Managed Funds Post distribution prices?

Following on from the ideas in this thread, I downloaded the unit prices since inception and overlaid them with the distributions.

Unfortunately I'm not a stats whiz nor annalyst of any great skill, so the picture isn't clear to me.

Would someone like to comment on the results as they plot? Is there anything to be drawn?

Cheers,
David.

 

Reply To Simon and Gazza
The disadvantage is that the funds invested are through a SMSF so you cannot prepay interest as you cannot take loans.Therefore profit made by
investing the day before distribution generates an income that became taxable in the next ninety days.Had I invested the day after distribution I would have purchased 5% cheaper and avoided the income tax liability.

 

Funds

Realistically then it's not really an issue of whether you invest before or post distribution when investing via a SMSF. Hopefully you will always have a tax liabilitity because that means you SMSF is earning income, it is more a question of trying to time your purchase into the fund at the right time ie. the lowest entry price and that is very hard to do. Yes you guarantee a lower price by buying in immediately after the distribution but if for example the share market continues to drop for the first month in the next quarter, you again could argue you could have bought in at a cheaper price. By the same token if it went up in the first month , you would be very happy.

Gazza

 

Hi,

I've been trying to get back into the navra fund (I was in it before but withdrew it to use as a IP deposit) for a while, but it's taking ages to set up the trust structure the the margin loan.

Would really like to take advantage of the Sept distribution, can anyone assist?

Cheers

Dave

 

What is your question Dave?

If you have been in it before then I suggest that you know how to get in again?


Cheers,

 

Twas a little bit of sarcasm Simon, was hoping you could force my new trust be be stamped by tommorow and the margin funds available by yesterday.

Cheers

Dave

 

ASX200 up 56 points today.


That shouldn't 'hurt' the September Distribution either....

 

Sorry Dave - you know me - insensitive to the little nuances as always.

I will see what I can do - how soon can you get the funds to me? I prefer cash too.

Thanks

 

Up almost another 40 points today so far..........this September Distribution should be a beauty!

 

These late gains in the all ordinaries may be unrealised at this point in time. Certainly not hurting us though

 

Whether to hold off investing based on Unit Price ?

Hi guys

Pardon my ignorance (and wow! look at the performance chart of NI at the moment - well done Navra team !!) ...

The topic discussed in this thread interests me, as I am buying some more units post distribution, but of course the unit price (even after distribution) looks like it will be at a record high.

Using the last 2004/5 quarter as an example, the unit price on 1 April 05 was 1.0967, went down as low as 1.0219 on 18 May and on 30 Jun it was 1.12. So with the benefit of hindsight I guess you could have bought the units at 7 cents less than the starting price post-distibution ? However from a quick glance at the other historical figures, I can't see too many other occasions when the price dropped so substantially. In fact attached is an image of the chart of prices showing that period as the most significant 'dip' in recent history.

I understand the unit price is dependent on exactly what happens with the stocks NI is buying and selling, but I suppose my dummy question is, at around $1.15 or thereabouts is it valued a bit on the high side (along the lines of discussion in this thread) or am I worrying about insignificant issues in the overall scheme of things and should I just get on with it and let NI do its thing ? (and for that matter, could it also go UP just as substantially?)

Cheers
Carl

 

Unit price

Hi Sim'

Makes sense to me. Expecting some volatility in the Unit Price, the gut feel tells me to hold off till I can buy a few more units for the same amount of dough. But the brain (or the tiny portion thereof still working) tells me I need the money in an alternative that will generate some returns. And I figure the risk of me picking something else and what might happen if I get it wrong, is greater than the relatively minor effect of some fluctuation in unit prices.

Plus I've done an abyssmal job of picking direct stocks in the past, I am a convert to the concept of managed funds.

Cheers
Carl

 

So a 10.27% rise in the quarter.
Great result !!
So would a 5c (or around 5% distribution be a chance? )

 

Yeah I wanna know when the distributions are announced...