Posted by 8 months ago. Fund platforms like InvestNow and Sharesies provide a service through which you can buy a large selection of funds (and in Sharesies’ case shares in individual companies). Hatch vs. Sharesies vs. Investnow etc. Vanguard currently has two global share funds (Vanguard International Shares Select Exclusions Index Fund – NZD Hedged/Unhedged) accessible in the New Zealand market, and they are investor favourites, again due to their very low management fee. Instead, trades are done through DriveWealth, a platform which holds your shares and ETFs on your behalf. Further Reading:– Buying shares on the NZX – Sharesies vs ASB Securities and Direct Broking. Sharesies offers an experience very similar to Hatch and Stake, the difference being ongoing membership fees and percentage-of-trade-value based fees (vs Hatch's fixed trade etc). 10 Top Investments for Young New Zealanders, Investing in the US Stock Market from New Zealand, Barefoot Investor-Friendly Financial Products in New Zealand. Let’s be friends on Facebook, Twitter, or via email so you can keep up with the latest news and posts! Share ​Brokers let you buy and sell individual shares, although a fee is charged every time you buy or sell. This is usually a minimum fee (in dollars) or a percentage of the sale. Worried about what happens to your investments if Hatch … I am mainly looking into the mid-long term of between 5 - 10 years and hoping to have made a good level of returns and take it out to pay back some of my student loan. Sharesies is known for having a simple, beginner-friendly user interface, however, this nice online portal doesn’t become cheap – they charge investors a subscription fee if your account value is over $50. Discussion about Sharesies vs InvestNow vs SuperLife vs something else? Your guide to investing in shares, bonds, funds, and peer to peer lending in NZ, InvestNow vs Sharesies – Ultimate Fund Platform showdown and review. the SuperLife NZ Top 50 Fund invests exclusively in the Smartshares NZ Top 50 ETF). In rare instances, a provider will change a price or product before we've had a chance to update our information; double check prices first before making any decision. US shares: Stake vs Hatch vs Sharesies; NZ shares: Sharesies vs InvestNow vs Smartshares; Finder is committed to editorial independence. So in both cases, a magnitude change in expense ratio results (0.34% vs 0.03%) in a magnitude change in fees paid ($2053.20 vs $207.37), and a magnitude change in lost compounding ($4216 vs $499)- which makes intuitive sense. Because ETFs are listed on the sharemarket, you can also buy and sell ETFs through brokers. Want to know h ow to trade or invest in the NZX? Also unlike Sharesies, shares bought through ASB can be held in your own name. Let’s take a look at who owns the investments that you buy through these platforms, and what happens if the platform goes out of business. The platforms let you see the fund performance data and track the results. Hatch starts increasing its fee every time you trade more shares. Building an investment portfolio – Simplicity vs InvestNow, Smartshares vs Simplicity vs AMP vs Kernel – NZ Share Index Fund shootout, Smartshares vs Vanguard vs AMP – International Share Index Fund shootout, investing in individual companies requires research, Buying shares on the NZX – Sharesies vs ASB Securities and Direct Broking, What I learnt – ‘Investing for Contractors’ Panel with Darcy Ungaro, Term deposit rates suck! Dynamic startups like. In addition to being a Fund Platform, they provide a brokerage service for shares listed on the NZX, New Zealand’s sharemarket. What you can do – with 5 term deposit tips, ← 4 things to know about investing in Equity Crowdfunding, Buying shares on the NZX – Sharesies vs ASB Securities and Direct Broking →, What I’ve been investing in – February 2020, Rights issues, share buybacks, and acquisitions – 5 things to know about Corporate Actions, Property vs Shares – The pros and cons of buying residential property, Due diligence on shares – How I evaluate companies before investing, How to invest in Australian shares from New Zealand, What I’ve been investing in – January 2020. Interestingly, their non-Australasian ETFs simply invest in Vanguard and Blackrock ETFs, so they are really ETFs within an ETF! What Happens If Your Investing Platform Shuts Down? I think Sharesies is aimed at financial cabbages like me. NZ shares: Sharesies vs InvestNow vs Smartshares Launched in March 2017, InvestNow is an online investment platform based in New