Loans to buy shares
Leverage SMSF Loans to Buy Shares with Confidence
Investing in listed shares is a popular strategy for Self-Managed Super Fund (SMSF) trustees in Australia. At SMSF Depot, we guide trustees through the process of using SMSF loans to buy shares, helping them meet compliance, maximise returns, and build long-term wealth.
Many trustees seek to diversify their superannuation portfolios. Purchasing shares via your SMSF can provide both income and capital growth. However, using loans inside an SMSF requires strict compliance with Australian Taxation Office (ATO) guidelines.
How SMSF Loans Work for Share Purchases
SMSF can borrow under a Limited Recourse Borrowing Arrangement (LRBA) to buy listed securities. Under this structure, the lender’s rights are limited to the asset purchased with the loan, reducing risk to other SMSF assets.
With expert support from SMSF Depot, we ensure:
Loan agreements meet ATO compliance standards
The structure protects the fund and its members
Reporting obligations are met accurately
Key Compliance Factors
Trustees must:
Maintain proper documentation
Ensure the loan serves the best interest of the members
Avoid personal guarantees that breach superannuation laws
We assist with SMSF compliance, SMSF accounting, and SMSF tax return lodgement to keep your fund audit-ready.
Partner with SMSF Depot for Strategic Share Investments
At SMSF Depot, we bring you tailored SMSF solutions designed to support smart share investments using your fund. Whether you’re exploring direct share purchases or planning to borrow, we offer guidance every step of the way.