Issue March 2010

Welcome to the first edition of HIP Online- from your industry super fund.

Why Super is Still Super

In recent times, there has been a lot of media noise about the dire state of global financial markets and their impact on super funds. So I thought I’d like to take this opportunity to bring you up to date with some of the positive things that are happening in the super environment in recent times– and more particularly, with your industry super fund HIP.

You would have already seen your Annual Report and that HIP posted a negative return for the Growth Option for the 2008/9 financial year. However I hope that you have noted the cover letter with an update included in your Annual Report and statement mail-out to you.

This update highlighted the outstanding performance of the Fund since early March 2009 – a return of around 15% for the ten months to 31 December. This recovery has gone a long way to recouping the Fund’s losses over the previous 18 months.

What this means is that, whilst we shared with the rest of the global investment community the pain of the global financial crisis (GFC), the recovery has produced results for HIP members that rate very highly compared to the superannuation industry in general. While we expect that there will be some ongoing market volatility, as the lingering effects of the GFC and costs of the associated government stimulus packages continue to be felt. However, the long-term prospects for growth in your HIP Super account remain strong.

Members of HIP will be receiving their Record of Contribution (ROC) statement shortly along with a copy of Inform, with a message from the Chairman of the HIP Trustee Board of Directors, Anthony Wallace about exciting news and developments at HIP.

Included in this is information on a recent report from SuperRatings (an independent super industry analyst) that members of industry super funds like HIP members are almost $80,000 better off thn retail fund members based on fees alone. Coupled with HIP's continued stellar long term performance this makes HIP a super place to be.

Regards
Ross Bernays
CEO

Performance Summary
To 31 January 2010, we have seen HIP Super’s Growth Option perform strongly, both over the full 2009 calendar year (15.0%) and for the financial YTD from 1 July (13.2%) . To see the latest investment performance and returns, click here.

Win with HIP- winners announced
The HIP members at Mater Hospital in Crows Nest, NSW have won the state-of-the-art coffee machine, valued at $2000, for all of their staff to enjoy.
HIP member Allison Moore from the Mayo Private Hospital has won the ‘Five Star Night’ HIP new member competition.

Find your lost super
Many Australians have more than one super account, which means that they are paying multiple sets of fees and insurance premiums.

HIP Super Pension
Taking your super as an income stream (pension) upon retirement, rather than as a lump sum, can be an effective way of managing your retirement money. You can keep your super invested with HIP, so that when you aren’t using the funds in your account, it has the ability to generate investment returns over the period of your retirement. The returns that your investment generates are also tax-free.

TOOLS
Calculators
Roll-in my super
Find lost super
Investment Choice
Co-contributions
Salary sacrifice
Access my super
HIP latest performace
Insurance
HIP Super Pension

Performance Summary
To 31 January 2010, we have seen HIP Super’s Growth Option perform strongly, both over the full 2009 calendar year (15.0%) and for the financial YTD from 1 July (13.2%) . To see the latest investment performance and returns, click here.

Win with HIP- winners announced
The HIP members at Mater Hospital in Crows Nest, NSW have won the state-of-the-art coffee machine, valued at $2000, for all of their staff to enjoy.

HIP member Allison Moore from the Mayo Private Hospital has won the ‘Five Star Night’ HIP new member competition. She will be off to Sydney for a luxury 5-star weekend for two and to enjoy a $1000 shopping spree along with a consultation from a fashion stylist.

Find your lost super
How to find your lost super
Many Australians have more than one super account, which means that they are paying multiple sets of fees and insurance premiums.

Where do I look?
You can search for your unclaimed super for free – the Australian Tax Office (ATO) and Australia’s Unclaimed Super Fund (AUSfund) don’t charge for super searches.

• Australian Tax Office - www.ato.gov.au/super
  The ATO’s website offers a free, easy-to-use search engine called SuperSeeker. To begin searching there, you'll need to provide your tax file number and date of birth. You can also access the ATO search by phoning 13 28 65.
• AUSfund - www.unclaimedsuper.com.au
  AUSfund is an Eligible Rollover Fund (ERF) and a complying, regulated superannuation fund that looks after small, lost and inactive super accounts. Your previous fund may have rolled your account into AUSfund if it was unable to contact you. Your lost super might also be here if you didn’t provide your tax file number to your old fund.

Remember to complete a HIP rollover form once you have found your lost super, and we’ll take care of the rest. HIP charges no entry fees to roll your other super accounts into your HIP account.

HIP Super Pension
HIP can keep looking after you into your retirement years
Taking your super as an income stream (pension) upon retirement, rather than as a lump sum, can be an effective way of managing your retirement money. You can keep your super invested with HIP, so that when you aren’t using the funds in your account, it has the ability to generate investment returns over the period of your retirement. The returns that your investment generates are also tax-free.

Starting an income stream
When you start a HIP Super Pension it is similar to receiving a wage – because you receive money out of your super at regular intervals. HIP Super’s pension is highly flexible; it allows you to select the frequency of your payments, as well as the amount that you are paid (above the required minimum amount set by law).

Can I still take a portion of my super as a lump sum?
Yes, of course. You can withdraw a lump sum and continue to receive the balance of your super an income stream pension.

Alternatively, you can end your HIP Super pension at any time and take the remaining money as a lump sum. (This is known as commuting your super pension.)

Can I still make an investment choice?
Yes, you would still be able to choose from the same flexible HIP investment choice options available to you now. You can combine these to select a strategy for your pension that suits your retirement needs.

Transition to Retirement pension
This option is available for people over age 55 who are still working and would like to start accessing their super. HIP Super members can employ a transition to retirement strategy by opening a HIP Pension and also continuing to make contributions into their HIP Super account. Refer to HIP's 2009 Annual Report (page 19) for details. Remember though, that there are strict rules around the amount of super which you can access each year under this strategy, and that pension payments become tax-free after your turn 60.

HIP Super Head Office
Level 5, Sydney Central
477 Pitt St, Sydney NSW 2000

Phone  1300 654 099

Web www.hipsuper.com.au

To stop receiving these newsletters click here.
www.hipsuper.com.au or talk to a financial advisor before making any super decisions. The Trustee of HIP is Private Hospitals Superannuation Pty Ltd ABN 59 006 792 749, AFSL 247063.

This information is provided by Private Hospitals Superannuation Pty Ltd ABN 59 006 792 749, AFSL 247063, RSE L0001533, Trustee of Health Industry Plan (SPIN HIP0100AU, RSE R1056617), and is general information only. It does not take into account your objectives, financial situation or specific needs so you should look at your own financial position and requirements before making a decision. Past performance is not a reliable indicator of future performance. You should assess your own financial situation and needs, read the relevant Product Disclosure Statement and consult an adviser if required before making any decision. This e-mail contains proprietary information some or all of which may be legally privileged. If you are not the intended recipient you must not use, disclose, distribute, copy, print, or rely on this e-mail. Whilst reasonable precautions have been taken to ensure that this message and any attachments are free from viruses or other malicious code, no guarantee is implied or given. The views expressed in this communication may not necessarily be the views held by Superpartners Pty Ltd, ABN 57 078 907 883.