Are SMSFs better investors; or beneficiaries of a free ride?
SMSFs' net assets have grown as fast or even faster than Large Super over recent years; and their investment returns have been vastly better. There is a simple explanation for this — and it's one that you can be sure Treasurer Chalmers is all over.
Looming super tax change prompting high-net-worth rethink
Labor failed to get its legislation to tax the earnings on SMSF portfolios exceeding $3 million pass the Senate in the previous Parliament. With the Greens likely to support this Bill, it is now set to become law, and advisers are scrambling to devise strategies for their clients.
SMSF sector's 'rude health' has the setting to get even ruder, conference told
If any SMSF specialist advisers needed a peptalk, they got one over breakfast at last week's National Conference — and it might have surprised some.
Claims of Div 296 tax consultation 'confusing': SMSF Association
The association has hit back at spurious claims from the Treasurer that the government conducted "heaps of consultation" on its proposed tax for super balances over $3 million.
Franked yield bonanza keeps retirees from selling beloved bank stocks
Self-funded retirees understand the capital risk in holding the ‘big four’. It’s one they’re prepared to take knowing their effective grossed-up yields are much higher than the nominal figure.
Division 296 Tax: Masterclass top 5 questions
The government may have proposed it as a "modest" change to the super system, but the effects will be far reaching. For advisers dealing with this latest regulatory intervention, a handful of key questions need answering.
‘Just a little crazy’: SMSF retirees continue to shun fixed interest investments
Institutional investors get it. So do some financial advisers. But for most SMSFs, sovereign and corporate debt is the forgotten asset class – despite the defensive benefits it can deliver.
SMSF trustees will have to dig deeper to pay for their aged care
The Aged Care Act, achieved with rare political cooperation, will put residential and home care on a more sustainable basis with individuals’ contributions more closely attuned to their financial position.
SMSF trustees drift from advice towards accountants and... the internet
More and more SMSFs are being set up without the assistance of a financial adviser. As the gulf between demand and supply widens, consumers are looking at alternative sources of information for their self-directed retirement needs.
Labor risks repeating franking credit calamity with $3M super cap proposal
In the 2019 federal election, Labor’s proposal to abolish cash refunds for excess franking credits went down like a lead balloon. So, will the $3 million cap proposal see Labor revisit history?
'Bitterly disappointed': Senate to push on with plan to tax unrealised gains
Tax on unrealised assets is virtually unheard of in Australia, and imposing one on fund members sets a dangerous precedent according to the SMSF Association, which says it's "completely unreasonable" for retirees to plan for "such a radical departure from existing policy".
SMSF market twists itself into new shapes, but will advisers follow?
It seems that while the older generations may be tilting towards simplification, the younger generations are looking for control and engagement. For financial advisers, this is a trend worth noting.
'No shortage of issues' with overseas property investing for SMSFs: Deloitte
There are far simpler avenues to overseas diversification for your SMSF than property, but if you are going to take this complex, and somewhat risky route, you better do your homework.
SMSF advice review to focus on set-up suitability and early access: ASIC
Both illegal early access and SMSF suitability are known concerns of the regulator, but Sciacca noted that the driver of this review is ASIC's desire to audit the efficacy of its earlier guidance on SMSF advice.
Modelling shows early $20,000 'gift' closes SMSF gender imbalance: Class
The gender gap may be closing in SMSF balances (and at a much faster rate than APRA funds), but it's still a glacial pace. Class modelling shows that an early boost, combined with the magic of compounding, can redress the imbalance.
Home bias saw SMSFs outperform APRA funds during brutal 2022 market slide
In a year when Australian equities far outperformed international stocks, APRA-regulated funds felt the brunt more than SMSF trustees, who still favour the double dipped income of franked local dividends.
Policymakers urged to simplify ‘unnecessarily complex’ SMSF system
Transfer Balance Caps, Super Balance Thresholds and the rules overseeing the notice of intent to claim a tax deduction are all overly complex and could do with immediate simplification, according to SMSF Association CEO Peter Burgess.
$3 million super cap to cost SMSF members up to $80,000 in tax
The government's plan to increase taxes on super balances above $3 million will have a costly impact on the SMSF sector, with thousands of members likely to face liquidity stress, according to new research from the University of Adelaide's International Centre for Financial Services.
SMSF trustees lack diversification, still underweight international shares
With new data showing offshore share investments comprise just 2 percent of total self-managed superannuation fund assets in Australia, advisers are warning SMSFs against overreliance on domestic shares and cash and urging diversification.
Art investment in SMSFs 'not easily done', but trustees backing their taste
With almost $600 million worth of SMSF assets held in art - up 54 per cent since 2016 - the original alternative investment is seeing a significant resurgence in popularity.
