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  1. #41
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    It's good they're paying it.

    They left me a voicemail message this morning to say they'd issue a correction and pay a dividend but I was in meetings and just got it.

    I would like to think it's just a mistake although they should be more professional than to put out a notice to advise they won't pay people in error. Still I hope that's what happened and that they didn't back down due to "constructive feedback" as I don't like to deal with companies that only do the right thing when pressured.

    So now I have to decide whether to invest or not. Thanks all for the replies.
    Last edited by lawson; 25-11-2020 at 01:51 PM.

  2. #42
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    Is there any (NZ) tax advantage for say investing in an ETF such as FNZ (top 50 NZX) and a managed investment fund e.g. Simplicity NZ Share which is also based on the NZX50?

  3. #43
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    New Question: I wanted some Aussie stocks but haven't a clue about their exchange so I looked into ASD Smartshares Aus Divs. Present Shareprice $1.64 and divs 5.23%. Looks OK until one looks at the EPS... -37.4cents! Wott! How are they staying afloat?
    Then OK, had a look at other Smartshares... ASF, Aussie Financials. EPS - $1.67
    ASP Aus Property EPS - $1.50
    Could someone please explain the logic of these investments?

  4. #44
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    Quote Originally Posted by Jerry View Post
    New Question: I wanted some Aussie stocks but haven't a clue about their exchange so I looked into ASD Smartshares Aus Divs. Present Shareprice $1.64 and divs 5.23%. Looks OK until one looks at the EPS... -37.4cents! Wott! How are they staying afloat?
    Then OK, had a look at other Smartshares... ASF, Aussie Financials. EPS - $1.67
    ASP Aus Property EPS - $1.50
    Could someone please explain the logic of these investments?
    You need to be aware that the earnings of these investments is the change in market value of their holdings plus the dividends received from said holdings.
    Their financial year ends on 31 March, every year.

    So on 31-Mar-2020 the Oz market was just beginning to recover from the great covid sell-off, and thus these funds NTA values were deeply down on the prior year.

    Come 31-Mar-2021 it is likely, though not certain, that the earnings will be similarly spectacularly positive.


    The logic is the usual logic of investing in any ETF.
    om mani peme hum

  5. #45
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    Thanks. Snow Leopard. So although ASD is Aussie Dividends Smartshares, one is investing in companies giving good dividends, but relying on their growth characteristics for earnings? Not quite what I had envisaged.

  6. #46
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    Quote Originally Posted by Jerry View Post
    Thanks. Snow Leopard. So although ASD is Aussie Dividends Smartshares, one is investing in companies giving good dividends, but relying on their growth characteristics for earnings? Not quite what I had envisaged.
    No. Where did you get that idea from?
    om mani peme hum

  7. #47
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    I noticed previous posters have mentioned the US500 (USF) fund. Seriously do NOT buy into it. Smartshares invests 100% of the proceeds into a Vanguard fund. So Vanguard charge their fee and Smartshares charge 0.5% or thereabouts for investing 100% of the funds into another fund. The cheek of it! Same goes for USG, LIV and a number of other large platform funds. I think it is an absolute rort to have two sets of funds both charging fees.

    That said, Smartshares actively invest in some stocks, rather than funds, like ASF, ASR etc. I highly recommend checking to see what they invest in before committing any funds. This information is available per the regular releases for the various funds on the NZX website.

    Secondly, I have stopped buying Smartshares directly now. I now invest via the likes of Sharesies. Why?
    • Link Market Services is useless. It takes days to get announcements and updates when it really should be instantaneous. It feels like they are an analogue business in a digital world. I actively avoid investing directly into any organisation that uses Link.
    • I have no idea what Link and/or Smartshares does with the roundings but I highly doubt I benefit from any roundings given units are always issued in whole numbers and there is no change from the investment. Or if there is change, it is not transparent. (NB: this is on the basis that you invest set dollars, not buying a set number of units such that a unit that costs say $12 with an investment of say $200 results in a missing $8, or in this case 4%).
    • Smartshares takes the money on the 20th, goodness knows what happens for 10 or 11 days but then they invest it on the last day of the month. That is really poor form in today's digital world. And then it takes at least 3 days to get anything from Link. If I spend money today, I want to know at the end of the day what I have bought - not 14 days later.
    • Lastly, investing the funds all at the same time is IMO a not very smart tactic. I would rather buy on market and take the ups and downs of the intra month movements.


    So in summary, the benefit of buying Smartshares via the likes of Sharesies and not directly:
    • Partial unit allocations means no money is lost in the roundings
    • Instant use of the funds and notification of what I have bought
    • The ability to buy in, what I think are, price troughs.

  8. #48
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    I disagree. The reality is that for some of us this is the only affordable way to buy into Vanguard funds. Doing it via Sharesies - via Smartshares - makes it doable for people like me.

    Quote Originally Posted by Ferg View Post
    I noticed previous posters have mentioned the US500 (USF) fund. Seriously do NOT buy into it. Smartshares invests 100% of the proceeds into a Vanguard fund. So Vanguard charge their fee and Smartshares charge 0.5% or thereabouts for investing 100% of the funds into another fund. The cheek of it! Same goes for USG, LIV and a number of other large platform funds. I think it is an absolute rort to have two sets of funds both charging fees.

  9. #49
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    Quote Originally Posted by justakiwi View Post
    I disagree. The reality is that for some of us this is the only affordable way to buy into Vanguard funds. Doing it via Sharesies - via Smartshares - makes it doable for people like me.
    Have you seen investnow? This has some vanguard funds that you can buy into with reasonably low fees.

  10. #50
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    Quote Originally Posted by justakiwi View Post
    I disagree. The reality is that for some of us this is the only affordable way to buy into Vanguard funds. Doing it via Sharesies - via Smartshares - makes it doable for people like me.
    You can buy the Vanguard ETFs directly in Sharesies now.

    (Edit: There might still be reasons to buy the Smartshares equivilent rather than the Vanguard original though, such as no brokerage and no currency exchange fees for Smartshares, and maybe some tax differences.)
    Last edited by turnip; 12-01-2021 at 09:52 PM.

  11. #51
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    Quote Originally Posted by justakiwi View Post
    I disagree. The reality is that for some of us this is the only affordable way to buy into Vanguard funds. Doing it via Sharesies - via Smartshares - makes it doable for people like me.
    To add, there's a lot more to just owning the Vanguard ETF through a NZ fund. There's also compliance FMA regulations that the NZ Smartshares (and others) have to comply with. Issues like FIF will kick in if over $50K in total foreign balance adds more paperwork so the client has the correct totals to report for FIF.

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