Change and opportunity - Retirement income planning considerations 2019 FPA National Roadshow
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Change and opportunity Retirement income planning considerations 2019 FPA National Roadshow Challenger
Some context for retirement planning Post-retirement is big, and getting bigger
Some context for retirement planning
Post-retirement is big, and getting bigger
Market growth supported by Australian superannuation growth4 ($bn)
• Mandatory and increasing contributions 8,000
• Earnings compounding
• Population growth and ageing demographics
6,000
4,000
Resulting in
• 9% CAGR growth over last 10 years
1
2,000
• 4th largest global pension market
2
• Assets expected to double in next 10 years
3
1. Growth in superannuation system assets, based on APRA data.
2. Willis Towers Watson Global Pension Study 2018.
3. Rice Warner 2017 superannuation projections.
3 4. 1997 to 2018: APRA data. 2019 – 2032: Based on Rice Warner 2017 superannuation projections applied to 2018 APRA superannuation assets.
Some context for retirement planning
Post-retirement is big, and getting bigger
Mandatory and increasing contributions
• Increasing from 9.5% to 12.0%
1
Superannuation Guarantee contribution rate1
1992 1997 2002 2015 2021 2022 2023 2024 2025
3.0% 6.0% 9.0% 9.5% 10.0% 10.5% 11.0% 11.5% 12.0%
Demographics
• Ageing population Number of Australians
over 65 increasing3
• Australians have one of world’s longest life expectancies
2
+33% over next 10 years
• Medical and mortality improvements increasing longevity +59% over next 20 years
1. Percentage of gross wages required to be contributed to superannuation. Contribution rate increases to 10% on 1 July 2021 and increases by 0.5% per annum until reaching 12% on 1
July 2025.
4 2. World Health Organisation.
3. Australian Bureau of Statistics population projections (Cat No. 3222.0 Series B middle projections).
Some context for retirement planning
Post-retirement is big, and getting bigger
Projected superannuation assets2 ($bn)
Post-retirement (super spending) phase
• Supported by
7,500
• ageing demographics
• rising superannuation savings
• Government and industry enhancing 5,000
retirement phase
2,500
Annual transfer from pre to post
1
retirement phase ~$60bn in 2018
2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032
Post-retirement assets - superannuation spending phase
Pre-retirement assets - superannuation savings phase
1. Australian Taxation Office.
2. Based on Rice Warner 2017 superannuation projections applied to 2018 APRA superannuation assets.
5
Some context for retirement planning
Post-retirement is big, and getting bigger
• Superannuation guarantee system 10 largest super funds – average retiree member balance2
not fully mature – established 26
Unisuper 509k
years ago
AustralianSuper 387k
• Operating for only half the Qsuper 367k
working life of today’s retirees SunSuper 323k
BT 301k
• One in four superannuation
First State Super 277k
dollars now supporting
1 REST 262k
retirement
MLC 254k
• Super system starting to make a AMP 239k
significant contribution to the lives Colonial First State 226k
of Australian retirees
1. Based on APRA and ATO data.
2. APRA’s Annual Superannuation Bulletin June 2018 edition and Annual Fund-level Superannuation Statistics report June 2018.
6
Some context for retirement planning
Post-retirement is big, and getting bigger
• Average household wealth at retirement $350k Portion of retirees reliant on age pension2
1
to $500k range (excluding family home)
