Staff Superannuation Fund

2020 Annual Report

Take your super where you want it to go Read more Review our performance 4 About your Fund 17 How we invest your super 6 Financials 19 How your super is taxed 12 Contact us 20 Fees and other costs 13

The information in this document is general information only and does not take into account your particular objectives, financial circumstances or needs. It is not personal or tax advice. Any examples included are for illustration only and are not intended to be recommendations or preferred courses of action. You should consider obtaining professional advice about your particular circumstances before making any financial or investment decisions based on the information contained in this document. Information on tax and superannuation legislation is current as at 1 March 2021 and may change. Issued by Citibank Australia Staff Superannuation Pty Limited (ABN 33 008 477 816), as Trustee of the Citibank Australia Staff Superannuation Fund (ABN 72 275 643 181). Preparation of this Annual Report was completed on 29 March 2021.

2 A message from the Trustee Welcome to your 2020 Annual Report. We hope this finds you safe and well in what are challenging times, from both a health and an economic perspective. Despite continuing uncertainty due to COVID-19, much of the Fund’s investments finished the year in positive territory. See our performance below. During the year, the Trustee completed a thorough review of the Fund’s investments. As a result, there were changes to investments for all options – see page 6 for details. The Fund is designed to help you grow your retirement savings so you can have the retirement you are wanting. If you have any questions about your super, we are here to help – please contact the helpline on 1800 127 953. You can also visit the website at https://super.towerswatson.com/super/citi to learn more about the Fund.

2020 performance Past performance is not necessarily a reliable indicator of future performance.

The Fund’s performance for the year Five-year compound average net return Investment option to 31 December 2020 (per year) Diversified Shares 7.7% 11.0% Balanced 4.7% 8.1% Bonds Plus 2.0% 4.5% Cash 0.3% 1.3% International Shares 12.7% 11.6% Australian Shares 0.0% 9.8% Property -6.9% 5.3% Fixed Interest 1.2% 3.2%

Note: The above investment returns applicable to Employee and Spouse members are reported after tax and investment fees. Retained Benefits members and Account-Based Pension members should refer to page 4 for details of their returns.

Financial strength Focused on you $83.2 million in Fund net assets We are helping 149 members build their wealth in the Fund

1800 127 953 Find the tools you Contact us need to plan https://super.towerswatson.com/super/citi

3 Review our performance The tables below show the Fund’s investment returns. Remember though, that how your super performs will vary from year to year. Super returns can be positive or negative depending on investment markets. In most cases, super is a long-term investment. This means that returns over a longer term (such as five or ten years, rather than one or two years) are likely to be a better indicator of your super’s performance. Returns are also shown on your Annual Benefit Statement and the most recent returns are or on the website at https://super.towerswatson.com/super/citi. If you are an Employee member, any defined benefit is not dependent on investment returns. A history of your returns to 31 December Past performance is not necessarily a reliable indicator of future performance. Employee and Spouse members FIVE-YEAR COMPOUND AVERAGE INVESTMENT OPTION 2020 2019 2018 2017 2016 NET RETURN (PER YEAR) Diversified Shares 7.7% 25.2% -1.8% 14.1% 11.8% 11.0% Balanced 4.7% 18.0% -0.8% 10.7% 8.6% 8.1% Bonds Plus 2.0% 9.6% 1.1% 5.5% 4.7% 4.5% Cash 0.3% 1.3% 1.7% 1.5% 1.7% 1.3% International Shares 12.7% 23.5% -0.4% 15.1% 8.4% 11.6% Australian Shares 0.0% 26.7% -3.4% 13.1% 15.2% 9.8% Property -6.9% 21.1% -3.6% 11.0% 7.2% 5.3% Fixed Interest 1.2% 6.5% 3.1% 3.1% 2.4% 3.2% Consumer Price Index (CPI) 0.9% 1.8% 1.8% 1.9% 1.5% 1.6% Note: Investment returns are reported after tax and investment fees. Retained Benefits members FIVE-YEAR COMPOUND AVERAGE INVESTMENT OPTION 2020 2019 2018 2017 2016 NET RETURN (PER YEAR) Diversified Shares 7.1% 24.6% -2.4% 13.5% 11.2% 10.4% Balanced 4.1% 17.4% -1.4% 10.1% 8.0% 7.5% Bonds Plus 1.4% 9.0% 0.5% 4.9% 4.1% 3.9% Cash -0.3% 0.7% 1.1% 0.9% 1.1% 0.7% International Shares 12.1% 22.9% -1.0% 14.5% 7.8% 11.0% Australian Shares -0.6% 26.1% -4.0% 12.5% 14.6% 9.2% Property -7.5% 20.5% -4.2% 10.4% 6.6% 4.7% Fixed Interest 0.6% 5.9% 2.5% 2.5% 1.8% 2.6% Note: Investment returns are reported after tax, investment fees and an administration fee (currently 0.60% p.a.). Account-Based Pension members FIVE-YEAR COMPOUND AVERAGE INVESTMENT OPTION 2020 2019 2018 2017 2016 NET RETURN (PER YEAR) Diversified Shares 8.3% 25.7% -2.7% 14.6% 10.7% 10.9% Balanced 4.8% 18.5% -1.5% 11.0% 7.9% 7.9% Bonds Plus 1.5% 10.0% 0.6% 5.6% 4.4% 4.4% Cash -0.2% 0.9% 1.3% 1.2% 1.4% 0.9% International Shares 12.8% 26.8% -1.7% 16.3% 8.6% 12.2% Australian Shares 0.2% 24.5% -3.9% 12.8% 12.8% 8.8% Property -9.6% 23.8% -5.3% 11.7% 6.7% 4.8% Fixed Interest 0.6% 6.9% 2.9% 3.1% 2.4% 3.2% Note: Investment returns are reported after investment fees and an administration fee (currently 0.60% p.a.). 4 Your returns on your super Did you know? Employee members Generally, the higher the expected long-term The leaving service benefit paid by the Fund includes return from an investment, the more likely it is contributions from the Company and your own voluntary contributions, if you make any. that returns from that investment will fluctuate The size of your leaving service benefit is affected by the (or even be negative) in the short term. investment return earned by your chosen investment option(s). Your accounts receive the actual investment return for your chosen option after allowing for tax and investment fees. Super decoder If your benefit is greater than $6,000, it may be automatically Asset classes are different types of investments such transferred to the Fund’s Retained Benefits Division when as shares, property, fixed interest and cash. you leave the Company (see page 18 for more information). Growth assets include shares, property and alternative Further details on the Retained Benefits Division are provided risk premia funds. The return from growth assets comes in the Retained Benefits Division brochure available on the both from the change in the value of the asset (e.g. website at https://super.towerswatson.com/super/citi. increase in the price of shares) and the income you receive from your investment (e.g. dividends paid on shares). Spouse, Retained Benefits and Returns are generally higher than other assets over the Account-Based Pension members longer term but can also be significantly negative from time to time. If you are a Spouse or Retained Benefits member, your accounts receive the actual investment return for your chosen investment Income assets include fixed interest and cash. The market option(s) after allowing for tax and investment fees. No tax value of these assets can also rise or fall, but usually with applies to the returns of Account-Based Pension members. less volatility than is the case with growth assets. Retained Benefits and Account-Based Pension members also have an administration fee of 0.60% p.a. deducted before investment returns are applied to their account. Super decoder Interim rate An investment return is the amount that your super earns. Positive returns increase your super while negative returns Investment returns are calculated each month. If your super decrease your super. needs to be paid out before investment returns have been calculated, or if you switch investment options, an interim earning rate will be used. This will cover the period from the previous date that investment returns were declared until the You can view the most recent investment returns date your benefit is paid or your transfer request is processed. by logging into the Fund’s Member Centre at The interim rate is based on the Fund’s estimated net investment returns for the relevant period. https://super.towerswatson.com/super/citi.

Defined Benefit Guarantee If you leave the Company after age 55 (or after 50 if you have 15 years of service), your benefit will be no less than the defined benefit guarantee which is linked to salary. Further information on the leaving service and other potential benefits payable from the Fund are available on the website at https://super.towerswatson.com/super/ citi/benefits-for-employeemembers.

5 How we invest your super One of the Trustee’s roles is to set investment objectives for the performance of the Fund, and a strategy for achieving those objectives. Professional investment managers help the Trustee to manage the Fund’s investments. As a Fund member, you can choose from eight different investment options, each with different investment objectives and strategy. Finding the most appropriate investment for your circumstances is very important. Read pages 8 to 11 for information about the investment objectives and strategy of each option. Details of the Fund’s investment managers are below.

