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Overview

A term deposit is an investment held in a financial institution (Aware Super members are invested in National Australia Bank Ltd) that has a fixed interest rate for a fixed period of time.  

This option is not covered by the Government Guarantee (Financial Claims Scheme).

Why you’d invest

Term Deposit might be a suitable option:
 

  • when you want certainty of how much return you will receive on your investment and how long you wish to invest for. The deposit periods are generally set for a period of time of 3, 6, 9, or 12 months.  You can view the current term deposit interest rates below.
  • if you accept that your return might not keep pace with inflation.  

Once funds are invested in a term deposit, you are generally locked into the term deposit. This means you can’t switch or withdraw those funds until the term deposit matures (ends).

Term deposit rates effective to 23 February 2024

  • 3 months 5% p.a.
  • 6 months 5.1% p.a.
  • 9 months 5.1% p.a.
  • 12 months 5.1% p.a.


Interest rates are subject to change without notice. The interest rate applied to your term deposit investment will be that applicable at the time your term deposit is processed with the term deposit provider. Depending on the timing of your application, the rate you receive may differ from the indicative rate shown at the time of application. An application received online on a non-business day is deemed to have been received by us before 3pm AEST/AEDT on the next business day. 

15% tax is deducted from the interest paid on term deposits for: 
 

  • Future Saver accounts
  • Retirement Transition accounts.

Scroll table horizontally on mobile

Investment Objective

 

To outperform the returns of the Bloomberg AusBond Bank Bill Index, over rolling 12-month periods. This is before taking into account fees, costs and tax.

Timeframe

Members can choose a 3, 6, 9, or 12-month investment timeframe.

Risk Level

1 - Very low 

The estimated number of negative annual returns over any 20-year period is less than 0.5 times.   

This is based on the Standard Risk Measure.

Note:  You could be exposing yourself to a greater risk of loss if you:

 

  • Choose one or more of the single asset class investment options, and
  • Don't adequately diversify your investments. 

Cost of product for $50,000 account balance1

$132

Calculation of the fees and costs that can affect your super investment over a 1-year period.

See here for more information on fees and costs

Strategic Asset Allocation 

Target

This is the target asset allocation for the option, effective 30 September 2023.

Cash 100%

 

1 The cost of product assumes a balance of $50,000. It includes administration fees and an estimate of ‘Investment fees and costs’ and ‘Transaction costs’. ‘Investment fees and costs’ and ‘Transaction costs’ are based on the fees and costs for the year ended 30 June 2023. Fees and costs can vary from year to year. The amount you’ll pay in future years will depend on the fees and costs incurred by the trustee in managing the investment option. Other fees and costs may apply. If you have insurance, premiums will apply. Refer to the relevant PDS or Handbook for more information.

Scroll table horizontally on mobile

Investment Objective

 

To outperform the returns of the Bloomberg AusBond Bank Bill Index, over rolling 12-month periods. This is before taking into account fees, costs and tax.

Timeframe

Members can choose a 3, 6, 9, or 12-month investment timeframe.

Risk Level

1 - Very low 

The estimated number of negative annual returns over any 20-year period is less than 0.5 times.   

This is based on the Standard Risk Measure.

Note:  You could be exposing yourself to a greater risk of loss if you:

 

  • Choose one or more of the single asset class investment options, and
  • Don't adequately diversify your investments. 

Cost of product for $50,000 account balance1

$172

Calculation of the fees and costs that can affect your super investment over a 1-year period.

See here for more information on fees and costs

Strategic Asset Allocation 

Target

This is the target asset allocation for the option, effective 30 September 2023.

Cash 100%

 

1 The cost of product assumes a balance of $50,000. It includes administration fees and an estimate of ‘Investment fees and costs’ and ‘Transaction costs’. ‘Investment fees and costs’ and ‘Transaction costs’ are based on the fees and costs for the year ended 30 June 2023. Fees and costs can vary from year to year. The amount you’ll pay in future years will depend on the fees and costs incurred by the trustee in managing the investment option. Other fees and costs may apply. If you have insurance, premiums will apply. Refer to the relevant PDS or Handbook for more information.

Scroll table horizontally on mobile

Investment Objective

 

To outperform the returns of the Bloomberg AusBond Bank Bill Index, over rolling 12-month periods. This is before taking into account fees, costs and tax.

Timeframe

Members can choose a 3, 6, 9, or 12-month investment timeframe.

Risk Level

1 - Very low 

The estimated number of negative annual returns over any 20-year period is less than 0.5 times.   

This is based on the Standard Risk Measure.

Note:  You could be exposing yourself to a greater risk of loss if you:

 

  • Choose one or more of the single asset class investment options, and
  • Don't adequately diversify your investments. 

Cost of product for $50,000 account balance1

$172

Calculation of the fees and costs that can affect your super investment over a 1-year period.

See here for more information on fees and costs

Strategic Asset Allocation 

Target 

This is the target asset allocation for the option, effective 30 September 2023.

Cash 100%

1 The cost of product assumes a balance of $50,000. It includes administration fees and an estimate of ‘Investment fees and costs’ and ‘Transaction costs’. ‘Investment fees and costs’ and ‘Transaction costs’ are based on the fees and costs for the year ended 30 June 2023. Fees and costs can vary from year to year. The amount you’ll pay in future years will depend on the fees and costs incurred by the trustee in managing the investment option. Other fees and costs may apply. If you have insurance, premiums will apply. Refer to the relevant PDS or Handbook for more information.

How the Term Deposit option works

Each term deposit you hold must be a minimum of $5,000 and a maximum of $5 million. In addition, you must have:

  • a minimum account balance of $15,000 (excluding any amounts already in the Term Deposit option), and
  • the greater of $10,000 or 10% of your account balance invested in options other than Term Deposit. This is because the following deductions (as applicable) cannot be withdrawn from funds in the Term Deposit option: 
    • administration fees, 
    • insurance premiums 
    • pension payments. 

When the term deposit matures, all money within the term deposit is transferred into the Cash option. Note that this is after any tax payable on the interest earned2 is deducted. You may then transfer the proceeds to the investment option(s) of your choice.  You can do this by changing your investment options or applying for another term deposit.  

We may allow a term deposit to be terminated early. This happens under special circumstances and at trustee discretion. If this occurs, there will be an interest adjustment. This will be in the form of a reduction in accrued interest.

Refer to the relevant PDS or Handbook for more information:

2 Applicable to Future Saver and Retirement Transition accounts.

You can choose to invest in one option or a combination of options. And you can switch your investment options at any time for free.

View our forms and resources page to download important documents

Frequently asked questions

We’re here to help you achieve your financial goals. We can provide simple financial advice, over the phone, to answer any questions.

You can speak to a qualified financial planner who can help you make investment choices that meet your financial goals.