AvSuper, the super fund for Commonwealth Government aviation workers, has made changes to its strategic asset allocations to provide more transparency for members.
The fund's total equities exposure will now be weighted 60 per cent to Australian equities and 40 per cent to international equities a change from the previous weighting of 50/50.
"This is for the usual reason, that being it recognises the higher dividend yield of franking credits and we feel that prove a greater certainty of returns," AvSuper chief executive Michelle Griffiths said.
As part of the changes the fund has also separated its alternative assets class into growth and defensive components.
"This will provide greater transparency and more information for members in what they are selecting," Griffths said.
Griffiths also flagged some future changes.
In January fund members will be able to access a new investment choice, the conservative growth option she said.
AvSuper have also agreed to implement a medium term or tilting approach to its investments in collaboration with asset consultant Jana Investment Advisors.
"We are currently working with Jana to do the framework to take advantage of future opportunities where they present themselves," Griffiths said.
The fund is also on the hunt to replace the Alliance Bernstein global equities mandate that was terminated earlier this year.
Griffiths said the fund hopes to have the managers this finalised by the end of December.
"We have spent a lot of time running the ruler over everything and I expect that theme will continue over the rest of the financial year," Griffiths said.
