A limited recourse borrowing arrangement is where a superannuation fund borrows to purchase a single investment (asset), such as a property or a parcel of identical shares. The Superannuation Fund is required to set up a holding trust which will have legal ownership of the asset that is held on trust for the fund. The…
October 13, 2016
Cash flow management in retirement – have you got it right?
Written by Name, Title, Company For those nearing retirement, it can be an exciting time or a rather difficult one. Exciting if you are confident that you have saved enough to comfortably fund your retirement; difficult if you are not so sure. There are two sides to this often asked question of have I got…
Being an Investor: The 11 attributes of successful investors
Content provided by Magellan Written by Hamish Douglass, CEO, CIO and Lead Portfolio Manager In December 2009 I wrote that “we are in the business of investment and not speculation”. To be in the business of “investment” is to have a mindset that when purchasing shares on stock markets, you are buying an entitlement to…
August 25, 2016
Investment tips for your SMSF – Part 2
In Part 1 of Investing Tips for your SMSF we looked at the various issues around choosing particular types of investments, how the ATO will assess your retirement purpose in relation to those investment decisions and some basic obligations you have as trustee of your SMSF when it comes to your investment objectives and strategy…
August 1, 2016
Investment tips for your SMSF – Part 1
You don’t put money into your SMSF for it to sit in cash for 30 years or more. Your intention is to invest for your retirement and to get the best return you can now to ensure you have enough to live comfortably when that time comes. When you are investing your savings in your…
Keeping your self managed super fund on track
All super funds, including self managed super funds (SMSFs), are required to have an investment strategy to provide fund objectives and direction. This ensures the fund’s investments are directed to the sole purpose of providing benefits upon retirement for members and their dependants when they are due and payable. Under the Superannuation Industry (Supervision) Act…
How do I benchmark?
June 2016 Over any investment period, if you want to benchmark the performance of your Self-Managed Super Fund (SMSF) your-self, you need to work out 3 things: Your investment return over the period, using a TimeWeighted Return (TWR) method Your average asset allocation over the period How your return compared to other SMSFs or a…
June 17, 2016
I’m over 65 years of age can I still contribute to my super fund?
If you are 65 years of age or older, you can still contribute to your super, however, there are conditions that must be met and limits to how much you can contribute. We’ll walk you through the conditions that must be met and limits below. Concessional Contributions are before tax contributions. They include employer contributions,…
June 2, 2016
The tips for rolling over to a self managed super fund
You may wish to roll-over (transfer) the money you have in superannuation to another fund. For example, you may have just established a self-managed superannuation fund (SMSF) with the aim of commencing an income stream or for investment purposes, retirement and you would like to move all of your super benefits to that fund. This…
Is it relevant to compare against retail and industry funds?
May 2016 A comparison of your SMSF investment return against retail and industry funds will answer the question “Would I have achieved a different outcome if I had invested a different way?” But it won’t answer the question “Given how I invested, did I get the return I was entitled to?” SMSFs tend to invest…