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What the Researchers Say:

A "best value for money" superannuation fund. Well balanced across all key assessment criteria in a robust, secure and proven risk framework. The fund provides features that should assist most individuals to meet their retirement savings goals.

You should contact your financial adviser or this fund before making an investment decision.

  • Platinum
  • 10 Year Platinum Performance
  • Infinity Recognised
Awards
Fund data valid as of March 31, 2016

Typical Fees

Balance This Fund Industry Average Difference
5k $107 $155 -$48
50k $480 $628 -$148
100k $895 $1,158 -$263

Investment Allocation

Intl shares 26.0%
Aus shares 27.0%
Property 10.0%
Alternative 21.8%
Fixed interest 12.2%
Cash 2.0%
Other 1.0%

Fees & Charges

Administration Fee ($) $65
Administration Fee (%) 0.00%
Investment Fee 0.83%
Switching Fee $0
Exit Fee $0
Account Size Discount No
Employer Size Discount No

Fund Features

Financial Planning Service
Health Insurance
Home Loans
Credit Cards
Binding Nominations
Non-lapsing Binding Nominations
Insurance Life Event Increases
Anti-detriment Payments
Long Term Income Protection

About this Fund

Membership 828,869
Total Assets $33,784,556,376
Year Started 1987
Target Market Health related services
Offered to Public? Yes
Fund Type Industry-Public Offer

Fund Highlights - provided by HESTA - Industry Super Plan

Portability - more employer sponsors than any other fund in our market.
Low weekly administration fee and no entry, exit or switching fees.
Provision of free limited personal financial advice to members using fund resources (rather than a third party).
Strong long-term returns.
No commissions to agents.
Ability to transfer into a HESTA Income Stream.
Free insurance cover for up to 12 months when a member is on parental leave (subject to conditions).

Fund Rating Snapshot

  • Legend:
  • Excellent
  • Good
  • Average
  • Below Average
  • N/A

Rating Categories Clockwise from top

Performance
Performance is based on the past 5 years for their core balanced option
Investment Choices
Points scored on additional benefits to members ie: Home loans, Credit Cards, Health Insurance, Reverse Mortgage, shopping discounts, anti detriment payments and many others
Investment Processes
Points scored on contribution collection, via cheque, cash, Eftpos, Bpay, direct debit and other features
Small Account Fees
Points scored on the fees and charges based on an account size of $5k
Medium Account Fees
Points scored on the fees and charges based on an account size of $50k
Large Account Fees
Points scored on the fees and charges based on an account size of $100k
Death Insurance
Points scored on premium costs and features for Death Insurance ie: Min/Max level of cover, cover available during unpaid, whilst overseas, max age and other features
Death and TPD Insurance
Points scored on premium costs features for Death and TPD Insurance ie: Min/Max level of cover, cover available during unpaid, whilst overseas, max age and other features
Income Protection Insurance
Points scored on premium costs features for Income Protection insurance ie: Min/Max level of cover, cover available during unpaid, whilst overseas, max% on monthly salary, waiting days available and other features
Member Services
Points scored on additional benefits offered to members ie Statement frequency and newsletter communications and other features
Administration Services
Points scored on the fund structure ie switching between investments, selecting regular contributions, nominated beneficiary changes, changing insurance options. For Service features like call centre, adviser services reports and many other features.
Financial Advice
Points scored on features in respect to financial advice facilities offered ie, by phone, internet, face to face, cost of scaled advice and others.
Goverance
Points scored on Trustee structure, number of independent directors , renumeration and proxy voting policy and risk

Score Explanation

Excellent: Score of 75%-100%
Premium performer in this area. Well above benchmark.
Good: Score of 51%-74%
Better than most funds. Above benchmark
Average: Score of 26%-50%
Placed close to benchmark
Below average: Score of below 25%
Not quite up to speed. Lower than benchmark.

Investment Option Performance

Asset Allocation Category FYTD FY 2015 FY 2014 FY 2013 FY 2012 FY 2011 Comparison
Balanced 0.48%
-0.06%
10.03%
9.60%
13.23%
12.66%
14.79%
14.73%
1.30%
0.45%
10.00%
8.71%
Fund
Benchmark
Diversified Fixed Interest 3.81%
2.45%
4.66%
3.93%
5.49%
5.52%
3.85%
4.65%
10.20%
8.94%
5.30%
5.65%
Fund
Benchmark
Growth -1.21%
-0.64%
11.25%
10.71%
15.36%
14.01%
18.60%
17.11%
-0.70%
-0.95%
10.20%
9.40%
Fund
Benchmark
Australian Shares -0.38%
-1.36%
5.36%
5.70%
16.80%
16.77%
21.18%
21.07%
-4.00%
-6.15%
14.10%
11.00%
Fund
Benchmark
Overseas Shares -6.35%
-4.66%
16.95%
19.16%
18.69%
17.63%
24.59%
26.14%
-3.30%
-2.45%
5.70%
5.86%
Fund
Benchmark
Capital Stable 2.22%
1.32%
6.94%
5.66%
8.16%
7.34%
9.26%
8.29%
4.40%
4.06%
6.70%
6.70%
Fund
Benchmark
Property 7.79%
8.99%
11.35%
10.78%
8.73%
9.09%
5.99%
10.99%
7.70%
7.12%
6.80%
8.00%
Fund
Benchmark
Cash 1.55%
1.41%
2.48%
2.25%
2.58%
2.42%
3.20%
2.94%
4.30%
4.04%
4.10%
4.33%
Fund
Benchmark
  • Legend:
  • Outperformed average
  • Underperformed average
  • Negative returns

Annualised figures are the average per year returns of the rated option based on the cumulative returns for the past 5 years to 30/06/2015, past performance is not a reliable indicator of future performance. Performance and fee data is based on the option which is rated by SuperRatings and stated on each product's landing page.

Benchmark investment information - how performance is measured

To ensure comparability for consumers, the RateCity superannuation comparison is based on the asset allocation of each of the MySuper/Pension products, irrespective of the name of the investment option. This methodology allows consumers to compare products on a like for like basis and removes any ambiguities associated with the name of the investment option. For example, an investment option may be classified as growth, however its asset allocation may in fact mean it should be classified as high growth. By using the asset allocation as the dominant identifier, we believe this provides the most robust framework for consumers to compare funds and recognise that this is a consistent approach to that of SuperRatings methodology.

Option Type Percentage of Growth Assets
min-max %
High Growth 91-100%
Growth 77-90%
Balanced 60-76%
Conservative Balanced 41-59%
Capital Stable 20-40%
Secure 0-19%

What the researchers say

HESTA is the largest industry fund for people in Health and Community Services, with membership also open to the general public. The fund has achieved a Platinum rating for the past 13 consecutive years. HESTA is also Infinity Recognised, which is a result of its strong commitment to environmental and social principles.

Members are provided with a range of investment options to choose from, including direct access to a number of unique options such as Infrastructure, Private Equity and Global Bonds. The Core Pool option has outperformed the SuperRatings Index over both the short and long term, while historical returns across all other options have also been strong.

Fees are competitive and lower than the industry average across all account balances assessed. Members are able to switch investment options and make withdrawals at no cost.

HESTA provides members with a full suite of insurance cover. Default cover includes 2 units of Death cover plus 2 units of Income Protection (IP) cover, with default IP cover available to age 67 with a 90 day waiting period. Alternatively members can choose to only receive benefits to age 60 or for a maximum 2-year benefit period.

A great range of additional benefits are provided to members including free scaled advice, discounted health insurance and low cost banking services through ME.


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