ANNUAL REPORT - Financial Services For Professionals · Collectively referred to in this Annual Report as the Fund or the Plan. ... (‘PDS’) are available at ... RetireRight Superannuation

ANNUAL REPORT

2012 - 2013MAP Master Superannuation Plan

For members of the MAP Superannuation Plan, MAP Pension Plan andMAP Pooled Superannuation Trust

FINANCIAL SERVICES FOR PROFESSIONALS

MAP Annual Report 2013 1

About this annual report

This Annual Report is for members of:

MAP Superannuation Plan and MAP Pension Plan, sub-plans of MAP Superannuation Plan (Div II) ABN 71 603 157 863, SFN 2967 359 49, APRA Registrable Superannuation Entity No R1001587; and

MAP Pooled Superannuation Trust (Div IV) ABN 92 209 339 241, SFN 2676 219 43, APRA Registrable Superannuation Entity No R1001563

Collectively referred to in this Annual Report as the Fund or the Plan.

MAP Funds Management Ltd (ABN 85 011 061 831, AFSL 240753) (‘MAP’) is the trustee and issuer of the MAP Superannuation Plan and the MAP Pension Plan (ABN 71 603 157 863); and the MAP Pooled Superannuation Trust (ABN 92 209 339 241). The Product Disclosure Statements (‘PDS’) are available at www.mapfunds.com.au or by calling 1800 640 055. This document may contain advice which is general in nature and not specific to your particular circumstances. Before making an investment decision or acting on general advice you should consider your own financial situation, the PDS and whether the particular financial product is right for you. Financial planning advice can be obtained from MAP Financial Planning Pty Ltd (ABN 91 090 411 537, AFSL 239117), a wholly owned subsidiary of MAP. (REF - MAPFM 0613)

Contents

Chairman’s Report 2

Chief Executive Officer’s Report 4

Investments: Our Year In Review 6

Investment Options 8

Investment Allocation 10

Investment Performance & Managers 11

Governance 12

Important Information 15

Directory 17

2 MAP Annual Report 2013 MAP Annual Report 2013 3

MAP continues to evolve and change in a period of consolidation within the superannuation industry and members of our fund are well served by our experienced and capable staff and senior management team. The strategy of your Board is to maintain our culture of personal advice and service while initiating measures to grow the fund further to offer lower fees, new products and services.

We have partnered with CUA and from August 2012 have been the Trustee of CUA Super and CUA Pension products. As Credit Union Australia is the largest credit union in Australia we are confident that we have a sustainable model for growth into the future.

This strategy has been extended with the launch of the RetireRight Superannuation and Pension products for Yellow Brick Road in April of 2013. We are proud to be Trustee of superannuation products for Yellow Brick Road which is a dynamic and growing organisation.

Our services have been broadened through the expansion of our financial planning team and the exciting options which are now available to members through the Stadian Unified Management Account. I would encourage all members to talk to the team to see how Stadian will simplify your ability to manage your money.

2012 to 2013 has been a very volatile year with large rises and falls in markets compared to previous years. The Australian dollar has also risen and fallen sharply and cash rates in Australia have fallen to 30 year lows. MAP’s investment performance remains good and funds under management have increased, over the year, from $278M to $297M.

We have had a change on the Board with Wendy Tancred resigning as a non executive director in December of 2012 to take up a senior position with a major bank. Karen Gibson, formerly a CEO of LG Super and ESI Super joined our Board in February of 2013. Thanks to Wendy for all her assistance and technical knowledge over the past six years and welcome to Karen.

The Board deliberates often as to what is in the best interest of our members. As MAP broadens its distribution capability we continue to strive for and believe that we can increase the funds we manage and thereby reduce fees through rebates to our members. I am confident that members of our fund across the three brands will, in the coming years, continue to benefit from our long standing policy of prudent investment and will build to their retirement with appropriate products and services in a strongly growing fund.

Dr Peter BoysChairman

CHAIRMAN’S REPORT


CHIEF EXECUTIVE OFFICER’S REPORT

For the financial services industry, 2012/13 must be labelled the year of significant change. Much of the fabric underpinning the way superannuation funds and financial planning businesses operate has changed. Members may not yet have seen the benefits of those changes; however they are just over the horizon.