Zealand. InvestNow | Invest Online | KiwiSaver, Managed Funds & Term ... What happens to your investments if Hatch, Sharesies, Stake ... InvestNow | LinkedIn. Visit our Sharesies vs Hatch vs Stake Guide; Worried about what happens to your investments if Sharesies collapsed or shut down? In this video I compare the US share trading platforms; Stake, Sharesies and Hatch side-by-side. Smartshares is the dominant ETF issuer in NZ with over 30 ETFs, and are owned by the operator of NZ’s sharemarket, NZX. Because there are foreign exchange fees for funding each platform (from New Zealand dollars), there are a few differences. Archived. This information took me a long time to track down, so I'm delivering it to you on a silver platter. Does anyone have any thoughts on the pros and cons and what kind of investor should use which platform? The great thing with sharesies is that it gives you access to buy investments from as little as $5 (compared with InvestNow’s $250 minimum, or $50 when recurring). They do not manage your funds – instead they act as a “middleman” between investors and Fund Managers. Platforms for US Share buying and selling include Hatch, Stake and, as of August 2020, Sharesies. So what kind of service should you use? I'm aware the other options are probably better but Sharesies has a nice easy to use interface and a minimal number of investment options which is less overwhelming for us novices. Comparing these three, InvestNow offer the cheapest option. Stake offers a free service, with unlimited buying and selling, although it's foreign exchange fee is the highest. Hatch review: Easy access to US shares. On the surface, they all have one thing in common – they all provide you with access to funds to invest in. A wide selection of New Zealand Fund Managers, like Milford Asset Management and Pie Funds, are available on InvestNow. This difference less important these days, because with Fund Platforms like InvestNow and Sharesies, you no longer have to go through the sharemarket to access ETFs. They have low minimum investment amounts, … Both InvestNow and Sharesies are fund platforms. Last updated: May 6, 2020. Hatch is another Wellington based service owned by KiwiWealth, and they’ve recently reached over 10,000 investors. Another thing to be aware of is that Hatch is not a true broker, as they do not allow you to trade directly on the sharemarket. Just be aware that these are Australian domiciled funds, so are considered Foreign Investment Funds. Unfortunately these ETF issuers don’t offer anything in the New Zealand market. For doing so, they charge investors a management fee which is a small percentage of the amount you have invested. ​We cannot accept liability for any decision made based on our information. They have low minimum investment amounts, making investing very accessible to ordinary people. Our easy to read custodian guide explains what you need to know. Plus investing in individual companies requires research to ensure you’re getting into a sound investment. ASB Securities is a traditional broker allowing you to buy and sell shares in companies listed on the NZ sharemarket (NZX) and Australian sharemarket (ASX). ETF stands for Exchange Traded Fund, and they work the same as normal funds, apart from the key difference being that ETFs are listed and tradable on an exchange (i.e. We are close enough that a massive number of brands and companies like Bunnings, Harvey Norman, Ryman Healthcare, and Xero have a strong Trans-Tasman presence. By Lisa Walter May 5, 2020 . CrashAndBurn: I have some term deposits maturing next month and would like to give investing in shares a try as the current rates with banks are not good (my current TD is at 5.5%). Brokers allow you to buy and sell shares in individual companies on the sharemarket. Smartshares is one of the main wholesale providers of index funds in NZ. All three of these platforms allow you to trade US stocks and ETFs on the US stock market, providing access to exchanges like the New York Stock Exchange and the NASDAQ. Sharesies doesn't charge a fee for buying index funds but has an annual fee, and SuperLife often charge more than InvestNow. 