Wow, The fact that the government actually pays out to large companies if they invest super money in fraudulent schemes actually annoys me, it encourages the wrong kind of investing IMHO with this sort of money... Still, should be pertinent you all you smfsers out there http://www.theage.com.au/business/no-safety-net-for-400bn-in-diy-super-20110213-1as46.html
The problem is, they never investigate fraudulent activities of the largest institutions. Just look at the last couple of years, hell, I lost close to 30% of my balance due to fraud and they didn't do or say anything. After experiencing that debacle, I'll take my chances with my SMSF.
Does offer protection though for the numpty retail investor who should be able to expect that a professional fund manager won't be caught out by scams or frauds. Now if a SMSFer decides that gold dust from Ghana is a legitimate investment activity, well...
