Asset Classes

Asset Classes

WA Super has adopted a structure involving 5 high level asset classes, consistent with our desire to avoid unnecessary complexity in our investment arrangements. These 5 asset classes are:

Equities asset class

 

Equities can simply be thought of as shares listed on stock exchanges / share markets in Australia and around the world.

 Real assets

Real assets include:

  • Property: investments in real estate such as office buildings, large shopping centres and industrial properties.

  • Infrastructure: Assets that provide essential public facilities and services such as roads, airports, ports and power supply and generation in Australia and overseas.

This asset class may also include other investments similar in nature from time to time but the majority will be property and infrastructure

 Alternatives asset class

 

Alternative investments are intended to provide meaningful diversification and can offer attractive returns. They can be thought of as ‘non-traditional’ investments. Our alternatives portfolio includes multi-asset class investments (or real return funds), private equity and hedge funds.

 Fixed Income asset class

 

Fixed Income can include government and corporate bonds, inflation-linked bonds and credit securities in Australia and overseas. The main role of fixed income in WA Super’s portfolio is to provide more certain, dependable returns which assist in dampening return volatility. 


Cash asset class

 

Cash can include some term deposits with maturities of up to 12 months. Relatively liquid deposits and money market instruments generally held with highly rated major and regional banks.

All of these asset classes can go up or down, those asset classes that are higher risk can go down more frequently and can generally fall more than lower risk asset classes.  The Fund’s investment options invest in these asset classes in different amounts. 

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