Pension Loan scheme, a reverse mortgage scheme floated by the government does a better job at satisfying the appetite of the senior citizens than the ones floated by the private sector. Where it possibly fails is that it gets limited to the betterment of the rich retirees. And to make matters worse, one particular aspect of it is so very puzzling. See if you can make some sense out of it.
Australians care about their Superannuation but the mode of investment is such that it is easy to set it up and then forget about it. The aim of Super funds is to help your money accumulate during the course of your working life. This, the funds aim to attain through a wide range of investment options. The risk quotient differentiates one option of investment from the other. Let us find out all there is to know about your Super investment and also look into one little known yet very important aspect of such investment.
A lot has happened recently in the financial advice sector and it has resulted in SMSF trustees showing reluctance in seeking professional advice. Scandals atop scandals and this is what happens! The mind-space of SMSF trustees is laden with the worst of fears and they know that the adviser on the other side might be a guy not interested at all in their wellness and just out to earn a commission by duping them. Certainly not the best frame of mind when you are seeking professional investment advice.
Can’t say choosing your own portfolio is not a luring proposition, but can Super investors understand all the ramifications of such a position? I know, every now and then, we have this real urge to play the fund managers. Choosing our assets, diversifying as we deem fit, swapping properties for bonds and ETFs for global equities, but can all these not have dangerous consequences at times?
While it is true that with a few amendments here and there, Super has become a lot easier in terms of user-friendliness; you can still err if you do not choose your Super investments wisely. How about these stats: 1) 30% of Super fund members do not go through their annual statements; 2) Only about 20% members diligently choose where to park their Super money; 3) Only about 75% of funds offer the right value for money.
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