Investment objectives Investment strategy Investment objectives are specific goals that the Trustee sets An investment strategy is the plan the Trustee follows for the performance of the Fund and each investment option. to achieve the objectives of an investment option. Each They are not intended as forecasts or guarantees of future investment option has its own investment strategy. There were investment returns. some changes to the investment strategy and strategic asset allocation for the Diversified Shares, Balanced, Bonds Plus, Generally, the Trustee aims to: International Shares and Fixed Interest options. These changes }} Invest the Fund’s assets prudently as permitted by the were effective 1 November 2020. Refer to the September 2020 Trust Deed and by superannuation law, Newsletter on the website for the latest benchmark asset allocations. For the details of each option’s investment strategy }} Invest across a diverse range of assets, and latest asset allocation, see pages 8 to 11. }} Ensure that the Fund is able to make benefit payments to members when they are due, and Investment managers }} Monitor the performance of the Fund’s investment The Trustee appoints professional investment managers to managers to ensure they exercise integrity, prudence manage the Fund’s investments. These managers and their and professional skill in fulfilling the investment tasks products may be changed from time to time without prior delegated to them. notice to, or consent from, members.

Changes during 2020 ten underlying international share managers that are highly rated by Willis Towers Watson. The Ardevora Global The Trustee, in conjunction with its investment adviser, Shares Fund (also known as the Global Long-Only Equity completed a thorough review of the Fund's investments given Fund) was appointed to manage 15% of the Fund’s the challenging investment environment and the belief that international shares assets. Three of the Fund’s managers investment returns are likely to be lower than in recent years. (iShares Hedged International Equity Index Fund, the MFS This review also resulted in the termination of some managers Fully Hedged Global Equity Trust and iShares Wholesale and the appointment of new active managers for the Fund’s International Equity Index Fund) were terminated. international shares and fixed interest investments. }} In order to maintain the Fund’s exposure to foreign currency, the proportion of assets hedged against Australian and International Shares currency movements increased from 35% to 50%, with the remaining 50% unhedged (previously 65% was unhedged). A greater proportion of shares is being invested in international shares, with the split increasing to 70% international / 30% Australian for the Diversified Shares, Balanced and Bonds Plus Fixed Interest and Cash options. Previously the split was 50/50. }} On 16 March 2020, the BlackRock iShares Australian Government Inflation-Linked Bond Fund closed, and As a result of adopting active management, there were some proceeds were temporarily invested in the BlackRock Cash increases in investment fees. See page 13 for the current fees. Fund until completion of the review of the cash and fixed }} Vinva Australian Equities Fund were appointed to manage interest portfolios. From 1 November 2020, the Ardea 60% of the Fund's Australian shares, while the amount Australian Inflation-linked Bond Fund was appointed to invested in the Northcape Core Australian Equities Fund manage these assets. increased to 40%. Previous Australian shares funds – the }} The actively managed Macquarie Enhanced Australian Karara Australian Equities Fund and Schroder Australian Fixed Interest Fund replaced the Macquarie True Index Equity Fund were terminated. Australian Fixed Interest Fund. }} The Trustee appointed the Willis Towers Watson Global }} The Fund will no longer invest in global fixed income and Equity Focus Fund (“GEFF”), managed by Towers Watson Macquarie Australian Diversified Income Fund replaced the Australia Pty Ltd, a wholly-owned subsidiary of Willis BlackRock iShares Global Bond Index Fund. Towers Watson, to manage 65% of the Fund’s international shares. The structure of GEFF combines approximately }} The Macquarie Treasury Cash Fund replaced the BlackRock Cash Fund. 6 Amounts invested with the Fund’s investment managers at 31 December 2019 and 31 December 2020 were:

2020 2019 ASSET SECTOR INVESTMENT MANAGER $ MILLION Australian Shares Northcape Capital Pty Ltd (Core Australian Equities Fund) $8.0 $10.0 Vinva (Australian Equities Fund) $12.1 – Karara Capital Limited (Australian Equities Fund) – $9.8 Schroder Investment Management Australia Limited (Australian Equity Fund) – $9.8 International Shares Willis Towers Watson Australia (WTW) (Global Equity Focus Fund - Hedged) $20.3 – (Hedged) BlackRock Investment Management (Australia) Limited (BlackRock) (iShares – $2.9 Hedged International Equity Index Fund) MFS Institutional Advisors Inc (MFS Fully Hedged Global Equity Trust) – $7.0 International Shares WTW (Global Equity Focus Fund – Unhedged) $5.7 – (Unhedged) Ardevora (Global Shares Fund) $5.7 – BlackRock (iShares Wholesale International Equity Index Fund) – $11.0 Macquarie Investment Management Limited (Arrowstreet Global Equity Fund) $7.6 $6.8 Alternative Risk Premia Towers Watson Investment Management (Diversifying Strategies Fund) $3.8 $4.0 Global Listed Property Resolution Capital (Global Property Securities Fund) $3.4 $3.7 (Hedged) Australian Fixed Interest Macquarie (Enhanced Australian Fixed Interest Fund) $8.3 – Macquarie (Australian Diversified Income Fund) $0.5 – Macquarie (True Index Australian Fixed Interest Fund) – $7.5 Australian Ardea (Australian Inflation Linked Bond Fund) $5.4 – Inflation-linked Bonds BlackRock (iShares Australian Government Inflation-Linked Bond Fund) – $3.8 International Fixed Interest Blackrock (iShares Global Bond Index Fund) – $3.8 Cash BlackRock (Cash Fund) – $2.0 Macquarie (Treasury Cash Fund) $2.9 -– Other investment information Socially responsible investments The Trustee does not take into account social, ethical or Derivatives environmental considerations, or labour standards when Part of the Fund’s assets (approximately 7.5% of the Balanced selecting, retaining or realising the Fund’s investments. When the and Bonds Plus options) is invested in an Alternative Risk Fund’s investment managers were selected, the Trustee did not Premia asset class managed by the Towers Watson Diversifying consider whether the managers took these factors into account. Strategies Fund. The underlying managers for this investment may make use of derivatives to assist in achieving their Reserves objectives. The managers do not hold uncovered derivatives. The Trustee does not maintain investment reserves. However, it The Fund’s other investment managers only use derivatives does maintain an Operational Risk Financial Requirement (ORFR) for risk control purposes or to more efficiently change asset reserve as described below. allocations. ORFR reserve Investment managers are required to have risk management processes in place in relation to the use of derivatives and From 1 July 2013, super funds have been required to set aside the purposes for which they are used. Each year, the Trustee financial resources to address their operational risks. obtains confirmation from the managers that they have A reserve of 0.25% of net assets has been set aside out complied with their processes. of the Fund’s defined benefit assets for this purpose. The Trustee has decided that the ORFR reserve will be invested Actuarial review in the same way as the Fund’s defined benefit assets. The Trustee The Fund’s financial position is reviewed by the actuary at least will update members on the status of the reserve each year in the every three years. The actuary then makes recommendations to Annual Report. The reserve will be monitored periodically by the the Company on the appropriate level of future contributions Trustee to ensure that it remains close to the target level. needed to maintain members’ benefits. LEVEL OF RESERVES ORFR RESERVE $ The most recent review at 1 January 2018 showed that AS AT 31 DECEMBER (% OF FUND NET ASSETS) the Fund was in a satisfactory financial position. The Company continues to contribute in line with the actuary’s 2020 $309,628 (0.37%) recommendations. The review as at 1 January 2021 is 2019 $295,687 (0.36%) currently underway. 2018 $250,518 (0.33%) 7 Packaged Options

Diversified Shares Balanced

What are the }} Invest purely in shares in order to achieve }} Invest in a broadly diversified range of investments investment a higher return than the Balanced Option that will achieve a better return than the Bonds Plus objectives for over the long term, accepting that annual Option over the medium to long term, accepting this option? returns will vary considerably and will often that annual returns will vary quite widely and be be significantly negative. negative on occasions. }} Achieve a return (after tax and investment }} Achieve a return (after tax and investment fees) fees) that exceeds inflation (as measured by that exceeds inflation (as measured by the increase the increase in CPI) by at least 4% p.a. over in CPI) by at least 3% p.a. over moving ten year moving ten year periods. periods. }} Limit the chance of achieving a negative }} Limit the chance of achieving a negative return return over moving one year periods to over moving one year periods to approximately approximately six years in twenty. five years in twenty. What investment To invest totally (100%) in shares, with To invest mostly in shares, property and alternative risk strategy does this about 30% in Australian shares and 70% in premia funds (approximately 75%), with the balance in option use? international shares. About half of the currency fixed interest investments. About half of the currency exposure of international shares is hedged. exposure of international shares is hedged.

