- Collapse of online document provider (Charterhill) recently highlights the problems for advisers with some budget solutions to complex SMSF client needs
- Advisers face reputation risk and PI risk in recommending providers who may not be ‘in for the long haul’.
- With over 90 changes in SMSF laws, regulations and practices in last year alone, it’s impossible to stay on top of all the developments in the SMSF sector with a dirt-cheap, unmonitored legal document
- Superannuation law changes at a faster pace than just about any other legal sector
Peter Townsend is closely involved in the operation of full-service online document provider, SuperCentral Pty Ltd, and may sound self-interested in posting a warning for advisers in using budget priced services.
“My main concern in the past has been for advisers offering or organising poor quality superannuation document services for their clients because the documents may be out of date. I had not contemplated that the online document provider may go out of business, leaving their clients with no easy way to update their trust deed.
“Clients are depending on their accountant or financial planner to offer the best or most suitable solutions when establishing or managing their SMSF. In fact, we work with hundreds of advisers who seek value for money for their clients but don’t want us to reduce the value in what we are providing by skimping on the quality of the documents.
“As a superannuation lawyer with over 30 years’ experience, in my view it’s not possible to produce cut-price documents that remain current and compliant. There is too much to review and upgrade in a planned, coherent way to make free trust deeds a viable alternative. For example we carry out a full audit of the SMSF sector every two months in order to ensure that our clients’ deeds are right up-to-the-minute.
“Superannuation law changes at a faster pace than just about any other legal sector and given the growth in government scrutiny of SMSFs, changes are more likely and more relevant to the DIY investor than their neighbours in public offer funds,” said Peter Townsend, Principal, Townsends Business & Corporate Lawyers.
contact
Peter Townsend
Principal
Townsends Business & Corporate Lawyers
02 8296 6201
0419 448 844
peter@townsendslaw.com.au