Step 4 in maximising your superannuation benefits is being proactive in the investment of your super.

You need to make it work for you with income returns and capital growth but you also need to protect yourself from any market crashes and individual investment collapses. You need to do your investment research.

People can have different risk profiles that affect their investing where they can accept higher levels of risk in order to try to achieve higher investment returns. People can also have different risk profiles at different stages of life such as taking a more aggressive risk profile in their younger years and a more conservative risk profile when in retirement.

Risk is the chance that an investment will not give you the returns you have hoped for, or that you will lose money. Almost all investments have risk but some have more than others. Risk profiles can range from conservative, moderately conservative, balanced, growth and aggressive. It is up to you to invest in a manner that you are happy with as you are responsible for your investments in superannuation.

Whether your super is in an industry fund, public offer fund or a Self Managed Super Fund, you are responsible for the investment of your superannuation. When you have more than $300,000 in superannuation, the fees and costs of having a Self Managed Super Fund are generally cheaper than an industry or public offer fund.

However, to setup a Self Managed Super Fund, you need specific superannuation advice from a licensed advisor. I am a licensed authorised representative of SMSF Advisors Network Pty Ltd and can assist you if you are considering starting a Self Managed Super Fund. You need to be proactive in the investment of your super.