IWDA/VWRA/ISAC ETF - Some of the Best ETF

[limster]

Hi everyone. Newcomer to investing and ETFs here, so sorry if its a stupid question. I read that IWDA dividends are reinvested, but i was wondering how it would be possible to track what the dividends are or how much has been paid out. If it goes back into the ETF price, how do we know if the price increases are because of the market or because of the dividend? Can anyone help to explain please?

Thanks!

A passive investor does not care about such things but just look at total return relative to the total return net benchmark.

Yup you got to decide if you are a passive investor in which case IWDA is best for you, otherwise go for ETF that declare dividends if you want to control how to reinvest.

 

[MikeDirnt78]

Hi everyone. Newcomer to investing and ETFs here, so sorry if its a stupid question. I read that IWDA dividends are reinvested, but i was wondering how it would be possible to track what the dividends are or how much has been paid out. If it goes back into the ETF price, how do we know if the price increases are because of the market or because of the dividend? Can anyone help to explain please?

Thanks!

Yeah if you are really a passive investor, you shouldn't be overly concerned about those stuff.

IWDA is holding thousands of stocks from around the world. Each stock will have different payable dates throughout the calendar year.

So it is not practical to identify every payout from each company.

 

[kehyi4]

i think some people are confused about the concept of "accumulating fund". They somehow think that these funds "declare" a dividend at a certain fixed time, which somehow becomes accumulated in a mysterious, secret process instead of being paid out

It doesn't work that way - afaik, an accumulating fund channel any income it receives (such as dividends from they stocks they own) into the fund's own NAV, which is then used to buy more of the shares it is supposed to own. This probably happens whenever they receive income

 

[emeleno123]

Is there a 'right' time to buy the IWDA? Of course it is very high now after the many years bull-run we've had, so if I were to invest in it for the 1st time, is this wise? People say not to time the market, but how wise will it be to be buying at such high?

 

[fun4life]

Hi everyone. Newcomer to investing and ETFs here, so sorry if its a stupid question. I read that IWDA dividends are reinvested, but i was wondering how it would be possible to track what the dividends are or how much has been paid out. If it goes back into the ETF price, how do we know if the price increases are because of the market or because of the dividend? Can anyone help to explain please?

Thanks!

also a newbie question here: if IWDA's dividends are reinvested, how come the number of my units is never changed (increased)?

 

[MikeDirnt78]

also a newbie question here: if IWDA's dividends are reinvested, how come the number of my units is never changed (increased)?

Dividends are reinvested internally at the fund level. The reinvested dividends will be reflected in a higher NAV of the fund.

 

[kehyi4]

also a newbie question here: if IWDA's dividends are reinvested, how come the number of my units is never changed (increased)?

because "accumulating fund" ≠ "dividend reinvestment programme"

 

[MrHighlander]

It is not smart to buy at such high. Same for EIMI or even ES3 now. Park your funds somewhere else first. Ask you - how will you feel when it falls 10, 20 or 30%?

also a newbie question here: if IWDA's dividends are reinvested, how come the number of my units is never changed (increased)?

 

[limster]

It is not smart to buy at such high. Same for EIMI or even ES3 now. Park your funds somewhere else first. Ask you - how will you feel when it falls 10, 20 or 30%?

uncle168 has been predicting a crash for so long but it never happened and I think he gave up predicting crash.

good to see someone else taking over!

 

[sg_investor]

Sorry for my newbie question.
How is autoreinvestment of dividend implemented to deal with withhold tax of 30% for SG investors?

 

[kehyi4]

Sorry for my newbie question.
How is autoreinvestment of dividend implemented to deal with withhold tax of 30% for SG investors?

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

 

[appl888]

Long time nvr see uncle168 le

uncle168 has been predicting a crash for so long but it never happened and I think he gave up predicting crash.

good to see someone else taking over!

 

[sg_investor]

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.

 

[evilnickwong]

I'm thinking of buying this ETF, but at the moment, only have a DBS Vickers account.
My plan is to simply buy in amounts of 5-10k a few times a year.

Is there a significantly better option than using DBS Vickers?
As far as custodian fees, their charges state $2 per counter per month. Am I understanding that wrong or does that seem insignificant?

 

[CWL84]

From what I understand from the other gurus over at Shiny Things thread, DBSV has more fees compared to SCB. Better to go with SCB.

See this post:

Let's see...

DBSV (for trading on LSE):
Commission - Minimum GBP 25 / USD 36 / EUR 33; or 0.35% of trading principal
Dividend Collection - 1% of Net Dividend (Minimum GBP 3, Maximum GBP 30)
Corporate Action Service Fee - GBP 15 per counter
Custody Fee (charged quarterly) - SGD 2 per counter per month, capped at SGD 150.00 per quarter. Waiver based on combination of Singapore & foreign market transactions: (a) 2 x transactions per month or (b) 6 x transactions per quarter

SCB (for trading on LSE):
Commission - 0.25% (0.20% with Priority Banking), minimum GBP 10, USD 10 or EUR 10 (no minimum for Priority)
Dividend Collection - 0
Corporate Action Service Fee - 0
Custody Fee (charged quarterly) - 0

If you still insist on using DBSV, sure go ahead. As a small, small shareholder of DBS, i thank you

 

[evilnickwong]

Thanks for the response! I guess it's not a HUGE difference.. but just depends whether I want the convenience of doing everything through one bank since my main accounts are in DBS too.

 

[goldnut]

I'm thinking of buying this ETF, but at the moment, only have a DBS Vickers account.
My plan is to simply buy in amounts of 5-10k a few times a year.

Is there a significantly better option than using DBS Vickers?
As far as custodian fees, their charges state $2 per counter per month. Am I understanding that wrong or does that seem insignificant?

2 per month = 24 per year = 240 after 10 years. There's also no guarantee they won't raise the price.



Then again, there's no guarantee SCB won't start charging custodian fees either like they did with commission.

 

[evilnickwong]

For the moment I'm not planning to hold many different counters on the LSE. Probably just IWDA and 1 or 2 more, max. So, the $2 per counter per month isn't too big a problem now.
Also planning to only buy 2 or 3 times a year.

DBSV is linked to my DBS multi currency account. I was trying to find info on the FX spread there, but couldn't find any comments. Any idea how it is?
All I've found is that IB has tight spreads and SCB has bad ones.

 

[311290]

From what I understand from the other gurus over at Shiny Things thread, DBSV has more fees compared to SCB. Better to go with SCB.

See this post:

If im investing sgd500/month.
To be hitting the min comm. I should be doing yearly of 6000sgd?

Thank you

 

[letsgososhi]

If im investing sgd500/month.
To be hitting the min comm. I should be doing yearly of 6000sgd?

Thank you

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