‘X’ Marks the Spot

Hi Scott

I am recently retired and I have topped up my Australian Super to $400k and put $1,050,000 into my SMSF. I will also have a part of $1.2 million to invest after our Family Court matter is settled. Last week I got a call from a fellow who claims his company made 28 per cent after tax in 2015 through investing in the share market. It is called ‘Shares XP’. Is this too good to be true?

Mal

Hi Mal,

Congratulations! You’ve won the money game. With (roughly) $2 million in savings, you can comfortably draw $100,000 per annum tax free in retirement and you’ll never run out of money. There’s only one final risk that you face: financial salespeople getting their mitts on your money. I don’t know anything about Shares XP other than what I’ve seen on their website. It appears part of their service is trading Contracts For Difference (CFDs). These types of trading products are financial cancer. Don’t do it. Stick with AustralianSuper, and find another hobby.

Scott