The establishment of a compensation scheme of last resort to protect consumers who have fallen victim to the misconduct of financial services firms has received strong support from the Australian Financial Complaints Authority.

More precise communication is needed from financial services regulators to avoid any unnecessary concerns among SMSF stakeholders, an industry body has said.

The active member test should be dropped in favour of longer time frames to manage an SMSF from overseas to better reflect changing work patterns, the SMSFA says.