Just curious: have you thought about comparing the performance of your fund with other options on the market? Or you are quite satisfied with yours?
My smartshares running about 8% return so certainly better than the actively managed unit trusts by mother bought as a 21st present many many many years ago that barely made inflation, other high units running a little more than smart shares.
Ive tried picking shares with some successful but have also lost my shirt in others.
So I have a mixture of index and active managed funds. The index ones I've had for years on the side while paying off student loan/mortgage and the active ones have only being going for a couple of years so too soon to know.
Reading around the topic it seems over a long period of time passive index funds do better than 50% of the managed ones so I am happy with study returns rather than massive high/lows.
With Smartshares how does the IRD tax work? You mentioned that your returns are reinvested into more shares, which is what I am thinking of doing. Does Smartshare pay the taxman + take there fee etc and then give you the balance? I can't see this information on there website.
Example with RaboDirect they mentioned on there website that they debit the account if you owe tax.
Smart shares know my tax rate and remove it from the dividend (and management fee) and turn the returns into units.
They are in a PIE so they just remove 28% and the dividends dont need to be declared to the tax man. (this is specifically mentioned on the dividend statement)
Are you subscribed to our RSS feed? You can download the latest headlines and summaries from our stories directly
to your computer or smartphone by using a feed reader.
Trusted