APRA raises the bar

From 1 July 2013, APRA raised the bar on superannuation fund operations, governance and reporting through the release of a new prudential framework. This framework covers all aspects of the fund including reserving, risk management and business continuity, insurance, governance and conflicts of interest. At MAP, we welcome the greater transparency and certainty that this new prudential framework brings to the industry. However, the management requirements that it brings are extensive, prompting some funds to establish special levies to fund their requirements as a consequence. At MAP we have not pursued that option.

Superannuation update

Significant legislative change has also occurred during the year, including;• Superstream - impacts the timing of rollovers and

payments from the fund, the receipt of contributions

• MySuper – impacts the superannuation of default fund members

• SG Contributions - legislated increases in employer contributions to increase from 9% to 12% by 1 July 2019.

There have also been a raft of superannuation changes announced, but not legislated. Past experience tells us that the new government will continue to tinker with the superannuation system.

Financial planning news

In the financial advice arena, the Future of Financial Advice reforms have also mostly started effective 1 July 2013. These changes have significantly reformed the provision of financial advice including the quality of advice, acting in member’s best interest and conflicts of interest including remuneration.

MAP Financial Planning has embraced these changes wholeheartedly and has responded through;• Expanding from 2 advisers to 6;

• An enhanced product offering; and

• New engagement and advice documentation.

For more information on these changes, I urge all members to contact MAP Financial Planning on 07 3838 1237.

Product enhancements

As a result of the changes above, MAP has an agenda of product enhancements to implement, including;• More frequent unit pricing with a target of daily unit

pricing by 1 July 2014;

• Reduced processing times for switches, withdrawals and rollovers;

• New contribution methods including direct debit and payment gateways to facilitate the new electronic transaction requirements;

• Issuing new products for distribution by the financial planning team; and

• Enhancements to the stadian UMA for self-directed members, including a term deposit brokerage and retail superannuation fund.

2013/14 promises to be a year of growth and renewal.

Alliance Partnerships

Last year, I announced the establishment of an alliance with Credit Union Australia. This year, we have launched the very successful RetireRight Super and Pension products for Yellow Brick Road.

Member fee rebate

I am also pleased to advise a fee rebate of 0.02% for 2012/13, an increase from nil in the 2011/12 financial year. At the start of my report, I said that members may not yet have seen the benefits of some of the changes outlined in my report. Today, I am confident in saying that, for MAP and our associates, 2013/14 will be a memorable year. Bring it on!

Jenni ErbelChief Executive Officer


INVESTMENTS:OUR YEAR IN REVIEW

Superannuation returns were strong in all asset classes over the financial year resulting in double digit returns in multi-asset pools well above their investment objective. The last financial year was dominated by verbal actions of central banks in both Japan and Europe where their “do whatever it takes” mantra increased confidence amongst global investors in risky assets, such as equities, and strong returns followed. In Australia, the RBA continued to cut interest rates to support growth and this combined with increased global confidence also saw strong returns to Australian equities. In May and June of 2013 the $A finally fell below parity to the $US in particular which resulted in further gains in international equity returns. Last year also saw for the first time in 3 years, defensive asset classes such as cash and diversified property no longer dominate returns with cash in particular returning less than 4%.

Portfolio Management

With the introduction of new APRA governance standards on 1 July 2013, MySuper and FOFA legislation the fund has increased the use of indexing in all asset classes and targeting its management expense budgets to assets with greater consistency in risk and return but which also tend to be the most expensive assets to own. These assets provide greater protection against significant losses but will not deliver 20% returns in a year that traditional asset classes, such as equities can achieve.

New Investments

The fund invested in various indexing strategies through Macquarie Funds Management. These strategies provide access to the returns to broad market indexes at low cost.

Cash and Diversified Fixed Interest

The fund also increased its diversification within diversified fixed interest. The fund invested in the Perennial Cash Enhanced Fund and the YBR Smarter Money Fund. In expectation of cash rates falling, the attractiveness of term deposits relative to fixed interest is less favourable particularly within multi-asset pools. These strategies provide access to higher returns than term deposits with only a slight increase in risk. There has been no change to the cash pool strategy of investing only in term deposits.

International equities

MAP invested in the Blackrock Alpha Tilts hedged and unhedged strategies. Both these strategies combine low cost passive holdings of global equities with active strategies designed to enhance returns over indexing. The two investments make up almost 60% of international equity investments. These investments replaced the previous enhanced versions for the same fee but with greater return potential.

