How long have you had your SMSF?
About three and a half years.
Why did you start it up?
I wasn’t happy with my then retail super fund’s return and thought I could do better. On top of that, I wanted to have more control over my own money.
Eventually when I have more funds, I’d like to invest in residential property.
How big is it?
About $270,000
Is it more or less difficult to manage than you thought it would be?
Administratively less difficult, thanks to my excellent super administrator, but more difficult in terms of investing execution.
Are you glad you have it?
Yes, absolutely. When I was in a retail fund I had no choice over my insurance, but now I can arrange what I want.
Are you pleased with its performance?
No, for the share investing part, it’s been underperforming the S&P/ASX 200 accumulation index since inception.
What is your asset allocation?
About two thirds in shares and one third in a cash management account. I have been following the Switzer Super Report model portfolios closely since last year.
What are your favourite investments/stocks and why?
RCG Corporation (RCG). I bought if just before its takeover of Accent Group, and I took full part in the share purchase plan. I prefer local stocks and would like to diversify more in the future.
Do you use an advisor or any kind of service provider?
Switzer Report oh yeah! I’m very happy, it’s one of few smart decisions I made.
Is there anything else you’d like to say about SMSFs?
Having your own SMSF is a great thing, but it will be even greater to have sound financial knowledge beforehand and to be dedicated afterwards.
Important: This content has been prepared without taking account of the objectives, financial situation or needs of any particular individual. It does not constitute formal advice. Consider the appropriateness of the information in regards to your circumstances.
