My calcs on my wifes KS all generated by the superlife KS website which is pretty useful.
Following article makes sense re big funds.
http://www.telegraph.co.uk/finance/p...est-funds.html
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My calcs on my wifes KS all generated by the superlife KS website which is pretty useful.
Following article makes sense re big funds.
http://www.telegraph.co.uk/finance/p...est-funds.html
Opposite. They should be cheaper but they aren't (compare the smartshares to the iShares overseas - last time I looked they were very different (i assume due to economies of scale)). With an index fund, you get the market return less fees 9you can never beat the marekt) so low fees are key. With an active fund, you hope to beat the market after fees.
Was just checking out my Kiwisaver . I am happy to be with Milford .
http://www.morningstar.co.nz/s/docum...rveyQ12014.pdf
I took my own advice and today I have to admit (and its a rare day - probably attributable to the black Friday) that I was wrong. Signed the whanau up from day one and get them into Kiwisaver with the $1,000 kickstart. I always saw it as my own special tax reduction - shifting my tax for that year into their funds. Anyway, all these years later we get the Statements yesterday and their individual balances are now at $1,125. So who has won - as I originally predicted, the Kiwisaver providers who have happily skimmed off their fees each year. I guess though also the whanau have learnt along the way about fees, reading statements, taxes and how managed funds go up and down.
Yes minimioke but if someone started today they would only have the $1,000.
I put two littlies into Fisher Funds back in the day when Kiwisaver started, but have made no deposits since. Both accounts now sit at over $1500. Not fantastic but cost me nothing and better than the proverbial ...
Hey I am just after some of your thoughts around this.
I am in one of the Growth funds, I have about 30k, its doing pretty well.
The crash (more than just a correction) is coming ... at some point, nobody knows when.
My question is, does anyone think its worth it to change the investment type during this time from Growth to Conservative (or similar), to avoid the decrease that will come as a result from dramatically dropping shareprices (which the growth portfolios are predominantly made up of)? Then change it back to growth in about 1 1/2 years time (or whenever) when the market appears to have reached bottom and start again - changing back to a Growth portfolio. I am doing the same with my shares - moving more to cash than holding, over the past few months and will continue to as exit points on each of them arise.
Any thoughts or considerations appreciated :)
Thanks in advance.
Master investor Peter Lynch (often quoted here on Sharetrader) once said "Far more money has been lost by investors preparing for corrections, or trying to anticipate corrections, than has been lost in corrections themselves."
You told us the other day that you are 31 so your kiwisaver got 30 plus years to run. Nobody will time the ups and downs correctly.
However what you are saying s really a little bit of reallocation of asset classes. By going conservative a lower %age shares than in a Growth fund. But even a conservative fund will show losses if there is a collapse.
If you can switch easily do what you think is best but reading between the lines maybe you should have been in a conservative fund all along?
Good you actively managing your own investments ....but that is a different game to investing in a long term kiwisaver fund.
Last word from Peter Lynch - "I can't recall ever once having seen the name of a market timer on Forbes' annual list of the richest people in the world. If it were truly possible to predict corrections, you'd think somebody would have made billions by doing it."
But only you can decide what's best
PS - I taking my 6 figure kiwisaver funds out in 3 months time to look after myself.....hope the market don't collapse by then eh. But that's he difference in approach by us old guys compared to you young ones.
Cheers mate, appreciated. Food for thought.
I guess in my mind all I'm after is capital protection. I don't want to see it wiped out when I know I could have tinkered, but then again, I guess gains I miss out on would be lost as well.
So maybe it is just a case of' set and forget'. I want the gains of the Growth, but am hesitant on the losses. I guess having not been through a downturn (with money in - we all saw the GFC, but I wasn't 'in' it) I'm still trying to intellectualise how this works, and how I can make good decisions to ride through it as strong as I possibly can.
Do you mean; look after yourself - as in the funds will take care of you, or look after 'yourself' - in that you will actively manage them??