Hi,
I am 48, single, no kids and been working for the same company for 15 years. I recently set up my own SMSF with $320,000 and would like to get some advice on what people think is the best long term strategy, purchasing a residential property, buying shares or managed funds. Can you buy an apartment with SMSF or does it have to be house with land?

WOW, look out Eliza, the advisors will be stampeding for your door as you read this!!!
First thing to bear in mind is that super is only PART of the whole picture. Sure its a legal tax haven, and you need super like air, but you also need to look at super in the context of your whole life master plan.
In terms of what is the best investment mix, the planners will tell you that risk management is the key. And that in turn depends on who you are and what you do and how old you are and a whole range of other factors.
super funds can invest in all sorts of things: apartments, land, commercial property, shares, cash, gold, llamas, baseball cards, time machines, the list goes on!! but the thing is you need to know what you SHOULD invest in, as well as what you CAN invest in.
and this is whee you need the help of a TRUSTED ADVISOR!!! Pick someone who is going to be around for the long haul. someone on the cusp of retirement is great for now, but in 3 years they wont want to talk about your non-concessional contributions cap because they are a grey nomad. get someone who you reckon can help you all the way through to your retirement (and beyond). someone with QUALIFICATIONS in accounting AND super AND investments. Someone with EXERIENCE, and knows what they are talking about.
It might be that you align yourself with one person, or perhaps two specialists: say a planner AND and an accountant. They need to be able to work TOGETHER to get you the best outcomes.
so look for people with qualifications and experience and ask for a reference from a satisfied client.
and expect to pay a reasonable amount of money for the best advice. You dont go cheap and nasty if you are getting a knee operation if you dont have to ......and the same applies to your retirement nest egg!!! make sure you are comfortable and happy with the advice:)
good luck
bc

Hi Eliza,
That is the $64,000 question isn’t it. I agree with Brendan, what you do inside your SMSF has to compliment what you have outside and vice versa.
Do you own a home yourself?
Do you have other investments?
How long do you intend/need to work for?
These are just some of the questions you need to consider.
I imagine you want income and growth from this investment, maybe an apartment doesn’t fit that as well as other forms of property?
Start with your accountant and find an experienced adviser for the long term
Best of luck

Scott

Hi Eliza,

As Brendan has said your super needs to be looked at in terms of your overall planning. You can likely afford to take on a little more risk with your super investments given your age and other info you have provided. But this isn’t something that can be addressed in isolation.

I’d also be keen to understand why you established the SMSF, this may go some way towards helping develop an appropriate strategy for you.

I’d be happy to discuss options with you. Phone/Skype/facetime/in person (I’m Melb CBD based) are all good for me.

Please reach out if you’d like some assistance.

Regards
James
james.wrigley@firstfinancial.com.au
03 9909 5800