I'd suggest InvestNow for ETFs. They have no fees and auto-invest option.
Printable View
Detailed under the FAQs
https://investnow.co.nz/fund-foundation-series/
InvestNow have an article exploring several options, including the Foundation Series, with the fees evaluated:
InvestNow | Article | Tips and tricks for building a tax-efficient global shares portfolio
For what it's worth I recently moved funds from the Vanguard International Shares Exclusion Index Fund to the Foundation Series World Fund to take advantage of the PIE tax treatment (the Vanguard fund is technically an Aussie fund). Avoid some "tax leakage" as InvestNow term it. The money will need to stay put for a while to overcome the 0.5% "buy fee".
double comment
I was going off this:
https://investnow.co.nz/faq-items/wh...ees-and-costs/
I use it to invest mainly into Smartshares ETFs which should not have any transaction fees.Quote:
InvestNow does not charge any transaction or admin fees.
The investment managers on InvestNow will have different management fees and in-fund costs. You should read the relevant disclosure material for each specific fund to ascertain what the management fees, in-fund costs, buy and sell spreads (also commonly called entry and exit costs), and other costs and expenses are.
1.9% with a $25 cap is still a good deal, especially on very low value orders. For Australian orders the cap is $AUD 6. Why a 4 times lower cap in Australia? Exchange costs or Is it because Sharesies notwithstanding, share investing is still a very small minority investor activity in Aotearoa?
That's what I thought too but the Foundation Series SP500 appears to be USF (which is Smartshares) yet the buy and sell fee is 0.5%.
It is what it is. I'm not going to rant about it forever, but I do believe Sharesies customers' current disappointment/anger, is justified. I note that a "certain person" who shall remain nameless but not anonymous by any means, is taking great delight in accusing me/us of being "entitled" whingers (obviously reading this thread), and implying that Sharesies might be a good place for him to invest his large bucket of money, given the fees are so low on the plans. Yeah right. Like he is ever going to do that to any great extent. Just the usual meaningless bluster.
Nobody is acting "entitled" and nobody is whinging. We are expressing our feelings about the changes, as is our right as customers. Sharesies set the platform up for small investors. Now that those small investors have helped build the platform and get Sharesies off the ground, they have apparently had a significant change of philosophy, and are now more interested in pandering to the large investors, who are the ones who stand to benefit from the monthly plans.
This isn't really even about the money. It is about principles, loyalty and trust. Once you lose sight of your principles, take your customers for granted, and lose their trust - your chances of ever winning them back are close to zilch.
I agree with you and what you say but at the end of the day commercialism wins out. And realistically, small investors like yourself, are never every going to cover the cost it pays to provide the service that you use.
Yes they did start off promoting small investing for everyone and that is what brought me to that place too. I was very enamored with their vision to make investing accessible to all. I think they got caught up in the low r rate environment and the asset bubble, grew too quickly and now that revenues are declining and costs are ramping up, commercial reality is biting them in the bum.
Possibly too, it was their strategy from day one. Loss lead, get as many clients as possible, once monopoly position has been established, ramp up the pricing.
Either way, the days of extremally cheap investing for small amounts are gone.
Thanks for understanding where I am coming from.
I really hope it was not their strategy from Day 1. That would really disappoint me. I guess that's something we will never know.
My expressions of disappointment and frustration are not only for myself. I am concerned for those Sharesies investors who are beginners. The posts on the Facebook groups are concerning to say the least. A number of people have already sold out and have closed their accounts. Some of those people will have locked in their losses by doing that. Others have cancelled their automatic orders. Some are putting a hold on contributing to their kids accounts. More than a few have decided to quit Sharesies and go with a managed fund elsewhere, or Hatch if they are primarily investing in US. Aside from the fact that many of these people possibly do not fully understand the impact of these decisions, all of these decisions are taking money away from Sharesies - right when they are making changes to increase revenue. The co-founder/co-CEO has just posted a video on the Facebook groups, in an attempt to better explain the changes. He did not address any of our specific concerns or feedback - it was simply another "explanation" of how it works. To be honest, it feels more than a little condescending, and an assumption that we simply don't understand.
Apologies. I have had another look and their Foundation Series US500 fund is actually VOO (but the transaction fees are definitely 0.5%) - having said that, Smartshares USF also invests directly in VOO, so they are one in the same thing, except one is part of the Foundation Series (not yet entirely sure what that even means or what the advantage is).