Redeemed Investments

In order to facilitate the above changes to strategies over the course of the year MAP redeemed its investments in the MAP Australian Equity Fund which was closed, Vanguard Global Property and the T Rowe Price Global Equity Fund.

Objectives and Strategies

MAP staff and members of the MAP Investment Committee and the Board of Trustees compile the strategy for the MAP Superannuation Plan. This responsibility is not delegated to any party external to MAP Funds Management Limited.

With regard to individual investor strategy, the Directors of MAP Funds Management Limited believe that individual investors are best able to make such decisions. With the introduction of the balanced moderate option in July 2012, MAP now provides a choice of eight options. Individual investors select their preferred option or options according to their individual risk tolerances and investment goals.

Investment options include:• Cash;• Diversified property;• Australian equity;• International equity;• Capital stable;• Balanced moderate;• Balanced; and• Growth.

Each option has a different investment objective and strategy; and each option invests in differing proportions of cash, fixed interest securities, diversified property, shares and alternative assets, in accordance with its particular strategy.

Members who do not nominate their preferred option default to the balanced moderate option. This invests broadly in defensive assets such as cash and fixed interest and growth assets (equities, property and alternative assets) to achieve medium to long-term growth.


INVESTMENT OPTIONS

1 Standard Risk Measure Guidance; The Standard Risk Measure is based on industry guidance to allow customers to compare investment options that are expected to deliver a similar number of negative annual returns over any 20 year period. The Standard Risk Measure is not a complete assessment of all forms of investment risk, for instance it does not detail what the size of a negative return could be or the potential for a positive return to be less than a customer may require to meet their objectives. Further, it does not take into account the impact of administration fees and tax on the likelihood of a negative return. Customers should still ensure they are comfortable with the risks and potential losses associated with their chosen investment option/s.

Australian Equity Established March 2004

International EquityEstablished March 2004

Diversified Property Established March 2004

Cash Established May 1995

This investment option is designed for: Members looking for exposure to a broad range of companies listed on the Australian stock exchange across large and small capitalisation companies with a mix of indexing, active management and income strategies.

This investment option is designed for: Members looking for an exposure to global listed companies across developed and emerging markets with a mix of indexing and active management strategies combined with a 50% neutral hedging position of the $A against the major currencies being US$, YEN, Euro and GBP.

This investment option is designed for: Members looking for exposure to property by way of global listed property trusts excluding Australia with unlisted exposure to Commercial, Retail and Industrial properties within Australia. This strategy has a high income component with modest growth attributes.

This investment option is designed for: Members who prefer low risk and a high level of security on their account balance.

Investment Return Objective: CPI + 3.50%




Minimum Suggested Investment Time Frame: 7 or more years.



Minimum Suggested Investment Time Frame: 1 year.

Standard Risk Measure1: Very High Risk: with an estimate of six years or more of negative annual returns over any 20 year period.

Standard Risk Measure1: High Risk: with an estimate of four to six years of negative annual returns over any 20 year period.

Standard Risk Measure1: Very High Risk: with an estimate of four to six years of negative annual returns over any 20 year period.

Standard Risk Measure1: Very Low Risk: with an estimate of up to half a year of negative annual return over any 20 year period.

Investment Option Asset Allocation Range:Aust. equities 90 - 100%Cash 0 - 10%

Asset Allocation:30 June 2013

Investment Option Asset Allocation Range:Intl. equities 90 - 100%Cash 0 - 10%


Investment Option Asset Allocation Range:Div. property 90 - 100%Cash 0 - 10%


Investment Option Asset Allocation Range:Cash 100%


Defensive vs Growth Asset Allocation Range: 0% Defensive 100% Growth




Cash Cash Cash Cash

Australian equitiesInternational equities

Diversified property

Capital Stable Established March 1988

Balanced ModerateEstablished July 2012

Balanced Established May 1957

GrowthEstablished May 1996

This investment option is designed for: Members who prefer a low risk diversified investment option and are willing to accept some account balance fluctuation over the short term.

This investment option is designed for: Members who seek moderate to high returns over the medium to long term in a diversified investment option, and who are comfortable accepting fluctuations in their account balance over the short to medium term.

