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Retail Super Fund VS Industry Superfund

Discussion in 'Superannuation, SMSF & Personal Insurance' started by jeffery85, 20th Jul, 2012.

  1. jeffery85

    jeffery85 Active Member

    Joined:
    20th Jul, 2012
    Posts:
    29
    Location:
    canberra
    Hey everyone i am sure everyone has maybe had this discussion but i can not find a great deal of history as i was searching through.

    Abit about me i am 26 and invested in a industry superfund (hesta superfund), i have an account balance of about 60K.

    Industry super funds run a very good campain saying that there fees are lower and they are for there members with profit going back too members(this is very attractive).

    the last couple of years i have lost quite a lot of money (well not as much as some people).

    Before the GFC my fund was performing very well with great returns between 14%-16% each year.

    I seem too be attracted too retail wholesale super funds (perpetual) and this is because:

    Greater choice of where my money is invested.
    improved transparency on the funds (maybe i should be more trusting).
    Some possibility too link other investments e.g. managed funds.
    Access too geared funds.

    a issue i have is the fees are much higher just over double what i would pay in a industry fund.

    I feel that a retail super fund may produce better results with access too things like geared funds and smaller companies funds etc.

    A lot of government campaigns say look at fees etc and david kochies from sunrise website states that 26% of people are trying too get out of retail super funds, But is this because they are linked too a financial adviser who is taking 4% of all contributions (something that can be avoided if you invest directly).

    Anyway i am confused as i look at everything evening comparing funds is not as easy as most people say. They report at different time and say as of such a date our ten year return was such and such.

    Every super comparer website i look at tells me different things.

    So i have come too this forum looking for a discussion that may help me make my decision.

    Thanks for your feedback and the sharing of your experiences.

    Jeffery
     
  2. Andrew Newman

    Andrew Newman Well-Known Member

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

    Most retail funds are expensive but provide a large choice.
    Most industry funds are cheap but can be average performers.
    And...
    Most managed funds underperform.

    So what do you do?

    {deleted}

    Kind Regards
     
    Last edited by a moderator: 25th Jul, 2012