Flight to SMSFs reshape super mindsetBY LAURA MILLAN | FRIDAY, 22 MAR 2013 12:35PMThe exodus of individuals away from large superannuation funds and into self-managed super funds (SMSFs) has prompted some soul-searching among the major players. |
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David Sharpe
CHAIRMAN
FINANCIAL ADVICE ASSOCIATION AUSTRALIA
FINANCIAL ADVICE ASSOCIATION AUSTRALIA
A family man, business owner, cricket fanatic and financial adviser, David Sharpe has many facets. One of his biggest legacies, as he steps down as chair of the Financial Advice Association Australia, is leaving the profession stronger than he found it.







With the growing interest in property by SMSF trustees industry funds should consider including property in some form. Traditionally the problem investing in property is the lumpiness of such a large single asset. Fractional investing via a managed fund will solve this problem and allow trustees to invest up to their determined asset allocation. It will also enable them to diversify across a number of properties, property types and geographical locations. No borrowing, no bare trusts, no complex legal syndicate structures.
Modern thinking by the major players both retail and industry. However, the point seems to be continually missed. Offering an experience 'almost' as good as the flexibility of a SMSF, with 'maybe' 60% of the assets on offer is not what the genral public want. Control, flexibility and feel of a SMSF cannot be repricated. It may slow the exodous however the example above misses the mark and will not succeed. They will only succeed in engaging those who would have not left. Before posting this we called smsf industry peers to seek their opnion and it was inline with ours.