CashCash Cash Cash Cash How isDiversied Diversiedthe Shares DiversiedSharesAsset mix at Shares AssetDiversied mix atBalanced Shares AssetBalancedBalanced mix at Asset mix at Balanced BondsBonds Plus Plus Bonds Plus CashCash option invested? 31 December 2020 31 December 2019 31 December 2020 31 December 2019 GlobalGlobal Credit Credit Global Credit Global Credit CashCash Cash Cash 0.6%0.6% 6.36.3%% 0.6% 6.3% CashCash Cash 6.36.3%% 6.3% AusAu In ations In ation Linke Linked d Aus In ation Linked Aus In ation Linked GlobalGlobal Credit Credit Global Credit Global Credit Australian Shares 10.0% 9.2%9.2% 9.2% 3.9%3.9% 3.9% GlobalGlobal Credit Credit Global Credit 11.3%11.3% 11.3% AFI AFI 18.6% AFIAFI 18.7% 18.6%18.6% 20.0%20.0% 20.0% AusAu In ations In ation Linke Linked d Aus In ation Linked Aus In ation Linked International Shares (Hedged) AusAu In ations In ation Linke Linked d Aus In ation Linked 13.5%13.5% 30.5%13.5%30.5% 30.5% GLPGLP GLP GLP 32.5%32.5% 35.0% 30.0% 32.5%15.0% 12.5%12.5% 12.5% 7.3%7.3% 7.3% AFIAFI AFI AFI International Shares (Unhedged) 50.0% AFIAFI AFI 50.0%50.0% 4.3%4.3% 4.3% 11.25%11.25% 11.25% 7.5% 100.0% HedgeHedge100.0% Fund Fusnds Hedge Funds Hedge Funds 5.0% 21.9% 5.05.0%% 5.0% 7.5%7.5% 100.0% 24.6%24.6% 24.6% GLPGLP GLP GLP Alternative Risk Premia 7.0%7.0% 7.0% GLPGLP GLP 7.5% 7.67.6%% 11.6%11.6% 7.6% 11.6% 11.25% Int sharesInt shares (unhedged) (unhedged) Int shares (unhedged) Int shares (unhedged) 11.25%11.25% 5.0%5.0% 5.0% Hedge Funds Hedge Funds 17.5%17.5% 35.0% 17.5% 22.2% 22.2% HedgeHedge Fund Funds s Hedge Funds Global Listed Property (Hedged) 21.9% 22.2% 20.2%20.2% 20.2% 22.5% 22.5% CashCash CashCash Cash Cash HedgeHedge Fund Fusnds Cash Cash 22.5% Int SharesInt Shares (hedged) (hedged) Int Shares (hedged) Int Shares (hedged) Int shares (unhedged) Int shares (unhedged) Int sharesInt shares (unhedged) (unhedged) Int shares (unhedged) Australian Fixed Interest GlobalGlobal Credit CreditGlobalGlobal Credit CreditGlobal Credit Global Credit Int sharesInt shares (unhedged) (unhedged)Global Credit Global Credit AusAu Sharess Shares Aus Shares Aus Shares CashCash Cash Int Shares (hedged) Int Shares (hedged) Int SharesInt Shares (hedged) (hedged) Int Shares (hedged) AusAu In ations In ation LinkeAu LinkesAu In ationds In ationd A Linkeus LinkeIn ationd d LinkeAus In ationd LinkeIndt SharesInt Shares (hedged) (hedged)Aus In ation LinkeAus In ationd Linked Australian Shares International Shares (Hedged) International Shares (Unhedged) Alternative Risk Premia GlobalGlobal Credit Credit Global CreditAus Shares Aus Shares AFI AFI AusAu Sharess Shares Aus Shares Cash AFIAFI AFIAFI AusAu Sharess Shares AFI AFI Bonds Plus International Shares Global Listed Property (Hedged) Australian Fixed Interest Australian Inflation-linked Bonds AusAu In ations In ation Linke Linked d Aus In ation Linked Cash GLP GLP Cash GLPGLP GLPGLP CashCash GLP GLP 6.7% International Fixed Interest Cash AFIAFI AFI Global Credit Hedge Funds Hedge Funds Global Credit HedgeHedge Fund FusndHedges Hedge Fund Fusnds GlobalGlobal CreditHedge Credit Funds Hedge Funds CashCash Cash GLPGLP CashCash GLP Cash 15.0% 7.9% Aus In ation Linked Int shares (unhedged)Int shares (unhedged) Aus In ation Linked Int sharesInt shares (unhedged) (unhedged)Int sharesInt shares (unhedged) (unhedged) AusA In ationus In ationInt sharesLinke Linked (unhedged)dInt shares (unhedged) Global Credit Global Credit Global Credit CashCash Cash HedgeHedge Fund Fusnds GlobalGlobal Credit Credit Hedge Funds Global Credit 7.9% AFI Int Shares (hedged)Int Shares (hedged) AFI 10.0% Int SharesInt Shares (hedged) (hedged)Int SharesInt Shares (hedged) (hedged) AFIAFI Int Shares (hedged)Int Shares (hedged) Aus In ation Linked Aus In ation Linked Aus In ation Linked GlobalGlobal Credit Credit Global Credit 7.5% 50.0% 50.0% Int sharesInt shares (unhedged) (unhedged) AusA In ationus In ation Linke Linked dInt shares (unhedged) Aus In ation Linked GLP Aus SharesCash Aus Shares GLP CashCash AusAu Sharess SharesAusAu Sharess Shares GLPGLP Aus Shares Aus Shares AFI AFI AFI AusAu In ations In ation Linke Linked d Aus In ation Linked Int SharesInt Shares (hedged) (hedged) AFIAFI Int Shares (hedged) AFI 40.0% 5.0% GlobalGlobal Credit Credit Hedge Funds Global Credit HedgeHedge Fund Fusnds Hedge Funds GLP GLP Property Fixed Interest GLP AFIAFI AFI Australian Shares International Shares PrProperopertyty FiFixedxed Interest Interest AusAu Sharess Shares GLPGLP Aus Shares GLP AAustralianustralian Shares Shares InInternationalternational Shares Shares Int shares (unhedged) AusAu In ations In ation Linked Linked Aus In ation Linked Int sharesInt shares (unhedged (unhedged) ) Int shares (unhedged) Hedge Funds Hedge Funds Hedge Funds GLPGLP GLP HedgeHedge Fund Fusnds Hedge Funds Int Shares (hedged) AFIAFI AFI Int SharesInt Shares (hedged (hedged) ) Int Shares (hedged) Int shares (unhedged) Int shares (unhedged) Cash Int shares (unhedged) HedgeHedge Fund Fusnds Hedge Funds Int sharesInt shares (unhedged) (unhedged) Int shares (unhedged) Aus Shares 25.0%GLPGLP GLP AusA Sharesus Shares Aus Shares 25.0%25.0% Int Shares (hedged) Int Shares (hedged) Global Credit Int Shares (hedged) Int sharesInt shares (unhedged) (unhedged) Int shares (unhedged) Fixed Interest 35.0%35.0% 35.0% Int SharesInt Shares (hedged) (hedged) Int Shares (hedged) 50.0%50.0% HedgeHedge Fund Fusnds 50.0% Hedge Funds 100.0% 100.0% Aus Shares Aus Shares 100.0%100.0% 100.0%100.0% Aus In ation Linked Aus Shares Int SharesInt Shares (hedged) (hedged) Int Shares (hedged) AusA Sharesus Shares Aus Shares 65.0%65.0% 65.0% Int shares (unhedged) 25.0% 25.0%Int sharesInt shares (unhedged) (unhedged) 25.0% AFI AusAu Sharess Shares Aus Shares Cash Cash Int SharesInt Shares (hedged) (hedged) Int Shares (hedged) 25.0% GLP Global Credit Global Credit AusAu Sharess Shares Aus Shares Hedge Funds Aus In ation Linked Aus In ation Linked 75.0% Int shares (unhedged) AFI AFI Int Shares (hedged) GLP GLP CashCash Cash Aus Shares Hedge Funds Hedge Funds AusA In ationus In ation Linked Linked Aus In ation Linked

Int shares (unhedged) Int shares (unhedged) AFIAFI AFI

8 Int Shares (hedged) Int Shares (hedged) GLPGLP GLP

Aus Shares Aus Shares HedgeHedge Fund Fusnds Hedge Funds

Int sharesInt shares (unhedged (unhedged) ) Int shares (unhedged)

Int SharesInt Shares (hedged (hedged) ) Int Shares (hedged)

AusA Sharesus Shares Aus Shares Bonds Plus Cash

What are the }} Provide a better return over the medium term }} Ensure that the amount invested has very little investment than the Cash Option, while accepting a small chance of decreasing in value at any time. objectives for chance of a negative annual return.Balanced Cash Diversied Shares }} Achieve a return (after tax and investment fees) this option? }} Achieve a return (after tax and investment that meets inflation (as measured by the increase Global Credit Cash fees) that exceeds inflation (as measured by in CPI) over moving ten year periods. Aus In ation Linked the increase in CPI) by at least 1.5% p.a. over Global Credit Australian Shares 10.0% }} Limit the chance of achieving a negative return moving ten year periods. AFI International Shares (Hedged) 18.7% over moving one year periods to approximately Aus In ation Linked GLP 35.0%}} Limit the30.0% chance of achieving15.0% a negative zero years in twenty. International Shares (Unhedged) return over moving one year periods to AFI 5.0% Hedge Funds approximately three years in twenty. 21.9% GLP Alternative Risk Premia 7.5% Int shares (unhedged) What investment To invest35.0% largely in fixed interest investments, To invest only in secure short-term interest bearing Hedge Funds Global Listed Property (Hedged) 21.9% Cash Cash strategy does with the balance (approximately 35%) in shares, investments. Int Shares (hedged) Int shares (unhedged) Global Credit Global Credit Australian Fixed Interest this option use? property and alternative risk premia funds. Aus Shares Int Shares (hedged) Aus In ation LinkeAus In ationd Linked

