SMSF Investment Strategy Template

The trustees

Brian and Wendy are conservative investors. They retired some years ago and while they consider themselves comfortable enough, their SMSF nest egg is all they have. They have decided that they can live with modest investment returns over the long term but what really keeps them awake at night is anything too risky that might cause significant drops in their SMSF portfolio.

Kim and Mandy consider themselves “balanced” in every sense of the word. Their SMSF is of average size for their age (45), they are contributing regularly and they are still some way off retirement. They are happy to take some risk. They realise their SMSF portfolio might drop in some years but are confident they will secure better returns over the longer term.

Josh is 30. His SMSF is growing rapidly because he’s contributing every spare dollar to his fund via a salary sacrifice arrangement. He sees retirement as being a long way off and knows he can’t touch his super for at least 30 years. He’s happy for his portfolio to go up and down just like the share market as long as he can see a way to achieve the best possible returns over the long term.

Investment Objective

Returns that are 1% above inflation over 3 years

Returns that are 2% above inflation over 3 years

Returns that are 5% above inflation over 3 years

Investment Strategy

Australian Shares (growth)

15%-25%

25%-35%

65%-75%

International Shares (growth)

5%-15%

5%-15%

10%-35%

Property (growth)

5%-10%

5%-15%

0%

Australian Fixed Interest (defensive)

30%-40%

15%-25%

0%

International Fixed Interest (defensive)

0%-10%

0%-10%

0%

Cash (defensive)

20%-25%

10%-20%

5%-10%