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SMSF different from 'wrap' super

A 'wrap' superannuation product is a personal superannuation on a platform whereby superannuation contributions are managed by the provider of the product, and the provider offer options of where the contributions can be invested.

A 'wrap' superannuation arrangement is an account with a superannuation provider or financial institution that provide account holders with a greater choice of where their funds are invested. The arrangement typically allows the account holder to direct investments to other fund managers beyond the provider's or financial institution's own range of investment products. Some allow for direct investments in shares listed on the stock exchange. The range of investments is typically restricted to ones pre-selected by the provider or financial institution.

Superannuation 'wrap' accounts typically offer a limited degree of choice to the members. The choice, however, comes at a cost that is typically higher than a standard retail superannuation fund that do not offer 'wrap' arrangements.

Self managed superannuation fund is an alternative to consider.