How is the Asset mix at Asset mix at Asset mix at 31 DecemberCash 2020 and 2019 Cash Cash Cash Aus Shares Diversied Shares Balanced BalancedCash AFI AFI Diversied Shares optionBonds invested? Plus31Bonds December Plus 2020 31 DecemberBondsInternational Plus 2019 Shares Global Credit Global Credit Cash GLP GLP Cash Cash 6.3% 6.3% 0.6% 6.3% 6.7% Cash Cash Aus In ation Linked Aus In ation Linked 6.3% 6.3% Global Credit Hedge Funds Hedge Funds Global Credit Global Credit 9.2% 3.9% 3.9% Global Credit Global Credit 6.8% 11.3% 11.3% AFI AFI 15.0% 7.9% Aus In ation Linked Int shares (unhedged)Int shares (unhedged) 18.6% 20.0% 20.0% Aus In ation Linked Aus In ation Linked Aus In ation Linked Aus In ation Linked 30.5% 13.5% 30.5% GLP GLP 32.5% 32.5% 12.5% 31.4% 12.5% 7.3% 7.9% 7.3% AFI Int Shares (hedged)Int Shares (hedged) 13.6% 10.0% AFI AFI AFI AFI 50.0% 50.0% 4.3% 11.25% 7.5% 7.5% 11.25%50.0% 50.0% 100.0% Hedge Funds 100.0% Hedge Funds 5.0% 5.0% 7.5% GLP Aus Shares Aus Shares 5.0% 24.6% GLP GLP 7.0% GLP GLP 7.6% Int shares (unhedged) Int shares (unhedged) 11.6% 7.9% 10.4% 7.6% 11.6% 11.25% Hedge Funds 40.0%5.0% 5.0% 11.25% 5.0% Hedge Funds 17.5% 17.5% Hedge Funds Hedge Funds 22.2% 20.2% 22.5% 22.5% Cash Cash Cash Cash Hedge Funds 20.2% 18.2% Int Shares (hedged) Int Shares (hedged) Int shares (unhedged) Int shares (unhedged) Int shares (unhedged) Int shares (unhedged) Global Credit Global Credit Global Credit Global Credit Int shares (unhedged) Aus Shares Aus Shares Cash Int Shares (hedged) Int Shares (hedged) Cash Int Shares (hedged) Aus In ation LinkeAus In ationd Linked Int Shares (hedged) Int Shares (hedged) Aus In ation LinkeAus In ationd Linked Cash Australian Shares International Shares (Hedged) International Shares (Unhedged) Alternative Risk Premia Global Credit Aus Shares Aus Shares Global Credit Aus Shares AFI AFI Aus Shares Aus Shares Fixed Interest AFI AFI Global Credit Global Listed Property (Hedged) Australian Fixed Interest Australian Inflation-linked Bonds Aus In ation Linked Cash Aus In ation Linked GLP GLP Cash Cash International Fixed Interest Cash GLP GLP Aus In ation Linked AFI Global Credit Global CreditAFI Hedge Funds Hedge Funds Global Credit Cash Hedge Funds Hedge Funds AFI Cash GLP Cash Aus In ation Linked GLPCash Cash Cash Int shares (unhedged)Int shares (unhedged) Aus In ation Linked Int shares (unhedged)Int shares (unhedged) Aus In ation Linked 25.0% Global Credit Cash GLP Hedge Funds Global Credit Global Credit Cash AFI HedgeGlobal Fu ndCredits Global CreditGlobal Credit Int Shares (hedged)Int Shares (hedged) AFI Int Shares (hedged)Int Shares (hedged) AFI Aus In ation Linked Global Credit Hedge Funds Int shares (unhedged) Aus In ation Linked Aus In ation Linked Global Credit GLP Int shares (unhedged) Aus In ationAus In ation Linked Linked Cash Aus Shares Aus Shares GLP Aus In ation Linked Cash Aus Shares Aus Shares GLP AFI Aus In ation Linked Int shares (unhedged) 75.0% Int Shares (hedged) AFI AFI Aus In ation Linked Global Credit Hedge Funds Hedge FundInts AFSharesI (hedged) AFI AFI Global Credit Hedge Funds GLP AFI Int Shares (hedged) Australian Shares International Shares Property Fixed Interest Aus Shares GLP GLP AFI Australian Shares International Shares Property Aus In ationFixed Linked Interest Int shares (unhedged) Int shares Au(unhedged)sGLP Shares GLP GLP Hedge Funds Aus In ation Linked Int shares (unhedged) GLP Aus Shares Hedge Funds Hedge Funds GLP AFI Int Shares (hedged) Int Shares (hedged)Hedge Funds Hedge FuHedgends Funds AFI Int Shares (hedged) Int shares (unhedged) Hedge Funds Int shares (unhedged) Int shares (unhedged) Hedge Funds GLP Aus Shares Aus Shares Int shares (unhedged) Int sharesIn t(unhedged) shares (unhedged) 25.0% GLP Aus Shares 35.0% 25.0% Int Shares (hedged) Int shares (unhedged) 35.0% Int Shares (hedged) Int Shares (hedged) Int shares (unhedged) 50.0% Hedge Funds Int Shares (hedged) Int SharesIn t(hedged) Shares (hedged) 100.0% 100.0% 50.0% Aus Shares Hedge Funds Int Shares (hedged) 100.0% Aus Shares Aus Shares 65.0% 100.0% Int Shares (hedged) 65.0% Int shares (unhedged) Aus Shares Aus SharesAus Shares 25.0% Int shares (unhedged) Aus Shares 25.0% Aus Shares Int Shares (hedged) Int Shares (hedged)

Aus Shares Aus Shares

Cash

Aus In ation Linked

AFI

GLP

9 Hedge Funds

Int shares (unhedged)

Int Shares (hedged)

