Australian Eligible Rollover Fund

Closure of the AERF and transfer of members to the ATO

On 23 June 2021, all AERF account balances were transferred to the ATO and the AERF is closed.

Closure of the AERF and transfer of members to the ATO

The Government has recently passed legislation that requires all account balances held by eligible rollover funds to be transferred to the ATO by 31 January 2022.

Perpetual Superannuation Limited (the Trustee), as trustee of the AERF, has made a decision to transfer AERF members to the ATO on or around 18 June 2021.

Download the AERF SEN Sample Letter.

Change to the investment strategy (asset allocation ranges) for the Australian Eligible Rollover Fund

Following a review of the investment strategy (asset allocation) of the AERF, the range for ‘Alternative assets’ was amended from 7.5%-12.5% to 0.0%-12.5% effective from 30 June 2020. At the same time the benchmark allocation was reduced from 10% to 3%. Please refer to the additional table below this table, which updates the ‘Investment guidelines’ in the table on page 8 of the PDS.

PDS update – fees and costs

From 28 November 2019, the estimated total annual fees and costs:

• for each of AERF Sub-Plans A, B, M and REST have decreased; and

• are now the same for all AERF Sub-Plans.

Click here for full details.

Fees and costs

Effective 1 July 2019, the administration fees of the AERF are changing and the exit fee will be removed.

Download the AERF SEN Sample Letter.

Fees and costs

Effective 1 July 2019, the administration fees of the AERF are changing and the exit fee will be removed.

Download the AERF SEN Sample Letter.

Fees and Costs – Figures for FY 2018

The fees and costs for the AERF including estimated indirect cost ratio, for the year ended 30 June 2018 are provided in the following flyers:

Sub-plan A

Sub-plan B

Sub-plan M

Sub-plan REST

This is additional information to help members understand fees and costs on a year by year basis.

This information does not update the PDS.

Change to external dispute resolution (EDR) scheme.

From 1 November 2018 there will be a change to the EDR scheme which unresolved complaints can be referred to.

Please refer to this transitional disclosure for more information.

Revised Fees and Costs – Figures for FY 2017

This information replaces our prior notice dated 10 October 2017.

Following additional information given to the trustee, the revised fees and costs for the AERF including estimated indirect cost ratio, for the year 30 June 2017 are provided in the following flyers

Sub-plan A

Sub-plan B

Sub-plan M

Sub-plan REST

This is addition information to help members understand fees and costs on a year by year basis. It does not update the PDS.

Fees and Costs – Figures for FY 2017

The fees and costs for the AERF including estimated indirect cost ratio, for the year ended 30 June 2017 are provided in the following flyers:

Sub-plan A

Sub-plan B

Sub-plan M

Sub-plan REST

This is additional information to help members understand fees and costs on a year by year basis.

This information does not update the PDS.  

PDS update

The replacement AERF PDS has been issued.  It contains updated information in relation to your investment in the AERF, including:

• Fees and costs information following changes to ASIC Class Order [CO 14/1252].  The information on indirect costs and other costs have been updated in line with those changes, and

• Privacy

For a copy of the PDS click here, or ask for a copy free of charge by contacting us on 1800 677 424 (within Australia).

• Change to the investment guidelines (asset allocation) and introducing diversified credit

• Change to the Investment fees (resulting from the change to investment guidelines (asset allocation)

Following a review of the investment strategy (asset allocation) of the AERF, we are introducing ‘diversified credit’ as a new asset class and making the following changes to the existing asset classes. These changes will be effective as and from 16 January 2017. *Please refer to the Additional table below this table for the further information.

Product update: Additional information about Member Statements FY 15 and FY 13

In November 2015, Annual Member Statements were sent to all non-lost members of the Australian Eligible Rollover Fund (Fund) for the financial year ending 30 June 2015. We have since identified that the amount included in the ‘indirect costs to your investment’ section of your Annual Statement was based on an incorrect calculation and as a result was an inaccurate representation of indirect costs. Indirect costs to your investment are an approximate amount that has been deducted from your investment and includes amounts that have reduced the return on your investment but are not directly charged as a fee. We have since corrected the calculation methodology and the correct percentage amounts are available in the annual report and product disclosure statement for your sub-plan. Importantly, you have not been charged incorrect fees and your account with the Fund has not been impacted in any way.

If you have any questions, please call us on 1800 677 424, Monday to Friday, 8.30 am to 5 pm (Sydney time). We apologise for any confusion the miscalculation may have caused.

Download a sample of the 2015 Annual Statement

2013 Annual Member Statements

In November 2013, Annual Member Statements were sent to all non-lost members of the Australian Eligible Rollover Fund (Fund) for the financial year ending 30 June 2013. More recently, we noticed that the withdrawal benefit in the 2013 Annual Member Statement did not refer you to the exit fee. Details of the exit fee applicable to you, is contained in the PDS you would have received upon joining the Fund and is also available online . If you have exited the Fund, you will have received these details in your Exit Statement.

