You need to start putting money away earlier on in life to ensure that you are financially taken care of when you retire. The problem is that the economy goes up and down and as that happens the value of what you are putting away gets diminished. Putting your money in a superannuation fund can generate a faster return than investing in any other asset class.
People choose self-managed super funds because they have some kind of control over what happens to their money or how it is invested. You need time and some skill in financial management to handle your own SMSF. Choosing to buy SMSF silver bullion precious metals like silver is a good way of mitigating risk, not only will your money be secure but the money you get at retirement will be substantially more than money from other investments.
Silver has maintained its value for centuries and it is therefore regarded as a safe haven and a good hedge against inflation. It might be the best way to protect the wealth you have been building with your super over the years.
If you are going to manage your own superannuation fund there are a few rules that the Australian Taxation Office has put in effect that you will need to follow. Basically, this is what you need,
- You have to set and follow an investment strategy that will meet your own retirement goals
- You can only use the money to provide any retirement benefits
- You have to keep records of everything that transpires including minutes of meetings you hold with other fund trustees. All records need to be part of the yearly audit that you have to set up with an approved auditor.
When you run your own SMSF you will realize that you need more than time and financial savvy. You need to understand the investment world and how markets work. If you decide to take on your own superannuation and manage it yourself you need time, money to set up and take care of the annual costs and having some financial background.
Invest in gold and silver
A lot of SMSF owners buy SMSF silver bullion as part of their investment portfolio especially with the economic troubles that are sweeping the world. Industry Superfunds are not flexible which is why many SMSFs choose more options that are flexible to get the most out of their returns. It is important to always look for an independent financial advisor when you are considering any kind of investment, especially in the precious metals markets.
Anyone who buys precious metals has to think carefully about where the metals will be stored. This is why the best thing to do is to use a third-party storage facility. These facilities can keep your valuables secure. These secure facilities will provide the necessary documentation that is required by the 30th of June annually. This documentation should contain the following information:
- A list of the silver bullion and the quantities that are held for a particular SMSF.
- Confirming that the bullion is safe where it is stored and should not be available for personal use.
Valuation of silver bullion held by a third-party storage facility is less expensive to hold than holding silver in this format. The market value of silver is easier to verify and to follow daily.