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Target Market Determination

For Slate Super (a sub-plan in the Master Superannuation Fund – Series 2 (ABN 32 367 272 075; RSE Registration R1001204). Interests in Slate Super are issued by Diversa Trustees Limited (ABN 49 006 421 638; AFSL 235153; RSE Licence L0000635).

1. About this document

This target market determination (TMD) seeks to offer an understanding of the class of consumers for which this product has been designed, having regard to the objectives, financial situation and needs of the target market. This TMD is not to be treated as a full summary of Slate Super’s terms and conditions and is not intended to provide financial advice. Customers should refer to the Slate Super Product Disclosure Statement and any supplementary documents which outline the relevant terms and conditions when making a decision about the product.

Product Disclosure Statement to which this target market determination applies

This TMD applies to Slate Super referred to in the following Product Disclosure Statement:

  • Slate Super Product Disclosure Statement 5 October 2021.

2. Important dates

Date from which this target market determination is effective

Date when this target market determination was last reviewed

Date when this target market determination will be next reviewed

5 October 2021

5 October 2021

5 October 2022

3. Class of consumers that fall within this target market

The information below summarises the overall class of consumers that fall within the target market for Slate Super.

The Slate Super product is designed for consumers who:

  • Are aged between 13 and 85 (inclusive)
  • Wish to contribute concessional or non-concessional contributions to retirement savings;
  • Save for retirement via a compliant superannuation product within the Australian superannuation system;
  • Access to a fully digitised member app;
  • Seek to invest in a lifecycle ethical investment option;
  • Investors who are suited to the following investment risk profile:
  • Seek to invest in a lifecycle ethical investment option;
  • Investors who are suited to the following investment risk profile:
  • Changes in the economic and political climate;
  • Use of derivatives;
  • Changes in government policies and superannuation laws;
  • Limited investment options and exposure to ethical investments;
  • Changes in interest rates; and
  • Investment decisions made by the Investment Manager.
  • Ability to obtain Death, TPD and Income Protection cover subject to satisfying the eligibility and underwriting requirements.

Slate Super is not designed for consumers who:

  • Do not wish to provide a tax file number;
  • Seek a super fund providing financial advice services;
  • Are persons aged under 13;
  • Seek a pension income stream;
  • Do not wish to invest in a lifecycle ethical investment option; or
  • Wish to invest in a broad range of investment options.

Product description and key attributes:

The key eligibility requirements and product attributes of Slate Super are:

  • For customers aged between 13 and 85 (inclusive)
  • Access to a lifecycle ethical investment option that’s equities investment doesn’t invest in fossil fuels; 
  • Ability to make a number of different types of contributions including personal, spouse or employer contributions, or rollover superannuation benefits from another fund; and 
  • Offers Death, TPD and Income Protection cover subject to satisfying the eligibility and underwriting requirements.

Objectives, financial situation, and needs:

The table below sets out the class of customers the Slate Super lifecycle investment option which has been designed for.

Objective

Seeking a return of CPI + 3.00% p.a. over rolling 10-year periods

Needs

Risk appetite is high with estimated number of negative annual returns over any 20-year period being 4 to less than 6

Financial Situation

Likely to suit long-term investors who want exposure to assets with potentially higher returns

Lifecycle Investment Option

Sand

 

Seeking a return of CPI + 2.50% p.a. over rolling 8-year periods

Risk appetite is high with estimated number of negative annual returns over any 20-year period being 4 to less than 6

Likely to suit medium to long-term investors who want exposure to assets with potentially higher returns

Coral

Seeking a return of CPI + 1.75% p.a. over rolling 6-year periods

Risk appetite is high with estimated number of negative annual returns over any 20-year period being 4 to less than 6

Likely to suit medium term investors who want exposure to assets with potentially higher returns

Ocean

CPI + 0.50% p.a. over rolling 3-year periods

Risk appetite is medium with estimated number of negative annual returns over any 20-year period being 2 to less than 3

Likely to suit short to medium-term investors who are closer to retirement

Sky

The table below sets out the class of customers the Slate Super insurance offering has been designed for:

Age Next Birthday

Death Cover

Total and Permanent (TPD) Disability Cover

16-54

Available

Available

55-65

Available

Not Available

Income Protection Cover

Available

Available

Is automatic cover available?

For Death and TPD:
Opt-In only within 60 days of joining. Subject to satisfying the eligibility questionnaire.