This investment option is designed for: Members who seek high returns over the medium to long term in a diversified investment option, and who are comfortable accepting fluctuations in their account balance over the medium to long term.

This investment option is designed for: Members seek to maximise returns over the long term in a diversified investment option, and who are comfortable accepting fluctuations in their account balance over the long term.





Minimum Suggested Investment Time Frame: 3 years.

Minimum Suggested Investment Time Frame: 3 - 5 years.

Minimum Suggested Investment Time Frame: 5 - 7 years.


Standard Risk Measure1: Low to Medium Risk: with an estimate of between one to two years of negative annual returns over any 20 year period.

Standard Risk Measure1: Medium Risk: with an estimate of between two to three years of negative annual returns over any 20 year period.

Standard Risk Measure1: Medium to High Risk: with an estimate of between three to four years of negative annual returns over any 20 year period.

Standard Risk Measure1: High Risk: with an estimate of between four to six years of negative annual returns over any 20 year period.

Investment Option Asset Allocation Range:Aust. equities 0 - 25%Intl. equities 0 - 25%Div. fixed interest 15 - 50%Div. property 0 - 15%Alternative assets 0 - 15%Cash 15 - 50%








Defensive vs Growth Asset Allocation Range: 65 - 80% Defensive 20 - 35% Growth




Cash

Cash

Cash

Cash


Diversified fixed interest

Alternatives

Alternatives

Alternatives

Alternatives






Div. property

International equities

International equitiesInternational

equitiesInternational equities

Australian equities

Australian equitiesAustralian equities

Australian equities


INVESTMENT ALLOCATION Asset Allocation by Asset Class (as at 30 June 2013)

MAP Superannuation Plan

Investment Option

Option size ($m)

Asset class allocation (%)

Australian Equities

International Equities

Diversified Property

Diversified Fixed Interest Cash Alternatives

2013 2012 2013 2012 2013 2012 2013 2012 2013 2012 2013 2012

Cash 29.57 - - - - - - - - 100.0 100.0 - -

Australian Equity 7.75 96.9 98.3 - - - - - - 3.1 1.7 - -

International Equity 1.78 - - 97.3 98.9 - - - - 2.7 1.1 - -

Diversified Property 1.66 - - - - 98.1 98.3 - - 1.9 1.7 - -

Capital Stable 15.75 8.2 7.9 6.8 6.5 7.2 8.0 31.6 30.5 39.5 37.1 6.6 9.9

Balanced Moderate1 1.18 15.5 - 12.3 - 11.3 - 25.3 - 24.8 - 10.9 -

Balanced 75.74 19.1 25.8 15.9 20.0 14.2 11.7 17.3 16.0 14.4 9.8 19.1 16.6

Growth 55.35 24.5 33.0 18.9 20.6 21.9 13.4 8.1 8.2 2.1 4.5 24.6 20.3

Total 188.771The Balanced Moderate Investment Option opened July 2012.

MAP Pension Plan

Investment Option

Option size ($m)


Australian Equities




2013 2012 2013 2012 2013 2012 2013 2012 2013 2012 2013 2012

Cash 13.44 - - - - - - - - 100.0 100.0 - -




Capital Stable 12.51 8.2 7.9 6.8 6.5 7.2 8.0 31.6 30.5 39.5 37.1 6.6 9.9

Balanced Moderate1 4.84 15.5 - 12.3 - 11.3 - 25.3 - 24.8 - 10.9 -

Balanced 42.65 19.1 25.8 15.9 20.0 14.2 11.7 17.3 16.0 14.4 9.8 19.1 16.6

Growth 8.91 24.5 33.0 18.9 20.6 21.9 13.4 8.1 8.2 2.1 4.5 24.6 20.3


MAP Pooled Superannuation Trust

Investment Option

Option size ($m)


Australian Equities




2013 2012 2013 2012 2013 2012 2013 2012 2013 2012 2013 2012

Cash 2.30 - - - - - - - - 100.0 100.0 - -




Capital Stable 0.37 8.2 7.9 6.8 6.5 7.2 8.0 31.6 30.5 39.5 37.1 6.6 9.9

Balanced Moderate1 0 - - - - - - - - - - - -

Balanced 3.55 19.1 25.8 15.9 20.0 14.2 11.7 17.3 16.0 14.4 9.8 19.1 16.6

Growth 3.54 24.5 33.0 18.9 20.6 21.9 13.4 8.1 8.2 2.1 4.5 24.6 20.3


Using DerivativesThe trustee may use derivatives to manage risk or gain exposure to types of investments where we believe it is appropriate. Derivatives include a wide assrtoment of instruments such as forwards, futures, options, swaps, and warrants. Derivatives are used to control risk, improve returns or to change asset class weightings as part of an overall investment strategy. Derivatives are not used for speculation. All derivatives are cash or security backed and no gearing of positions is allowed.

