Who else wants to be part of a superannuation fund that steers clear of unethical investments?
Australian Ethical began operations in 1986. Its ethical charter remains unchanged. This super fund aligns its investments with international trends and growth while paying due attention to aspects such as the threat of climate change, the nation’s ageing society as well as increasing globalisation.
While it avoids investments that can potentially harm the environment, people or animals, its investments are some of the best-performing in the market. This super fund engages with the businesses it invests in periodically. If a business moves away from its ethical values, it divests in accordance.
Australian Ethical has received its MySuper licence from Australian Prudential Regulation Authority (APRA).
Examples of the awards and honours Australian Ethical have earned
- B Corporation Awards, 2015. Received Best for the World Award.
- Australian Fund Manager Awards, 2014. Winner of International Fund of the Year.
- Green Lifestyle Awards, 2013. Awarded Sustainable Business of the Year.
- SuperRatings Awards, 2013. Honoured as Rising Star of the Year.
- Sustainability Awards, 2011. Declared Ethical Fund of the Year.
Effective ways to get more out of Australian Ethical
In its efforts to steer clear from unethical investments, Australian Ethical does not invest your money in businesses surrounding tobacco, oil, gambling, weapons, forest logging and coal or uranium mining. It does not, in general, invest in any business that exploits people or the nature.
Australian Ethical seeks investments that support people and sustainability. These come from realms such as clean energy, sustainable products, medical solutions, healthcare, recycling, education and aged care. As a result, the money in your super works in contributing towards a cleaner and more technologically adept society.
As an Australian Ethical super member you get multiple choices in investing your money. This super fund offers a pension solution as well.Back to top
What’s Internet banking like for Australian Ethical?
You can access the Australian Ethical online platform after you become a super fund member. This platform lets you view your account balance and transaction history. You can use it to move between investments and to change your personal or beneficiary details.
What super funds are offered by Australian Ethical?
Australian Ethical gives you multiple choices in making your investment decision. You can invest your money in one or more managed portfolios, or go at it on your own through several single asset classes.
- Defensive. This portfolio is best suited for people who are looking for low volatility and low risk in a short time period. If you choose this option you’re basically investing in cash. The minimum suggested time period to stay invested is one year.
- Conservative. This option is ideal for individuals who are looking at low volatility levels as well as for people who are close to retirement and want to keep their retirement savings protected. It invests your money mainly in interest bearing investments and cash, while also allocating some funds to other asset classes such as Australian and international shares, property and alternatives. The minimum suggested time period for this low to medium risk option is three years.
- Balanced (accumulation). You can select the balanced option if you don’t mind medium to high levels of risk and can stay invested for at least five years. Around half your money goes towards Australian and international shares, whereas the other half makes it way to interest bearing investments, property, alternatives and cash.
- Growth. This portfolio invests a considerable portion of your money in Australian and international shares. Defensive assets classes make up for around 15% of its investments. With a recommended minimum investment time period of six years, this option presents medium to high risk.
- Advocacy. Investing in this portfolio can work well if you have a high tolerance for risk and are looking for long term capital growth. The minimum suggested investment period for this high risk option is seven years. It invests predominantly in Australian and international shares. A small portion goes towards cash investments as well.
- Smaller companies. The minimum suggested time period for this high-risk option is seven years. It invests your money mainly in Australian shares of smaller companies, while allocating a small percentage to cash investments.
- International shares. This managed option invests your money mainly in international shares, with cash investments making the cut in small way. Consider investing in this high risk alternative for at least seven years.
- Single asset classes. As an Australian Ethical super member you can invest your money in one or more single assets classes such as Australian shares, international shares, property, alternative growth, interest bearing securities, secured loans and cash.
What pension accounts are offered by Australian Ethical?
If you’re thinking about getting a regular income stream after you retire, you can consider opening a pension account with Australian Ethical.
- Commencing. You can open an Australian Ethical pension account once you reach your preservation age, using money from your Australian Ethical super or any other super. Since you cannot make additional contributions to your pension once it begins, make sure you combine all your existing super funds ahead of time. You need a minimum of $30,000 to open a pension account with Australian Ethical.
- Pension payments. You can choose the frequency of your pension payments as well as the amount you receive, provided it is more than the government prescribed minimum limit. You can make a lump sum withdrawal from your account at any time, provided you have received the minimum pension payment in the given year.
- Investment options. You get to choose from several managed investment alternatives depending on your ability to withstand risk and the desired time period. The investment options include defensive, conservative, balanced, growth, smaller companies and international shares.
Easy steps to apply for an Australian Ethical super funds
To join this superannuation fund, simply visit the Australian Ethical website and submit an online application. You can become a member of the Australian Ethical super fund at these different stages of your life:
- At the time of joining the workforce.
- At the time of switching jobs.
- When you start making plans for retirement.
Becoming a member requires that you meet the following basic eligibility criteria:
- You are a resident of Australia.
- You have a tax file number.
The application requires that you submit the following kind of information:
- Your name, date of birth and contact details.
- Details from an acceptable form of ID such as your driver’s license or passport.
- Your tax file number.
- Details about your employment.
- Beneficiary details.
- Details about investments.
Once you become an Australian Ethical member, you can login to its online portal at any time to make changes to personal or beneficiary details. This platform lets you make investments choices as well.
The Australian Ethical superannuation fund ensures that it invests in businesses that don’t harm nature. However, since you can find other super fund providers with similar offerings, compare a few before applying.