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How to start with a MF ?

Discussion in 'Managed Funds & Index Funds' started by Bez, 27th Dec, 2007.

  1. Bez

    Bez Member

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    Newcastle
    Hey guys, im thinking about investing some money into the Navra Retail fund.
    Just wondering how you go about starting it ?
    Is there forms I fill in or do I need to see a financial adviser ?

    Where/how do I start ?

    Thanks..
     
  2. samaka

    samaka Well-Known Member

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    You can download the PDS of their website. Then simply print it off, fill it in and send it to them.

    As an aside - why Navra?
     
  3. tailcat

    tailcat Well-Known Member

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    Buy the mf through someone like Investsmart and save the 4.4% entry fee.....

    Just download the PDS from Investsmart instead of directly from Navrainvest.

    Tailcat
     
  4. Bez

    Bez Member

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    Thanks guys :)

    As for why Navra, well im not realy set on any one MF at the moment. Navra just seems to be pretty popular for an income fund..
     
  5. JIT

    JIT Well-Known Member

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    Ah, if it was all just a popularity contest...
     
  6. Simon Hampel

    Simon Hampel Co-founder Staff Member

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    I think a more important question is - why were you looking at an "income" fund ?

    Perhaps if you explain what you are trying to achieve with your investment ?

    PS. I think Navra is a very good, conservative fund - but is not necessarily the most effective fund (especially from a tax perspective) ... depending on your goals and strategy.
     
  7. Bez

    Bez Member

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    Thanks Sim,
    I currently earn $34,000 a year from work, after rent, food, petrol and bills it dosnt leave much left for investing..
    I also have 1 IP which is costing me about $50 a week, less after tax.

    So i guess im looking for ways to boost my income so I have more money to invest

    Cheers..
     
  8. Simon Hampel

    Simon Hampel Co-founder Staff Member

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    Depending on your appetite for risk, I think a good growth fund would serve you better in the long term. Investing in an income fund returning 10 - 20% income before tax will certainly help your income a bit (but not a huge amount - unless you have a large amount of capital to invest up front) ... but investing in a growth fund returning 10 - 30% (or more) over the long term will generally help more over the long term - especially after tax.

    One good thing that an income fund offers is that once you have the income - that profit is "locked in" ... you can't lose it unless you spend it or put it back "at risk" by re-investing it. With a growth fund, a change in market conditions can see all your gains wiped away - but then again, the capital value of your Navra holdings would also move with the markets (although it doesn't tend to fall quite as much in a down market).

    My father-in-law is nearing retirement age and loves the conservative income generating nature of the Navra funds (better returns than term deposits), but for a longer term investment view (10+ years), I think a growth fund - perhaps even a geared fund like CFS Geared Australian Share, is going to show much higher returns from investments in similar types of shares.

    Just some suggestions.
     
  9. Liverpool St

    Liverpool St Well-Known Member

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    Navra

    Yeah. I agree, I am close to retirement and my wife and I live off the Navra distributions and salary sacrifice both our salaries. Navra is what it is, an income fund..

    Liverpool St.