For Income Protection:
Subject to Insurer approval.

For Death:
Opt-In only within 60 days of joining. Subject to satisfying the eligibility questionnaire.

For Income Protection:
Subject to Insurer approval. 

Death Cover Eligibility

  • Permanent and casual employees working at least 20 per week
  • Contractors working at least 20 hours per week
  • Australian citizens or Australian permanent residents

Death and TPD Cover Eligibility

  • Permanent Employees working at least 20 hours per week
  • Australian citizens or Australian permanent residents

Income Protection Cover Eligibility

  • Under 65 years of age and permanently employed for at least 15 hours per week
  • Offers 30, 60 and 90 day waiting periods
  • Offers a maximum benefit period of 2 years
  • Australian citizens or Australian permanent residents

Voluntary Cover

Available

Transfer of Cover

Available

Consistency between target market and the product:

Attributes of target market

Attributes of Slate Super

Save for retirement via a compliant superannuation product within the Australian superannuation system.

Slate Super is a product of a complying superannuation fund.

Engage with a technology facilitated superannuation product.

Slate Super offers a fully digitised member app.

Invests in a lifecycle ethical investment option.

Slate Super offers a lifecycle ethical investment option that’s equities investments exclude fossil fuels, tobacco, armaments, gambling and human rights violations activities.

A product that offers different insurance options catering to different insurance needs as their circumstances change throughout their life.

Slate Super offers a range of insurance choices, including:
Death cover, Total and permanent disability cover and Income protection cover

4. How this product is to be distributed

Distribution channels:

Slate Super is designed to be distributed through the following means:

  • Direct to customers through the Slate Super website and Slate Super member app; and
  • Direct to customers through employers that utilise the Promoter’s parent companies software.

Distribution conditions:

Slate Super should only be distributed under the following circumstances:

  • Employers who utilise the FlareHR payroll system;
  • The Slate Super website and Slate Super member app;
  • To consumers who do not form part of the excluded class of customer, and
  • To consumers who meet the eligibility requirements of Slate Super.

Adequacy of distribution conditions and restrictions:

The distribution conditions above will make it likely that customers who acquire Slate Super are within the target market because customers of Slate Super can only join Slate Super through the Slate Super website and must consent to reading the product disclosure statement before becoming a member. To ensure Slate Super’s product remains adequate to its target market regular reviews will be conducted on all fund collateral disclosed on its website and mobile application. All customers and employers will be notified of any material product and legislated changes in line with the reporting and monitoring requirements. Through this process customers will understand Slate Super’s restrictions and the class of consumers this product is not suitable for.

5. Reviewing this target market determination

We will review this target market determination in accordance with the below:

Initial review

Within twelve (12) months of 5 October 2021.

Next Periodic review

At least every three (3) years from the initial review, in line with Slate Super’s Product Approval and Review Process.

Review triggers or events

Any event or circumstances arise that would suggest the TMD is no longer appropriate. This may include (but not limited):

  • A material change to the design of Slate Super;
  • A material change to the distribution of Slate Super;
  • Occurrence of a significant dealing
  • Distribution conditions found to be inadequate;
  • External events such as adverse media coverage or regulatory attention; and
  • Significant change complaints or other metrics.

Where a review trigger has occurred, this target market determination will be reviewed within 10 business days.

6. Reporting and monitoring this target market determination

We may collect the following information from our distributors in relation to this TMD:

Complaints

Distributors will be required to report to issuers, complaints and other requested information that they receive, assisting issuers to assess whether their product governance arrangements are appropriate and their products are meeting the needs of consumers. Ensure that this information is reported within 24 hours or as soon as practicable.

This will include the substance of complaints and general feedback relating to the product and its performance. 

Significant dealings

Distributors will report if they become aware of a significant dealing in relation to this TMD within 10 business days.

Any potential or actual issue of Slate Super to a retail customer in breach of the distribution conditions or otherwise outside of the target market

As soon as practicable after becoming aware of the information and within 10 business days.

Information that suggests that, if Slate Super is issued to retail customers in the target market, it may not be consistent with the likely objectives, financial situation and needs of those customers

As soon as practicable after becoming aware of the information and within 10 business days.

Compliance incidents or breaches in relation to Slate Super

As specified in the relevant contracts of Slate Super’s outsourced service provider agreement.