INVESTMENT PERFORMANCE & MANAGERS

Concentration of assets of the MAP Superannuation Plan, MAP Pension Plan and MAP Pooled Superannuation Trust

As at 30 June 2013, the following underlying investments exceeded 5 per cent of the total assets of the MAP Superannuation Plan, MAP Pension Plan and MAP Pooled Superannuation Trust:• Blackrock Investment Management (Australia) Limited• Macquarie Investment Management Limited• MAP Funds Management Ltd• Mercer (Australia) Pty LtdThe Trustee acknowledges that, as a result of member discresion, individual accounts may have a greater than 5 per cent exposure to a single investment.

Further, the Trustee acknowledges that when considered in aggregate (across all options in which the Trustee holds assets on behalf of members of the Fund), the Fund may be contrued as having a total exposure to a single investment manager and this exposure may exceed 5 per cent of the total value of the Fund.

Investment returns

For fair comparison purposes, returns shown are net of all investment fees, administration fees and taxes. Past performance should not be relied upon as an indication of future returns. Actual returns will be determined by the investment strategy adopted and prevailing market conditions.

MAP Superannuation Plan and MAP Pooled Superannuation Trust Returns (%)Investment Option 20131 20121 20111 20101 20091 10 year compound return2 5 year compound return2

Australian Equity 18.0 (6.5) 1.1 9.9 (19.4) 7.53 1.7

International Equity 22.4 (6.7) 7.0 7.0 (15.0) 2.33 2.1

Diversified Property 6.2 5.6 11.0 21.3 (36.3) 2.23 (0.9)

Cash 3.9 5.1 5.8 5.2 3.5 4.93 4.7

Capital Stable 6.5 1.50 6.1 7.00 (5.4) 4.6 3.0

Balanced Moderate 9.5 9.54 9.54 9.54 9.54 9.d4 9.54

Balanced 12.0 (2.1) 7.9 9.4 (13.7) 5.6 2.3

Growth 13.6 (3.0) 9.7 11.1 (17.6) 6.5 2.1

MAP Pension Plan Returns (%)Investment Option 20131 20121 20111 20101 20091 10 year compound return2 5 year compound return2

Australian Equity 18.9 (6.7) 11.9 10.6 (21.5) 8.13 1.7

International Equity 23.6 (7.2) 8.1 7.8 (17.4) 2.53 2.2

Diversified Property 6.2 5.9 13.1 22.6 (43.1) 2.13 (1.5)

Cash 4.2 5.6 6.4 6.1 3.9 5.7 5.4

Capital Stable 6.9 1.7 6.6 8.1 (6.0) 5.3 3.3

Balanced Moderate 9.4 9.44 9.44 9.44 9.44 9.44 9.44

Balanced 12.6 (2.1) 8.4 10.6 (15.5) 6.2 2.2

Growth 14.1 (3.2) 10.4 12.2 (19.8) 7.1 1.8

1. 1 year returns are to 30 June and net of all investment fees, administration fees and taxes.2. Compound returns are compound annualised averages to 30 June 2013 and net of all investment fees, administration fees and taxes.3. Returns since inception, option opened for investment from 01 March 2004.4. Returns since inception, option opened for investment from 01 July 2012.

Investment Managers of the MAP Superannuation Plan, MAP Pension Plan and the MAP Pooled Superannuation Trust

Investment ManagerBarwon Investment Partners

Bennelong Australian Equity Partners Pty Ltd

Bennelong Avoca

BlackRock Investment Management (Australia) Limited

Colonial First State Investments Limited

Dimensional Fund Advisers (Aust) Limited

Grantham, Mayo, Van Otterloo &Co

Hastings Funds Management Limited

Ironbark AM (Fund Services) Ltd

Lazard Asset Management Pacific Co

Macquarie Investment Management Limited

MAP Funds Management Ltd

Mercer (Australia) Pty Ltd

Perennial Investment Partners

QIC Limited

Schroder Investment Management Australia Limited

YBR Funds Management Pty Ltd


GOVERNANCE

The Trustee

MAP Funds Management Ltd (ABN 85 011 061 831) is Trustee of the Plan. MAP holds an Australian Financial Service Licence (No. 240753) and a Registrable Superannuation Entity Licence (No. L0000703).

