I have now had my SMSF for 12 months along with about 1/3 of my retirement funds in a industry fund. I also have a pension from another source. Both funds are in pension phase now.The current total in just over $1,000,000
It seemed timely to sit back and evaluate how it is all going.
The SMSF has returned 32% over the last 12 months taking out contributions and including pension withdrawls and costs. The industry fund has returned 16.5% with similar adjustments. The overall return is 24.5%.
This is clearly not sustainable. About 15% of my fund is in cash with the remainder in Australian shares (about 20 stocks).
The industry fund is a balanced investment which fared well over the GFC, dropping only a few%. I have maintained this component as a way of keeping diversification.This investment includes bonds and international stocks.
My inclination is to maintain the current structure as a way of keeping the diversity provided the industry fund return is over 10% and the SMSF return is >10%. I need a long term average return of 9%.
