In many cases, the end value of your Superannuation will far exceed that of your home. A significant portion of your life’s earning’s are invested in a fund that will see you through your retirement. Superannuation is an area which is riddled with complexity, and too often, we see clients struggle to understand what’s at stake and how to select a fund that best suits their needs.
There is a lot of buzz surrounding the idea of opting into a Superannuation fund that focusses on reducing the costs of their products, like insurance for example. But, like with all things, cutting costs comes at a price, and when informed, it is not a price most are willing to pay. Constant improvements in technology are working to lower costs even more and, as a result, these funds become all-the-more attractive.
The importance of seeing benefits in your fund of choice on a daily basis are critical in assisting you to reap the long term benefits that come from such an investment. If you are not seeing these benefits daily, there is a high chance that you are paying too much or too little for assets when withdrawing from or investing in your fund.
There are many questions you should ask before selecting you Superannuation fund. These will form the basis of critical decisions that you make towards your future. One of the first questions you should ask is, ‘When was the last time the significant assets of the fund were valued?’ These could be in the form of infrastructure projects or real estate.
You also ought to ask:
How transparent is the fund?
What is your risk profile, and does the chosen fund match your risk profile?
Does the fund offer the services that you require?
What type of insurance cover is offered, and what are the definitions that apply?
Does the insurance cover mental illness, such as depression?
Superannuation is a very complex area. There are many things to consider and getting advice is pivotal in the decision making process. If you have any concerns about whether or not you are getting the best value and cover from your superannuation fund, contact us and start the conversation today!
Progressive Wealth Solutions is a Corporate Authorised Representative No.472911 of Keystone Partnership Pty Ltd ABN 22 169 650 720, Australian Financial Services License (AFSL) No. 4