Changes to Growth/Defensive Classification – Masterkey Products
On 20 May 2025 we made changes to the way that we categorise the growth and defensive characteristics of several asset classes.
Asset classes are commonly grouped as growth or defensive, based on their different characteristics. Growth assets, such as listed shares are included in a portfolio because of their potential to produce higher returns over the long-term. Defensive assets, such as cash and fixed income, may help provide positive returns in a portfolio when listed share markets are weak, but typically offer little in the way of growth. Some asset classes provide a rare combination of attractive growth potential and stable income streams, as such they have both growth and defensive characteristics.
The tables below summarise the changes that have been made:
| Asset Class | Previous Definition - Growth % |
Property and Infrastructure |
75% |
Alternatives |
75% |
| Asset Class | Current Definition - Growth % |
| Unlisted Property and Infrastructure | 50% |
Listed Property and Infrastructure |
100% |
Alternatives |
50% |
It is important to note that the changes to these growth/defensive classifications do not alter the underlying assets of our portfolios but reflect the underlying characteristics of our investments; they simply change the way that the growth/defensive allocation is reported.
The tables below detail the Strategic Asset Allocations for our MySuper and Ready-made portfolios, showing the impact of the re-classification changes on the growth/defensive split, as of 20 May 2025.
Asset Class |
MLC MySuper Growth |
MLC MySuper Conservative Balanced |
MLC Stable |
MLC Conservative Balanced |
MLC Balanced |
Australian shares |
26% |
17% |
10% |
17% |
25% |
Global shares |
29% |
19% |
12% |
20% |
29% |
Private equity |
5% |
4% |
1% |
4% |
5% |
Property |
8% |
6% |
4% |
5% |
6% |
Infrastructure |
7% |
5% |
5% |
6% |
6% |
Alternatives and other |
2% |
1% |
1% |
1% |
1% |
Fixed income - credit |
12% |
11% |
12% |
11% |
11% |
Fixed income – diversified |
6% |
24% |
33% |
22% |
8% |
Cash |
5% |
13% |
22% |
14% |
9% |
Total |
100% |
100% |
100% |
100% |
100% |
Previous G/D Split |
79%/21% |
55%/45% |
37%/63% |
56%/44% |
74%/26% |
Current G/D Split |
76%/24% |
52%/48% |
35%/65% |
53%/47% |
72%/28% |
Asset Class |
MLC Growth |
MLC High Growth |
MLC Aggressive |
MLC Low-Cost Conservative Balanced |
MLC Low-Cost Balanced |
MLC Low-Cost Growth |
MLC Socially Responsible Growth |
Australian shares |
32% |
40% |
50% |
20% |
27% |
34% |
30% |
Global shares |
35% |
43% |
67% |
25% |
38% |
45% |
53% |
Private equity |
5% |
6% |
7% |
- |
- |
- |
- |
Property |
6% |
5% |
3% |
3% |
4% |
4% |
- |
Infrastructure |
5% |
3% |
3% |
3% |
3% |
3% |
- |
Alternatives and other |
1% |
1% |
- |
2% |
2% |
2% |
- |
Fixed income - credit |
10% |
- |
- |
- |
- |
- |
4% |
Fixed income - diversified |
3% |
- |
- |
33% |
17% |
9% |
9% |
Cash |
3% |
2% |
- |
14% |
9% |
3% |
4% |
Gearing |
- |
- |
(30%) |
- |
- |
- |
- |
Total |
100% |
100% |
100% |
100% |
100% |
100% |
100% |
Previous G/D Split |
86%/14% |
96%/4% |
128%/2% |
51%/49% |
72%/28% |
85%/15% |
85%/15% |
Current G/D Split |
84%/16% |
94%/6% |
130%/0% |
52%/48% |
73%/27% |
87%/13% |
85%/15% |
The classification changes will be reflected in the 1 October 2025 PDS update.
