subscribe to our newsletter sign up

New research finds SMSF growth boosts LIC investment

The growth in the SMSF market is one of the main factors driving greater investment in listed investment companies (LICs), according to a survey by Perpetual.

 

Of the advisers surveyed at the Perpetual Equity Investment Company (PIC) roadshow, 57 per cent listed the growth in SMSFs as one of the key reasons for the increasing popularity of LICs.

The capacity to buy directly and trade on the ASX was the other main reason cited by advisers, also at 57 per cent.

This was followed by a greater understanding overall of the benefits of LICs at 37 per cent.

Perpetual Investments portfolio manager Vince Pezzullo said recent falls in the market have not deterred advisers and SMSF trustees from investing in LICs.

An increased appetite for LICS among advisers is evident from the inclusion of LICs such as PIC on major wrap platforms and the approved product lists of dealer groups, Perpetual said.

“There is increasing demand for LICs because they are transparent and liquid investments and these are features which investors, particularly SMSFs, are seeking,” Mr Pezzullo said.

New research finds SMSF growth boosts LIC investment
nestegg logo
subscribe to our newsletter sign up
Promoted Content
Recommended by Spike Native Network
Greg Hollands - Numb... - Quite frankly, I am sick and tired of "community expectations" used as an argument. If that were the case, many borrowers from banks would expect the.......
Tough Love - TC, if you are earning just above minimum wage running your business, then stop. Rather than whinge about how difficult it is, just stop. Go and get.......
Jimmy - How many people buy the book and never read it? How many people buy the unshod one's book and never read it? Like the article says, it's simple but.......
Jack - Oh dear ...... investable Income, budgets, Income-producing assets (well, makes a change from ‘growth’ assets, at least), and I suppose we should.......