Aus Shares CashCash DiversiedDiversied Shares Shares BalancedBalanced BondsBonds Plus Plus CashCash GlobalGlobal Credit Credit CashCash 6.3%6.3% 6.3%6.3% CashCash 6.3%6.3% AusAu In ations In ation Linke Linked d GlobalGlobal Credit Credit 3.9%3.9% GlobalGlobal Credit Credit 6.8%6.8% 11.3%11.3% AFIAFI 20.0%20.0% AusAu In ations In ation Linke Linked d AusAu In ations In ation Linke Linked d 30.530.5%% GLPGLP 32.532.5%% 12.512.5%% 31.4%31.4% 7.3%7.3% 13.6%13.6% AFIAFI AFIAFI Asset Class Options 50.0%50.0% Hedge Funds Balanced 5.0%5.0% 11.2511.25%% 7.57.5%% 100.0%100.0% Hedge Funds Cash Diversied Shares 5.0%5.0% GLPGLP GLPGLP 7.6%7.6% Int Insharest shares (unhedged) (unhedged) Australian Shares International Shares 11.6%11.6% 7.9%7.9% 10.4%10.4% 11.2511.25%% 5.0%5.0% Global Credit 17.517.5%% HedgeHedge Fund Funds s Cash 22.5% CashCash CashCash HedgeHedge Funds Funds 20.2%20.2% 22.5% Int InSharest Shares (hedged) (hedged) 18.2%18.2% Aus In ation Linked Int Insharest shares (unhedged) (unhedged) What are the }} Achieve a return (after tax and investment }} Achieve a return (after tax and investment fees) GlobalGlobal Credit CreditGlobalGlobal Credit Credit Int Insharest shares (unhedged) (unhedged)Global Credit Australian Shares 10.0% AusAu Sharess Shares investment fees) that exceeds inflation (as measured by that exceeds inflation (as measured by the AFI CashCash Int InSharest Shares (hedged) (hedged) 18.7% Int InSharest Shares (hedged) (hedged)Aus In ation Linked International Shares (Hedged)objectives for the increase in CPI) by at least 4% p.a. over increase in CPI) by at least 3.5% p.a. over moving AusAu In ations In ation LinkeAu LinkesAu In ationds In ationd Linke Linked d GLP 30.0% 15.0% GlobalGlobal Credit Credit AusAu Shares Shares s this option? moving ten35.0% year periods. ten year periods. Aus Shares International Shares (Unhedged) AFIAFI AFIAFI Aus Shares AFI Hedge Funds } Limit the chance of achieving a negative } Limit the chance of achieving a negative return AusAu In ations In ation Linke Linked d } 5.0%} CashCash 21.9% GLPGLP GLPGLP CashCash GLP Alternative Risk Premia return over moving one year periods to over moving one year periods to approximately Int shares (unhedged) 7.5% AFIAFI approximately seven years in twenty. six years in twenty. GlobalGlobal Credi Credit t GlobalGlobal Credit Credit 35.0% HedgeHedge Funds FundsHedgeHedge Funds Funds Hedge Funds Global Listed Property (Hedged) 21.9% CashCashCash Cash InGLPt SharesGLP (hedged) CashCash AusA In ationus In ation Linke Linked d Int Insharest shares (unhedged) (unhedged)Int Insharest shares (unhedged) (unhedged) AusAu In ations In ationInt Linkeshares Linked (unhedged)d Global Credit Australian Fixed InterestWhat investment To invest totally in a diversified portfolio of To invest totally in a diversified portfolio of GlobalGlobal Credit Credit Global Credit CashCash AusHedge SharesHedge Funds Funds GlobalGlobal Credit Credit AFIAFI AFI strategy does this Australian shares. international shares, of which about half of the Int InSharest Shares (hedged) (hedged)Int InSharest Shares (hedged) (hedged) AFI Int Shares (hedged) Aus In ation Linked AuAsus In ation In ation Linke LinkeAuds In ationd Linked GlobalGlobal Credit Credit option use? currency exposure is hedged. Int Insharest shares (unhedged) (unhedged) AusA In ationus In ation Linke Linked d GLPGLP GLPGLP CashCash AusAu Sharess SharesAusAu Sharess Shares Aus Shares AFI Cash AFAFII AFI AusAu In ations In ation Linke Linked d Asset mix at Asset mix at Int InSharest Shares (hedged) (hedged) AFIAFI How is the Asset mix at 31Bonds December Plus 2020 and 2019 International Shares GlobalGlobal Credit Credit HedgeHedge Funds Funds HedgeHedge Fund Funds s GLP 31 December 2020 31 December 2019 Cash GLPGLP GLP AFIAFI option invested? AAustralianustralian Shares Shares InInternationalternational Shares Shares PrProperopertyty FiFixedxed Interest Interest AusAu Sharess Shares GLPGLP 6.7% AusAu In ations In ation Linked Linked Int Insharest shares (unhedged) (unhedged) Int Insharest shares (unhedged) (unhedged) Hedge Funds Global Credit HedgeHedge Funds Funds Hedge Funds GLPGLP HedgeHedge Funds Funds AFIAFI Int InSharest Shares (hedged) (hedged) Int InSharest Shares (hedged) (hedged) Int shares (unhedged) 7.9% Aus In ation Linked Int shares (unhedged) HedgeHedge Funds Funds 15.0% Int shares (unhedged)Int sharesIn t(unhedged) Insharest shares (unhedged) (unhedged) GLPGLP AusA Sharesus Shares AusAu Shares Shares s 25.0%25.0% Int Shares (hedged) 7.9% AFI Int Shares (hedged) Int Insharest shares (unhedged) (unhedged) 10.0% 35.0%35.0% Int Shares (hedged)Int SharesIn t(hedged) InSharest Shares (hedged) (hedged) 50.0%50.0% HedgeHedge Funds Funds 100.0%100.0% 50.0% 50.0% AusAu Sharess Shares 7.5% 100.0%100.0% GLP Aus Shares Aus Shares Int InSharest Shares (hedged) (hedged) 65.0%65.0% AusA Sharesus Shares 25.0%25.0% Int Insharest shares (unhedged) (unhedged) 40.0% 5.0% Hedge Funds AusAu Sharess Shares Int InSharest Shares (hedged) (hedged) Int shares (unhedged) AusAu Sharess Shares Int Shares (hedged)

Cash Aus Shares Australian Shares InternationalFixed Interest Shares (Hedged) International Shares (Unhedged) Alternative Risk Premia Global Credit

Global Listed Property (Hedged) Australian Fixed Interest Australian Inflation-linked Bonds Aus In ation Linked International Fixed Interest Cash AFI Cash Cash 25.0% GLP Global Credit Global Credit Hedge Funds Aus In ation Linked Aus In ation Linked 75.0% Int shares (unhedged) AFI AFI Int Shares (hedged) GLP GLP Aus Shares Hedge Funds Hedge Funds

Int shares (unhedged) Int shares (unhedged)

Int Shares (hedged) Int Shares (hedged)

Aus Shares Aus Shares

10 Diversied Shares Balanced Cash Global Credit Cash Aus In ation Linked Australian Shares 10.0% Global Credit AFI Cash Cash Cash Cash Diversied SharesDiversied Shares Balanced Balanced InternationalBonds Shares Plus (Hedged)Bonds Plus 18.7% Aus In ation Linked 30.0% 15.0% GLP 35.0% Global Credit Global Credit AFI International Shares (Unhedged) Cash Cash 6.3% 6.3% 6.3% 6.3% 5.0% Cash Cash Hedge Funds 6.3% 6.3% 21.9% Aus In ation Linked Aus In ation Linked GLP Alternative Risk Premia Global Credit Global Credit 3.9% 3.9% 7.5% Global Credit Global Credit Int shares (unhedged) 6.8% 6.8% 11.3% 11.3% AFI AFI Hedge Funds 35.0% Cash Cash Global Listed20.0% Property (Hedged)20.0% 21.9% Aus In ation Linked Aus In ation Linked Aus In ation Linked Aus In ation Linked Int Shares (hedged) 30.5% 30.5% 31.4% 31.4% GLP GLP Int shares (unhedged) 32.5% 32.5% 12.5% 12.5% 7.3% 7.3% Global Credit Global Credit 13.6% 13.6% Australian Fixed Interest AFI AFI AFI AFI Aus Shares 50.0% 50.0% 11.25% 11.257.5%% 7.5% 100.0% 100.0% Hedge Funds Hedge Funds Int Shares (hedged) 5.0% 5.0% Aus In ation LinkeAus In ationd Linked 5.0% 5.0% Property Fixed Interest GLP GLP GLP GLP 7.6% 11.6%7.6% 11.6% Int shares (unhedged) Int shares (unhedged) Aus Shares 7.9% 10.4%7.9% 10.4% Cash11.25% 11.25%5.0% 5.0% AFI AFI 17.5% 17.5% Hedge Funds Hedge Funds What are the }} Achieve22.5 a %return (after 22.5tax and% investment }Bonds} Achieve Plus a return (after tax andInternational investment Shares Cash Cash Cash Cash Hedge Funds Hedge Funds 20.2% 20.2% 18.2% 18.2% Int Shares (hedged) Int Shares (hedged) Cash GLP GLP investment fees) that exceeds inflation (as measured by fees) that exceeds inflation (as measured by Int shares (unhedged) Int shares (unhedged) 6.7% Global Credit Global Credit Global Credit Global Credit Int shares (unhedged) Int shares (unhedged) objectives for the increase in CPI) by at least 2.5% p.a. over the increase in CPI) by at least 0.5% p.a. over Aus Shares Aus Shares Global Credit Hedge Funds Hedge Funds Cash Cash Int Shares (hedged) Int Shares (hedged) this option? moving ten year periods. moving ten year periods. Aus In ation LinkeAus In ationd LinkeAusd In ation LinkeAus In ationd LinkeInt Sharesd (hedged) Int Shares (hedged) 7.9% Aus In ation Linked Int shares (unhedged)Int shares (unhedged) 15.0% Global Credit Global Credit Aus Shares Aus Shares }} Limit the chance of achieving a negative }} Limit the chance of achieving a negative AFI AFI AFI AFI Aus Shares Aus Shares 7.9% return over moving one year periods to return over moving one year periods to Aus In ation Linked Aus In ation Linked AFI Int Shares (hedged)Int Shares (hedged) 10.0% Cash Cash GLP GLP GLP GLP Cash Cash approximately seven years in twenty. approximately7.5% three years in twenty.50.0% 50.0% AFI AFI GLP Aus Shares Aus Shares Global Credit Global Credit Hedge Funds Hedge Funds Hedge Funds Hedge Funds Global Credit Global Credit Cash Cash What investment To invest totally in global listed property trusts. To invest in a diversified5.0% portfolio of government GLP GLP Cash Cash Hedge Funds 40.0% Aus In ation Linked Aus In ation Linked Int shares (unhedged)Int shares (unhedged)Int shares (unhedged)Int shares (unhedged) Aus In ation Linked Aus In ation Linked strategy does this and non-government fixed interest securities Global Credit Global Credit Cash Cash Hedge Funds Hedge Funds Global Credit Global Credit Int shares (unhedged) AFI AFI option use? comprised of Australian fixed interest and Int Shares (hedged)Int Shares (hedged)Int Shares (hedged)Int Shares (hedged) AFI AFI Aus In ation Linked Aus In ation Linked Global Credit Global Credit Australian Inflation-linked bonds. Int shares (unhedged) Int shares (unhedged) Aus In ation Linked Aus In ation Linked Int Shares (hedged) Cash Cash GLP GLP GLP GLP Aus Shares Aus Shares Aus Shares Aus Shares Cash AFI AFI Aus In ation Linked Aus In ation Linked Int Shares (hedged) Int Shares (hedged) AFI AFI Aus Shares How is the Asset mix at Asset mix at Global Credit Global Credit Hedge Funds Hedge Funds Hedge Funds Hedge Funds Asset mix at 31 December 2020 and 2019 Fixed Interest Global Credit GLP GLP AFI AFI Australian SharesAustralian Shares InternationalIn Sharesternational Shares option invested? Property Property 31 December 2020 31 DecemberFixed Interest 2019 Fixed Interest Aus Shares Aus Shares GLP GLP Aus In ation Linked Aus In ation Linked Int shares (unhedged) Int shares (unhedged)Int shares (unhedged) Int shares (unhedged) Aus In ation Linked Hedge Funds Hedge Funds GLP GLP Hedge Funds Hedge Funds AFI AFI Int Shares (hedged) Int Shares (hedged) Int Shares (hedged) Int Shares (hedged) AFI Int shares (unhedged) Int shares (unhedged) Hedge Funds Hedge Funds Int shares (unhedged) Int shares (unhedged) Cash Cash GLP GLP Aus Shares Aus Shares Aus Shares Aus Shares 25.0% 25.0% 25.0% GLP Int Shares (hedged) Int Shares (hedged) Int shares (unhedged) Int shares (unhedged) 35.0% 35.0% Int Shares (hedged) Int Shares (hedged) Global Credit Global Credit Hedge Funds Hedge Funds 50.0% 50.0% Hedge Funds 100.0% 100.0% 100.0% 100.0% Aus Shares Aus Shares Int Shares (hedged) Int Shares (hedged) Aus Shares Aus Shares Aus In ation Linked Aus In ation Linked 65.0% 65.0% Int shares (unhedged) Int shares (unhedged) Int shares (unhedged) 75.0% 25.0% 25.0% Aus Shares Aus Shares AFI AFI Int Shares (hedged) Int Shares (hedged) Int Shares (hedged) GLP GLP Aus Shares Aus Shares Aus Shares Hedge Funds Hedge Funds

