Part 2 - Determination of modifications to the actual return formula and benchmark return formula

6 Circumstances where modifications to the formulae applies

The modifications to the actual return formula and benchmark return formula specified in sections 7 and 8 apply to a lifecycle Part 6A product if there has been a change of lifestage.

7 Modifications to the actual return formula

(1) The actual return for a lifecycle Part 6A product is the amount calculated using the actual return formula, as modified in the way specified in subsection (2).

(2) In relation to a quarter during which a change event occurs, modify the actual return formula by substituting the definition of “lifestage weight” in subregulation 9AB.4(1) with:

“(1) The lifestage weight of a Part 6A product for the period from:

(a) the beginning of the quarter to Day X is:

(i) the market value at the end of the previous quarter of all investments supporting the Part 6A product that are referable to the lifestage;

divided by;

(ii) the market value at the end of the previous quarter of all investments supporting the Part 6A product that are referable to a lifestage of the Part 6A product;

(b) the change event to the end of the quarter is:

(i) the market value at the end of the current quarter of all investments supporting the Part 6A product that are referable to the lifestage;

divided by;

(ii) the market value at the end of the current quarter of all investments supporting the Part 6A product that are referable to a lifestage of the Part 6A product.”

8 Modifications to the benchmark return formula b

(1) The benchmark return for a lifecycle Part 6A product is the amount calculated using the benchmark return formula, as modified in the way specified in subsections (2) to (5).

(2) In relation to a quarter during which a change event occurs, modify the benchmark return formula by substituting the definition of “lifestage weight” in subregulation 9AB.4(1) of the Regulations with:

“(1) The lifestage weight of a Part 6A product for the period from:

(a) the beginning of the quarter to Day X is:

(i) the market value at the end of the previous quarter of all investments supporting the Part 6A product that are referable to the lifestage;

divided by;

(ii) the market value at the end of the previous quarter of all investments supporting the Part 6A product that are referable to a lifestage of the Part 6A product;

(b) the change event to the end of the quarter is:

(i) the market value at the end of the current quarter of all investments supporting the Part 6A product that are referable to the lifestage;