30%
• Age pension subject to assets and income tests 44% 42%
• 2.5m Australians receiving some age pension support
30%
• Portion of retirees on full age pension expected to 29%
27%
reduce from 42% to 30% over next 7 years
Fully
Fully self
• However
Fully sufficient
self
self 40%
sufficient
sufficient
31%
• number of retirees receiving support increasing
27%
2010 2018 2025
• Government age pension cost increasing Actual Actual Forecast
Full rate Government age pension
• Super system increasingly supplementing or Part rate Government age pension
No Government age pension
substituting age pension
1. Average household wealth includes superannuation and non-superannuation assets and excludes the family home.
2. Source – 2010 and 2018 Actual: Australian Government Department of Social Services and Department of Veteran Affairs; 2025 Forecast: The Association of Superannuation
7 Funds of Australia (ASFA) projection.
Some context for retirement planning
The Government’s Retirement Income Framework
Retirement Income Framework
1. Boosting retirement income choices – new retirement product rules 1 July 2017
2. New means test rules – for lifetime products from 1 July 2019
3. Retirement Income Covenant – member retirement strategy by 1 July 2020
1
4. CIPRs – Superannuation funds required to offer CIPRs by 1 July 2022
1. Comprehensive Income Products for Retirement (CIPRs) – a feature of the Government’s new Retirement Income Framework.
8
Change and opportunity Retirement income planning considerations
Change and opportunity
Retirement income planning considerations
Now to 30 Other
2019/2020
June 2019 change
10Retirement planning considerations Now to 30 June 2019
Retirement income planning considerations
Now to 30 June 2019
• Maximising super contributions
• Pre-1 July 2019 applications of lifetime income streams
12Maximising super contributions
The opportunity before 1 July 2019
Concessional super contributions
• $25,000 annual cap
• 10% rule no longer applies
• Remember the paperwork
• Remember other concessional contributions
• Additional tax for higher income earners
Non-concessional super contributions
• $100,000 annual cap
• Up to $300,000 bring-forward
• TSB restrictions may apply
Eligibility
• Age limits apply
• Gainful employment may be required
Downsizing super contributions available since 1 July 2018
13Pre-1 July 2019 applications of lifetime income streams
Interaction between the assets and income tests
Assumes all assets are financial investments and subject to deeming.
Rates and thresholds current at 20 March 2019
14Pre-1 July 2019 applications of lifetime income streams
Social Security assessment of lifetime income streams purchased pre-1 July
20191
• Deduction amount reduces both assessable asset value and income
• Consider pre-1 July 2019 Assets and Income test planning opportunities
Assessed asset value
Term elapsed
1Lifetimeannuity purchased on or after 20 September 2007 and before 1 July 2019
70-year old male, no reversionary benefit.
15 Deduction amount is $6,532 ($100,000/15.31), based on Australian Life Tables 2010-12Pre-1 July 2019 applications of lifetime income streams
Last opportunity to access current means test assessment for Liquid Lifetime
Annuity (Regular income option) - 15 year withdrawal period
65 year old female. Challenger Liquid Lifetime annuity, monthly payments, CPI indexation. Regular income option with maximum withdrawal guarantee
16Retirement planning considerations 2019/2020
Retirement income planning considerations
2019/20
• Carry-forward super contributions
• Super work test exemption
• Expansion of the Pension Loans Scheme
• Means testing of lifetime income streams
• Means testing of certain life insurance benefits
18Carry-forward super contributions
Optimising pre-retirement contributions
Since 1 July 2018
• Start to accrue unused CC cap amounts (based on rolling 5-year basis)
From 1 July 2019
• Access previously accrued unused cc cap amounts if:
• Total super balance1 on 30 June of prior FY is less than $500,000 threshold (not indexed)
• Used after current year’s cap is exhausted
• Total super balance1 assessed each year, opportunity to access unused amount may vary year to year
1. Total super balance includes accumulation phase balance, adjusted transfer balance account, balance of account-based income streams, rollovers in transit less structured settlements.
19Super work test exemption
Increased flexibility for super contributions
• An exemption from the super work (gainful employment) test from 1 July 2019:
• For individuals aged 65-74
• With a total super balance of less than $300,000 (prior 30 June)
• For 12 months from the end of the financial year in which they last met the work test
• Subject to existing concessional and non-concessional caps
• Bring-forward provisions available
• No prior contributions under this arrangement
20Expansion of the Pension Loans Scheme
Borrowing for additional income in retirement
• From 1 July 2019 eligibility of the PLS extended to all Australians of Age Pension age
• Under the PLS fortnightly payments are available to supplement income
• Payments are drawn down from equity in a property and accumulate as a debt with interest
• Current interest rate is 5.25% p.a.
