POWERED BY MOMENTUM MEDIA
SMSF trades tilt towards selling
Self-managed superannuation fund (SMSF) trades were up 15% during the first six months of 2019 thanks to pre-election jitters, according to Commsec.
Commsec data found the trades had a slight tilt towards selling, accounting for 53% of the total traded value.
“A key factor in this shift appears to have been uncertainty over potential policy changes in the lead up to the federal election,” Commsec said.
“The financials, telecommunications and materials sectors experienced the most net selling activity during the first half of 2019. In terms of overall traded value, with investors possibly concerned about the sustainability of dividends and imputation credits, as well as the impact of a slow housing market on bank profitability.”
Financials continued to be the dominant sector in SMSF portfolios, representing almost half the value of all holdings, despite some selling of the Big Four banks in the first half of 2019.
SMSFs were also keen to have diversification as international funds represented 48.8% of the traded value of exchange traded funds (ETFs), steady from the previous half year at 48.9%.
“While direct international trading focused on US markets trade has continued to slow, SMSFs are seeking diversification ad income across different assets and regions through exchange-trade funds (ETFs) and Listed Investment Companies (LICs),” Commsec said.
“In particular, SMSF are using these vehicles to increase their exposure to fixed income securities.”
Recommended for you
The impact of identity theft and its threat to superannuation savings were highlighted in a case that went before the Federal Court at the end of 2023.
A recent NSW Supreme Court decision is an important reminder that while super funds may be subject to restrictive superannuation and tax laws, in essence they are still a trust and subject to equitable and common law claims, says a legal expert.
New research from the University of Adelaide has found SMSFs outperformed APRA funds by more than 4 per cent in 2021–22.
The SMSF Association has made a number of policy recommendations for the superannuation sector in its pre-budget submission to the government.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
Spire Oaktree Opportunities XI Second Close
61.07 3 y p.a(%)
2
Spire Oaktree Opportunities XI First Close USD
59.21 3 y p.a(%)
3
DomaCom Lot 21 Chellaston Road Munno Para West SA 5115 Australia
31.56 3 y p.a(%)
4
Fidante Credit Suisse Global Private Equity
31.06 3 y p.a(%)
5
DomaCom 4/27 Crombie Avenue Bundall QLD 4217 Australia
26.81 3 y p.a(%)
