Smartshares question

When you apply online to start a new smartshare investment when does the initial investment start, and what price does it take?

1) When you click it through
2) The 20th of the month when they take your money
3) The start of the next month?

I know how the monthly contributions work, but am wondering about an initial lump sum.

3 as far as I understand

Which always irks me, as I swear there is a jack up around that time...

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Originally Posted by arekaywhy

3 as far as I understand

Which always irks me, as I swear there is a jack up around that time...

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Yeah, it is a bit annoying, maybe I should have bought the lump sum on market and paid the brokerage, easier to time the purchase.
Markets a bit weak this week, hopefully will continue.

They make you pay brokerage anyway don't they?

I've switched to dabbling with them on the market, rather than through Smartshares themselves

If you have an investnow account you can invest in smartshares without brokerage. You put the amount you want to invest in your investnow account and then you select the smartshares you want to invest in and the amount, they pick up the last 24 hours orders every day at 12pm and place the orders at 1pm you will see the smartshares in your account the next day or so and clicking on activity, investment transactions will show you the purchase and the unit price.

I would say if you're investing a lump sum then you might want to control your entry price and use a limit buy via sharesies or asb etc. but if you want to drop smaller sums in over days or weeks with these volatile markets then the investnow approach isn't too bad because whilst you may not always get the best price you pay no brokerage at all and at the time you place the order you have an idea of where the price is and it doesn't change too much in an hour or two usually.

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Originally Posted by lawson

If you have an investnow account you can invest in smartshares without brokerage. You put the amount you want to invest in your investnow account and then you select the smartshares you want to invest in and the amount, they pick up the last 24 hours orders every day at 12pm and place the orders at 1pm you will see the smartshares in your account the next day or so and clicking on activity, investment transactions will show you the purchase and the unit price.

I would say if you're investing a lump sum then you might want to control your entry price and use a limit buy via sharesies or asb etc. but if you want to drop smaller sums in over days or weeks with these volatile markets then the investnow approach isn't too bad because whilst you may not always get the best price you pay no brokerage at all and at the time you place the order you have an idea of where the price is and it doesn't change too much in an hour or two usually.

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Would have to think that investing a set amount each month on the day of your choosing would work out better than it automatically happening on the First of every month. Although I guess the latter does mean can just forget about them. Have been quite happy with EUF the last few years slowly built up a meaningful holding, and started Total world last year, and am now going into Robotics and healthcare.
Cant hurt to get some more exposure away from NZ

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Originally Posted by ratkin

Would have to think that investing a set amount each month on the day of your choosing would work out better than it automatically happening on the First of every month. Although I guess the latter does mean can just forget about them. Have been quite happy with EUF the last few years slowly built up a meaningful holding, and started Total world last year, and am now going into Robotics and healthcare.
Cant hurt to get some more exposure away from NZ

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I see your questions have been answered, money goes out on the 20th and share issued at price on 1st day of the month. I've been investing a set amount each month into 3 funds for a while and love it. Set and forget and I only occasionally alter the amounts or add a lump sum.

Wasn't aware of the "investnow" option that lawson mentions above. Thanks for that lawson.

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Originally Posted by iceman

I see your questions have been answered, money goes out on the 20th and share issued at price on 1st day of the month. I've been investing a set amount each month into 3 funds for a while and love it. Set and forget and I only occasionally alter the amounts or add a lump sum.

Wasn't aware of the "investnow" option that lawson mentions above. Thanks for that lawson.

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Yeah money went out today, only applied for the lump sum yesterday so just caught the cut off date, If had done it today would have had to wait around 40 days before I owned them which is a bit ridiculous.

What? No limit orders allowed? This buy on the 1st day of the next month sounds like a profit opportunity on the order line just like how Charlie Munger has said about Robinhood that it's not commission free trading. Though the NZ level of buying as a whole would probably amount so little at intraday level trades.

Another question

Prices of new units are determined by their closing price on the last day of Month.

Is that NZ times? or is it the last day of Month of the index it is tracking