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Welcome to our Q&A page. This is the best place to ask us questions that relate to stocks, recommendations and investing generally. Within those parameters, we'll try to answer any questions you might have, although at busy times it might take a few days for us to respond.


Latest Q&A With Our Experts

Max Newnham Answered by Max Newnham 22hrs ago

Superannuation time frames

I am aged 66 and sold a business/building, having owned it for 17 years to work part time in another none related job. I will receive the 15 year CGT exemption. I am working over 40 hours per month. I have over 1.6 million in my super . I understand I can still put the money into my accumulation part of my super. Is there a time frame it has to be put into the super after the sale of the property?

Max Newnham Answered by Max Newnham 22hrs ago

SMSFs and discretionary trusts

This question is in relation to the planning considerations for an investment combination of an SMSF and discretionary trust. Under the hypothetical situation where a couple could potentially accumulate $2.6 million by retirement at age 65, would it be better to target $1.6 million for the SMSF and $1 million for the trust?

Max Newnham Answered by Max Newnham 23hrs ago

SMSF reserves and account-based pensions

If a reserve in a SMSF is used to commence an account-based pension for a member, how is it treated for the concessional contribution cap, and will it be taxable if the concessional contribution cap is exceeded?

Max Newnham Answered by Max Newnham 23hrs ago

Excess pension funds and tax

I have a SMSF that was valued at around $2.2m at 30th June 2017. I deliberately kept the value of the shares within the SMSF to less than $1.6m on the understanding that I would allocate these to a pension fund and the remaining (cash only) to an accumulation fund. My logic was to put the highest risk/reward assets into the lowest taxing environment. I am currently employed but it is highly likely that I will be retired before the end of June 2018. I want to understand my obligations and the rules around the pension fund going forward. Am I required to withdraw the minimum % P.A from the $1.6m and the excess if I am retired? How is the $1.6m treated should I be fortunate enough to find that the value increases over the fiscal year even after withdrawing any money I am required to? How is the excess treated from a tax standpoint? I understand that, should I not retire this financial year, super contributions by my employer will go to the accumulation fund. Is this correct?

Max Newnham Answered by Max Newnham 23hrs ago

Reversionary pensions: SMSFs vs APRA funds

Having just returned from overseas for a family bereavement it got me thinking about what the effect would be of the death of one of a couple who are both have allocated pensions where each has named the other as the reversionary beneficiary. Specific thought are: - to what extent does the reversionary have to managed the pension account of the deceased member (e.g. make investment switches, change pension amounts and make lump sum withdrawals); - would the reversionary be able to merge the two pension accounts (to save administration fees in an APRA fund). I'm guessing not it will involve a commutation of the reversionary pension into an accumulation account before taking steps to merge with the surviving partners account. - I suppose that the pension cap (which would be a combined $3.2 million) with both partners alive would be reduced to $1.6 million for the single partner - and and excess would need to be withdrawn from one or other of the partners pension accounts. Is there any real difference in these circumstances between a SMSF and an APRA fund.

Max Newnham Answered by Max Newnham 23hrs ago

Can a SMSF be a wholesale investor?

Can a SMSF be a wholesale investor if it has less than $2.5 million in assets and it has a corporate trustee? The sole director of the trustee company has more than $2.5 million in assets.

Max Newnham Answered by Max Newnham 23hrs ago

Loans made to children

My wife and I have helped pay the university fees of our three children, (aged 20, 22 and 24 years) and we have never charged them board. Our children understood that this arrangement was to help them out by way of an interest free loan, instead of a HECS debt, and that they were to pay us back the money later in life, when they are financially secure. We have not set a timeframe as to when the money has to be paid back and we have not written up a contract. I am not concerned as I trust my children and I do not need the money in the foreseable future. My children are not in steady relationships yet, but It has just dawned on me, what would happen if they get married and subsequently divorce? My loan to my kids would not be legally recognised. Now as I said, my children know what the arrangement is. If we were to write up a contract now, explaining the above, and have it witnessed, would that suffice as a legal document. I would prefer not to go through the expense of having lawyers write up the contract. Thanking you in advance Paul

Max Newnham Answered by Max Newnham 23hrs ago

Should we just sell down our fund?

We're parting ways with our financial advisor as their hidden fees were making any real progress near impossible for us. One of the strategies they had set us up with was taking out an investment line of credit against our home to invest in shares. Over 3.5 years we haven't really seen an increase in our assets compared to our fees etc. Should we just sell down our fund, pay off the investment loan and start investing again with our own money? Or keep the investment loan going and build up our share portfolio?

Max Newnham Answered by Max Newnham 23hrs ago

Lending for property from a pension fund

We have both an accumulation fund and a super pension fund as completely separate funds. We wish to know if it is feasible under the new rules to buy an investment property in the accumulation fund with a loan from our super pension fund?

Max Newnham Answered by Max Newnham just now

Annual minimum drawdowns

Under the new super regime will the minimum drawdown in subsequent years on a $1.6m pension account as at 30.6.17, be based as it used to be on the reducing opening balance or will the applicable percentage, i.e 5% or whatever, always be based on the $1.6m?

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