Cbus targets growth with the launch of six new investment options

Kristian Fok, Chief Investment Officer, Cbus Super

Cbus Super will launch 6 new investments as they focus on growth to $150 billion.

Cbus Super’s existing menu of five investment options will grow to 11 with the addition of a new Growth Plus option, a low cost Indexed Diversified option, as well as options for Overseas Shares, Australian Shares, Property and Diversified Fixed Interest.

Cbus Super make strategy for corporate space

Cbus Super Chief Investment Officer Kristian Fok said that Cbus was launching the new options with the merger and corporate superannuation markets specifically in mind.

“Our default Growth MySuper option is a top quartile product and we continue to view it as a superior product designed to suit most members. We do see that a market, particularly in the corporate space, is there for a wider range of choice options.”

“We spent the last year constructing and testing our new menu of options for members.”

Mr Fok said that the new Growth Plus pre-mixed option sits between the High Growth investment option and the Growth MySuper investment option in risk and return profile.

“Growth Plus suits members seeking higher returns in the long term and can ride out short term fluctuations. The option has a larger allocation to growth assets compared to our default, and suits members with a higher risk profile, it is diversified across asset classes.”

Cbus Super Members get an Indexed Diversified option

While Cbus remains committed to active management, the introduction of the indexed option reflects a degree of growing demand in the market for very low-cost passive products.

“The recent volatility that we have seen in markets through Covid-19 highlights that index investing is not without risk. We view the risk profile of this option as sitting at the riskier end of our current suite, so obviously it is not for everyone.”