Self-Managed Super Funds are among the fastest growing superannuation vehicles in Australia and they’re not just for older investors – investment savvy Y-Genners are catching on.
According to statistics released by the Australian Taxation Office (ATO), greater numbers of people below the age of 40 are investing in Self-managed Super Funds (SMSFs).
Historically, SMSFs were considered the province of only the rich. However, as set-up fees and running costs decrease, younger people are viewing SMSFs as a viable alternative to industry funds or off-the-shelf retail funds.
If you’re in this category, read on.
A SMSF is a highly-regulated retirement strategy. Every fund requires between one and four members. Each member must be a trustee, or if you appoint a corporate trustee, a director.
SMSFs exist only to provide member retirement benefits. They follow a strict investment strategy designed to meet the needs of those members.