniently switch online between investment funds as your financial objectives change over time.
Dollar Cost Averaging Plan – manage and spread the risk of your investment by establishing a Dollar Cost Averaging Plan to switch a set amount on a regular basis into selected investment funds over time.
Auto-rebalance – set up an automated facility to rebalance your investment fund allocation to ensure it matches your nominated investment profile.
Your
financial adviser
can
help
you
decide
how to
best invest your funds
and
create
a
long term financial plan.
® Registered to BPAY Pty Ltd ABN 69 079 137 518.
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View and manage your account online
As a client of OneAnswer, you will be automatically registered for a ‘My OnePath’ online account. My OnePath helps you securely manage and track your investments online and allows you to:
• View your account balance and transaction history • Switch between investment funds
• Make additional contributions
• Update your account details including pension payments • Update your personal and contact details
• Commence, stop or change your regular investment or draw down plans • Access exclusive InvestorBenefits.
For your convenience, you can also authorise your financial adviser to manage your account on your behalf. However, you will still be responsible for authorising any withdrawals from, or changes to, your nominated bank account.
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SUPERANNUATION
What is salary sacrifice into sup erannuation? Salary sacrifice is an arrangemen
t between you and your employer wher
e you agree to forgo par t of your before-tax salary in return for your emplo
yer making super contributions of the same value. What are the benefits? Salary sacrificing in
to super can also ha ve the added benefit of reducing the inc
ome tax you pay and increasing the lev el of your retiremen
t savings. This is because the ‘sacrificed’ portion goes directly into super and is tax
ed at a maximum r ate of 15% contributions tax inst
ead of your mar ginal rate. Who can salary sacrifice? Whether salar
y sacrifice is r ight for you will depend on y
our personal circumstances and income lev
el. Generally speaking, if having a mor
e comfortable r etirement is your goal and y
our marginal income tax rate is 30% or higher
, salary sacrifice may be a tax eff
ective way to save for your retirement. If y ou are able to contribute more towards your retir
ement now, salary sacrifice may make good financial sense
.
What are the limits relating t o salary sacrifice? While there are many factors that determine the appr
opriate amount of salary sacrifice for you, one of the main c
onsiderations is the concessional contributions cap
. Contribution caps limit ho w much you can c
ontribute to your super bef ore additional tax is charged. Concessional contributions include
, but are not limited to, salary sacrifice contributions or deduc
tible contributions, superannuation guar
antee and other emplo yer contributions. The salar
y sacrifice strategy is gener ally of most benefit wher
e you are paying less tax when c
ontributing t o super than your marginal income tax r
ate (up to 46.5%). Therefore, exceeding the concessional contributions cap ma
y not be beneficial t o your investment strategy. The concessional contributions cap
, applicable on a financial year basis, is $25,000 f or 2010/2011. A tr ansitional cap of $50,000 applies un til 30 June 2012 f or people aged 50 or over (as at 30 June of the r
elevant financial y ear). Amounts exceeding the c
oncessional contributions cap ar e taxed at 31.5% (in addition t
o the 15% contributions tax) and c ount towards your non-concessional contribution cap
.
You should also c onsider wha
t age you intend on r etiring and accessing your super. If you are under 60 y
ears of age , you may pay tax on withdr
awing a portion of your benefit
.
What are the rules? • Salary sacrifice arrangements must be a f
ormal agreement between you and y
our employer. • The salar
y sacrifice agreement must be made bef ore the start of the period of ser
vice to which the salar y sacrifice relates e.g. you can’t backda
te. • Salary sacrifice contributions to super will be deduc
ted from your salar
y before income tax is calcula ted and ar
e taxed at a maximum r
ate of 15% super annuation contributions tax in the fund. • For the purpose of super
annuation and tax la w, salary sacrifice contributions are considered to be emplo
yer contributions. Is there a d
ownside to salary sacrificing? • It is not compulsor
y for your emplo yer to offer salar
y sacrifice. • Your emplo
yer may decrease your super annuation guarantee (SG) contributions because salar
y sacrifice contributions are considered to be emplo
yer contributions which c ount for SG purposes. This could reduce some of the benefits gained b
y salary sacr
ificing. • Once you put money in
to superannuation it is ‘preserved’, this means that it generally must remain ther
e until you retire, on or after your pr
eservation age or you reach age 65. • Your emplo
yer may place a limit on the lev el of your salary that can be sacr
ificed to super annuation. • Salary sacr
ifice contributions count as a measur e of income for many Government benefits and c
oncessions. Sacrificing some of
your salar y into superann
uation can be a tax
effective way to achieve financial fr eedom in r
etirement.
For further information on the concessional contributions cap, please consult your financial
adviser or visit ato.gov.au
Salary sacrifice
Fact sheet
Investor information
We like to keep our investors up to date with the latest information through regular statements, newsletters, online market updates and educational tools.