Foundation Series US 500 Fund
The Fund aims to generate long-run returns by investing in an underlying Exchange-Traded Fund (‘ETF’) that invests in shares of the largest companies listed on exchanges in the United States. At present, the Fund achieves this exposure by investing in the Vanguard 500 Index Fund ETF (Ticker: VOO).
I'm confused about your "in house fund" comment? Having said that, maybe I am still missing something. I will have a more in depth look tomorrow when I have more time.
It’s worth remembering that the zero fee brokers available offshore make their money through PFOF, which probably isn’t an option for Shareies and also means the customers are the product.
The in-house meant the manager of the fund is InvestNow. The transaction fees only apply to the Foundation funds. Smartshares is different manager and there's no transaction fee on those funds.
I assume it's because 3rd party managers actually pay InvestNow for being a middle man.
Correct, I needed to have a closer look. Mostly my knee jeck reaction was because up until now, I have been investing regularly with random amounts and timeframes, taking advatange of the no monthly fee and fixed low % fee to allow such ad hoc introductions of moneys.
Previously when primarily using ASB direct I had to stockpile and be more definite in timeframes.
This is where I'm at now. Another lesson for me not to make such snap judgements. I should be able to make one of the monthly plans work which will still be cheaper than going direct but will require a bit more of a timing plan. I'm fortunate enough that I can make it work with sums I have available from time to time.
Yep, the monthly plans will be welcome and beneficial for those with decent amounts to invest - which, of course, is exactly what Sharesies is hoping for with these changes.
The rest of us - the small investors whose money, support and loyalty, built the platform - are now the ones subsidising the cost of your investment (not meaning you personally, but investors in your position).
That will no doubt make some larger investors very happy. I can recall more than one occasion here, where certain posters have commented that they were subsidising the cost of small investors.
I still think Sharesies have ****ed up and they are already paying for it. Go read their Facebook group posts (yes, including mine) - I would love to see the figures on how many people have sold up and closed their accounts. I suspect Sharesies are in for quite a shock.
No matter how Sharesies spin it or try to smooth their way out - the fact remains it was a pretty nasty thing to
drop on all when they did.
They have shot their credibility in both feet big time, be it whether no-one knew or could see what was going
on, or the newer shareholders in the Sharesies operation have simply got greedy, pulled the curve in
and ripped the rug out from under the loyal users of the service in a hurry.
Either way neither reflection is a very good one on Sharesies or it's Board and Management IMO
With a lot of doom and gloom out there especially on NZX poor performance in recent times, it wouldn't
surprise if the rates of attrition are horrendous out of a clueless move in inflationary times as interest
rates rebound upwards.
Sharesies has prospered with accelerated growth out of times of large free money on the loose coupled with
loads of spare time for those in receipt of it - those conditions are vastly changed now.
What goes up can come down and very rapidly .. most seasoned investors and brokers will be well aware of that. Something that Sharesies itself may well pay a very dear price for not reading the times and their customers likely reaction to changes which can only be read as adverse to many.
Fair points, though I do still consider myself a 'small investor' I expect that definition is somewhat... flexible. The cross-subsidy concept is a complicated issue I don't believe works in either direction from what I know of the companys finances from the outside.
My first investments in equities weren't that long ago in investment timeframes (though pre-dating Sharsies) and I paid a $30/3.0% fee for the first $1,000 I managed to scrape together over a long time period. The equivalent directly purchased in one lump under the scheme would still be cheaper (price cap $25), and if under the plan $3 monthly plan I could drip feed it in over 10 months - $100/ month or $25/ week to get the similar outcome. That is I guess where my contrast is so Sharsies as a platform is an improvement over where I started. (glossing over the $15 direct up to $1,000 which also didn't exist then).
Closing accounts and selling out seems like a... less than ideal response however. The new fees are forward looking only and you could just sit on your holdings and refrain from any purchasing under the new fee structure. Then possibly find a time to sell that isn't after a (potentially) massive share price downgrade - depending on holdings.
Respectfully, I think you need to move on from this.
I’ve also been contributing into a Sharesies account for years (before Covid), consider myself a ‘founder customer’, it feels you’re invalidating anyone who’s experience with Sharesies doesn’t match your own.