Int shares (unhedged) Int shares (unhedged) Australian Shares International Shares (Hedged) International Shares (Unhedged) Alternative Risk Premia Int Shares (hedged) Int Shares (hedged) Global Listed Property (Hedged) Australian Fixed Interest Australian Inflation-linked Bonds International Fixed Interest Cash Aus Shares Aus Shares

11 How your super is taxed How is my super taxed? What happens if I exceed The tax payable on benefits depends on a number of factors, including: the caps? }} The type of benefit being paid (retirement, disability or death), If you exceed the caps, the ATO will }} Who receives the benefit, forward you a tax assessment. }} Whether you were an Australian citizen or permanent resident when the benefit For excess concessional contributions, was paid. Higher tax applies to benefits paid to temporary residents who you can either pay the extra tax permanently leave Australia, and directly to the ATO or arrange for it to be debited from your benefit. }} How you receive the benefit (e.g. lump sum amount or pension) and your age. Members who exceed the concessional If you are age 60 or over, generally all lump sum payments and pensions paid to you contributions cap can elect to release from a taxed super fund (such as this Fund) will be tax free. to 85% of the excess contributions from the superannuation system. How are my contributions taxed? If you choose to do so, the amount will be paid by the Fund to the ATO, When concessional contributions are paid into the Fund, a contributions tax of where it will first be used to meet any generally 15% applies. If the Fund does not have your Tax File Number, this tax outstanding tax liabilities you may increases to 47%. have (including the tax on the excess contributions) with the remainder then How are my investment earnings taxed? paid back to you. Excess contributions Investment earnings are generally taxed at the rate of 15%. This rate reduces if withdrawn do not count towards your deductions and imputation credits are available to the Fund’s investment managers. non-concessional cap. This tax is deducted from the Fund’s investment earnings before they are applied If you exceed the non-concessional to your accounts. There is no tax deducted from investment earnings in an cap, you can elect to release the excess Account-Based Pension arrangement, other than a transition to retirement contributions from super, together with Account-Based Pension. an amount of “associated earnings”. The associated earnings will be Limits on contributions included in your taxable income and The Government has set limits or caps on the amount that can be contributed to taxed at your marginal tax rate. If you super each year before extra tax applies. Below are the limits from 1 July 2020. don’t elect to withdraw all the excess contributions, they may be taxed at up CONCESSIONAL NON-CONCESSIONAL to 47%. The ATO will send you a form CONTRIBUTIONS# CONTRIBUTIONS* to enable you to make your elections. What is the $25,000 regardless $100,000, however, if your total annual limit? of age superannuation balance on What are associated earnings? 30 June 2020 was more than An amount that the ATO calculates $1.6 million any non-concessional using a prescribed interest rate. It contributions you make in the may not reflect the actual earnings 2020/21 year will be excessive on the contributions in the Fund. What tax applies if Generally 15% Nil Remember that any extra tax cannot my contributions contributions tax^ be paid from any defined benefit are within the super you may have. cap? How much tax Your marginal tax rate If you withdraw If you leave applies to the less 15% (reflecting excess from super excess in Super decoder excess if I exceed tax already paid by the Nil tax on super the limit? Fund), plus an interest contributions. 47% Concessional contributions charge Associated earnings include contributions made by your taxed at your employer, or notional contributions marginal tax rate in respect of your defined benefit (see page 13). They also include any # From 1 July 2019, you may be able to make extra concessional contributions above the cap, if you did not use all of your concessional cap in the 2018/19 or a later year. This option is only contributions you make from your available in a particular financial year if your total superannuation balance in the previous financial before-tax salary (by salary sacrifice). year was less than $500,000. Unused cap amounts can be carried forward for a maximum of five years. * If you are under age 65 and you want to make larger non-concessional contributions to the Fund, Contributions you make from your you may be able to bring forward up to two years of caps, to make total contributions of up to after-tax salary are an example of $300,000 over three years. The maximum you can contribute over three years is $300,000 and non-concessional contributions. further restrictions may apply if your total superannuation balance on 30 June 2020 was greater Others include contributions made than $1.4 million. The Government has proposed to increase the maximum age at which you can access this arrangement from 65 to 67. for you by your spouse and excess ^ If your applicable income is greater than $250,000 you may receive an additional tax assessment concessional contributions not from the ATO. withdrawn from superannuation.

12 Fees and other costs Arrangements for Defined Benefit members DID YOU KNOW? If you are an employee member, the Small differences in both investment performance and fees and costs can Company pays contributions to the have a substantial impact on your long-term returns. Fund from time to time to ensure For example, total annual fees and costs of 2% of your fund balance rather that the Fund’s assets are sufficient to than 1% could reduce your final return by up to 20% over a 30-year period provide for members’ benefits. (e.g. reduce it from $100,000 to $80,000). Superannuation law requires that a You should consider whether features such as superior investment “notional” employer contribution performance or the provision of better member services justify higher fees be calculated each year for the and costs. purpose of determining whether your concessional contributions fall within You or your employer, as applicable, may be able to negotiate to pay lower the concessional contributions cap, fees. Ask the fund or your financial adviser. along with any before-tax contributions you make to your super. This “notional” TO FIND OUT MORE employer contribution is determined by If you would like to find out more, or see the impact of the fees based on the Fund’s actuary using a formula set your own circumstances, the Australian Securities and Investments by the Government. It is not necessarily Commission (ASIC) website (www.moneysmart.gov.au) has a the actual amount your employer pays superannuation calculator to help you check out different fee options. to the Fund. If your “notional” employer contribution is greater than the concessional This section shows fees and other costs that you may be charged. These fees contributions cap, the law provides and other costs may be deducted from your money, from the returns on your that, in certain circumstances, you may investment or from the assets of the superannuation fund as a whole. be entitled to have your “notional” employer contribution deemed equal Other fees, such as activity fees and insurance fees, may also be charged, but to the cap. these will depend on the nature of the activity or insurance chosen by you. Taxes and insurance fees are set out on page 15. For more information, contact the Fund Administrator (see page 20 for contact You should read all the information about fees and other costs because it is details). important to understand their impact on your investment.

1313 CITIBANK AUSTRALIA STAFF SUPERANNUATION FUND

TYPE OF FEE AMOUNT HOW AND WHEN PAID

Investment fee1 Packaged Options Deducted from monthly investment Diversified Shares 0.75% p.a. to 0.80% p.a. returns before they are applied to your $7.50 to $8.00 per $1,000 accounts in the Fund. Balanced 0.65% p.a. to 0.70% p.a. $6.50 to $7.00 per $1,000 Bonds Plus 0.40% p.a. to 0.45% p.a. $4.00 to $4.50 per $1,000 Cash 0.05% p.a. to 0.10% p.a. $0.50 to $1.00 per $1,000

Asset Class Options International Shares 0.75% p.a. to 0.80% p.a. $7.50 to $8.00 per $1,000 Australian Shares 0.80% p.a. to 0.85% p.a. $8.00 to $8.50 per $1,000 Property 0.70% p.a. to 0.75% p.a. $7.00 to $7.50 per $1,000 Fixed Interest 0.15% p.a. to 0.20% p.a. $1.50 to $2.00 per $1,000

Administration fee1 Retained Benefits members: Deducted from monthly investment 0.60% p.a. ($6.00 per $1,000) returns before they are applied to your Account-Based Pension members: accounts. 0.60% p.a. ($6.00 per $1,000) All other Fund members: Nil

Buy-sell spread Nil Not applicable.