No penalties were imposed this year on any responsible person under Section 38A of the Superannuation Industry (Supervision) Act 1993. The Trustee does not pay dividends or distribute profits in any form except as rebates to members.

This year, fees totalling $3.52 million were charged to the Plan to meet:

• Management Costs; and

• APRA financial requirements.

A copy of the audited financial statements and APRA returns are available upon request.

The Board

The Board provides leadership and vision for the organisation and monitors investment strategies and returns for each product. It ensures compliance with all legislative and regulatory requirements, to give MAP members security and peace of mind about their investments. Directors represent the investment, legal, business, superannuation and medical communities.

The Board’s commitment includes:

• Adopting a Directors’ Charter and Role Statement;

• Monitoring and supporting the Chief Executive Officer;

• Focusing on future strategy and planning;

• Building and maintaining a culture of compliance and accountability to members and regulators;

• Regular meetings between the Finance, Audit, Remuneration and Risk Management Committee and MAP’s Auditors to ensure a direct and proactive relationship with respect to the monitoring of internal financial controls; and

• Annual performance reviews for members of the Board and management.

Following, are the profiles of Board members at the date of publication:

Dr Peter B. Boys – ChairmanMB BS, FRACS, FA OrthA, MAICD

Dr Boys was appointed as a Director of the MAP Board in December of 1995. He is an Orthopaedic Surgeon in private practice and is a Foundation Trustee of the Queensland Orthopaedic Research Trust.

Dr William J.H. Glasson AOMB BS (Qld), FRANZCO, FRACS, FRACGP, FRCOph Dip Appl Sci (Optom) (Qld)

Dr Glasson was appointed as a Director of the MAP Board in August 1995. He is a practicing ophthalmic surgeon, is Chairman of the Advisory Committee to Cancer Australia and is also the President of the Royal Australia

and New Zealand College of Ophthalmologists.

Mr Peter HeffernanFCA, FAICD

Mr Heffernan was appointed as a Director of the MAP Board in February 2004. He is a former Senior Partner of Ernst & Young and Director of Ernst & Young Corporate Finance, Brisbane. He retired in 1999, and now operates a Practice as a business consultant. Mr Heffernan also serves on the Board of a number

of public and private corporations both in Australia and internationally.

Dr Peter KentMB BS, BSc (Hons), FRACGP GAICD

Dr Kent was appointed as a Director of the MAP Board in April 2006. He has been a general practitioner in practice in Logan City and Brisbane since 1988. Dr Kent has been a member of the RACGP Queensland Faculty Board since 1996 where he was Honorary

Faculty Treasurer from 2000-2005, then from 2005-present he has held Deputy Chair of the RACGP Queensland Faculty Board.

Dr Richard J. Olive AM RFD

MDSc

Dr Olive was appointed as a Director of the MAP Board in August 1995. He is an Orthodontist. He is a current Federal Executive Councillor of the Australian Dental Association Inc. He is an active Army Reservist appointed as a Colonel at the Clinical Advisory

Group- Headquarters, 3rd Health Service Battalion.

Mr Adriaan C. RyderB BusSc (Actuarial) (Hons), AIA

Mr Ryder was appointed as a Director of the MAP Board in July 2009. He currently holds the position of Chief Investment Officer at QIC Limited (QIC). QIC is a major funds manager for a range of public sector clients.

He is a member of the Institute of Actuaries (London) and the Association of Investment Management and Research (AIMR) in both the US and Europe.

Ms Jennifer RobertsonLLB, GradCertBus, GAICD

Ms Robertson was appointed as a Director of the MAP Board in September 2009. She is a practicing lawyer and works as a Senior Consultant with Board Matters, a specialist corporate governance firm. In her role at Board Matters, she provides specialist corporate governance

services to organisations and businesses throughout Australia. She is also currently a board member of the Queensland Independent Schools Block Grant Authority, Asthma Australia and the QUT Alumni Board. She currently chairs MAP Financial Planning Pty Ltd and the audit and compliance committees for the Queensland Independent Schools Block Grant Authority and Asthma Australia.