It’s been great that you’ve been able to capitalise on a low fee service which if it was profitable in a lower rate environment, likely isn’t anymore.
Venture capital has been paying the bills at Sharesies, and it’s reportedly making a $25m loss. I think the changes strike a reasonable balance for all the stakeholders in the business and I’ll continue using them as a customer going forward.
All the best, and merry Christmas.
How does a Sharebroker lose money ? :)
Most (bar one outfit) I know of do fairly well ;)
You're right. I will move on, and at this stage anyway, will continue to use Sharesies, as there is currently no viable alternative for me.
I am sorry that you feel I am "invalidating" you, or anyone else. I don't believe that's what I am doing. I have been a Sharesies member for some years now, and I have been one of their most avid and public supporters. I have had their backs in many discussions on their Facebook groups. I have promoted them to friends and family, and anyone else who showed interest. I have worn their tee shirt in all manner of places, as a way to help them promote their brand. I have taken part in one on one video interviews with their marketing team. I even put myself out there and agreed to be interviewed for that Stuff article - something that was right out of my comfort zone, but I agreed to do it, to once again, help promote them and investing for beginners in general. I have gone in to bat for Sharesies everywhere - including here - for years. Because I believed in them, their philosophy and their platform. Up until now I have been 99% happy with Sharesies (DRP has taken way too long to come) so I have in fact been one of their most satisfied customers. I think I have done everything I possibly could to be a loyal Sharesies customer. So your comment that I am "invalidating anyone whose experience doesn't match my own" could not be more wrong.
I think my feelings of disappointment and of being let down by Sharesies are entirely valid. Loyalty goes both ways, or at least it should.
I will continue to voice my opinion until Sharesies actually admits they failed to "read the room" on this one. Then I will move on and find something else to bitch about ;)
Merry Christmas to you too!
I agree and I have no intention of closing my account. I might be unhappy right now, but I am not stupid, and have enough experience to know that now is not the time to make reactive decisions. But a significant portion of Sharesies customers are beginners, who do not fully understand investing yet (it takes time), nor will they fully understand the consequences/impact of any rash decisions they are making right now. It is far from ideal, and I am actually concerned for those people.
Fair enough :)
I don’t frequent the facebook groups and I’m not aware of any stuff articles so wasn’t aware of any of that. Based on the points you’ve raised I can see how you’d feel like a valuable customer.
At this point they are more of an IT development company than broker. They've been constantly adding new features since they started and I assume their ultimate goal is to take on ASB securities in the future allowing CSNs. That will cost some serious $$$ in the long run.
Agree with you 100% here - did not mean to infer yourself. Understand and agree that many people who do choose to go this way are likely to be less experienced and/or informed and will only likely hurt themselves more financially - which is a great tragedy. Especially as one of the primary angles for Sharesies was the lowering of the bar to entry for exactly this group of people (a general position I very much support).
While I'm coming round to the 'okay with this' in relation to the fees changes for my situation, the way this has been communicated from Sharesies is clearly missed the mark here.
but most IT development companies are well known to belch red ink for donkeys years :)
Surely this has been no more than a short price the offering to suck in the punters
then wallop them over the head with closer real cost later ? in process cornering a certain
part of the market :)
Wonder what ComCom would think of this sort of conduct at expense of their competitors
and other market participants ? ;)
for what it's worth Custodian / Nominee services are also offered elsewhere, Sharesies
are riding / partnered on a larger platform for part of their coverage US maybe others.
Any broker offering interactive online obviously needs to develop their own site
to interface with features from their market data suppliers / exchanges.
Will entry into Kiwisaver provider status also see underprice services to get in the market
then turn around & wack on the head those that have been reeled in a while time later with
heftier fees ? ;)
Such practices are unfair & predatory and may be seen in a very dim light by ComCom ;)
You’re basically talking about blitzscaling, which creates good (although possibly short term) outcomes for consumers. Maybe for sharesies their real customers are their investors (owners), optimism around innovative tech businesses means money keeps coming in the door when they raise new capital!
Look at Airbnb and Uber, VC capital keeps the machine running as they grow, one day they might make a profit, but who cares for now! Meanwhile legacy business struggle to compete and consumers are given artificial pricing.
I guess we’ll find out if that was just a low-interest-rates phenomenon soon..
