POWERED BY MOMENTUM MEDIA
Young people seeking out SMSFs
There is a growing number of younger people who want to access a self-managed superannuation fund (SMSF), according to Stake.
The digital trading platform launched its first SMSF in November 2020 and said the average age of people using it was 40, compared to an average establishment age of 46. This age had been creeping down during the pandemic as it was 50 pre-COVID in 2019.
Stake Super was a full-service, low-fee digital SMSF that allowed investors to invest their super in Australia and US equities and exchange traded funds (ETFs).
Speaking to Super Review, Matt Leibowitz, chief executive of Stake, said the firm had taken the option to launch a digital SMSF as many people were deterred by the administration of existing models.
“The average age of people using the SMSF is 40 and we heard from them that they wanted to set up an SMSF but found it was too expensive to get it set up and was scary to do it themselves.
“With that in mind, we do the administration, the setup and the audit for them which makes it simpler.”
He said the firm had seen “really strong take-up” since launch with over 1,000 customers using the strategy which he said was “going in the right direction”.
Updates since launch included the ability to invest in cryptocurrency which it had found to be the second-most common investment by its users after equities.
AUTHOR
Laura Dew
Laura Dew is editor at Super Review. Prior to joining SR, she spent five years working at Investment Week in the UK covering asset and wealth management.
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
Global X GlobalX FANG+ ETF
33.51 3 y p.a(%)
2
Spire Oaktree Opportunities XI Second Close
32.68 3 y p.a(%)
3
DomaCom Lot 21 Chellaston Road Munno Para West SA 5115 Australia
32.45 3 y p.a(%)
4
Spire Oaktree Opportunities XI First Close USD
31.36 3 y p.a(%)
5
Fidante Credit Suisse Global Private Equity
29.60 3 y p.a(%)