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The Smartshares ETF you want is not offered on InvestNow or Sharesies e.g. It allows Kiwis to invest in more than 140 NZ and global managed funds online, plus provides access to term deposits from 5 banks. You can buy Smartshares ETFs from the NZ sharemarket through a broker, or directly from Smartshares (note – ETFs bought directly from Smartshares must be sold via a broker). Some of the ETF issuers are (click each o… Fund Platforms are services that offer you access to a variety of different funds to invest in, sometimes described as a “Fund Supermarket”. I compare three key aspects of Sharesies and Hatch to help you make an informed decision on which platform is better for your personal investment journey. ​Our priority is accurate information. over $10,000), but is the most expensive for smaller trades. There are also no brokerage fees and free withdrawals at any time, and any amount. They charge brokerage fees whenever you make a trade (buy or sell something). Each of these providers offers access to a different range of financial products. I can't find anything written up, but maybe I've missed it. However, a lot of managers offer their funds on platforms like InvestNow and Sharesies, where the minimum investment amount is lower. The information should never be used without first assessing your own personal and financial situation, and conducting your own research. All three use the same dealer-broker infrastructure provided by DriveWealth. They don’t charge any account fees, making it a frequently recommended choice for investors (they make money by charging Fund Managers to list their funds on the platform). Sharesies offers far fewer funds, currently. While we receive compensation when you click links to partners, they do not influence our content. 11:08 . They are all fantastic options for Kiwis wanting to invest, but it is often difficult and confusing for investors to decide which one to sign up for and use. As the assets increase in value, so does the value of the investment. Sharesies vs InvestNow vs Smartshares: Available markets. Fund Platforms are a good option for everyone – both beginners and experts – as they allow you to invest in lots of different funds under one roof. They do not manage your funds – instead they act as a “middleman” between investors and Fund Managers. When thinking about investing, Exchange Traded Funds are an option everyone would opt for, that is why they are very popular and give an instant diversification to your portfolio. 2. Does anyone have experience changing a reasonable amount of money from one platform to another? An Australian platform, Stake, is also testing its product in New Zealand and plans to launch in coming months. Our view is that Sharesies is best for those wanting smaller-sized investments and exposure to … Our easy to read custodian guide explains what you need to know. See Smartshares, Sharesies and InvestNow as examples. New Zealanders are spoilt for choice these days when it comes to investing options. those starting, occasional investors and expert-level) and don't have the high minimum investment levels that individual funds often charge. InvestNow vs Sharesies . Sharesies and InvestNow are the two most prominent New Zealand-based Fund Platforms, and we compare them side-by-side below: let you invest in many fund managers without the minimum investment that many fund manager usually charge if you go direct. You may wish to consult with an authorised financial adviser before making any investment decisions. Simplicity has five different fund options (Conservative, Balanced, Growth, NZ Share, NZ Bond). the US Small Cap ETF. Fund Platforms, such as Sharesies and InvestNow, offer several different funds you can invest in. Hatch charges 0.5%, where as Stake charges 1%. However, InvestNow’s interface isn’t the most user-friendly – while that should be fine for knowledgable investors, beginners might find it overwhelming. The fund offered on SuperLife has cheaper management fees than the Smartshares ETF equivalent AND you are investing enough money to make the management fee savings cover the $12 annual fee e.g. Our values statement is simple: MoneyHub exists to give every New Zealander the information they need to make better financial decisions. Last updated: Nov 12, 2020. Investing . Most New Zealand Fund Managers also offer KiwiSaver funds, but I won’t cover these here. When withdrawing your investment you’ll need to change the USD back to NZD, costing you another 50bps on the exchange rate. I am currently a uni student and intend to invest around $7000/$8000 into index funds. Sign up with this link, and you’ll get a bonus $5 in your account to invest! This means they offer a similar number of share and ETFs to invest in, but there are differences in the fees and features of each platform. We compare Hatch, Stake and Sharesies side-by-side below: InvestNow offers the widest number of managed funds doesn't charge a platform fee.