Join our investing community

Freeman Fox

Discussion in 'Managed Funds & Index Funds' started by Redwing, 2nd Dec, 2007.

  1. Redwing

    Redwing Well-Known Member

    Joined:
    9th Jun, 2006
    Posts:
    476
    Location:
    PERTH..WA
  2. vandalic

    vandalic Active Member

    Joined:
    2nd Jan, 2007
    Posts:
    35
    Location:
    Brisbane, QLD
    Whilst I must admit the Maximiser+ fund definitely caught my eye when I received the information in the mail, after looking through the PDS I found the fees a bit too excessive in my opinion for my own personal circumstances. That's not to say they are not suited to others.

    With the capital growth Maximiser+ fund as an example

    3.3% Entry Fee
    1.28% Management Fee
    2.16% Underlying Fund Fee

    6.74% Fee for First Year
    3.44% Thereafter


    Then if you throw a Macquarie Margin Loan into the mix add another 10.4% Variable up to 11.10% Fixed on top of these fees.

    That's some significant growth that needs to be made to break-even
     
  3. Redwing

    Redwing Well-Known Member

    Joined:
    9th Jun, 2006
    Posts:
    476
    Location:
    PERTH..WA
    The Fee's threw me as well (reminiscent of McBANK themselves) but the general funds appeal

    What are current/best alernative Margin Loan fee's in comparison to McBANKS?


    Is it worth a look at ?
     
  4. handyandy

    handyandy Well-Known Member

    Joined:
    6th Jun, 2006
    Posts:
    312
    Location:
    Sydney Nsw
    It would seem that all the Maximiser fund does is maximise the fees collected:eek:

    These management fee seems to be about .5% higher than the next highest fees in any fund I can locate (cfs geared share at 3%).

    Cheers
     
  5. willy1111

    willy1111 Well-Known Member

    Joined:
    5th Jul, 2006
    Posts:
    54
    Location:
    Melbourne
    I really don't like the lack of flexibility involved with these structured products - so am steering away from them mainly due to this.
     
  6. crc_error

    crc_error The Rule of 72

    Joined:
    1st May, 2007
    Posts:
    1,367
    Location:
    Melbourne, VIC
    handyandy, eheheh you make a good point!
     
  7. The Stig

    The Stig Well-Known Member

    Joined:
    3rd Dec, 2007
    Posts:
    190
    Location:
    Central Coast NSW
    Do they negotiate the fees?

    Anyone know?
     
  8. crc_error

    crc_error The Rule of 72

    Joined:
    1st May, 2007
    Posts:
    1,367
    Location:
    Melbourne, VIC
    yes they do, if you sign up on their membership plans they knock off a whole 1% entry.. plus I think they offset some fees towards their membership renewal.
     
  9. The Stig

    The Stig Well-Known Member

    Joined:
    3rd Dec, 2007
    Posts:
    190
    Location:
    Central Coast NSW
    Thanks CRC,

    Another question what is the Underlying Fund Fee? I have never heard of that one.

    Cheers
    The Stig
     
  10. crc_error

    crc_error The Rule of 72

    Joined:
    1st May, 2007
    Posts:
    1,367
    Location:
    Melbourne, VIC
    Spanns funds buy up funds.. those funds charge their own fee, or MER, which is the 'underlying fund fee' then spann charges his own management fee to run the fund your investing, or his fund..

    {edit} my 600'th post!
     
  11. Venger

    Venger Member

    Joined:
    30th Jul, 2007
    Posts:
    12
    Location:
    Brisbane QLD
    You're a legend!!

    {edit} and that ups my posts by 1 !!
     
  12. The Stig

    The Stig Well-Known Member

    Joined:
    3rd Dec, 2007
    Posts:
    190
    Location:
    Central Coast NSW
    Do Freeman Fox sell the funds in the Maximiser individually? Anyone know?

    Not everyone would be interested in the finance, the capital guarantee or the extra fee.

    The Stig
     
  13. Insight

    Insight Brisbane Buyers Agent

    Joined:
    24th Sep, 2006
    Posts:
    229
    Location:
    Brisbane
    I have heard Fund of Funds referred to as Fees on Fees. Looks to be some truth in that.

    I can understand their place in the investment world, not for this retail investor though.
     
  14. Redwing

    Redwing Well-Known Member

    Joined:
    9th Jun, 2006
    Posts:
    476
    Location:
    PERTH..WA
    Peter Spann has a new (FEB 08) Investor Outlook on his site and is also promoting another new Fund (Emerging Markets +), again looks interesting but I'm a bit gun shy :cool:
     
  15. The Stig

    The Stig Well-Known Member

    Joined:
    3rd Dec, 2007
    Posts:
    190
    Location:
    Central Coast NSW
    Thanks for the heads up.
     
  16. AsxBroker

    AsxBroker Well-Known Member

    Joined:
    8th Sep, 2007
    Posts:
    1,448
    Location:
    Sydney, NSW
    Hi Insight,

    MLC love fund of funds.

    Cheers,

    Dan
     
  17. crc_error

    crc_error The Rule of 72

    Joined:
    1st May, 2007
    Posts:
    1,367
    Location:
    Melbourne, VIC
    interesting this about that is there is a option to invest via a warrent. So your $10,000 investment has $30,000 exposure, while the interest is paid internally. Apparently $1 is put into growth, and $1.60 is paid into a income style investment. Income has averaged 6-8% while the growth has averaged 20% PA.