Quantum Group bridges gap between financial planners and residential property

financial planners self-managed super fund real estate property gearing self-managed superannuation funds capital gains

1 December 2009
| By By Caroline Munro |

Quantum Group has bridged the gap between financial planners and residential property through the development of a real estate product for self-managed superannuation funds.

Financial planners have traditionally been limited to direct shares and managed funds because they were not equipped to recommend and manage retail property investments, according to property investment specialists Quantum Group.

"We have overcome this problem by designing a very simple structure to encompass an investment property as a financial product, with a Product Disclosure Statement and an independent research rating," said Quantum managing director Peter Gribble.

The product, called Quantum PropertyLink Warrants, enables planners to choose their own property or select from an online, preapproved real estate platform. It is designed so that financial planners can establish diversification for their clients with a prudent level of gearing of up to 70 per cent loan to value ratio.

Gribble said the product offers an opportunity in real estate for financial planners, as many of their clients are still nervous after the share market crash and may want to diversify into property.

"The rental earnings and capital gains have a far more favourable tax structure if the property is acquired through a self-managed super fund, at 15 per cent," he said. "Or if the property is sold after retirement, capital gains can be tax free.

"The interest and capital payments are also 100 per cent tax deductible, which makes property very appealing for people who have set up their own self-managed super fund."

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

GG

So shareholders lose a dividend plus have seen the erosion of value. Qantas decides to clawback remuneration from Alan ...

2 months 3 weeks ago
Denise Baker

This is why I left my last position. There was no interest in giving the client quality time, it was all about bumping ...

2 months 3 weeks ago
gonski

So the Hayne Royal Commission has left us with this. What a sad day for the financial planning industry. Clearly most ...

2 months 3 weeks ago

Insignia Financial has made four appointments, including three who have joined from TAL, to lead strategy and innovation in its retirement solutions for the MLC brand....

1 week 2 days ago

Having divested its advice business in August, AMP is undergoing restructuring in at least four other departments amid a cost simplification program....

4 weeks 1 day ago

The Reserve Bank of Australia's latest interest rate announcement has left punters disheartened on Melbourne Cup Day....

1 week ago