VIDEO · 30 SEPTEMBER 2026
It Depends – Can A Limited Recourse Borrowing Trust Acquire More Than One Asset? (Video)
Under Australian superannuation law, limited recourse borrowing arrangements typically require separate bare trusts for each asset acquired by an SMSF. However, certain exceptions allow multiple assets to be held in a single bare trust, including identical assets purchased simultaneously, permanent fixtures spanning multiple titles, and assets legally required to be dealt with together. Understanding these nuanced rules is critical to avoid serious compliance, tax, and duty implications.
AustraliaWealth Management
In this edition of It Depends, senior associate Keeghan Silcock explains whether a limited recourse borrowing arrangement bare trust can acquire more than one asset.
Under the SIS Act, a bare trust is generally limited to a single ‘acquirable asset’, an undefined term, so multiple assets usually need separate bare trusts. Exceptions include identical assets bought together, a permanent fixture spanning multiple titles and assets that must legally be dealt with together, such as an apartment and its car park.
As this test is fact specific and carries real compliance, tax and duty risks, clients should seek advice before acquiring multiple assets through an SMSF.
Video transcript
Hi, my name is Keeghan Silcock and welcome to another edition of It Depends.
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