Sharesies has been a bull market phenomenon centred around hi volumes of trading from novices bringing the shoe shine boys into the market and a clear signal of the end of the bull market.
I’ve always said Sharesies was a bludging business model, built around avoiding settlement (transfer to purchaser) and NZX fees. Nice IT with a friendly interface helpful staff and working to increase fungibility of share ownership but never profitable at that level of fees
.......................
NM. Deleted as I misread part of your post.
But of course they were started to help 'investors' as was Robin Hood.[/QUOTE]
What I meant was that these platforms are designed to encourage speculation and trading but masquerade as trying to democratise investing.
I said a hell of a lot would be better off now if these platforms didn't exist.
Not all.
For a few they are a godsend.
To be fair, I don’t believe Sharesies was ever designed for trading as opposed to investing. As frustrated with them as I currently am, I don’t think it’s realistic to compare them to Robinhood. Two completely different beasts.
Their focus is now clearly on encouraging auto-investing, because that’s the best way for them to increase their take. I personally disagree with that focus. It implies that none of us are smart enough to be proactive with our own investing, so we should just “set and forget.”
Having said all that I am still a customer for now, as there is no viable alternative for NZX. But I no longer have faith in them and I will not be promoting them to friends or family anymore. A few days ago I posted two posts on their Facebook pages. One was a simple poll, for my own personal interest, asking people what, if any, actions they are making with relation to the fee increases. The other was intended to be my final post, asking them whether they have any intention of taking all the feedback onboard and perhaps making some small amendments to the new structure. My posts were respectful and not in any way inappropriate.
They rejected them both.
Fair enough, I actually have no idea what I'm talking about here as is probably obvious.
Maybe I'm thinking more of Hatch.
The sooner Interactive Brokers include the NZX the better.
You have certainly educated yourself very well on the broad and complex field of general equity investing.
It's simple but very very hard to do.
Like losing weight, nothing could be simpler but very few are successful. And fewer can keep it off.
I think sharsie was meant to encourage kiwis to Invest in kiwi company's a lot of friends Invested in air nz on this principle being loyal patriotic kiwi as .
And other kiwi company's in the nzx only like Harmoney( now asx ) Irrespective of their ups & downs ,they where doing what they perceived was a kiwi thing for kiwis with a kiwi sharesie .
Now they have had the rug pulled from under them as its so much more expensive to Invest Kiwi local ,& cheaper to Invest in the Yankee dollar or Oz what's that all about .
Its a sucker punch that's what that is ,take the money for pink logos & ethical lies & Innuendo's of a caring "kiwi as" company yeah right .:D
It might be better for NZ to own overseas companies.
Those $$ in capital gains and overseas dividends are new money coming into NZ with the latter being highly taxed.
Does it though ? .. the biggest gains could be through SP movements outside the local Kiwi goldfish bowl :)
Many wont pay a dividend & who would care if they did ? ;)
If the Govt here want their 33% of the dividend action landing here, not many would be too bothered.
CGT has proven too prickly for the local Political Gestapo to even touch, so provided trading in securities is not the MO, and simply an opportunist investor :)
Buying offshore shares for dividend income - ok .. so a pound of flesh is extracted, foreign franking credits (say for Oz) are in limbo & no use here, but save on the Ozzie Govt's clawing too much out before the local taxman takes it's swipe out of the action. Simply - looking for foreign income from dividends budget for a 33% grab but look for a decent enough yield and there are some very very good candidates across the ditch, also not too bad in places elsewhere but need with taking onboard the FX risk is necessary.
I can't imagine Nosey Parker or Robbo the Finance Magician tampering or tinkering with FIF DWT or similar Legislation at any time .. probably well beyond their limited understanding abilities .. they would probably only succeed in impaling each other with the magical wand then try blaming it on someone else ;)
If it can't be abolished, the FIF limit really should be increased to something more current like $250k per person from the current $50k.
Complexity is the worst kind of tax for a government to levy.
Dunno whether that would ever happen :)
Has bracket creep ever been addressed by the Political Creeps in Wellington, or have they just
continued helping themselves on traditional rates levels, unadjusted since the cows came home ? ;)
After all with reduction in Company Tax rates to 28% - as most will be fully aware, Govt still continued to rip
33% out of most dividends that didn't have an imputation shadow attached.
