With all investments there is a relationship between the return received and the risk taken to achieve it. If an investment carries a higher risk it should have the potential to compensate with a higher return over the long term. However, it will also have a greater chance of producing a negative return.

Super funds generally have a range of investment options, involving different levels of risk and return. Talk to a financial adviser about which option is right for you based on your personal expectations and life stage. If you don’t choose an investment option your fund will place your super in the default option, which is usually a balanced asset mix.

To find out more about how your super is invested ask your super fund for a product disclosure statement.