Vector 1Vector 2Vector 3Vector 4Vector 5Vector 6Vector 7Vector 2 Duplicate

Asset Types in Canwi

Accumulation Super

Accumulation-based super is the standard superannuation structure in Australia. Your retirement balance is simply the sum of all contributions made into your account, plus investment earnings, minus fees and tax - there's no guaranteed payout. You carry the investment risk, and your balance moves with market performance.

This is different to a defined benefit fund, an older, mostly-closed style of super scheme (common in public sector funds) where the employer guarantees a set payout based on salary and years of service, regardless of investment performance.

Accumulation vs pension

The two phases of superannuation. You buy a pension with your accumulated balance.

Phase 01

Accumulation

Working life. Your balance grows.

Earnings:
taxed at 15% inside the fund
Capital gains:
15% in accumulation - reduced to 10% if the fund has owned the asset for 12 months or more
Access:
preserved until a condition of release

Buy a pension

Phase 02

Pension

Drawdown. Income & lump sums.

Earnings:
0% tax inside the fund
Income from age 60:
generally tax-free
Drawdown:
minimum % by age, no maximum

The transfer balance cap limits how much you can move into pension phase.

How it works

  • Contributions in - employer, personal, and government contributions are added to your account (see contribution types below)
  • Investment growth - your balance is invested according to your chosen option (e.g. Growth, Balanced), and grows or shrinks with market returns
  • Tax - contributions and earnings are taxed concessionally while in the accumulation phase (generally 15%)
  • Access - once you reach preservation age and retire, you can draw your balance as a lump sum, convert it to an account-based pension, or a mix of both

Contribution types

Investment options and typical returns

Most super funds offer pre-mixed investment options that vary by how much is allocated to growth assets (shares, property, infrastructure) versus defensive assets (bonds, fixed interest, cash). More growth exposure means higher long-term return potential, but greater short-term volatility.

There's no industry-standard definition of these labels - allocations vary between funds, so treat the below as typical ranges rather than fixed rules.

OptionGrowth asset allocation10-yr historical average return*What it means
Conservative21-40%4.6% p.a.Prioritises capital stability over growth. Lower volatility, but lower long-term growth - generally suited to those close to or in retirement.
Balanced41-60%6.1% p.a.A mix of growth and defensive assets aiming for moderate, steadier growth with less volatility than Growth options.
Growth61-80%7.5% p.a.Weighted toward shares and other growth assets for stronger long-term growth, with more pronounced short-term ups and downs. Most Australians' default MySuper option sits here.
High Growth81-95%9.0% p.a.Mostly shares and other growth assets. Higher long-term return potential, but larger short-term swings - generally suited to long investment timeframes.
All Growth96-100%9.0% p.a.Almost entirely shares and other growth assets. Highest volatility of all categories - suited to very long timeframes (15+ years), typically younger members.

*Median return across all funds in each category, net of investment fees and tax, before admin fees. 10 years to 31 December 2025. Source: Chant West Super Fund Performance Survey.

On the numbers: these are long-term medians, not guarantees or forecasts - individual funds and future periods will differ. 2025 was a stronger-than-typical year (Growth funds returned 9.3% for the calendar year alone), so the 10-year figures are a more reliable guide to “typical” than any single year. Over the ~33 years since compulsory super began, the median Growth fund has returned around 8% p.a., and a portfolio with heavy growth exposure should expect a negative return roughly once every five years. Past performance isn't a reliable indicator of future returns.

See it in your plan

Canwi models Australian tax, super, and pension rules so you can explore decisions like this in a full financial plan.

Back to glossary

Accumulation Super | Canwi