SMSF obligations not for everyone
While self-managed super funds (SMSFs) may continue to experience significant and continued growth, there will be a stage in many trustees’ lives when the obligations inherent in running a fund will become too onerous, according to Pauline Vamos, chief executive officer of the Association of Superannuation Funds of Australia (ASFA).
Commenting on the impact that SMSFs have had to date on the wider super industry, Vamos said that there was no doubt that they were now an integral part of the superannuation proposition.
“I think we’ve got to be objective and look with unbiased views at all sectors within the industry,” she said. “We have to ensure that they all work well, that regulatory arbitrage is minimised and that consumers are protected.”
And yet for Vamos, the reality was that with an ageing population, people’s needs would inevitably change.
“With an ageing population, we will see people who are in self-managed funds who want to move back into a pooled service,” she explained.
“So I think it’s equally important to recognise that and be ready to welcome them back.”
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