Investment statements – To help you keep track of your investments, Personal Super and Pension clients receive an easy to read consolidated Annual Statement. Investment Portfolio clients receive quarterly statements and an annual Consolidated Tax Statement. Newsletters – As a OneAnswer investor you will receive ‘Investor Update’. This newsletter contains product updates and topical information on market activities and how they are impacting your investment. We also send more frequent electronic newsletters to customers who provide us with their email address. You can provide your email address or update your details at My OnePath or by calling 133 665 weekdays between 8.30am and 6.30pm (AEST).
Online market updates – Keep up to date with what’s going on in the market by visiting onepath.com.au/markets
Here you will find market updates, insights into global market performance and commentary from industry experts. You will also find current prices and performance information on your investments.
Educational tools – OneAnswer also offers a range of educational materials, interactive calculators and communication tools to assist you. This includes online tutorials and our education material including investment, super and retirement guides.
We also have detailed online tips, tools and strategies for all of our products, as well as an ‘Understanding the Basics’ section which guides you through the important aspects of investments. Learn more at onepath.com.au/personal.
Investor Update OneAnswer
What is new or changed
Transaction cost factors (buy/sell spreads) Transaction cost factors are paid by you when you transact and include brokerage, stamp duty and costs incurred when buying and selling units in the underlying investments. They do not represent fees payable to OnePath Australia and can be updated at anytime. The latest transaction cost factors can be found at www.onepath.com.au > Resources > Fund performance, or by calling Customer Services on 133 665. The transaction costs (buy/sell spreads) for the following funds have increased: • Credit Suisse International Shares (effective November 2008) • Credit Suisse Syndicated Loan (effective June 2009) • UBS Balanced (effective April 2009) • UBS Defensive (effective April 2009) • UBS Diversified Fixed Income (effective April 2009). The table below outlines the increases: Investment fund New buy/sell
spread % Previous buy/sell spread % Credit Suisse International
Shares 0.50/0.00 0.18/0.18
Credit Suisse Syndicated Loan 1.00/0.00 0.85/0.00 UBS Balanced
0.20/0.20 0.15/0.15
UBS Defensive 0.15/0.15 0.10/0.10
UBS Diversified Fixed Income 0.05/0.10 0.05/0.05 Fee information BlackRock fee increases
BlackRock Monthly Income
Effective 26 October 2009, the Ongoing Fee for BlackRock Monthly Income will be increasing by 0.04% p.a. OneAnswer Personal Super and OneAnswer Pension members (including members of the OneAnswer //Select products) invested in this fund are affected.
BlackRock Balanced
Effective 26 October 2009, the Ongoing Fee for BlackRock Balanced will be increasing by 0.10% p.a. OneAnswer Personal Super and OneAnswer Pension members (including members of the OneAnswer //Select products) invested in this fund are affected.
Inside Investor Update
• OnePath – we’re going your way • Economic insights – the road ahead • Hot topic – the Aussie dollar • A savings path for the future
Economic insights –
the road ahead
INVESTMENT
InvestorUpdate
January 2011Masthead subtitle to go here. M asthead subtitle to go here.
Masthead subtitle to go here. M asthead subtitle to go here.
Investor U
pdate
for OneAnswer Personal Super
, OneAnswer Pension, OneAnswer Frontier Personal S uper,
OneAnswer Frontier Pension and OneAn swer Term Allocated Pension for the period 1 July 2010 to 30 June 2011
SUPERANNUATION
Helping you shape a
nd
protect your future
Date
These proposed changes require legislation to successfully pass through Parliament before becoming effective. It is important for you to seek professional financial advice in relation to the impact they may have on your personal financial situation.
Superannuation Deferral of higher concessional contribution caps for individuals aged 50 and over
This financial year for individuals aged 50 and over it is possible to contribute up to $50,000 of concessional contributions to superannuation. This means that these contributions are taxed inside super at concessional rates rather than your Marginal Tax Rate of up to 45%. This limit falls to $25,000 from 1 July 2012. In 2012/13 and 2013/14 all individuals will have a concessional contributions cap of $25,000. The Government had proposed that under the higher concessional contributions cap measure, individuals aged 50 years or older with superannuation balances below $500,000 would be able to make up to $25,000 additional concessional contributions over and above the general concessional contributions cap ($25,000) for 2012/13. This proposed higher concessional contributions cap has been pushed out to 1 July 2014. If you are over the age of 50, have salary sacrifice or transition to retirement arrangements in place and/or claiming a deduction for super contributions you should review your concessional contribution levels.
Increased tax on concessional superannuation contributions where annual income exceeds $300,000
It is proposed from 1 July 2012 that individuals with incomes greater than $300,000 will have their concessional contributions taxed at 30% (increased from 15%, excluding the Medicare levy). The increased tax will not apply to concessional contributions exceeding the concessional contribution cap. These are already subject to the 15% contributions tax plus the 31.5% ‘excess contributions tax’ rate. Example: You have an income of $320,000, of which $25,000 are concessional contributions. Given $20,000 of the $25,000 concessional contributions have resulted in income exceeding the $300,000 threshold, $20,000 will be subject to the reduced tax concessions and taxed at 30%.
Low Income Superannuation Contribution
The legislated Low Income Superannuation Contribution will apply from 1 July 2012. The measure ensures that workers with up to $37,000 in income will receive a superannuation boost from the Government of up to $500.
