The government  has confirmed DIY funds can keep investing in collectibles and personal assets

The government yesterday confirmed DIY funds can keep investing in collectibles and personal assets.

However, the government is drafting new laws to tighten some parts of the existing rules, which will centre on not allowing these assets to be kept in the homes or premises of self-managed fund members.

The move is part of the government's election promise to allow self-managed funds to continue to invest in collectible assets after the Super System Review last year recommended they be banned.

According to DBA Lawyers' super expert Bryce Figot, the draft clears the way for new rules to restrict how these assets are kept.

"It is not specific but implies that artwork, antiques, jewellery and other types of collectible and personal use assets can not be kept in the homes or properties of fund members," Mr Figot said.

"The example given is of an artwork that must be leased to a gallery and not stored in a member's home.

"If this requirement can not be complied with then the fund will have until 2016 to dispose of it. I guess that means they have five years to shape up or ship out."

Assistant Treasurer and Minister for Superannuation Bill Shorten yesterday said the new rules will wipe out any "personal benefit" some fund members might have had from investing in certain assets.

"We are tightening the rules so people can't claim they are, for example, 'collecting' high-end sports cars, paying reduced tax and then actually driving around in those vehicles," Mr Shorten said.

Also yesterday, the government announced former Future Fund managing director Paul Costello will chair the Stronger Super Peak Consultative Group, which is reviewing submissions on the superannuation system. Public submissions can be made until February 15.