Navrafund & Sharemarket Crashes

actually I would say shorting is king at the moment!

 

Sim, the point I was making is that Narva underperformed during the 'boom' 'only' returning about 15% PA, when many other buy and hold funds were returning 20%+ as was the index. So during this boom time, Narva was sold as a more conservative 'safer' investment option.

However when the poo hits the fan, Narva is down by just as much as its peers. What I'm trying to say is I don't believe in trading the share market. Its very hard to get it right most of the time, and usually you find brokerage and CGT costs will make you worse off in the long term. A simple buy and hold fund, which focuses on quality growth assets, automatically gets the benefit of no CGT until you sell, and even then its at 50% of the rate as a trading position.

And to see Narva as a income fund is also wrong. Income suggests it will produce a consistent result, unlike a growth fund which may have stagnant returns. Steve promoted using the Narva fund to fund IP purchases.. you would be in lots of trouble now if your relying on income from Narva to fund IP's.. and settle margin calls!

Income I would consider dividends, as they should be consistent.. capital gains aren't consistent.