PIE time: how trusts can side-step a 40% higher tax bill as new high rates kick in

Article written by InvestNow – 29th February 2024

A shockwave is due to roll over New Zealand trusts in just a few weeks, adding on average more than $22,000 to the annual tax bill of the estimated 44,250 trusts caught in its wake – unless they take action now.

Due to come into force on April 1, the well-signalled jump in the trustee tax rate from 33% […]

The InvestNow Guide To Currency Hedging: The Impact of Foreign Currency on Investments

Article written by InvestNow – 1st February 2024

Whenever you invest into overseas assets, the value of those assets in New Zealand dollar terms is influenced by the combined impact of: 

1. Price movements in the underlying investment; and 
2. Currency movements between the New Zealand dollar (NZD) and foreign currency […]
   

How to be a better-than-average investor

Article written by InvestNow – 17 January 2024

“Buy low, sell high” is the standard advice for generating capital returns on investment assets, however, this advice doesn’t provide practical guidance on how to actually spot the ideal buying and selling opportunities.  

In today’s fast-moving and increasingly volatile market, it’s a full-time job attempting to time the market, and even still it’s a mighty difficult task that even the experts get […]

Thoughts on short-term money storage options: Why managed cash PIE funds are a no-brainer for Anthony Edmonds

Article written by InvestNow – 22 November 2023

Investors need to think carefully about the best place to park their lazy money as interest rates rise well above neutral and drive up nominal returns for cash.

We asked InvestNow founder, Anthony Edmonds, to explain his journey to managed cash PIE funds, as his preferred solution to getting the best value from his […]

Tips and tricks to help you towards a financially comfortable retirement in New Zealand 

Article written by InvestNow – 31 October 2023

Will your KiwiSaver balance be sufficient to cover your retirement lifestyle?  

According to a study done by Massey University in 2022, a single person retiring at the age of 65, assuming they live until 95, will […]

Win, lose or draw: why investors shouldn’t game portfolios on elections

Article written by InvestNow – 29 September 2023

This October most New Zealanders will be glued to their device-of-choice anxiously awaiting the outcome of a pivotal event in the nation’s history. 

But the rugby World Cup isn’t the only big media event scheduled for the month with the general election also expected to rival sport for one night at least. 

The October 14 election […]

Money class: why financial literacy is on the timetable 

Article written by InvestNow – 29 August 2023

Aristotle knew the value of early education.

“Give me a child until he is seven and I will show you the man,” the ancient Greek philosopher tweeted in the fourth century BC.

Gender neutrality issues aside, the Aristotle quote echoes a timeless truism that […]

KiwiSaver in suspense: Why contribution holidays have expensive endings

Article written by InvestNow – 31 July 2023

In 2019 the government formally rebranded the popular KiwiSaver ‘contribution holiday’ as ‘savings suspension’ in an attempt to make the option seem less attractive, and hopefully discourage people from taking up the option of halting their KiwiSaver contributions.  

The brand twist did not make an immediate impact: whether they viewed it as getting suspended or going on holiday, […]

Fund Manager Diversification – The power of ‘And’

Article written by InvestNow – 3rd July 2023

Kiwi consumers have a long history of getting the short end of the stick.  

Perhaps it’s our small size, or the fact that we’re tucked away at the bottom of the world, but the general lack of innovation and competition in NZ has struck retail shoppers here with fewer and more expensive options compared to offshore counterparts.  

Take […]

More and better: what InvestNow members want in a higher-rate world

Article written by InvestNow – 1st June 2023

In the sharpest about-turn on record, the NZ official cash rate (OCR) has jumped from the historical low of 0.25% at the end of September 2021 to a possible plateau of 5.5% in May this year.

Proportionally, the OCR is now 22-times (or 2,200%) higher than the nadir that held for 18 months from March 2020.

Kiwi investors have noticed.

Following years […]