A Self-Managed Superannuation Fund (SMSF)is different to other super funds as it means its trustees, who are usually also the beneficiaries, take direct control of their super investments and run it for their own benefit without the need for a professional fund manager. An SMSF can have up to 4 members and is structured as a trust with its rules and conditions stipulated in the trust deed.
Although it is a trust, it is still a super fund which means that its members are solely responsible for ensuring their fund complies with Australia’s super and tax laws.
SMSFs open up an extensive list of investment options such as direct Australian and international shares, investment properties, direct fixed interest and more. This gives SMSF members more control over their investment decisions than retail super funds.
With carefully considered and implemented tax strategies, SMSFs can help to grow super savings and reduce tax liabilities as members move into retirement. This gives greater control and flexibility over other funds.
Having greater control and flexibility means there is complete visibility of where and how money is invested which allows trustees to align their personal goals with their investment decisions.
Members of an SMSF could see substantial savings in administration fees compared to other super funds as these may be capped and not based on a percentage of the balance. This will depend on individual circumstances and the value of the investments.
SMSFs may choose to borrow funds via limited recourse borrowing arrangements (LRBAs) to open up investment opportunities that it may otherwise not have sufficient cash to purchase.
SMSFs are the fastest growing sector in the superannuation industry today with an estimated $162 billion in listed shares, which have outstripped cash as the asset of choice for SMSF trustees. CMC Markets Invest has developed this infographic to provide an at-a-glance breakdown of SMSF trading activity, including profile trends and other insights such as top stocks held by SMSFs.
Take control of your own future with a Self-Managed Super Fund (SMSF). CMC Markets Invest’ SMSF solutions give you the tools, insight and support you need to effectively manage your investment decisions - all at Australia’s lowest online brokerage.
Our solutions are fully integrated with leading accounting software and services such as Class Super, BGL and XERO (speak with your SMSF administrator to find out what platform they are using), as well as giving you the ability to easily export data into numerous formats.
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Diversify your SMSF portfolio by choosing from a wide range of investment options. Our platform gives you direct access to Australian Shares, mFunds, Options, Warrants, Interest Rate Securities, ETFs, and even the primary market (IPOs and placements). All accessible from the one account. Learn more about our investment products.
By integrating seamlessly with industry leading research providers such as theScreener, Morningstar, Reuters, Trading Central and Dow Jones, our share trading platforms give you the data and investment ideas you need to make educated investment decisions.
Both our standard and Pro platforms offer intuitive interfaces and easy-to-use navigation to simplify your investment experience meaning you can focus on building your diversified portfolio.
Our highly trained local service teams are here to help. Also aside from being Australia’s best value online broker, CMC Markets Invest offers a premium dealing desk service.
Contact us to find out more.
