There is no prescribed format. The investment strategy must reflect the purpose and circumstances of the fund and its members.

For instance, it should consider:

• diversification (investing in different assets and asset classes)
• the risk and likely return from investments, to maximise member returns
• the liquidity of fund assets (how easily they can be converted to cash to meet fund expenses and pay member benefits)
• whether to hold insurance cover for each member (such as life, permanent or temporary incapacity insurance)
• the members’ needs and circumstances (for example, appetite for risk and when members plan to retire).

Your investment strategy should:

• be in writing
• be reviewed regularly to ensure it continues to reflect the purpose and circumstances of your fund and its members
• document any decisions or changes you make during review.

Once you start making investments, you must be able to demonstrate how your decisions comply with the investment strategy and super laws.

Visit ASIC’s Moneysmart website for general information about investing.