Mrs Karen Gibson

BSc MBA GAICD

Mrs Gibson was appointed as a Director of the MAP Board in February 2013. She has over twenty years senior management experience in the superannuation industry. She is also a Graduate member of the Australian Institute of Company Directors, fellow

member of the Australian Institute of Management, member of Women in Super, member and past mentor of Women in Finance.


GOVERNANCE ....continued

Board Committees

The Board of the Trustee is committed to strong principles of corporate governance, including continuous improvement of its performance and processes.

The following committees assist the Board, which in some cases involves engagement of external experts:

• Investment Committee;

• Finance, Audit, Remuneration and Risk Management Committee; and

• Business Development Committee.

Members of all committees are appointed by the Board.

Committee members as at 30 June 2013

Committee Members

Finance, Audit, Remuneration and Risk Management

Mr Peter Heffernan (Chair)Dr Peter BoysMs Jennifer RobertsonMrs Karen Gibson

Business Development

Dr Peter Kent (Chair)Dr Peter BoysDr William GlassonMr Peter HeffernanMs Jennifer RobertsonMrs Karen Gibson

Investment Mr Adriaan Ryder (Chair)Dr Richard OliveDr Peter BoysDr William GlassonDr Peter Kent

Audit and risk management

Our comprehensive risk management program identifies analyses, evaluates, treats, monitors and communicates risk.

MAP has professional indemnity insurance cover and other internal arrangements in place in respect of financial services provided to its retail clients. This is intended to cover claims in relation to the conduct of both past and present representatives of MAP. These arrangements comply with the requirements of Section 912B of the Corporations Act 2001.

Code of Conduct

MAP’s Code of Conduct is based on utmost good faith and ‘high trust’ and guides our interactions with employees, clients, business associates and other stakeholders. Staff know its underlying principles, and are aware that failure to observe them could lead to dismissal.

These principles focus on honesty, integrity, objectivity, compliance with the law, respect for equal opportunity and cultural diversity, confidentiality, avoidance of conflicts of interest and the pursuit of excellence in skills, services and problem solving.

Ethics

We observe the highest ethical standards in formulating corporate policies and business practices. We embrace transparency, honesty, integrity and consistency in our decision-making and communication, and our firm commitment to responsible corporate governance requires us to remain proactive in meeting the:

• Regulatory standards specified by government and industry;

• Legal duties of directors; and

• Law.

The Trust Deed

The governing rules of the Fund are set out in the MAP Master Superannuation Plan Trust Deed.

The Board has some powers to alter the Trust Deed. No changes were made to the MAP Master Superannuation Plan Trust Deed throughout the financial year.

IMPORTANT INFORMATION

Abridged Financial Information - MAP Superannuation Plan (Div II)

Set out below is the abrigdged financial information relating to the MAP Superannuation Plan (MAP Super) and the MAP Pension Plan (MAP Pension).

The MAP Superannuation Plan and MAP Pension Plan are sub-plans of the MAP Master Superannuation Plan (Div II).If you would like to obtain a copy of the Funds’ full audited financial statements and related audit reports for the financial year, please contact us.

Net Assets (at 30 June 2013)

MAP Super$’000

MAP Pension

$’000

Div II$’000

Opening Net Assets 187,949 78,976 266,922

Increase (decrease) 824 10,760 16,095

Closing Net Assets 188,773 89,736 283,017

Abridged Financial Information - MAP Pooled Superannuation Trust (Div IV)

Set out below is the abrigdged financial information relating to the MAP Pooled Superannuation Trust (Div IV).

If you would like to obtain a copy of the Funds’ full audited financial statements and related audit reports for the financial year, please contact us.

Net Assets (at 30 June 2013)

MAP Pooled Superannuation Trust$’000

Opening Net Assets 11,952

Increase (decrease) (1,182)

Closing Net Assets 10,770

RESERVES

MAP maintains reserves in the Fund for the benefit of members. The reserves are held at a Fund level to facilitate administration efficiency and are invested in the cash option for the benefit of all members.

At 30 June 2013 the Plan held reserves of $1,772,000.