And for those dividends with full Imputation credit of 100% attached - guess what - every shareholder still got stung
for the extra 5% DWT to top up to the 33% - this despite a fair pool of investors not even being in
a 33% top tax bracket
Anyone looked at the FIF exemptions on most Aussie listed shares on NZ IRD site ? :)
The ones that don't qualify for the FIF exemption appear to be few and far between
Really good point Jaa. $50k is nothing and if inflation keeps up for a few years, you will have kids having to report FIF income. The FIF regime is one reason I have avoided (in the past) to up my position overseas over the $50k mark as the cost of doing so is exorbitant (think accountants costs). A higher limit will be beneficial to NZ inc.
https://www.nzherald.co.nz/business/...M7RMDQKCCOFOA/
Summer questions: Sharesies co-founder Brooke Roberts sees opportunities in KiwiSaver and savings spaces
(and you guessed it - Premium)
Hey Brooke - How about some special savings on those Sharesies fees you guys are hell bent on increasing ?
The Sharesies members here could all decide to jump ship, then you lot will be stuck with trying to sell your services and Whatever Saver it will then be to the Penguins on Auckland Island and Eskimoes up north :)
Note: neither may like a bit of the fractitional treatment either. They both probably like whole fish ..
Q: How would you describe 2022 for Sharesies?
This year was one of huge growth for Sharesies. Some of our highlights in 2022 included announcing the launch of Kiwisaver for early 2023, re-certifying as a B Corp (and improving our score), topping Kantar’s Customer Leadership Index of best brands for customer experience in Aotearoa, and plenty of product updates that have seen us transition into a true wealth development platform.
Like every other business in this economic environment, we’ve had our fair share of challenges too.
Q: How does the turbulence of financial markets affect your strategy going into 2023?
We will see more challenges and uncertainty, but our strategy is to meet these head-on by remaining agile and leading with transparency, resilience and above all, empathy.
One thing we’ve always been committed to is educating our investors on the different types of markets and how to weather the storms. That part of our strategy is even more important now, when things are more challenging, so we are continuing to provide information via our blogs, podcasts, emails, social media communities like our Share Club Facebook group and in our app.
Q: What opportunities do you see in 2023?
Kiwisaver has so much room for innovation – currently it’s structured fairly traditionally, and as we have seen from our waitlist of over 8,000 interested investors, Kiwis are ready for a new and more engaged way of managing their future nest egg.
New ways of managing savings is also a huge opportunity for 2023. Interest rates have increased, and given the current economic uncertainty, Kiwis are looking for new ways to manage their money. There is the desire in the market to launch a new way of savings here in Aotearoa, which we’re excited to pursue.
Q: What was the most interesting story of 2022?
It absolutely had to be the Black Ferns winning the Women’s Rugby World Cup. I’m still revelling in that glory and the buzz of it happening here on our home turf. I think, and hope, this will inspire a big step change in supporting women’s sport.
Q: What are your predictions for 2023?
There is a lot of chatter about a looming recession. If this does happen in Aotearoa, we expect it will be felt on a shallower scale than several other countries, due to our low unemployment rate. But the recession may remain as a slow burn for some time.
Next year we anticipate that nearly half of all existing mortgages will be rolling onto higher interest rates which will continue to put a lot of pressure on Kiwis and our economy.
On a more positive note, we are super excited for New Zealand to be co-hosting the FIFA Women’s World Cup next year.
Off the back of the success of the Women’s Rugby World Cup, I think many more Kiwis will be set to back our female athletes in this sporting code too!
Q: What’s the worst mistake you’ve made in business?
I prefer to look at mistakes as learning opportunities. Early on in my career I learnt the valuable lesson of really understanding people’s motivations - what drives them, and how aligned they are to purpose.
I’m so happy I learnt that lesson young, as at Sharesies we’ve been able to hire people that truly want to join our mission, to create financial empowerment for everyone.
Q: What would you rate as your greatest success in business?
My greatest success in business has to be launching Sharesies. The skills I have learnt, and the experience of creating something from nothing with our other five co-founders has been so rewarding.
We’re not slowing down, either. We are excited to continue to push for innovative ways to give access to, and engage more people, in creating long-term wealth development opportunities.
Q: Where and how are you holidaying this summer?
I’ll be around home! My family and I are taking a short break this summer and looking forward to just relaxing, and simmering low – hopefully in some sunshine with our whānau.
