How Much Investment Choice is Enough for Members?
Document Type
Journal Article
Faculty
Faculty of Business and Law
School
School of Accounting, Finance and Economics
RAS ID
4367
Abstract
In recent years Australians have been given increased responsibility in making investment strategy decisions for their superannuation contributions. The investment choices superannuation funds typically offer include ready-made options with a strategic asset allocation or a “do-it-yourself option where the members choose their own asset allocation. This paper examines a sample of choices by members of a large industry fund which allows members any combination of six ready-made pools and eight asset classes. About one-quarter of these decisions involve choices which suggest a possibly naïve view of diversification unless members are conscious of resulting asset allocations.
DOI
10.1111/j.1835-2561.2006.tb00040.x
Comments
Gerrans, P. A., Clark-Murphy, M. C., & Speelman, C. P. (2006). How Much Investment Choice is Enough for Members?. Australian Accounting Review, 16(40), 14-22. Available here