Always blow on the PIE: how to avoid fund tax burn
Before 2007 fund investors in NZ were served up the financial equivalent of meatloaf: returns and tax were baked together into one unappetising lump according to the antiquated legislative recipe of the day.
Unsurprisingly, in those dark days many retail investors preferred home-made direct portfolios of shares and fixed interest assets over the uniform concoction of meat and sawdust dished up by the tax-challenged managed fund industry.
But in 2007 the Labour government rewrote the fund tax recipe […]