
Super SMSF Disaster in Property Development
Property development can be more risky than investing in a basket of shares. We have invested in syndicated property development in Australia and lost all our money because the fund managers and builder where involved in disputes and law suits and the assets (land, brick and mortar) where sold unfinished.
In such a scenario a brick and mortar based development was actually more risky than investing in a basket of shares, because we had no cut loss provision for investors who want to leave the fund if things fall apart.