I think Sharesies assasinated their KS scheme with the increase of fees. Most of the people would likely move their KS based on the relationship and trust, which was now broken.
Never bothered with Sharesies before but after the publicity about the brokerage rate increase I had a look. I joined because it still seems useful for regular investing of small amounts of surplus cash which one would not want to pay minimum brokerage on elsewhere. Another hobby.
Sharsies still can be workable/good value depending on what you are doing. But now just have to pay more attention on how much you are investing etc.
Can see why customers are aggrieved though - a tripling of price is pretty unpalatable for anything. But then again, $20m is a fairly big hole to fill. ;)
Agree with the damaged they've done to their brand and customer trust. Not that I'd ever look at them for KS, would have to think it has torpedoed alot of potential business.
There is a lot more damage that they are doing under the surface but I am not in a position to comment on that at the moment. But I do know their drive to monetise all and sundry is annoying not only investors.
Apparently staff told tonight of a restructure with consultations looking to take a month.
https://www.nzherald.co.nz/business/...IQ7SYB3DCY73Y/
Sharesies announces restructure, redundancies likely
Great .. Even Less Service for the recent more fees .. ******* marvellous :)
bound to be some further trickle on recessionary affects yet to surface
Interesting timing for a big PR push as they tell a lot of staff they not wanted
Sharesies - the inside story of one of NZ’s most successful start ups
https://www.nzherald.co.nz/business/...J4IL5A5CYEGLM/
I signed up for the $15 a month shareies fee. Its reasonable I think. Can buy up to $5,000 per month for $15. Its the best option for DCA using your monthly pay.
If you buy about $3000 worth of TRA shares the quarterly dividend will cover the monthly fee :cool:
I bit the bullet and went with the $3 plan - might save me around $36 a year. But I transferred all my larger holdings out before the fees increased, and only have three very small holdings left with Sharesies. I will work on building those up to a level that justifies the $15 transfer out fee, and once I've done that, I'll be out. Hoping by that time Hatch will have added support for NZX.
Sharesies is still the cheapest platform admittedly, but they are no longer the platform I signed up to. Fee increases of some level are acceptable. Doing a complete about-face on your original vision and philosophy, is not.
Can understand where you are coming from. But from the little info that is publicly available, they need to make changes as bleeding $25-odd million isn't workable longer term. I think the fees overall are still cheap, but just have to moderate buying/selling amounts and frequencies to make it work best and most economical.
Sharesies built the market, but unfortunately can't sustain it.....
I totally get that, and as I have said before, I would have been OK with a small fee increase across the board. But a 280% increase in transaction fees and a 200% increase in transfer fees is over the top. We would never accept a fee rise of that magnitude from any other business we are customers of. People are looking at the $ value and forgetting that the percentage increase is huge. I'm not stupid enough to cut my nose off to spite my face, so I will stick with them for my smaller holdings for now, but as soon as it is viable, I will be out. The vision and philosophy they sold me on 6 years ago, no longer exists. Sometimes it is not simply about money. Sometimes it is about principles.
Hatch merges with Jarden Direct in August, and they have said they plan to add support for NZX. No timeline or details on that unfortunately, but if they can offer it and be realistically competitive with Sharesies, I'll move to them. I don't feel particularly confident however, that that will be the case. We will have to wait and see.
Hey JAK, look it like this- over the last 6 years you have been absolutely ripping off the shareholders of Shareies. Like those poor schmucks have had to tip in so much money to subsidise your investing. Awesome aye.
Unfortunately they have caught onto us and we have to now pay our fair share. But it was good to pull one over them for so long :cool:
I realise that was probably tongue in cheek, but I 100% disagree. I have ripped nobody off. Customers have used the platform as Sharesies set it up, and allowed it to work. If they introduced features back then (such as $5 transfer fees) which they now regret doing - that is on them.
I feel zero guilt or responsibility for using the platform as they designed it to be used.
Hey JAK, you know our favorite company- IKE.NZX. Those scoundrels earned $870k per enterprise customer in Q1 FY22. Now they earn $2.2m per enterprise customer!!!! That's a 153% increase in about a year and a half.
I dont think those customers signed up for that sort of price increase!! Shame on IKE :t_down:;)
I don't understand - maybe I missed something - why Australian and US transaction fee limits are set lower then NZ ones?