Switching fee Nil Not applicable.

Exit fee Nil Not applicable.

Advice fees Nil Not applicable. relating to all members investing in a particular MySuper product or investment option

Other fees and costs2 Other fees may also apply.

Indirect cost ratio 1 Nil Not applicable.

1 If your account balance for a product offered by the superannuation entity is less than $6,000 at the end of the entity’s income year, the total combined amount of administration fees, investment fees and indirect costs charged to you is capped at 3% of the account balance. Any amount charged in excess of that cap must be refunded. 2 Insurance fees and fees for certain activities you request may apply (see pages 15 to 16).

14 Example of annual fees and costs for the Balanced Option This table gives an example of how the fees and costs in the Balanced Option for this superannuation product can affect your superannuation investment over a one year period. You should use this table to compare this superannuation product with other superannuation products. This example applies only to Employee and Spouse members.

EXAMPLE – Balanced Option BALANCE OF $50,000

Investment fees 0.70% For every $50,000 you have in the superannuation product you will be charged $350 each year* Plus Administration fees Nil And, for every $50,000 you have in the superannuation product you will be charged $nil each year Plus Indirect costs for the superannuation Nil And, indirect costs of $nil each year will be deducted from product your investment Equals cost of product If your balance was $50,000, then for that year you will be charged fees of $350 for the superannuation product. * The investment fee shown is the maximum fee applicable, on a gross of tax basis. Note: Additional fees may apply.

Additional explanation of fees and costs }} Excess contributions tax in certain circumstances if your contributions exceed caps set by the Government (see 1. Buy-sell spread page 12). A buy-sell spread may be charged by a fund to reflect costs }} No-TFN tax on your concessional (employer and incurred by the fund or charged by the investment managers before-tax) contributions if you have not provided when you change investment options. The Fund does not the Fund with your TFN. currently charge a separate buy-sell spread; instead, these }} Any surcharge tax assessed by the ATO as being costs are included in transactional and operational costs. See applicable to you. The tax is deducted from your accounts below for more information. when the assessment is received by the Fund. The surcharge was abolished with effect from 1 July 2005, but 2. Administration fees the Fund may still receive assessments for you in respect These fees include administration, consulting, audit, legal and of earlier years. other fees incurred by the Fund. These costs for Employee and The Fund is able to claim a tax deduction for various expenses Spouse members are met by . For Retained Benefits and insurance fees it pays. The benefit of this deduction may and Account-Based Pension members, these costs are met via be passed on to you. See your latest Annual Benefit Statement an administration fee of 0.60% p.a. of your account as shown for details. in the table on page 14. More information on tax can be found on pages 12 to 13. The percentage-based fee is deducted from monthly investment returns earned by your chosen option before the 5. Transactional and operational costs returns are applied to your accounts. These costs are incurred by the Fund and its investment managers, and may include brokerage, settlement and custody 3. Investment fees costs, the difference between the acquisition and disposal The current investment fee ranges that apply to the Fund’s prices paid by the managers for the Fund’s investments, investment options are shown in the table on page 14. clearing costs, costs associated with currency hedging and They are estimates of the ongoing fees that will be charged. stamp duty on investment transactions. They may also include additional fees charged by some of the Fund’s investment 4. Taxes and insurance fees managers if they outperform their specified objective. These additional fees are only charged on the portion of the assets of The following taxes and insurance fees are deducted from the relevant investment option held by the manager. your accounts in the Fund: }} The fee for voluntary insurance cover is $5 per unit per Transactional and operational costs related to explicit month for Employee members and $3 per unit per month transactional costs are included in the investment fee, based for Spouse members. on the amount of these costs incurred by the Fund or its investment managers during the calendar year prior to the date }} Contributions tax generally at the rate of 15% from of this Annual Report. Implicit transaction costs (e.g. bid/ask Company contributions and any salary sacrifice spreads) are also included in the total transaction costs shown contributions to your accounts. in the table on page 14. They therefore represent a cost to you.

15 To the extent that some of these costs are in respect of the Fund’s Defined Benefit The Trustee periodically monitors the assets, these fees are paid for by Citi with no deduction from members’ defined reserve to ensure that it remains close benefits. The percentages included in the table on page 14 and those not included in to its target level. Should the reserve the investment fee are outlined in the following table: fall below a predetermined shortfall limit, the Trustee will enact a plan for TOTAL its replenishment. This may include INCLUDED IN NOT INCLUDED INVESTMENT TRANSACTIONAL deducting amounts from investment INVESTMENT IN INVESTMENT OPTION AND OPERATIONAL earnings. Any such deductions will be FEE FEE COSTS* included in the investment fee of each investment option. Members will also be Packaged Options advised if such deductions are required. Diversified Shares 0.22% 0.06% 0.28% 8. Activity fees Balanced 0.22% 0.10% 0.32% If you or your spouse require information Bonds Plus 0.14% 0.07% 0.21% on your benefit in relation to a Family Law matter, a fee of $354 will be charged Cash – – – for each date at which information is Asset Class Options required. International 0.19% 0.04% 0.23% You, or your spouse, are required to pay Shares this fee at the time of any request for information – it is not deducted from your Australian Shares 0.27% 0.10% 0.37% accounts. Property 0.17% 0.30% 0.47% In addition, if your super is split under a Family Law agreement or court order, fees Fixed Interest 0.05% – 0.05% will apply for the splitting of your super * These are the transactional and operational costs incurred by the Fund or its and the payment of an amount to your investment managers during the calendar year ended 31 December 2019. former spouse. These amounts are estimates. To the extent they are part of the investment fee, These fees are normally shared evenly these costs are deducted from the investment earnings of each investment option between you and your former spouse, before those earnings are applied to your accounts. unless your agreement or court order provides otherwise. 6. Borrowing costs The fees may be paid by you and/ or your These costs may be incurred by the Fund’s investment managers and relate to the former spouse by cheque, or otherwise use of credit facilities that are not derivatives by the managers. Borrowing costs are will be deducted from the applicable calculated based on the amount of those costs incurred in the previous financial benefit. The fee for establishment of an year and represent an additional cost to you. These costs would be deducted from entitlement and payment to your the investment earnings of each investment option before those earnings are spouse is $337. applied to your accounts. All fees include GST where applicable.

INVESTMENT OPTION BORROWING COSTS 9. Fee changes Diversified Shares – Some of the fees are dependent on Balanced 0.01% the fees charged by the Fund’s service Bonds Plus 0.01% providers. Some of these fees may be indexed annually (e.g. in line with Cash – increases in Average Weekly Ordinary International Shares – Time Earnings); others depend on the Australian Shares – services provided to the Fund each year. The Trustee reserves the right to increase Property – the fees without your consent if necessary Fixed Interest – in order to manage the Fund. We may also introduce new fees. You will generally be 7. Operational Risk Financial Requirement reserve given at least 30 days’ notice of any fee Super funds are required to set aside financial resources to address their operational increases. risks. The Trustee has built up an Operational Risk Financial Requirement (ORFR) The fees shown are effective 1 July 2021, reserve in the Fund equal to 0.25% of the aggregate of members’ net assets funded unless otherwise stated. by setting aside a small portion of the Fund’s Defined Benefit assets. The reserve is Further details of the fees, costs and taxes invested in the same way as the Fund’s Defined Benefit assets. paid by the Fund can be found in the Fund’s Financial Statements. A summary is included on page 19. 16 About your Fund The Fund is managed by a Trustee with a Board of six Directors. The Trustee uses a number of advisers who provide services to the Fund.

