A white paper released by wealth management platform provider, HUB24, has proposed a fix for the self-managed superannuation funds (SMSFs) asset imbalance and traditionally limited allocation to international equities.
AllianceBernstein Investment Management Australia is set to be the next international managed portfolios (SMA) to be added to HUB24's platform, joining investment managers, Arnhem Investment Management and Southeastern Asset Management, which were added to the global portfolio offering last year.
HUB24's continued involvement in international assets comes after figures from the Australian Taxation Office (ATO) revealed that SMSFs have less than one per cent exposure to international equities.
HUB24 has now sought to eliminate the limited technology, cost, access and research opportunity hurdles for investors seeking to own international shares.
"The increased adoption of international managed portfolios is revolutionising the wealth management industry. International managed portfolios remove challenges which have previously impeded investors, providing a new route to overseas markets and sectors, and the opportunities they offer," he said.
Alcock is confident that HUB24's offerings will continue to bridge the gap between local investors and overseas markets that could increase the overall success of SMSFs.
"International managed portfolios with their direct stock access, professional management and easier underlying administration clearly align to the demands of SMSFs. As such, we believe they will be instrumental to significantly increasing SMSF exposure to international equities in the coming years," he said.
"Our new international managed portfolio offering can bridge that gap that is hampering local investors... from accessing global markets."