I would have though intuitively (and based on other platforms) trading in NZX stocks would be the cheaper option.
Its making me take a much harder look at overseas options for future use of Sharesies - not sure if that is a bad thing just curious.
Interactive Brokers still cheaper than them all
It took me 2 seconds to google this information:
“DriveWealth, LLC may participate in payment for order flow programs that result in DriveWealth receiving remuneration, compensation, or consideration for…”
Honestly, you can’t please some people :)
But look what my googling found [ in an elapsed time of 1.8s ]
Sloth verses Snow Leopard:
https://slothconservation.org/wp-con...ow-leopard.jpg
https://businessdesk.co.nz/article/m...7ce4-402467359 (paywalled)
Sharesies sounded out capital raise last year Investment platform Sharesies explored the possibility of raising capital with its funding partners last year but chose not to proceed.
On Thursday, a financial advice and brokerage firm claimed Sharesies had asked Cameron Partners to raise about $35 million at a $335m valuation.
Read on »
https://www.nzherald.co.nz/business/...K6Y2WGWRS54HU/
Buried down further:
Sharesies to offer savings accounts
Much interest .. ?
but the obvious:
WHAT FEES and WILL THEY INCREASE ?
As many may be rightly wondering .. what was that about a Leopard & Spots ;)
Yes good points .. and after what they did on trading fees - will the same happen or something else sneak in
when things dont exactly go to plan ?
Will the Savings accounts be fully insured ?
Will Sharesies have to become a Registered Bank to take deposits ?
Wont that require some improvement on Sharesies part to satisfying Govt's AML requirements ? ;)
Kernel also offer a savings account, they “partnered with an RBNZ registered bank to provide the service”
So I’d imagine it’ll be the same thing
My guess would be they are more likely to be a non bank deposit taker. EDIT or run via a partner as above... even better cost wise.
Savings accounts aren't typically heavy on fees - so expect the points of interest will be more focussed on the... er... interest rates.
BNZ do nomineed Accounts for likes of Co-op bank dont they ?
Yeah they do, but that won’t matter from the perspective of the saver, agency bank’s credit rating is what matters.
The following all have a BBB rating:
Co-op
Heartland
SBS
My guess is Heartland because the Kernel product looks suspiciously similar to heartlands Notice Saver..
Heartland- Notice Saver 32 days
Rate 4.75%
32 days for withdrawals
Kernel - Notice Saver
4.75%
34 days for withdrawals
Begs the question why you would even use Kernel. They are a bit light on details for this product and they basically say not to worry about the financial strength of their banking partners because:
“All money is held by Kernel as the registered custodian with a registered New Zealand bank regulated by the Reserve Bank of New Zealand. While bank defaults are possible, capital adequacy requirements make this very unlikely.”
So who cares that your main bank likely has a much higher rating then I suppose!
I think they’re being a little disingenuous and should provide better disclosure to their customers, hopefully Sharesies does a better job.
https://kernelwealth.co.nz/save
https://www.heartland.co.nz/savings-and-deposits
https://www.interest.co.nz/credit-ratings-explained
Sharesies DRP:
Probably old news given the date on the linked blog page from Sharesies, but someone alerted me to this earlier in the week:
https://www.sharesies.nz/learn/whats...nvestment-plan
I want to transfer out but can’t do that for asx shares? So many half baked features.
According to this, you can, but it's going to cost you:
How much will it cost to transfer ASX-listed shares out of the Sharesies platform?
When you transfer shares out of the Sharesies platform, there is a $50 fee associated with the transfer payable to Sharesies. This fee is charged in your home currency. We will deduct this fee from your Wallet.
Funny, I only checked the other day and it said it was planned for the future. You’d think you’d get a notification or an email advising this had been added.
Almost get the feeling they don’t want you to…
Of course they don't want you to. That's precisely why they have made to too expensive to transfer out now, unless you are transferring out a significant holding.
They shot themself in the foot, and I now only use them in a very minimal capacity. Will be interesting to see what their upcoming Savings account looks like. I honestly can't see that being a success.
Well I think I can wear the 0.05% fee on this occasion to move my entire portfolio. Hope sharesies spend it on something nice.
Thanks JAK for checking that out, I probably wouldn’t have checked again for a few months.