The Trustee If you have a problem or concern The Trustee of the Fund is Citibank Australia Staff We try to ensure that the Fund’s level of service meets your Superannuation Pty Limited (ABN 33 008 477 816). The sole expectations. Sometimes however, problems may arise. When purpose of this company is to be the Trustee of the Fund. you first have an enquiry or complaint, you should contact the Fund Administrator (see page 20 for contact details). The Trustee’s responsibilities are carried out by a Board of six Privacy-related enquiries should also be directed to the directors. Half the directors are appointed by the Company Fund Administrator. and half are elected by Fund members. The Trustee has a formal process for reviewing enquiries and At 31 December 2020, the Trustee Directors were: complaints if you are not satisfied with the response you receive. To make a formal enquiry or complaint, please obtain COMPANY-APPOINTED MEMBER-ELECTED an Enquiries and Complaints Form from the Fund Administrator or from the website. The Trustee will respond to you within Marcus Christoe Alan Burns 90 days. You can request the Trustee’s reasons for its decision on your complaint if reasons have not already Vera Martin Robert Vari been provided. A copy of the Trustee’s Enquiries and Complaints Policy and form is available on Timothy Sedgwick Richard Wilde https:// super. towerswatson. com/ super/citi. If you are not satisfied with the Trustee’s response, you may There were no changes during the year. contact the Australian Financial Complaints Authority (AFCA), The next election for member-elected directors is expected except in relation to privacy-related matters. AFCA provides to be held in July/August 2022. fair and independent financial services complaint resolution that is free to consumers. Indemnity insurance There are some complaints that AFCA cannot consider such The Trustee is currently covered by a Trustee Professional as complaints relating to the management of the Fund as Indemnity insurance policy that protects the Fund’s assets a whole. In addition, time limits may apply. Please contact from a legal liability to the extent allowed by law and the the Fund Administrator on 1800 127 953 or refer to AFCA’s policy conditions. website as soon as possible for further information. You can contact AFCA at: Advisers to the Fund Australian Financial Complaints Authority The following organisations provide specialist services GPO Box 3 to the Trustee. VIC 3001 1800 931 678 Consultant Towers Watson Australia Pty Ltd and actuary [email protected] www.afca.org.au Administrator Towers Watson Australia Pty Ltd For privacy-related matters, please contact the Office of the (outsourced to Australian Administration Australian Information Commissioner on 1300 363 992. Services Pty. Limited ABN 62 003 429 114 a Corporate Authorised Representative (No. 307946) of Pacific Custodians Pty Limited ABN 66 009 682 866, AFSL 295142).

Investment Towers Watson Australia Pty Ltd consultant

External KPMG auditor

Insurer MetLife Insurance Ltd

17 What happens if you leave If, when you leave the Company, your benefit is greater Note that this process will change from 1 May 2021. than $6,000 and you were not invested 100% in the Fund’s After that date, the Trustee may transfer your benefit to Balanced Option, it will automatically be transferred to the the ATO rather than the ERF if you fail to give the Fund Fund’s Retained Benefits Division. Your benefit (including Administrator payment instructions within 30 days of any defined benefit component) will be invested in the same receiving details of your benefit or the fund you nominate investment options as you had prior to leaving service, until won’t accept your benefit. you advise the Trustee otherwise. The ATO will attempt to consolidate your benefit with your active superannuation account. If your benefit is If you were invested 100% in the Fund’s Balanced Option, you transferred to the ATO, you will stop being a member of will need to submit an Investment Choice form within 90 days the Fund and will need to contact the ATO directly about of you leaving the Company to join the Retained Benefits your benefit. Division. You have the same choice of eight investment options as other members. Once you have made your choice, your benefit, including any defined benefit component, will continue to be invested in keeping with your choice, until Establishing proof of identity you advise the Trustee otherwise. From the date you leave Before you withdraw a benefit from the Fund, you may need the Company until you submit your form, all of your benefit to establish your identity by providing certified copies of (including any defined benefit component) will be invested certain documents. The Trustee may also need to obtain in the Balanced Option. Returns may be positive or negative. additional identification information and to verify your If you do not make an investment choice within 90 days the identity from time to time. Trustee may transfer your benefit to a designated MySuper In some cases, the Trustee may have to disclose information fund for you. about you to the Australian Transaction Reports and Analysis Note that if your benefit falls below $6,000 and your account Centre (AUSTRAC), the regulator of this legislation. Due to is inactive for 16 months, your account will be paid to the ATO the sensitive nature of the information, the Trustee is not (see box to the right). permitted to inform you if this happens. Further details on the Retained Benefits Division are provided in the Retained Benefits Division brochure available on the website at https://super.towerswatson.com/super/citi. Transfer of inactive low balance accounts The Investment Choice form is also available on the website. to the ATO If your benefit is less than $6,000 when you leave the If your account is less than $6,000 and is “inactive”, under Company, the Trustee may roll your benefit over to an Eligible the law we may be required to pay it to the ATO. The Rollover Fund (ERF) if: ATO will then consolidate the account with your active }} You fail to give the Fund Administrator payment superannuation account. instructions within 30 days of receiving details of your You will be considered “inactive” if, in the last 16 months, benefit, or you have not: }} The fund you nominate won’t accept your benefit. }} received a contribution or rollover; The ERF is: }} changed your investment choice; The Administrator }} changed your insurance; SuperTrace Locked Bag 5429 }} made or changed a binding nomination of Parramatta NSW 2124 beneficiary; or Phone: 1300 788 750 }} notified the ATO you do not wish to be treated Email: [email protected] as a low balance inactive account. Website: www.supertrace.com.au Note that defined benefit members and members who Once your benefit is transferred to the ERF, you stop being a have met a prescribed condition of release cannot be member of the Fund and no longer have any rights under the “inactive”. Fund. You will then need to contact the ERF directly about your benefit. You can also obtain the ERF’s Product Disclosure Statement using the contact details above. Did you know? The investment and crediting rate policy of the ERF may be different to those that applied in the Fund. Also, the ERF may There are situations where you need to prove not offer any insurance cover. You should seek advice from a licensed financial adviser about whether the ERF is a suitable your identity before your super can be paid. investment for you.

18 Financials Here is a summary of the Fund’s unaudited financial accounts for the year to 31 December 2020. The audited financial accounts and auditor’s report will be available on request from the Fund Administrator on 1800 127 953 at the end of March 2021. 2020 2019 Statement of financial position $ $ Assets Cash and cash equivalents 432,758 1,021,289 Receivables and other assets 13,321 34,831 Investments 83,700,040 82,056,144 Current tax assets 139,184 107,909 Deferred tax assets 21,798 26,788 Total assets 84,307,101 83,246,961

Liabilities Payables (167,077) (179,053) Income tax payable – – Deferred tax liabilities (920,446) (530,097) Total liabilities excluding member benefits (1,087,523) (709,150) Net assets available for member benefits 83,219,578 82,537,811

Member benefits Defined contribution member liabilities (44,486,629) (44,600,493) Defined benefit member liabilities (33,042,650) (31,618,593) Unallocated to members – – Total member liabilities (77,529,279) (76,219,086) Financial position (assets less liabilities) 5,690,299 6,318,725

2020 2019 Change in financial position during the year $ $ Interest revenue 103 442 Investment income 4,147,935 14,627,819 Other income 4,260 1,077 Total expenses (1,243,339) (1,028,194) Net change in member liabilities (3,353,677) (12,942,782) Income tax (expense)/benefit (183,708) (793,359) Total change in financial position (628,426) (134,997) All contributions due at 31 December 2020 have now been paid to the Fund.

Need to know more? Other information about your benefits such as your choices for contributions, investments and insurance levels are available on the Fund’s website. Refer to your Product Disclosure Statement or Member Booklet/Leaflet for your category of membership. Visit the website at https://super.towerswatson.com/super/citi. A number of Fund documents are also available on the website, including the Trust Deed and various Trustee policies.

If you have a general enquiry, you should contact the Fund Administrator by calling 1800 127 953 or emailing [email protected]. 19 Citibank Australia Staff Superannuation Fund

About your Fund The Fund provides superannuation benefits to the employees of Citigroup Pty Limited, their spouses and former Citigroup employees. This is a defined benefit fund for current employees and an accumulation fund for Spouse members, Retained Benefits members and Account-Based Pension members. The retirement benefits for Employee members are generally expressed as a multiple of salary near retirement. This provides protection from the variability of investment returns for members close to retirement. The resignation benefit, however, is made up of contributions from the Company and your own voluntary contributions, if you make any. The size of your resignation benefit is affected by the investment return earned by your chosen investment options. Investment earnings can be Contact us positive or negative. For Spouse, Retained Benefits and Account-Based Pension General enquiries members, benefits are determined on an accumulation basis, where The Fund Administrator contributions (if applicable), less tax, fees, costs and insurance fees, Citibank Australia Staff Superannuation Fund are accumulated with investment earnings at the rate earned by your PO Box 1442 chosen investment options. Investment earnings can be positive Parramatta NSW 2124 or negative. Phone: 1800 127 953 The Fund may also provide extra death and disablement benefits Fax: (02) 8571 6222 for Citigroup employees and death benefits for Spouse members. Email: [email protected] The Fund is now closed to new Employee members and new Website: https://super.towerswatson.com/super/citi Spouse members. The Trustee If your family situation changes, you should update your nominated beneficiaries. If you want to change your nomination, Citibank Australia Staff Superannuation Fund you can complete a new form in the Nominating your beneficiaries C/- Richard Saverimuttu (Fund Secretary) leaflet, available from the Fund’s website via the HR intranet site or Phone: (02) 9253 3439 via the internet at https://super.towerswatson.com/super/citi. Email: [email protected] Copies are also available from the Fund Administrator (see to the left for contact details).

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