Option to set up a self managed super fund will be available to investors with super balances of all sizes

Option to set up a self managed super fund will be available to investors with super balances of all sizes. The Australian Securities and Investments Commission (ASIC) has said that it will not prescribe a mandatory minimum account balance for the establishment of self-managed superannuation funds (SMSFs). In an address to the SMSF Professionals' Association of Australia (SPAA) National Conference last week, ASIC Commissioner Greg Tanzer, said that the account balance is just one factor ASIC considers when reviewing advice to set up an SMSF. Tanzer's view from a risk perspective was that ASIC is more likely to look at advice to set up a SMSF where the balance is outside a specific range. While ASIC has previously suggested that SMSFs with less than $200,000 may not be competitive with other available superannuation options, Tanzer asserted that SMSFs with smaller balances may be viable in certain situations. (VIEW LINK)