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This is a question about a New Zealand savings fund, but it deals with overseas investment and fees. NZ has a government scheme called Kiwisaver, a brief rundown is as follows: * a $1,000 tax-free kick-start * a member tax credit of up to $1,042.86 per year * subsidised scheme fees, ($40 a year) and * a compulsory contribution from your employer. (4%) I'm considering going with the scheme that's run by my bank, ASB, and they have a number of options available, ranging from conservative to craps. Being 24 I'm looking to go the high-risk route (at least until I start hitting 50). As I was looking, I noticed they offered a 'Global Sustainability Fund', which looks like it follows Al Gores Generation Investment Management. Being a bleeding heart liberal who impotently shakes my fist at the military-industrial complex, this seems an attractive option. However, check out these comparison pages: http://www.asb.co.nz/kiwisaver/ASBScheme/compare-funds.html <-Basic schemes http://www.asb.co.nz/kiwisaver/firstChoiceScheme/compare-funds.html <- Active/Index schemes, including the sustainable one. The investment management fee for the GSF is 1.5%, just about 5 times higher than the others... so, 1) Is Generation Investment Fund a worthwhile, reasonably competitive and competent group, or just a gimmick? 2) Should I baulk at those fees and go with one of the cheaper options? I get $40 a year from the government to help pay those fees off.
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Sep 4, 2008 11:21
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NZAmoeba posted:This is a question about a New Zealand savings fund, but it deals with overseas investment and fees. Bumping to see if there are any answers to this, otherwise I'll probably sign up in a couple days and see how it goes after a year, transferring doesn't appear to be much of an issue.
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Sep 13, 2008 13:46
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Regnevelc posted:I am thinking of pulling out of some stocks in my 401K and investing more in mutuals. What do you all think about this? Right now I am about 80% in stocks and 20% in mutuals. I was thinking of moving to a 60/40 split due to the current market. I'm hardly an expert, but selling off your shares while they're low, only to buy them back at some later date when they're high again isn't how you're supposed to do this. Stocks are on sale right now, buy more of them for the eventual rebound (even if it takes years). If they never rebound, then we'll probably be living in a post apocalyptic hell-hole, in which case you will have bigger problems than your 401k.
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Sep 30, 2008 05:27
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Harminoff posted:I've never overdrafted, buy even if I did they autotake the money from my savings, no charge. The account says it doesn't need to keep a minimum balance at all, just acts like a savings account. I guess ultimately it sounds like it's just something to get you to use your visa debit more, thus getting visa it's commissions. But hey if there's no restrictions on withdrawals then go nuts. I have a hard time imagining how you'd get a substantial balance in there though, even if you said "I get a dollar every time I use the card" do you really use the card that often in a week? On the other hand Visa likes it's promotions so may offer other ways to increase the balance in the future but of course there's no guarantee that'll happen.
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Mar 31, 2009 20:42
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Internet Meme posted:He says that I should be putting away money despite this, because of the way that interest compounds. Wouldn't loan interest compound the exact same way that investment interest compounds?
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Apr 21, 2009 04:31
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