SMSFs urged to review segregation clauses in trust deed
With the rules around segregation changing, SMSF trustees wanting to run separate investment portfolios for different members may need to check the current terms in their deed allow for this, says an SMSF admin firm.
Heffron SMSF Solutions head of customer Meg Heffron says while a fund’s ability to segregate its assets will change from 1 July 2017 for those with larger balances, this will not impact their ability to run different investment portfolios.
“It doesn’t change the trustee’s ability to allow members to choose specific investments to underpin their account. It just means that arrangement can’t be reflected in the fund’s tax return,” Ms Heffron said.
Many trust deeds treat segregation and member investment choice as the same thing. However, “ruling funds out of some valuable strategic planning opportunities,” she said.
“[The deed needs] to make it very clear that the two things are different and that you can run a different investment portfolio to someone else without segregating the asset.”
MIRANDA BROWNLEE
Monday, 20 March 2017
smsfadviser.com
Hot Issues
- ASIC targeting high-pressure sales and inappropriate advice
- Investment and economic outlook, January 2026
- Australians not underspending their super
- Five financial steps for the new year
- ASIC warns investors on pump and dump scammers
- Don’t confuse contribution with roll-over when using proceeds from small business sale
- Missed SG exemption may not be problem
- Rare and vanishing: Animals That May Go Extinct Soon
- It’s super hump month. Make the most of it
- Three timeless investing lessons from Warren Buffett
- 2026 outlook: Economic upside, stock market downside
- Care needed with ceased legacy pensions
- What had the biggest impact on the sector in 2025?
- What does 2026 look like in the SMSF sector?
- It’s not just Div 296 that could face changes in 2026
- Which country produces the most electricity annually?
- AI exuberance: Economic upside, stock market downside
- Becoming a member of an SMSF is easy, but there are other things that need to be considered
- Investment and economic outlook, November 2025
- Move assets before death to avoid tax implications
- ATO issues warning about super schemes
- 12 financial tips for the festive season and year ahead
- Birth date impacts bring-forward NCCs
- Countries with the largest collection or eucalyptus trees
- How to budget using the envelope method
- Accountants united in support for changes
- Investment and economic outlook, October 2025
- Stress-test SMSF in preparation for Div 296
- Determining what is an in-house asset can help determine investment strategy
- Beware pushy sales tactics targeting your super
- Call for SMSF ‘nudge’ in DBFO package
- How Many Countries Divided From The Largest Empire throughout history
