Planners urged to alter SOAs
Peter Bobbin
Financial advisers need to update their Statements of Advice if they are to safely take advantage of changes to superannuation laws, The Argyle Partnership partner Peter Bobbin said this week.
According to Macquarie Investment Lending and The Argyle Partnership, the changes to superannuation laws are “fantastic” because they allow advantages such as gearing for consumers whether they are in multi-member or self-managed superannuation funds.
However, Bobbin warned consumers that if advisers don’t talk about the risk of gearing, “you should move to another fund”.
Gearing can be used to increase superannuation funds as long as investors and advisers are careful to keep their investment strategies within the letter of the law, Bobbin said.
“Everyone’s talking about self-managed super funds [for gearing products], but I know there are a number of people who are looking at multi-member funds” he said.
“These products exist,” he added.
He warned superannuation funds that they “must update their investment strategy if they are going to borrow”.
AUTHOR
Mike Taylor
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