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Annual Investment Strategy - SMSF

Discussion in 'Superannuation, SMSF & Personal Insurance' started by jp777, 28th Jun, 2013.

  1. jp777

    jp777 Member

    Joined:
    24th Jun, 2013
    Posts:
    14
    Location:
    South Melbourne
    Received a letter from my accountant - "Annual Investment Strategy must be reviewed by Trustees by 30 June 2013."

    Is this something I can leave until I lodge my next SMSF tax return and pre-date or is it more urgent than that?
     
  2. Andrew Newman

    Andrew Newman Well-Known Member

    Joined:
    5th Nov, 2008
    Posts:
    175
    Location:
    Melbourne
    Hi jp777

    The following information may be of interest and is from the SuperGuide.com.au website.

    Kind Regards


    New rules for SMSFs

    The new rules, taking effect 1 July 2012 (from the 2012/2013 financial year), require self-managed super fund trustees to:

    Review investment strategy regularly. You must review your super fund’s investment strategy regularly (that is, of course, if you don’t already review your strategy regularly). You need to review your SMSF’s strategy on a regular basis to ensure that it still meets the needs and objectives of your fund members. According to the ATO, proof of a review may involve documenting any review decisions in the minutes of trustee meetings held during the year.

    Consider the merits of life insurance. You must consider the merits of life insurance for each SMSF member when considering your fund’s investment strategy. This requirement does not mean that you must take out life insurance within your SMSF.

    Value your SMSF assets at market value. You must value the SMSF’s assets at market value when preparing financial accounts and statements. The ATO has produced valuation guidelines for SMSF trustees and their advisers.

    Keep personal assets from SMSF assets or get fined. An unusual but important further change to the super rules is the requirement to keep your personal assets separate from your SMSF assets. This change is unusual because you have always been required to keep your assets separate from your SMSF’s assets, but now this requirement is an operating standard. This change to the legal status of this requirement means that you can now be hit with a fine of up to $11,000 if you break this rule.
     
  3. jp777

    jp777 Member

    Joined:
    24th Jun, 2013
    Posts:
    14
    Location:
    South Melbourne
    Thanks Andrew, doesn't sound like I need to rush out and do anything in a hurry I guess.
     
  4. Jimmy007

    Jimmy007 Member

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    28th Aug, 2013
    Posts:
    19
    Location:
    Brisbane
    If it's not going to be a massive deal. May as well sort it out. I know it's only going to get more regulated with the amount of smsf funds sitting in cash currently going backwards (against inflation).
     
    Last edited by a moderator: 27th Sep, 2016