Superannuation Guarantee increases
The Government reinstated its commitment to increase the legislated Superannuation Guarantee rate (SG) progressively from 1 July 2013. The current SG rate of 9% will continue to apply in 2012/13, increase to 9.25% in 2013/14 and will increase to 12% by 2019/20.
Taxation
Several previously announced proposals have been abandoned including: • the standard tax deduction increase to $1,000 (from $500)
for work related expenses • the 50% discount for interest income from 1 July 2013 • lowering the company tax rate from 30% to 29% from 1 July 2012 for small business companies and from 1 July 2013 for other companies.
Individual income tax rates
The following tax rates for 2012-13 apply from 1 July 2012 for Australian residents.
Taxable income Tax on this income
0 - $18,200 Nil
$18,201 - $37,00019c for each $1 over $18,200
$37,001 - $80,000$3,572 plus 32.5c for each $1 over $37,000
$80,001 - $180,000$17,547 plus 37c for each $1 over $80,000
$180,001 and over $54,547 plus 45c for each $1 over $180,000
Mature age worker tax offset phased out
The mature age worker tax offset (MAWTO), currently $500, is proposed to be abolished from 1 July 2012 for taxpayers born on or after 1 July 1957.
On 8 May 2012 Treasurer Wayne Swan delivered his fifth Federal Budget saying that it ‘deals with today’s challenges and builds the foundations for the future’.
Federal Budget 2012/13
What does it mean for you?
Issued 9 May 2012 SUPERANNUATION Insurance through super Fact Sheet February 2012 Purchase insurance t
hrough your super and gain a tax b enefit.
Insurance through super Purchasing Life Insurance, I
ncome Protection, and Total and Permanent Disability (TPD
) insurance through super may be a tax effective and a
lso provide you with peace of mind. This strategy involves purch
asing your insurance through your super account and u
sing your contributions or existing balance to pay for insurance premiums
. This is instead of having a life insurance policy outside s
uper where you would have to use after-tax income to pay f
or the premiums. The tax concessions and benefits of super c
ontributions can be used to fund your insurance premiu
ms in a more tax effective manner.
What’s in it for me? • In som
e cases you can effectively pay premiums from your pre-tax income. • Premiums via group supe
r plans are often cheaper because the super fund is b
uying the insurance ‘in bulk’. • Your qualifying dependan
ts can receive tax-free lump sum payments if you, the insured, pass away. • You may be able to obtain cover w
ithout having a medical examination. • You may qualify for a governmen
t co-contribution if you
fund the cover by making a fter-tax contributions. • You may be able to top up your stand-alon
e insurance
policies (those you hold ou tside super) using the savings. • Most importantly, you and your family wi
ll be looked after if the unexpected occurred. • Tax free income on earnings from ass
ets supporting an income stream. • Tax free income s
tream payments to members aged 60 or over, dependants aged 60 or over, or under if the member died age 60 or over. • 15% tax offset on taxable componen
ts for members under age 60 for disability/death income s
treams. Who can this strategy work for? Insuranc
e through super is suitable if you: • want t
o save tax and pay premiums from your pre-tax income • want your qualifying dependant
s to receive tax-free lump sums if you pass away, or • have restricted cash flow and want to use you
r accumulated
super balance to pay for pre miums. There may be additional tax on benefits pa
id out from super, additional complexities with c
ertain types of cover and potentially reduced retirement f
unding due to the contributions being used to pay pre
miums rather than invested. It is important to s
eek financial advice to ensure this strategy is right for yo
u. How does it work? Insurance cover is provided t
hrough an insurance policy which is issued by a life insurance c
ompany. The trustee of the s uper
fund is the owner of the insurance po licy and therefore claims are paid into the super fund. Depending on your circum
stances, you can purchase insurance through a super fund with: • your existing super savings • super
contributions, such as: – your employer’s Super Guarantee con
tributions
– person al tax deductible contributions (if you meet the rules) – person
al after-tax contributions – contributions made by your spou se – salary sacrifice contributions using your p
re-tax income. Transition to retirement
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Exclusive InvestorBenefits membership
Your banking, health, lifestyle and entertainment benefits package
Benefit from your membership today, while you’re saving for tomorrow via OnePath’s InvestorBenefits program.InvestorBenefits gives you access to discounts and special offers on health insurance, travel, adventure and leisure experiences, car hire and a variety of retail products from our partners. In addition, you also have access to a range of banking and financial products through ANZ.
Redeeming an offer can be as simple as downloading a voucher, or quoting a unique number at the time of purchase.
onepath.com.au
Customer Services
Phone 133 665 weekdays between 8.30am and 6.30pm (AEST) Email [email protected] Fax 02 9234 6668 Address OneAnswer GPO Box 5306 Sydney NSW 2001 347 Kent Street Sydney NSW 2000
OnePath Funds Management Limited
ABN 21 003 002 800 AFSL 238 342
OnePath Custodians Pty Limited
ABN 12 008 508 496 AFSL 238 346 RSE L0000673
