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Old 09-09-2018, 01:39 PM   #113
sg_investor
Senior Member
 
Join Date: Sep 2016
Posts: 1,040
Reinvestment is done by the fund - the fund's income is pumped into its own NAV (and used to buy more shares that make up the fund). Investors do not get additional units (coz it's not DRP) but each IWDA unit that they already own becomes more valuable (due to increased NAV)

Dividend withholding tax is also paid by the fund out of the fund's income - investors don't need to worry about it as the fund takes care of it. btw, it's 15% for IWDA due to tax treaty between US and Ireland where IWDA is domiciled
Thank you. So between SG and Ireland there is no withhold tax, but the US charges 15% withhold tax between Ireland and US.
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