Super group Superannuation Australia urged the Australian Securities and Investments Commission (ASIC) to clarify the existing SMSF laws to avoid misinformation among its members.
These calls were brought about the concern regarding SMSF financial advice, as this requires licensing. When the SMSF is set up, it needs a financial planner and accountant, as well as a mortgage adviser for credit related advice. The disconnect happens around this time as property spruikers are not clearly identified as to what category they belong, and most are free to provide financial advice.
This is a very crucial issue, as the rules are currently weak when it comes to clients’ best interest. This has to be addressed as soon as possible as this would defeat the purpose of SMSF investments for financial security.
Read more about this on The Adviser website.