It’s a type of super fund where the members are usually the trustees (and often related so it’s a small group) and is regulated by the Australian Taxation Office (ATO).
When you manage your own super, you put the money you would normally put in a retail or industry super fund, into your own SMSF.
If set up correctly, it’s able to receive rollovers, contributions and pay an income stream. You choose the investments and the insurance.
An SMSF can have no more than six members. As a member, you are a trustee of the fund — or you can get a corporate trustee. In either case, you are responsible for the fund complying with the super and tax laws (penalties apply if you don’t).
While having control over your own super can be appealing, it's a lot of work and comes with risks.
If considering setting up an SMSF, make sure it is right for you before making your decision. See more detail on the ATO website about:
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How to correctly set up an SMSF.