Just having a look at two of Peter Spann & Freeman Fox's new Funds here Freeman Fox: About Maximiser+ Freeman Fox: About Generator
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
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 ?
It would seem that all the Maximiser fund does is maximise the fees collected 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
I really don't like the lack of flexibility involved with these structured products - so am steering away from them mainly due to this.
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.
Thanks CRC, Another question what is the Underlying Fund Fee? I have never heard of that one. Cheers The Stig
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!
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
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.
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
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.