MAP reserves (at 30 June)

2013 $’000

2012 $’000

2011$’000

Opening Balance 1,972 2,337 1,242

Increase (decrease) in Reserves (200) (365) 1,095

Closing Balance 1,772 1,972 2,337

Allocating net earnings to members’ accounts

The value of the notional units in each investment option, and the unit price for each option, change with the value of all of the underlying assets of the investment option you have chosen.

Unit pricing is calculated using the following steps:

Step 1 – Each week we calculate the net value1 of the assets we attribute to each investment option.

Step 2 – This value is then divided by the number of units we have on issue in the investment option.

These steps give us the unit price at which we value units for the allotment of net earnings of the fund to members’ accounts. It also provides us with the unit price at which contributions, withdrawals, rollovers and switches between investment options are transacted. In the event of significant market movements, unit pricing may be delayed until a unit price can be struck which accurately reflects the underlying asset values. This may result in a delay in the processing of the transactions listed above.1Investments with external Investment Managers are valued daily, with the exception of some investments in alternative assets such as hedge funds and infrastructure, which may be priced monthly.

How are the account balances calculated?

The balance of a member account is equal to the number of units held multiplied by the applicable unit price.

Member Statements

Members can elect to receive their member statements monthly, quarterly, biannually or annually. Annual statements are distributed after the end of the financial year.


Eligible Rollover Fund

There are no circumstances in which the Trustee would pay a member beneift to an eligible rollover fund (ERF). For detalis on the Trustee’s ERF refer to page 17 of this report.

Complaints

If you have a complaint about MAP or your MAP account, including insurance, please contact our Complaints Officer:

Telephone: (07) 3838 1234 or 1800 640 055Write to: The Complaints Officer MAP Funds Management Ltd GPO Box 1130 Brisbane QLD 4001

Your complaint will be acknowledged in writing within five (5) business days and you will be advised of the steps we will take to resolve it. MAP will undertake to resolve your complaint within 30 days of receipt and you will be notified of any delays.

We will do everything we can to resolve the issue as quickly as possible. If we do not respond within 90 days or if you are not satisfied with the outcome, you can lodge a complaint with the Superannuation Complaints Tribunal (SCT).

The SCT is an independent body established by the Commonwealth Government to review trustee decisions relating to members. To find out if the SCT can handle your complaint and determine the type of information you would need to provide, you should contact the SCT:

Telephone: 1300 884 114Website: www.sct.gov.auEmail: [email protected] to: The Secretariat Superannuation Complaints Tribunal Locked Bag 3060, GPO Melbourne VIC 3001

Access to the SCT is free of charge.You can also find out more about MAP’s complaint Charter on our website www.mapfunds.com.au.

IMPORTANT INFORMATION ....continued DIRECTORY

Trustee

MAP Funds Management LtdABN 85 011 061 831AFSL No. 240753APRA RSE Licence No. L0000703Level 5, 135 Wickham TceBrisbane QLD 4000

Chief Executive OfficerMs Jenni Erbel B.Bus, B.Com, Dip FP, MFinPlan, Dip Ed, F Fin

Chief Financial Officer Mr Greg Hoyes CA, B.Com

Chief Investment OfficerMr Ross Endres CFA, SA Fin

Superannuation Complaints Tribunal

Locked Bag 3060GPO Melbourne VIC 3001Telephone 1300 884 114Website www.sct.gov.au

Auditors

KPMGRiparian PlazaLevel 16, 71 Eagle StreetBrisbane QLD 4000

Custodian

JP Morgan Nominees Australia LimitedLevel 21, 55 Collins StreetMelbourne VIC 3000Website www.jpmorgan.com.au

Eligible Rollover Fund

AUSfund Unclaimed Super FundPO Box 2468Kent Town SA 5071Website www.ausfund.net.au

CONTACT US

MAP Funds Management LtdLevel 5, 135 Wickham Terrace, Brisbane QLD 4000GPO Box 1130, Brisbane QLD 4001Telephone: 07 3838 1234Toll Free: 1800 640 055Facsimile: 07 3838 1235Email: [email protected]: www.mapfunds.com.au

Documents

ANNUAL REPORT - Financial Services For Professionals · Collectively referred to in this Annual Report as the Fund or the Plan. ... (‘PDS’) are available at ... RetireRight Superannuation