Normal Retail and Industry superfunds ARE the middlemen.
You may already know what an Investment Managers is: they are the people responsible for the investments that make a fund money. They are the engine room of investment funds like superfunds. But did you know most superfunds outsource their Investment Managers? Meaning the very thing people go to superfunds for - to invest their super - isn't actually performed by the superfunds themselves. Here's Australian Supers list of outsourced Investment Mangers for example:
By investing directly with the investment manager, you can cut out the common expenses of running a superfund. Expenses such as:
Expenses related to Investment Mangers are usually taken off the top of performance and not via member fees. This means, that your fund generally performs better than reported. Therefore, going wholesale can not only cut a lot of these fees and expenses but also lead to better performance.
When you buy most things wholesale there is generally a minimum requirement before you're allowed to purchase. For example, you need an ABN to buy food wholesale and you need a dealer’s license when buying cars wholesale.
With super the requirement is capital. Most wholesale funds have a minimum and that is generally between $100,000-$150,000. Which may be beyond many individual investors, however, people have been getting around this obstacle by combining their super with their partners.
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