Managed Funds CFS Property Funds

Hey guys.
I just recently got into investing, and currently have a small amount of money in the CFS 452 geared Australian share fund.

I wan't to expand my portfolio and have been thinking of investing in a property fund as my next step. I've been looking at the various CFS propery funds, and there are quite a few of them.
I'm just wondering if you have any opinions/suggestions on the various funds. They all appear fairly similar, in performance and MER's.

I've been looking at another CFS fund out of convenience, basically. I would be happy to invest in a fund which isn't managed by colonial, if it's appropriate.

Thanks for reading.

 

I like APN 2 property. It weathered the correction nicely and is showing 3.5% for the month.

PS. I pay my finacial Advisor trailers for these recomendations and give them to you for free. Does that make me a fool or just a nice guy?

MJK

 

The latter.

Why did he recommend them? Just for property exposure or is there something specific about this managent team?

Are they a growth or income fund?

Simon

 

I wonder if Colonial First State Ws Prop Sec Fund will pick up now?

 

Thanks for the replies so far.

I had a quick look at the APN 2 property fund. I'm still new to this, but it seems like a decent option.

Does anyone here know if I can manage non CFS funds through my CFS account? How would I go about getting them into my CFS account/portfolio?

Take care.

 

Thanks Sim.

How do you guys manage all your funds? Do you find it difficult if you have invested in a number of different managers?
I like the convenience of Colonial, and their online features. But I don't want to limit myself to their products just because it's easier to manage.

 

Puts hand up to be a beta tester!

 

Here's Wesfarmers Chart, nothing to write home about...I tend to look for a share in a sustained uptrend which has been difficult of late

With the SMSF i looked at the ASX top 50 (By Market Cap) a Month or two ago and found it hard even then

 

That sounds cool. Good luck with the program.

Is there anything I need to know in terms of income (property) funds? Most of the property funds, especially the top performing ones, seem to be income producing funds.
What's the difference between income and growth? Is it just the frequency at which they pay distributions? I plan to re-invest all dividends at this point anyway, so would it make a difference?

I've heard that income funds may have some tax implications? Does that apply if I re-invest the dividends?

Thanks guys.

 

Thanks Sim, you're very helpful.

What's the easiest way to tell if a property fund is income or growth? Does it just depend on the frequency of distributions?
Some of the funds seem unclear to me .

 

Mainly income & property exposure. I prefered income based funds when we where setting things up so I went with a mix of property and Australian Shares. Actually I didn't ask about the management team. I just went with the recomendation at face value.

MJK

 

Hi Sim,
I'm scratching my head over this one as it differs from my (investor only, I'm not a tax professional) understanding of trust distributions (family/unit/hybrid not a commercial widely held trust).

If my family trust distributes, it can determine which types of trust income
(ordinary, franked, tax deferred, capital gains etc) available to the trust are distributed and to which beneficiaries.

If my hypothetical trust contained a rental property, with

Rental property Net loss of $20,000
Navra Net Income of $10,000
Net Capital Gain (held >12mths) of $40,000

Then would I not be distributing $30,000 to benificiaries, assigned for tax purposes as -20Krental+10Knavra+0.5*40kcg = 10k of distributions in the form of net capital gains (although it may as well distribute the navra income as at this point the 50%CGT discount has already been applied by the trust and it has the same tax impact for the beneficiary)

I know of no reason why capital gains in a trust can't be used to offset net rental property losses, but please advise if you think I'm wrong and I'll follow up with the ATO for a definitive answer if necessary.

 

Haha, when you guys start talking like that it makes me realise just how much I have to learn.

Could someone help me work out whether this fund is for growth or income? I know it says both, but will I be paying tax on all the dividends, or only when I exit the fund?
Fund Profile

I checked the PDS, but I couldn't really find any mention of it. The only thing that caught my eye was the distributions, which appear to be quarterly.

Help?

Thanks again.

 

Hmm, according to that my CFS fund pays more income than growth.
Fund Details - CFS FC Inv - CFS 452 Geared Australian Share - Colonial First State Investments Limited - Direct Access Australia

I didn't even realise.

Is this something you guys would consider closely when looking at property funds?
It appears that alot of the best performing property funds are geared towards income.

Thanks again Sim. (I should just make that my signature)