As trustee you need to ensure the fund has clear ownership of its assets and they are secure in the event of a creditor dispute.

To ensure this the assets should be recorded in a way that:

• distinguishes them from anyone’s personal or business assets
• clearly shows legal ownership by the fund, not the individual.

If an SMSF is paying premiums on a life insurance policy over the life of a member, the policy should be held in the name of the fund, not the member.

Depending on your fund’s structure, fund assets should be held in the name of the trustee(s) ‘as trustee(s) for’ the fund.

For more information, see ownership and protection of assets on the ATO website.