I've been looking around different managed funds from different companies, and seems most, even there "growth" funds are falling behind S&P500 ETFs (e.g. VOO).
Was just wanting to get some thoughts on why people opt to invest $$ into actively managed funds when the returns are lower than sticking them in an S&P500 ETF via say Hatch (though some do offer S&P500 matched funds).
Are funds deemed a safer investment? Or is it just that it's historically been tricky to invest in stocks or ETFs directly, so people stick with what they know.
Or am I missing something, are there TAX implications with Hatch S&P500 investment (as far as I know both investment funds and hatch ETFs have the same TAX costs).
Maybe it's the USD/NZD exchange that worries people, since S&P500 is USD.
IDK, just trying to understand why there can be so many investment companies around (offering kiwisaver and managed funds), all doing similar things.