• Payments are non-taxable and generally not means tested
• Repayments are generally made from eventual sale proceeds of the property
• Increase maximum combined Age Pension and PLS to 150% (from 100%) of the Age Pension rate
• The Government estimates around 6,000 eligible pensioners to take up a loan over the next four years
21Means testing of lifetime income streams
Lifetime income streams commenced on or after 1 July 2019
• On 14 February 2019 the Government passed legislation amending the means testing of lifetime
income streams (“Asset-tested income stream (lifetime)”) commenced on or after 1 July 2019
• Royal Assent 1 March 2019
• No change for account-based or term income streams
• Grandfathering of pre-1 July 2019 lifetime income streams under the current rules
• Current means test rules continue to apply
22Means testing of lifetime income streams
Lifetime income streams commenced on or after 1 July 2019
• Lifetime income streams that meet the rules of Innovative Superannuation Income Streams
(with a reducing capital schedule)
• Income test: 60% of payments as income (for deferred lifetime products income will only be assessed
from when payments commence); and
• Assets test: 60% of purchase price as an asset until age 841, or for a minimum of 5 years, and 30%
thereafter
1 These rules link this initial assets test assessment to a period equal to the life expectancy of a 65 year old male at the commencement of the income stream, currently age 84. This will change
from time to time with new life tables
23Means testing of lifetime income streams
Declining capital access schedule
Source: Treasury Retirement Income Streams Review, 2016, 65 year old male
24Means testing of lifetime income streams
Liquid Lifetime Annuity (Flexible income option)
65 year old female. Challenger Liquid Lifetime annuity, monthly payments, CPI indexation. Flexible income option with maximum withdrawal period
25Means testing of lifetime income streams
Lifetime income streams commenced on or after 1 July 2019
• Products that do not meet the rules of Innovative Superannuation Income Streams
(with a withdrawal or death benefit above the reducing capital schedule)
• Income test: 60% of payments as income; and
• Assets test: Asset value equal to the greater of:
• the amount determined under the new rules (60% until age 841, or for a minimum of 5 years, and
30% thereafter);
• the value of any current or future surrender value; and
• the value of any current or future death value
1 These rules link this initial assets test assessment to a period equal to the life expectancy of a 65 year old male at the commencement of the income stream, currently age 84. This will change
from time to time with new life tables
26Means testing of lifetime income streams
Liquid Lifetime Annuity (Regular income option) - 15 year withdrawal period
65 year old female. Challenger Liquid Lifetime annuity, monthly payments, CPI indexation. Regular income option with maximum withdrawal guarantee
27New means testing of lifetime income streams
Current vs new income test assessment
$6,000
$5,000
Assessed income value
$4,000
$3,000
$2,000
$1,000
$-
66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90
Age
Current rules - Liquid Lifetime (Regular 100% WG) New rules - Liquid Lifetime (Regular 100% WG)
Current rules - Liquid Lifetime (Flexible) New rules - Liquid Lifetime (Flexible)
Based on a Challenger Lifetime Annuity quoted 19/02/2019 for a 66-year old male with an investment amount of $100,000, monthly payments, Flexible option with maximum withdrawal period (17
years) and first year payment of $5,214 and Regular option with 100% withdrawal guarantee after 15 years and first year payment of $3,292, CPI indexation and nil adviser fees.
28New means testing of lifetime income streams
Current vs new assets test assessment
$120,000
$100,000
Assessed asset value
$80,000
$60,000
$40,000
$20,000
$-
66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90
Age
Current rules - Liquid Lifetime (Regular/Flexible) New rules - Liquid Lifetime (Flexible)
New rules - Liquid Lifetime (Regular 100% WG)
Based on a Challenger Lifetime Annuity quoted 19/02//2019 for a 66-year old male with an investment amount of $100,000, monthly payments, Flexible option with maximum withdrawal period (17
years) and Regular option with 100% withdrawal guarantee after 15 years, CPI indexation and nil adviser fees.
