Shannon Bernasconi, MD of fintech WealthO2 is launching a new fund aimed at budget-conscious investors who want more control over their money. Peter Braig
by Alice Uribe
Superannuation savers who want more control than that what is offered by a traditional super fund, but don’t want to invest in property or start a DIY super fund, are being targeted by a new superannuation fund that promises a hybrid of the two most common super options.
Shannon Bernasconi, the managing director of fintech WealthO2, the company behind the fund called Super Simplifier, said that there was a growing group millennials and retirees who want more control and oversight over their retirement savings, but are not prepared to stump up the cash to set up and maintain a self-managed super fund.
“It’s quite interesting, the amount of people who have SMSFs, but don’t invest outside of the ASX. There is a lot of discussion in the market about whether or not an SMSF is appropriate for everyone, but sometimes it’s just a matter of whether they want to have a property,” she said.
“If they don’t, they ask whether they need an SMSF? But now there is a third option which has the same level of transparency and control, but without the price tag attached.”
Consumers using Super Simplifier, guided by a financial adviser, can choose their own mix of investments from options like ASX listed shares, hybrid securities, exchange traded funds, listed investment companies and term deposits which are held in client segmented accounts under an Australian Prudential Regulation Authority-regulated trustee.
“Industry funds are great for a lot of reasons, but they do offer more traditional asset classes like international shares or Australian shares,” Ms Bernasconi said.
“There are some traditional funds that do offer direct shares, so the industry is obviously trying to look out for member choice.”
Ms Bernasconi said that while Super Simplifier members can’t invest in direct property, unlike in an SMSF, they can still get exposure via real estate investment trusts.