Document ID: chunk:federal_register_of_legislation:F2024L00075:reg:38:p15
Version: federal_register_of_legislation:F2024L00075
Segment Type: reg
Provision Reference: reg 38 (pt 15/76)
Character Range: 69044–73232

on members' salaries in the final years before they retire.

Statement of Financial Position for Hybrid Superannuation Plan
as at 30 June 20XX

                                                           Note  $000
Assets
   Cash                                                          467,803
   Receivables                                                   210,980
   Shares in Australian listed corporations held directly        2,788,084
   Units in international shares trusts                          621,631
   Fixed interest securities held directly                       3,214,391
   Investment-linked insurance contracts                         289,148
   Unlisted property trusts                                      1,918,116
   Derivatives                                                   32,328
   Deferred tax assets                                           38,333
   Other assets                                                  5,345
   Total assets                                                  9,586,159

   Liabilities
   Benefits payable                                              (148,058)
   Other payables                                                (42,347)
   Income tax payable                                            (202,812)
   Deferred tax liabilities                                      (797)
   Total liabilities excluding member benefits                   (394,014)

   Net assets available for member benefits                      9,192,145
   Defined contribution member liabilities                 A     (2,258,229)
   Defined benefit member liabilities                      B     (6,954,622)
   Total net liabilities                                         (20,706)

   Equity
   Operational Risk Reserve                                C     (25,895)
   Investment reserve                                      D     (2,980)
 Defined benefits that are (over) or under funded          E     49,581
   Total equity                                                  20,706

Note A – Defined contribution member liabilities

Defined contribution members bear the investment risk relating to the underlying assets and unit prices used to measure defined contribution member liabilities.  Unit prices are updated each day for movements in investment markets.

Hybrid Superannuation Plan manages market risks, including foreign exchange rate risk, interest rate risk, commodity price risk and equity price risk by obtaining exposure to major asset classes through investment managers with highly-diversified portfolios.

The credit risk on investments in bonds and similar interest-bearing instruments is managed by selecting relevant fund managers that have well-established frameworks and supporting policies for managing credit risk across their portfolios.  Those policies include managing concentration of credit risks and managing the balance between secured and unsecured debt.

The Plan closely monitors the inflows of contributions and the withdrawals from its various superannuation plans with a view to maintaining an adequate balance of liquid assets at all times to facilitate paying benefits to any exiting members within the statutory timelines.

Note B – Defined benefit member liabilities

In aggregate for the Plan's four defined benefit superannuation plans, there were no unexpected events that changed defined benefit member liabilities materially.  In line with general market expectations, discount rates are slightly higher at the current reporting date compared with the previous reporting date across all four plans, which had the effect of reducing defined benefit member liabilities.  The Plan has no information that would lead it to adjust the assumptions around salary adjustment rates, pension index rates, resignations and mortality, which are all unchanged from the previous reporting period.

The Plan engages qualified actuaries on an annual basis to measure the defined benefit member liabilities in each of its four defined benefit plans.  The Plan uses sensitivity analysis to monitor the potential impact of changes to key variables about which assumptions need to be made.  The Plan has identified two