Peninsula Partners Accountants

Start Your Own Superfund - SMSF Foundation

Starting your own self managed superannuation fund (SMSF) will save you considerable money in fees, and may result in better returns than what the so-called experts provide.

Investing in a commercial superannuation fund can be extremely expensive, with many fees, charges and commissions that eat away at your balance buried in fine print and difficult to understand language.  Others will advertise no commissions, and then sling you with management fees, administration fees, and even additional fees if the fund happens to perform well (with no refunds for poor performance in sight).

Take Westpac's "Super for Life" for example.  It advertises no commissions, but for each dollar you have invested, regardless of the fund's performance, Westpac charges:

  • 0.50% Investment Fee, plus
  • 0.45% Administration fee, plus
  • $60 p.a additional administration fee, plus
  • More fees if the fund performs well, plus
  • On top of this, up to $521 p.a in insurances you may not even need

What did that get you in investment returns - an average rate of return over the last 10 years of a mere 4.6%...which is then reduced by the above fees!  Not to mention any fees an advisor may charge to set you up with this product.

AMP, Colonial First State and ANZ have all averaged less than 5% rate of return over the past 10 years, further reduced by the fees they charge.

Contact Peninsula Partners for assistance in establishing your own superfund.  We can make it easy, cost effective and rewarding for you.