29New means testing of lifetime income streams
One of just a handful of assets and income test “strategies”
• Appropriate valuation of non-financial assets
• Improvements to the family home
• Spending
• Gifting?
• Funeral bond / prepaid funeral expenses
• Super for a spouse less than Age Pension age
• Lifetime income stream
30Means testing of lifetime income streams
The Age Pension effect of a reduction in assessable assets
• Assets above the lower assets threshold reduce Age Pension by $3 p.f. ($78 p.a.) for each
$1,000 of assets
• An assets test sensitive client (receiving a part Age Pension because of the assets test)
who reduces assessable assets by $1,000 will increase their Age Pension by $78 p.a.
• For an assets test sensitive client1, a $100,000 investment in an asset-tested income
stream (lifetime):
• Immediately reduces assessable assets by $40,0002 increasing Age Pension by $3,120
p.a. (40 x $78 p.a.)
1. Assumes client remain assets test sensitive throughout any comparison period.
2. Reduction from purchase price and/or alternative strategy where capital is maintained.
31Means testing of lifetime income streams
Wendy and Walt
• Wendy and Walt (both aged 66) are a couple and own their home
• They have $300,000 each in super assets and are looking to commence income
streams
• Their investor risk profile is 50% defensive and 50% growth
• They have $20,000 in personal assets and $50,000 in cash and TDs
• They want retirement income of $60,977 p.a. (indexed)
• But they need $42,000 p.a. (indexed) to meet essentials
• Wendy and Walt are interested in both their Age Pension and total retirement income
outcomes
32Means testing of lifetime income streams
Wendy and Walt: Account-based pensions
Source: Challenger Retirement Illustrator (Beta version 28/03/2019) using Social Security rates and thresholds effective 20 March 2019. 66 year old couple. $300,000
investment each in account-based pensions 50% defensive/50% growth. Assumes returns of 3.7% p.a. for defensive assets and 7.7% p.a. for growth assets before fees.
33 $50,000 cash/TDs earning 3% p.a. interest. Non-financial assets of $20,000. Amounts shown are in today’s dollars. CPI of 2.5% p.a.Means testing of lifetime income streams
Wendy and Walt: Account-based pensions + a layer of guaranteed income
Source: Challenger Retirement Illustrator (Beta version 28/03/2019) using Social Security rates and thresholds effective 20 March 2019. 66 year old couple. $225,000
investment each in account-based pensions 33% defensive/67% growth. Assumes returns of 3.7% p.a. for defensive assets and 7.7% p.a. for growth assets before fees.
$75,000 investment each in Challenger Guaranteed (Liquid Lifetime) Annuities (Flexible Income option). Maximum withdrawal period equal to life expectancy (rounded down).
34 Lifetime income streams commenced on or after 1 July 2019. Rates effective 28 March 2019 and subject to change. $50,000 cash/TDs earning 3% p.a. interest. Non-financial
assets of $20,000. Amounts shown are in today’s dollars. CPI of 2.5% p.a.Means testing of lifetime income streams
Wendy and Walt: Age Pension analysis
Year Age Pension Age Pension Age pension Cumulative Age
(ABP only) (ABP + increase Pension
Lifetime) increase
1 $14,266 $18,946 $4,680 $ 4,680
2 $17,022 $20,922 $3,900 $ 8,580
3 $19,583 $22,781 $3,198 $11,778
4 $21,988 $24,523 $2,535 $14,313
5 $24,276 $26,148 $1,872 $16,185
6 $26,409 $27,696 $1,287 $17,472
7 $28,386 $29,166 $ 780 $18,252
8 $30,286 $30,520 $ 234 $18,486
9 $32,068 $31,834 -$ 234 $18,252
10 $33,734 $33,032 -$ 702 $17,550
Source: Challenger Retirement Illustrator (Beta version 28/03/2019) using Social Security rates and thresholds effective 20 March 2019. 66 year old couple. $225,000
investment each in account-based pensions 33% defensive/67% growth. Assumes returns of 3.7% p.a. for defensive assets and 7.7% p.a. for growth assets before fees.
