My experience: have bought business property inside smsf and it has been very positive. However, costs to setup and administer smsf are a constant drain, but now in pension phase income is tax free as well (original goal of smsf investment strategy). Given the ‘grass is greener’ nature of $ inside/outside smsf and the (likely) shifting sands of govt policy, it seems like it is becoming more of a crapshoot daily. The obvious thing to consider is the quality of the investment is first consideration, then look at the in/outside smsf issues. And the issue of diversity is a bit like having your first child -everyone tells you your life will never be the same but you have to do it before you know what they mean...Seems boring thing to do, but diversity in current economic situation/outlook has proven a great strategy despite my resistance to go ‘against the crowd/against my hubris’ to do it 9as previous poster mentions). The smsf does let me feel more like I am master of my domain, and although I have raked up a few duds inside smsf, at least I own these mistakes (classic spec penny stocks where hubris overtakes logic). For me, it is a time for greater investment care than ever before, but no doubt a time when the diligent can prosper (eg pet market uptick, after pay stuff etc). Know your attitude to risk and the risk profile of any investment as best you possibly can. SMSF costs, time to retirement, diversity & so on. Sometimes you want to drive (smsf) and sometimes just ride in the taxi (managed super and non super), I have set up to do both, bit off more than I could chew, and chewed like a mad man to get it there, suits me to do this, but you need to ‘know thyself’ and your attitudes. Summary; much to consider, but buy low, sell high is the first thing to get right, then see if a smsf ‘fits’ your vibe, style, risk aversion, short/long term goal, exposure to diversity etc. BTW, my best investments have been against others advice and caused the greatest sweat, but I thought I was right and did the homework and backed myself. Had they gone sour though, at least I wouldn’t have minded too much as I gave it my best, but they were my decisions and my risk attitudes.
