The latest study into the sector has revealed over 50 per cent of SMSF trustees are completely unaware of the Quality of Advice Review performed by Michelle Levy.
The findings of the “Vanguard/Investment Trends 2023 Self Managed Super Fund Report” showed 52 per cent of members surveyed had no knowledge the review had taken place.
Of the 48 per cent of participants who said they knew of the review, 22 per cent indicated they were unaware of how it would affect them, 16 per cent were of the belief the recommendations from it would not impact them and 10 per cent thought the recommendations would have a positive effect on them.
Investment Trends head of research Dr Irene Guimatsia explained further analysis of these responses uncovered a link between Quality of Advice Review awareness and the age of the SMSF member.
“Those who say yes [they know about the review] and the recommendations will have a positive impact [for them] are slightly younger trustees with a slightly lower super balance,” Guimatsia observed.
“Now when we say a lower super balance, [these are balances that are] still sitting at over $1 million.
“So they are the younger [members] and they are slightly less wealthy so presumably they’re also slightly less likely to be using an adviser and they are believing this change will open up those opportunities a bit more for them. So that’s encouraging.”
With further regard to the effect of age on attitudes and knowledge of the review, SMSF members who were aware of it but believed it will have no impact on them on average were around 63 years of age, while individuals aware of it but unsure of its implications had an average age of 62.
Respondents who had no knowledge of the review had an average age between 60 and 61 years.
The “Vanguard/Investment Trends 2023 Self Managed Super Fund Report” was compiled from the responses of 2290 SMSF members to an online survey conducted over February and March.