$75,000 investment each in Challenger Guaranteed (Liquid Lifetime) Annuities (Flexible Income option). Maximum withdrawal period equal to life expectancy (rounded down).
35 Lifetime income streams commenced on or after 1 July 2019. Rates effective 28 March 2019 and subject to change. $50,000 cash/TDs earning 3% p.a. interest. Non-financial
assets of $20,000. Amounts shown are in today’s dollars. CPI of 2.5% p.a.Means testing of lifetime income streams
Wendy and Walt: Longevity solution
Likelihood of savings needing to last to exact ages1
8.0%
Couple life expectancy with
improvements: 93
6.0%
Standard population couple life
expectancy: 90
4.0%
9.3% of couples may need
assets to last past age 100
2.0%
73.5% chance will need assets to last past age 90!
0.0%
65 67 69 71 73 75 77 79 81 83 85 87 89 91 93 95 97 99 101 103 105 107 109 Age
1. 1 ALT 2010-12, with 25 year improvement factors. Assumes both persons exactly age 65, calculated at July 2018
36Means testing of lifetime income streams
Wendy and Walt: Retirement outcomes (2,000 possible market scenarios)
Source: Challenger Retirement Illustrator (Beta version 28/03/2019) using Social Security rates and thresholds effective 20 March 2019. 66 year old couple. $225,000
investment each in account-based pensions 33% defensive/67% growth. Assumes returns of 3.7% p.a. for defensive assets and 7.7% p.a. for growth assets before fees.
$75,000 investment each in Challenger Guaranteed (Liquid Lifetime) Annuities (Flexible Income option). Maximum withdrawal period equal to life expectancy (rounded down).
37 Lifetime income streams commenced on or after 1 July 2019. Rates effective 28 March 2019 and subject to change. $50,000 cash/TDs earning 3% p.a. interest. Non-financial
assets of $20,000. Amounts shown are in today’s dollars. CPI of 2.5% p.a.Means testing of lifetime income streams
Wendy and Walt: Estate planning outcomes
Source: Challenger Retirement Illustrator (Beta version 28/03/2019) using Social Security rates and thresholds effective 20 March 2019. 66 year old couple. $225,000
investment each in account-based pensions 33% defensive/67% growth. $75,000 investment each in Challenger Guaranteed (Liquid Lifetime) Annuities (Flexible Income option).
Maximum withdrawal period equal to life expectancy (rounded down). Lifetime income streams commenced on or after 1 July 2019. Rates effective 28 March 2019 and subject
38 to change. $50,000 cash/TDs earning 3% p.a. interest. Non-financial assets of $20,000. Amounts shown are in today’s dollars. CPI of 2.5% p.a. Median estate value of 2,00
market scenarios shown.Means testing of certain life insurance benefits
Assessment of certain life policies commenced on or after 1 July 2019
• Change to the Assets Test assessment of investment-type life policies
• Acquired by a person on or after Age Pension age
• Where the premium paid in any period of 12 months exceeds 15% of the maximum death benefit
payable
• Assets Test assess the greater of:
• Surrender value of the policy; or
• Sum of premiums paid less any commuted amounts
39Retirement planning considerations
Other
changeRetirement income planning considerations
Other change
• Innovative super income streams
• A re-elected coalition Government announcements impacting retirement income
41Innovative super income streams
Increased income options for retirees
• An additional set of income stream rules (new category income streams) increasing flexibility for retirees
available since 1 July 2017
• No requirement to satisfy SIS minimum payments
• Classified as retirement phase income streams and qualify for tax-free earnings after a condition of
release has been satisfied
• Subject to a “declining capital access schedule”
• Limits lump sum commutations and death benefits but does not restrict income payments
42Innovative super income streams
Including Deferred Lifetime Annuities (DLAs)
Adviser use only. PDS available from www.challenger.com.au.
