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  1. Dr Lobster

    Dr Lobster Well-Known Member

    Joined:
    12th Jun, 2006
    Posts:
    95
    Location:
    sydney nsw
    I am considering a SMSF in the future to allow me to trade shares.

    Is it possible to have a SMSF partly invested in managed funds and the balance actively trading the share market ?
     
  2. Redwing

    Redwing Well-Known Member

    Joined:
    9th Jun, 2006
    Posts:
    476
    Location:
    PERTH..WA
    hmm no one else has answered, so i will...Yes
     
  3. TryHard

    TryHard Well-Known Member

    Joined:
    17th Aug, 2005
    Posts:
    863
    Hey Dr Lobster - you would need to make sure the fund's Investment Strategy reflected what it is and isn't allowed to do. As long as you can show you're trying to generate wealth for its members, its my understanding the fund can pretty much do anything other than borrow money

    Cheers
    Carl
     
    Last edited by a moderator: 21st Aug, 2006
  4. NickM

    NickM Co-founder Staff Member

    Joined:
    20th Jun, 2005
    Posts:
    321
    Location:
    Sydney
    Dr Lobster
    Try HArd is right.

    The ATO take a dim view to a SMSF "in business" but i think you will find that share trades are generally ok.

    I understand that they do not liek day trading, fx trading etc in a SMSF but i am not aware of any cases that have been tested yet.

    NIckM
     
  5. qlds007

    qlds007 Member

    Joined:
    25th Oct, 2006
    Posts:
    11
    Location:
    Brisbane, Australia
    When managing a SMSF or Small APRA Fund (SAF) the trustees must be aware of the various investment restrictions. These restrictions are designed to protect the members benefits.

    The Trustee of a superanuation fund must formulate an investment strategy after considering all the relevant factors.

    These include but are not limited to

    * risk and return
    * diversification
    * liquidity
    * ability of the fund to discharge its liabilities