The latest sector research has shown keeping up with the continual changes to the legislation and regulations governing the superannuation industry remains a significant challenge for SMSF trustees and an area they are looking to financial advisers for assistance with.
The “Vanguard/Investment Trends 2021 SMSF Investor Report” revealed 45 per cent of trustees already receiving financial advice named updates to rules and regulations as the number one issue on which their adviser can better educate and inform them about.
“It has seemed in recent years that the regulation has been changing nearly every day and so I think it’s not a surprise that you can see trustees are wanting a bit more education and information to help them in interpreting what all the various changes [are about],” Investment Trends head of research Irene Guiamatsia said.
“Also [they need help with] the acronyms that emerge every now and again and what those rules mean for them.”
The report found the investment strategy was the second most common issue where trustees required more assistance from their financial adviser, with 34 per cent of those surveyed wanting increased education on this compulsory element of their fund.
A further 24 per cent of participants acknowledged a need for their financial planner to provide them with an increased volume of information regarding estate planning.
Other subjects completing the top five issues where there is an existing advice gap among SMSF trustees currently using a financial planner were building wealth in a low interest rate environment and trading ideas and strategies, with 21 per cent of respondents admitting these are issues where they require additional education.
The responses of 2523 trustees were analysed for the report, taken from an online survey conducted over March and April.