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Tuesday, July 16, 2024

How You Can Have Control Over Your Investments with an SMSF

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SMSF represents a “self-managed super fund”. Rather than having a third party manage your superannuation fund on your behalf, it’s becoming increasingly popular for working Australians to create their super funds and manage their investments.

If you’re new to investing and self-managed super funds, then you’ll no doubt be looking for some handy tips and advice on the subject. Step one would be to seek advice from experienced SMSF strategic advisors, such as an SMSF advisor in Sydney. Without the assistance of a financial advisor who has experience in self-managed super funds, most Aussies simply won’t know how to set up an SMSF or what’s involved. 

For example, if you live in Sydney, try the following search terms:

Why Have a Self-Managed Super Fund?

The primary reason is to have way more control over your superannuation scheme, rather than solely leaving it in the hands of a third-party super fund. Most super funds managed by superannuation companies give you very little control over how funds are invested if any control at all. This not only requires a massive amount of trust in the skills and savvy of those running the super fund, but it can also be extremely risky. After all, superannuation companies do sometimes go out of business, and this scenario can leave fund participants high and dry.

With an SMSF, you have so much more control over your money and how it’s invested. This gives you a much greater sense of security and independence.

You are free to create and establish your very own investment strategy. It puts you in control of where your money is invested, rather than relying on someone you don’t even know doing those investments on your behalf. Everyone is an individual living in unique circumstances. Therefore, an SMSF gives you the flexibility to invest in a way that suits you.

When it comes to investment options, a self-managed super fund gives you a lot more choices; including listed and unlisted shares and residential and commercial real estate. You can even set up one super fund for the entire family.

SMSFs also have some tax benefits too, such as the timing of tax events and when to realize capital gains, and when not to.

It’s little wonder that self-managed super funds have skyrocketed in popularity in recent times.

Manage Your Super Fund and Investments With Expert Assistance

Unless you’re a seasoned expert already when it comes to all things related to investing and managing super funds, you’ll want to seek professional advice (as mentioned in the opening section) as well as team up with a company to assist you with your investments and your self-managed super fund.

Once again, you can find companies that specialise in this field by doing a quick search online. For example, SMSF advisor Sydney and so on.

Rather than being a third-party super fund that manages everything on your behalf without your input, your SMSF advisor works with you to formulate investment strategies that will give you the greatest returns whilst also being relatively low-risk. Not only that, your advisor will guide you on the SMSF pathway, keeping you within the guidelines and rules of self-managed super funds.

When you have an investment strategy in place to achieve your goals, you and your advisor will then look for investment opportunities that target that strategy. The company you work with can also offer sound advice on tax and the timing of capital gains and other tax-related issues. Even estate planning is something to seriously look at when it comes to your self-managed super fund.

Your SMSF advisory service and consultant will become your best friend when it comes to getting the very best out of your self-managed super fund.

Is a Self-Managed Super Fund Right for You?

If you prefer to have a company handle all of your superannuation requirements on your behalf, then perhaps an SMSF is not the best fit for you. On the other hand, if you’d like to seize control of your superannuation future and be in charge of the way your money is invested, then team up with an advisor and get started creating a self-managed super fund today.

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