43A deferred lifetime income stream
Bill
• Bill is a 66 year old single bloke who owns his own home
• He has $450,000 in super and is considering retirement income alternatives
• His risk profile is 50% defensive and 50% growth
• He has $20,000 in personal assets and $30,000 in cash and TDs
• He wants retirement income of $43,317 p.a. (ASFA comfortable)
• He can’t live on the single Age Pension of $23,824 p.a.
• But, he could get by with the Age Pension plus $5,200 p.a.
• His adviser is considering either:
• Everything in an ABP;
• 25% allocation to an Immediate Lifetime Annuity; or
• 12.5% allocation to a Deferred Lifetime Annuity (10-year deferral)
44A deferred lifetime income stream
Bill: ABP only
Source: Challenger Retirement Illustrator (Beta version 08/04/2019) using Social Security rates and thresholds effective 20 March 2019. 66 year old single. $450,000 investment
each in account-based pensions 50% defensive/50% growth. Assumes returns of 3.7% p.a. for defensive assets and 7.7% p.a. for growth assets before fees. $30,000 cash/TDs
45 earning 3% p.a. interest. Non-financial assets of $20,000. Amounts shown are in today’s dollars. CPI of 2.5% p.a.A deferred lifetime income stream
Bill: ABP + 25% allocation to an Immediate Lifetime Annuity
Source: Challenger Retirement Illustrator (Beta version 8/04/2019) using Social Security rates and thresholds effective 20 March 2019. 66 year old single. $337,500 investment
each in account-based pension. Assumes returns of 3.7% p.a. for defensive assets and 7.7% p.a. for growth assets before fees. $112,500 investment in Challenger Guaranteed
(Liquid Lifetime) Annuity (Flexible Income option). Maximum withdrawal period equal to life expectancy (rounded down). Lifetime income streams commenced on or after 1 July
46 2019. Rates effective 08/04/2019 and subject to change. $30,000 cash/TDs earning 3% p.a. interest. Non-financial assets of $20,000. Amounts shown are in today’s dollars.
CPI of 2.5% p.a.A deferred lifetime income stream
Bill: ABP + 12.5% allocation to a Deferred Lifetime Annuity (10-year deferral)
Source: Challenger Retirement Illustrator (Beta version 8/04/2019) using Social Security rates and thresholds effective 20 March 2019. 66 year old single. $393,750 investment
each in account-based pension. Assumes returns of 3.7% p.a. for defensive assets and 7.7% p.a. for growth assets before fees. $56,250 investment in Challenger Guaranteed
(Liquid Lifetime) Annuity (Flexible Income option). Maximum withdrawal period equal to life expectancy (rounded down). Lifetime income streams commenced on or after 1 July
47 2019. Rates effective 08/04/2019 and subject to change. $30,000 cash/TDs earning 3% p.a. interest. Non-financial assets of $20,000. Amounts shown are in today’s dollars.
