Latest news New higher-risk/higher-return investment option

We have introduced a fund for members who are prepared to tolerate higher volatility in exchange for higher long-term expected returns. The new option called High Growth invests 95% in shares with a 5% allocation to cash for liquidity management purposes. We’ve introduced High Growth in response to interest from members in a more aggressive investment option. It does not express a view that the directors believe now is a good (or bad) time to invest predominantly in shares. Investing in growth assets carries significant risks. Our risk profiler will give an indication of whether this option suits your circumstances and investment personality (see below). We’ve also updated the retirement income calculator to include High Growth. You can try out different scenarios to see what impact investing in this and the other options might have on your long-term savings. However, we recommend you seek independent financial advice before switching your investments to High Growth. For more information, see our updated disclosure documents, including the statement of investment policy and objectives, product disclosure statement and other material information document.

Take time to review your investment choice

The PSS Risk Profiler is a tool provided by Mercer, as a licensed financial advice provider. The tool has been recalibrated to include High Growth. With a new option in play, you might get a different result from when you last used it. Remember, the tool assumes you are investing for the long term. If you need to access your savings in the short term, say to buy a first home, you probably want to consider investing conservatively (in Stable or Cash Plus). In January, Mercer plans to make further changes to the tool to simplify it and to add a question up front that asks specifically whether you intend to access your funds in the short term. These changes are in line with new Financial Markets Authority guidelines. Choosing the best investment option for your circumstance is important. Our Risk Profiler is a good starting point. You could also try the fund finder at for a second opinion or talk to a licensed financial advice provider.