Keeping track of your managed funds

Managing your fund

Your fund manager will keep you up to date with regular statements and information to help you complete your tax return.

But you still need to keep track of your investment.

Read performance reports from your fund manager

The law requires you to be updated on your investment at least once every 12 months. You should read performance reports and statements carefully to understand how the investment is performing and whether the investment continues to meet your objectives.

Critically assess the performance information provided by the fund manager. They may only be comparing the performance of your fund to similar funds, and not the market generally.

There are a number of independent research providers who can provide comparison information about managed fund performance, or you may ask your financial adviser for this information.

Identify red flags

If you are concerned about your investment, try these company safety checks:

Keep all the statements you are given

You should receive statements from your fund manager at least once or twice a year. Check the financial statements to make sure they accurately reflect your investment holdings.

Ensure that any correspondence from the fund manager about your investments is sent to your street or email address. Your financial planner might offer to receive and look after your correspondence from the fund manager. If you agree to this, you might miss important information and effectively lose control over your investments. The risk of fraud also becomes higher.

Case study: Samira tracks her managed funds

Woman tracking her managed funds onlineSamira, 36, receives a statement from her fund manager about the performance of her investment. The numbers look great, but she decides to do some extra research. After going to an independent research provider, she discovers her fund is not performing as well as similar funds over a 3 to 5 year period. Samira decides to keep an eye on her fund in case it keeps lagging.

Don't just rely on your fund manager for information. It's important to do your own research and keep up with what's happening in the market.

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Last updated: 03 Dec 2018