If you would like further information regarding your benefit, please contact us on 1800 677 424 or +61 2 8756 5573 (outside Australia) between 8.30am and 5.00pm Sydney time.

Changes to release condition ‘Terminal Medical Condition’

Effective from 1 July 2015, the Government has amended the ‘terminal medical condition’ definition of release. The life expectancy period which enables members’ tax-free access to their superannuation benefits where a member is suffering a terminal illness (as certified by two medical practitioners, at least one of whom must be a specialist) has changed from less than 12 months to 24 months.

Removal of Member Benefit Protection

From 1 July 2013, the Federal Government implemented legislation giving trustees of super fund’s the discretion to choose whether or not they offered MBP as part of their super products. Trustees must make this choice, taking into consideration the interest of all members within a super fund. The change is designed to make things fairer for all members as the cost of MBP is usually paid for by all members of the fund through reduced earnings/interest.

Members, particularly those with lower account balances, may start to see a reduction in their account balance, due to direct fees being charged to their account.

Download the AERF SEN Draft Letter

Intra-fund consolidation

(merging multiple member accounts)

A number of the members of the AERF have two or more accounts. The incidence of multiple memberships for individual members is due to various factors including the automated nature of transfers into the Fund, and the fact that member benefits have been transferred into the AERF from a range of sources over a number of years.

It is the Trustee's policy that reasonable steps are taken to identify those members of the Fund with two or more accounts and to merge those memberships into one account.

Download the Intrafund Consolidation Member Letter

Data and Payment Standards

Incl Electronic Rollovers

The AERF has complied with the new data standards relating to electronic rollovers.

These are the Superannuation Data and Payment Standards 2012 made by the Commissioner of Taxation under subsection 34K(3) of the Superannuation Industry (Supervision) Act 1993.

These standards supported the implementation of SuperStream. SuperStream improves the administration and management of super accounts by making the processing of everyday transactions easier, cheaper and faster for members and employers.

In accordance with the information on the ATO website, the purpose of SuperStream is to:

• facilitate the transmission of information and payments electronically to superannuation entities

• allow for the use of a member’s TFN to be their primarily identifier

• allow Trustees of eligible super entities, regulated exempt public sector super schemes and RSA providers to check the member's tax file number with the ATO to ensure accurate information is recorded within the super system.

ATO website link: https://www.ato.gov.au/Super/SuperStream/

Change of Investment Profile

An AERF is a short-term repository to hold superannuation monies with the purpose to reunite these monies with Australian superannuation members. As part of the licensing requirements the trustee undertook the view that the investment objective of the fund should be consistent with this short-term investment timeframe. The allocation of investments within the AERF is being moved to a more conservative allocation of a 30/70 portfolio occurred. The first tranche occurred in September 2013 with the final tranche due to occur in December 2014.

Download the AERF changes flyer

Enhanced use of Tax File Numbers (TFN)

SuperStream changes give trustees and administrators enhanced powers around the use of members’ TFNs. These uses include validation of members’ TFNs via an ATO electronic validation service, the ability for the ATO to supply the AERF with a member’s TFN if not already held, and the ability to locate member accounts and to consolidate multiple accounts through validation of TFNs.

Australian shares

15.0%

10.0 - 20.0%

16.2%

10.0 - 20.0%

International shares (unhedged)

5.0%

2.5 - 7.5%

5.5%

2.5 - 7.5%

Alternative assets

10.0%

7.5 - 12.5%

3.0%

0.0 - 12.5%

Australian fixed interest

20.0%

17.5 - 22.5%

21.5%

17.5 - 22.5%

International fixed interest

20.0%

17.5 - 22.5%

21.5%

17.5 - 22.5%

Diversified credit

10.0%

7.5-12.5%

10.8%

7.5 - 12.5%

Cash

20.0%

15.0 - 25.0%

21.5%

15.0 - 25.0%

Australian shares

20.0%

15.0 - 25.0%

15.0%

10.0 - 20.0%

International shares (unhedged)

5.0%

2.5 - 7.5%

5.0%

2.5 - 7.5%

Alternative assets

5.0%

2.5 - 7.5%

10.0%

7.5 - 12.5%

Australian fixed interest

20.0%

17.5 - 22.5%

20.0%

17.5 - 22.5%

International fixed interest

30.0%

27.5 - 32.5%

20.0%

17.5 - 22.5%

Diversified credit

Nil

Nil

10.0%

7.5 - 12.5%

Cash

20.0%

15.0 - 25.0%

20.0%

15.0 - 25.0%