Looking to boost your retirement cash flow with reliable quarterly income and smart, value-driven capital growth?

You could supplement your retirement income with this new addition to the Foundation Series Funds. The Foundation Series US Dividend Equity Fund is designed for Kiwi investors, offering quarterly distributions while keeping an eye on long-term potential.

  • New Zealand’s first PIE Fund to offer tax-efficient exposure to the Schwab U.S. Dividend Equity ETF
  • The Schwab U.S. Dividend Equity ETF is one of the world’s most popular dividend investment options
  • Tracks the Dow Jones US Dividend 100 Index, providing exposure to 100 US dividend paying companies, with a focus on the quality and sustainability of the dividends
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Foundation Series US Dividend Equity Fund – Key Features:

  • NZ first offer of the popular Schwab U.S. Dividend Equity ETF (SCHD) in a PIE Fund – which caps your investment tax rate at just 28%.
  • SCHD is one of the most popular dividend investment options in the world with over US $70 billion in assets
  • One of the cheapest dividend investment options in the market with a management fee of just 0.06% p.a.*
  • SCHD combines strong historical performance with reliable dividends, delivering an annual dividend yield of 3.7% (as of the end of February 2025), and 12 consecutive years of dividend growth.
  • No tax returns required, as PIE tax is a final tax.

Distributions

SCHD combines strong historical performance with reliable dividends, delivering an annual dividend yield of 3.7% (as of the end of February 2025), and a dividend payout history that includes 12 consecutive years of dividend growth.

You can view the full distribution list here.

Annualised Dividend Payout²

SCHD Price at end February 2025

Annual Dividend Yield
$1.06 28.54 3.7%

¹ The distribution amount for 2024 is the split-adjusted distribution that one share would’ve received to prior to the 3:1 share split that occurred in October 2024.
² Based off the December 2024 distribution.

Charles Schwab Investment Management believes this information to be accurate, and is not responsible for any errors. Charles Schwab Investment Management, Inc. and its affiliates are not responsible for subsequent alternative uses of this data beyond this instance.

Fund Fees

Management Fees: 0.06% P.A.
Transaction Fees: 0.50% on each buy order and sell order

While choosing your investments and service provider, it is important to consider the overall cost of the investment, which includes management fees, tax efficiency, platform fees etc.

You can view and download the Product Disclosure Statement (PDS) for the Foundation Series Funds here.

Please note:
InvestNow does not provide personalised investment advice. We are one component of a person’s financial landscape and actively promote that our customers seek personalised advice from qualified advisers external to InvestNow.

The issuer and manager of the Foundation Series Funds is FundRock NZ Limited. For product disclosure statements go to investnow.co.nz. All investments involve risk.

* The Foundation Series US Dividend Equity Fund is subject to a transaction fee charge of 0.50% on all Buy Orders and 0.50% on all Sell Orders.

Neither FundRock NZ Limited nor any other party guarantees any returns.