CPI of 2.5% p.a.Innovative super income streams
Means testing assessment of DLAs confirmed
• Pre 1 July 2019
• All deferred pooled lifetime income stream products purchased before 1 July 2019, including
deferred income stream products in a deferral period at 1 July 2019, will be assessed under the
existing rules for long-term asset-tested income streams1
• Post 1 July 2019
• Income test: 60% of payments as income (for deferred lifetime products income will only be assessed
from when payments commence); and
• Assets test: 60% of purchase price as an asset until age 841, or for a minimum of 5 years, and 30%
thereafter
1. https://www.dss.gov.au/seniors-budget-measures/means-test-rules-for-pooled-lifetime-income-streams
48A re-elected Coalition Government
Announcements impacting retirement income
• Tax cuts increasing capacity for retirement savings
• Increase to the Low and Middle Income Tax Offset (2018-19 to 2021-22)
• Increase to the Low Income Tax Offset (from 2022-23)
• Changes to marginal tax thresholds (from 2022-23) and rates (from 2024-25)
• More flexible super contributions for some older clients
• From 1 July 2020 persons aged 65 and 66 will be able to:
• Make voluntary super contributions without meeting the work test
• Make up to 3 years of non-concessional contributions under the bring forward rule
• From 1 July 2020 persons up to and including age 74 will be able to receive spouse contributions
49Change and opportunity Adviser tools and resources
Adviser tools and resources
Challenger Tech Team Tools and calculators
• PD day and conference presentations • Retirement Illustrator
• Technical articles on retirement income • eQuote
and aged care • Age Pension Calculator
• Monthly TechNews email • Aged Care Calculator
• Retirement spending planners
Product education and client materials
• Adviser product flyers Adviser education
• Client friendly product flyers
• CPD accredited retirement
• Product technical guides
income and aged care workshops
• Case studies
• CPD accredited retirement
• Retirement income research papers
income and aged care webinars
• CPD accredited aged care video series
• Product webinars
To access our wide range of tools and resources, login or register
• Explainer videos
to our AdviserOnline platform adviseronlineportal.com.au
51White label content library
Unbranded retirement income and aged care content for your clients
Easily accessible: available on AdviserOnline at any time
Editable: upload your logo, contact details and disclaimer
Time saving: saves you time sourcing content for your clients
Shareable: repurpose content for your social media,
websites, newsletters and collateral
To access the white label content
library, login or register at
adviseronlineportal.com.au
52Disclaimer
Disclaimer. The information contained in this presentation is current as at 10 April 2019 unless otherwise specified. It is provided as Challenger Life is the issuer of annuities under the Challenger Guaranteed Income Plan, Challenger Guaranteed
shown by Challenger Retirement and Investment Services Limited (CRISL) ABN 80 115 534 453, AFSL 295642, Challenger Life Income Plan (Complying Annuity), Challenger Guaranteed Income Plan (Liquid Lifetime), Challenger Guaranteed
Company Limited ABN 44 072 486 938, AFSL 234670 ("Challenger Life") and is intended solely for holders of an Australian Annuity, Challenger Guaranteed Annuity (Complying) and Challenger Guaranteed Annuity (Liquid Lifetime). CRISL
financial services licence or other wholesale clients (as defined in the Corporations Act 2001 (Cth)). The information contained in issuers interests in the Challenger Guaranteed Income Fund ARSN 139 607 122. Offers of interests in these
the presentation must not be passed on to retail clients. It is presented for information purposes only and is intended as general products are contained in the relevant current product disclosure statements (“PDS”) which are on the website
factual information only rather than as financial product advice. It has been prepared without taking account of any person’s www.challenger.com.au. The relevant PDS should be considered before making any investment decision. Past
objectives, financial situation or needs. Because of that, each person should, before acting on any such information, consider its performance is not a reliable indicator of future performance.
appropriateness, having regard to their or their client’s objectives, financial situation and needs. The information must not be
Any opinions expressed in this presentation (including any as to future matters) may be subject to change. This is
copied or disclosed in whole or in part without the prior written consent of Challenger Life and CRISL. In preparing the information
because outcomes may be affected by known or unknown risks and uncertainties that are not able to be presently
presented, the presenters have relied on publicly available information and sources believed to be reliable, however the information
Identified. Examples and comparisons used in any presentation are for illustrative purposes only. Neither Challenger
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Life nor CRISL is licensed or authorised to provide tax advice. Because this is a complex area, it is strongly
information, none of the presenters give any representation or warranty, either express or implied, as to the accuracy,
recommended that investors obtain professional advice (including taxation and social security advice, if applicable)
completeness or reliability of that information. The information presented is not intended to be a complete statement or summary of
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the industries, markets, securities or developments referred to in the presentation.
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