ETFs

**Dazza** · 15-05-2005, 10:41 PM

ok have been reading up on www.cnbc.com in their ETF section.

they use www.sharebuilder.com
to like buy $100 worth every month of ETF's with like small ass commission.

im wondering in nzl which brokering house etc will offer that service? where i can buy ETF that are listed on the american markets or new zealand whats its FONZ isnt it for new zealand?

has anyone brought ETFs? what are ur thoughts.

i particular like the thought of cost averagin, long term buying

**Dazza** · 16-05-2005, 11:40 AM

http://moneycentral.msn.com/content/...ng/P117785.asp

heres the sight to which the article i saw about ETFs, got vanguard's VIPERs etc etc

it looks good esp with low cost $100 monthly investing.

world ETFs tracking.
using an account on sharebuilder.

now ive just checked out www.smartshares.com

with their regular savings investing account thingie with min. of $50 a month.

now is that similar to the sharebuilder.com's account?

i wish we had more choices like wall street tracking... i mean just nzl and oz... sigh

has anyone brought any MOXY/FONZ etc?
and did anyone join their savings investing thingie

it sounds good eh

**stephen** · 16-05-2005, 12:16 PM

This? http://www.smartshares.nzx.com/

I'm thinking about it myself. As long as you think index funds are a good idea, this seems like the no-brainer way to do it.

Or you could compromise. Commit, say, half your monthly share investment outlay to the index, and half into a reserve for management yourself.

**Dazza** · 16-05-2005, 05:50 PM

yeah steven thats the one
the whole idea is throwing in 100 bucks or so monthly , that way cost dollar averaging takes place

in america its easy as u have access to the vangard ones...

but in nzl... only smartshares does that, ie monthly buying with hardly any fees...

i want to do the sharebuilder one, but not sure what implications it will have for nzlers.

smartshares = no capital gains tax

no matter when u sell etc.

if only there were more products?

CJ · 17-05-2005, 12:02 AM

There is AMP WINZ fund (WIN I think) that tracks the MCSI index. Similar to the Smartshares so no tax on capital gains.

Also Tower Ozzy's (OZY) which track the top 20 Australian.

No monthly investing like the smartshares though.

Smartshares are cost free investing (ie. no brokerage) but from what I understand, you make the pmt on the 20th and shares get allocated on the last of the month, so they take the 10 days of interest as their "fee".

Note the liquidity of some of the smart shares. TENZ is good but FONZ is quite bad. Hopefully it will pick up over time so that NZ has some real options.

**Dazza** · 17-05-2005, 08:19 AM

ic, CJ more info on the AMP fund? is it cost free investing aswell?

the 10 days fee on interest is not a matter as i aint going to sell.

yeah i do realise FONZ and also MOZY has pretty bad liquidity.

im 21 now, im tinking of investing in FONZ, with base at 1k, and then 100 monthly investing for the next 40 years...

i figured i could get 10% pa componding each year?
capital gians + divis.

what do ya'll think?!

**kittydashwood** · 18-05-2005, 08:53 AM

Hey Dazza

Check out some of the screaming returns from sector and regional ETF's in the US.

Right now I'm holding XLU (ultilities) and EWZ (Brazil).

Have been thinking about TKF ( the Turkish fund) which took a battering after the new Pope turned up, seems he's not keen on Turkey's entry to the EU. Japan looks tasty in the next two years.
Basically there is an ETf for everything you could imagine, even commodities.

However they do have some pretty high fees and are subject to herd behaviour on the grand scale.

I better bet is probably the companies that collect the fees and run the ETF's

Check out GROW.

**Dazza** · 18-05-2005, 01:54 PM

kitty ive seen those screaming ETFS

in us
hense why i want to buy them!!

howeva the whole idea is cost dollar averaging...
investing monthly no matter if its up or down market

for say 40 years...

and use compounding..

i quite like the idea of the FONZ in nzl
low fees *25cents wow!!*
NO TAX GAINS!!!
and also i tink 10% pa is achievable over 40 years?

thats growth and divis..

its stated what around 5-6.5% divis? say its 5%.. then all u need is 5% growth in stocks...

40 years mate...

i tink i can a mill easy