What is the PIE tax treatment for funds that invest in international securities, shares etc?

Each PIE fund calculates its taxable income/loss from its investments, expenses and tax credits for each day in the year. The net taxable income and tax credits are divided up among all of the units of the fund, and a share of the income and credits is attributed to everyone investing in the fund. We then calculate the PIE tax based on each investors PIR.

PIE funds generally […]

A Term Deposit is a fixed-term investment that offers a fixed rate of return. Term Deposits are placed with a bank and returned on maturity, which can range from 1 month to 5 years.

ETF’s are Managed Funds, however, unlike managed funds ETFs are traded on a stock exchange such as the NZX, NASDAQ etc.  Many ETFs follow a market index (like the S&P 500 or NZX 50) to match its overall performance.

On InvestNow we only offer a range of ETFs from Smart – these are listed on the NZX.  As per our Managed Funds service, orders for these processed once a day (12pm on a business day).

Managed Funds are sometimes referred to as pooled investments or investment funds. You and a group of other investors invest in a fund that’s managed by experts, that then go and invest in shares and other securities on your behalf in line with the investment strategy detailed in the relevant Product Disclosure Document.