Buying PM's through SMSF...

P

potshots

New Member
Hi All,

Have had my SMSF operating for a while now, and am about to put a chunk into physical silver.
I understand the basics of allocated vs unallocated and definitely want to have allocated.

Now I am considering going via Perth mint allocated route, but would love to here peoples experiences
and opinions on having a SDB in Sydney.

I am looking at purchasing some silver for personal investment and am looking at a SDB for that. Anyone know of a
discount for two, or split? Probably not a good idea to have them together, and maybe illegal??

Cheers :)
 
Its easy

Your SMSF & personal accounts will be separate. You'd be crazy to try combine your 2 accounts (personal/SMSF)If you add to your SMSF account with personal money it'll be counted as a contribution. You'll be taxed and won't be able to extract your wealth until you retire (excluding some situations)

I doubt you'd get a discount.

Step 1) Set-up allocated account (supply I.D. Trust Details etc)
Step 2) Order Bullion
Step 3) Pay invoice
Step 4) Recieve Certificate
Step 5) Place in Cert. in your SMSF files and forget about it :)
 
potshots said:
Hi All,

Have had my SMSF operating for a while now, and am about to put a chunk into physical silver.
I understand the basics of allocated vs unallocated and definitely want to have allocated.

Now I am considering going via Perth mint allocated route, but would love to here peoples experiences
and opinions on having a SDB in Sydney.

I am looking at purchasing some silver for personal investment and am looking at a SDB for that. Anyone know of a
discount for two, or split? Probably not a good idea to have them together, and maybe illegal??

Cheers :)
Click to expand...

Clawhammer has it.

I'd like to add that yes, a SDB needs to be in the name of the SMSF Trust or more specifically the Trustees acting on its' behalf, same as the fund bank accounts. Like all assets in your SMSF you need to keep bullion separate from personal use assets, that is a legal requirement of the SIS Act (the Super Act, basically). You can't hold your own bullion with fund bullion. However who is ever going to check...?

There is a long waiting list in most places for safe deposit boxes, i doubt you'd get a discount. A split is very, very, unlikely, and if it happens you need to make special note in the accounting for the auditor to look at. Anything like that which spurs questions for an auditor may be a big hassle.
 
Thanks for your replies.

I am thinking that allocated Perth mint style is easy and straight forward as Clawhammer said.
Is Perth Mint the best place to go through, or maybe only?

I will keep the personal separate somewhere. Is the demand for SDB's just for bank or also private company ones too?
 
potshots said:
Is Perth Mint the best place to go through, or maybe only?
Click to expand...

GoldStackers (Melbourne) offer a great service
Ainsely (Brisbane) also look after SMSF accounts.


potshots said:
Is the demand for SDB's just for bank or also private company ones too?
Click to expand...

Regardless...the real question is how to get access to one. I discovered that the regional bank branches aren't under as much pressure as the Metro branches. Because you'll rarely be accessing your box (maybe once or twice per year) it may be worth travelling to a regional branch of your bank and setting up a SDB there.

I do it.
 
Well I have finally got money released from a managed fund to purchase some PM's.
3 years and .5% ROI. :lol: :lol:

Interesting to see the price of silver in 3 years.
 
potshots said:
Well I have finally got money released from a managed fund to purchase some PM's.
3 years and .5% ROI. :lol: :lol:

Interesting to see the price of silver in 3 years.
Click to expand...

That's really bad. What kind of asset allocation did you have?
 
Byron said:
potshots said:
Well I have finally got money released from a managed fund to purchase some PM's.
3 years and .5% ROI. :lol: :lol:

Interesting to see the price of silver in 3 years.
Click to expand...

That's really bad. What kind of asset allocation did you have?
Click to expand...


It was invested in small and mid-cap Australian companies.
Live and learn.
 
potshots said:
Well I have finally got money released from a managed fund to purchase some PM's.
3 years and .5% ROI. :lol: :lol:

Interesting to see the price of silver in 3 years.
Click to expand...

I'd be interested to hear which managed fund....as you mentioned 'released' you may be referrin gto the illiquid mortgage and property funds where all money was 'locked' yet the investment managers were still getting paid...
 
Well, ended up buying through ABC Bullion and Vaulting it.
$20.97 (18.56 USD) buy price. Prices seem to be on the downward trend, but can't complain.
This should be the easiest portion of my SMSF to manage now. Set and forget.
 
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