Smartshares DIV - new NZX passive dividend fund

[Jaa]

Finally found a list, as at Jan 1, 2020. Looks about right except there is one extra (A2 Milk doesn't pay dividends).

1 Fisher & Paykel Healthcare Corp Ltd Healthcare
2 Spark New Zealand Ltd —
3 Auckland International Airport Ltd Industrials
4 Ryman Healthcare Ltd Healthcare
5 Fletcher Building Ltd Basic Materials
6 Meridian Energy Ltd Utilities
7 The a2 Milk Co Ltd Consumer Defensive
8 Contact Energy Ltd Utilities
9 Mainfreight Ltd Industrials
10 Infratil Ltd Utilities
11 Mercury NZ Ltd Utilities
12 SkyCity Entertainment Group Ltd Consumer Cyclical
13 Ebos Group Ltd Healthcare
14 Goodman Property Trust Real Estate
15 Chorus Ltd —
16 Kiwi Property Group Ltd Real Estate
17 Z Energy Ltd Energy
18 Port of Tauranga Ltd Industrials
19 Precinct Properties New Zealand Ltd Real Estate
20 Genesis Energy Ltd Utilities
21 Air New Zealand Ltd Industrials
22 Summerset Group Holdings Ltd Healthcare
23 Freightways Ltd Industrials
24 Property For Industry Ltd Real Estate
25 Argosy Property Ltd Real Estate

[huxley]

A lot of those will have to go! No div for the foreseeable 😅

[ynot]

Latest list

[ynot]

So do you buy into DIV and pay .5% and set and forget or make your own list. I know it comes down to how talented you are but tell what you think anyway.

[Panda-NZ-]

So do you buy into DIV and pay .5% and set and forget or make your own list. I know it comes down to how talented you are but tell what you think anyway.

Slight advantage from tax rate with this fund. rwt= 33% for sharees but PIE is 28% so you'll save that 5%.

IF you're pie marginal rate is lower than 28% you can claim the excess tax paid and imputation credits on your tax return (which is same with shares).

[huxley]

Plus, the fund automatically re balances for you so you can set and forget and not have to pay brokerage. I have some funds in this ETF, but also hold individual companies as well

[dibble]

I bought a few as a sort of bond proxy, if you can scrounge them for about a buck and assume about 5% gross (but treat any dividends this year as a bonus), the value might oscillate but the underlying capital is arguably safer than your average bond (where 3% is good these days) as a single large company may go into liquidation but there would have to be an almighty financial drama for DIV to drop below eg 20c. Plus there is an upside if it ever returns to the recent 7%.

[winner69]

Timing is everything eh

An acquaintance was lamenting the fact that a financial advisor told him this DIV was a good way to go for dividends

He's suffered a 40% loss of capital since --- just bad timing I told him

Betcha many punters sseeking high dividend yields from stocks in last year have lost capital