Investments


Investment methods

Investing via managed funds

Some of the disadvantages of investing through a managed fund are:

  • You may not know exactly what direct investments your managed fund holds. 
  • You do not have control over the investments bought and sold within the managed fund nor the timing of those transactions. 
  • As a result of this, you’re not likely to be able to manage the capital gains or losses that will be passed on to you. 
  • Your distributions may include a component that represents a return of your original capital.
  • You may incur higher fees than with other investment options. 
  • You may have difficulty deciding which managed fund to invest in. 
  • The fund manager’s performance (after fees) may not outperform the comparative market index.