​. Read our Comparing Sharesies vs Investnow vs Hatch and more guide to find out more about popular investment options. While we receive compensation when you click links to partners, they do not influence our content. We link to other websites throughout this website, but take no responsibility for the content they publish. Neither platforms offer, Comparing Platforms for US Share Buying and Selling (Hatch vs Stake vs Sharesies), Comparing New Zealand-based Fund Managers, Comparing New Zealand-based Share Broker Platforms, Comparing New Zealand-operated Fund Platforms, Barefoot Investor-friendly Financial Products in New Zealand. First Steps - What is an "index fund"? InvestNow, Sharesies, Simplicty, Vanguard, SuperLife, Smartshares, Hatch, and ASB Securities. With Hatch, you have lost $499 compared to the ROI without fees, and with InvestNow you have lost $4216. SuperLife offers 44 funds, investing almost entirely into Smartshares ETFs (e.g. steve2222: This is quite a good blog for comparison of NZ based share fund offerings eg Sharesies… ​InvestNow, Sharesies, Hatch, ASB Securities and Direct Broking are well-known among New Zealand investors as online platforms for trading shares and buying funds. InvestNow vs Sharesies – Ultimate Fund Platform showdown and ... InvestNow's Flexible KiwiSaver Scheme Review. Fund Managers are the people who actually provide and manage the funds you invest in, taking your money and investing it into assets like shares and bonds. It’s Sharesies again. Fund Platforms are popular with all investor types (i.e. We can't guarantee everything contained on this website will be perfect - you use the information contained on our website and all social channels at your own risk.​. However, unlike traditional brokers, any shares bought off Sharesies are not held directly in your name – instead they are held by a custodian on your behalf. Our NZX in a Nutshell guide explains what you need to know. However, buying and selling ETFs on the sharemarket is much more prevalent in countries like Australia where brokerage fees are cheaper, and the ETF selection is much greater. ​. Update (15 July 2019) – Sharesies is now also included in the brokers section, as they have released the ability to buy and sell shares listed on the NZX. 0 Comments 1267 Views. Further Reading:– Smartshares vs Simplicity vs AMP vs Kernel – NZ Share Index Fund shootout– Smartshares vs Vanguard vs AMP – International Share Index Fund shootout. Thanks to fractional investing, no minimum amounts, and our low fees, you can start investing with as much or as little as you like. Further Reading:– InvestNow vs Sharesies – Ultimate Fund Platform showdown and review– What happens to your money if InvestNow or Sharesies go bust? Want to compare Hatch with InvestNow, Sharesies and other platforms? However, each platform tends to excel in a particular area, meaning overall the platforms are quite different. Whether you’ve been investing for a while, or you’re new, you’ve probably heard of these popular New Zealand investment services. Their ultra low minimum investment amount of a single cent opens up the opportunity to start investing for almost anyone. Hatch gives Kiwis easy access to the United States sharemarket, and with this access comes the opportunity to invest in 754different US domiciled ETFs!!! InvestNow offers over 120 funds on its platform, from 20 Fund Managers/issuers including AMP, Smartshares, and Vanguard. Hatch is here to help you build long-term wealth. For example, while you can use Sharesies to invest in shares, ETFs and managed funds, InvestNow provides access to managed funds and term deposits. Sharesies is another popular option for New Zealand investors and is aimed at young people. Direct Broking offers the best value fees for big trades (i.e. Worried about what happens to your investments if InvestNow collapsed or shut down? Comparing Platforms for US Share Buying and Selling (Hatch vs Stake vs Sharesies) Platforms for US Share buying and selling include Hatch, Stake and, as of August 2020, Sharesies. Read our Comparing Sharesies vs Investnow vs Hatch and more guide. For this, fund managers charge their investors something known as a 'management fee'. Read our Comparing Sharesies vs Investnow vs Hatch and more guide. The platforms don't manage your investment; instead, they let you pick the fund(s) you want to invest in and pass the money onto the underlying fund manager. 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