Last updated: Nov 12, 2020. Instead, trades are done through DriveWealth, a platform which holds your shares and ETFs on your behalf. Comparing Sharesies vs Investnow vs Hatch and more, Top 10 New Zealand Personal Finance Experts, Trusted Insurance Brokers in Christchurch, American Express Airpoints Platinum Review, Best Foreign Currency Debit & Credit Cards, TransferWise International Money Transfer Review, Renting Directly to Tenants vs Using an Agent, Trusted Mortgage Brokers in Napier and Hastings, Fixed or Floating Mortgage Rate Calculator, How to Check Your KiwiSaver Contributions, New Zealand Defence Force KiwiSaver Scheme, 65+ Best Online Shopping Websites in New Zealand, The Complete Guide to Renting in New Zealand, Hardship Assistance - Urgent Costs and Living Expense Assistance, Student Job Interview Questions and Answers. You may wish to consult with an authorised financial adviser before making any investment decisions. 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. If you want to buy Smartshares index funds you should do this through Sharesies, InvestNow or Superlife since you can buy fractional shares and … Markets – Sharesies is a platform through which investors can buy the listed Exchange-traded funds in NZX whereas Hatch is a platform through which the ETFs listed on the US market can be bought. 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. Discussion about Sharesies vs InvestNow vs SuperLife vs something else? All three use the same dealer-broker infrastructure provided by DriveWealth. We cannot accept liability for any decision made based on our information. There are heaps of Fund Managers out there, and they tend to require a few thousand dollars as a minimum investment if you invest in a fund directly through them. Whether you’ve been investing for a while, or you’re new, you’ve probably heard of these popular New Zealand investment services. Brokers are probably more suited to more experienced investors, as the large number of share and ETF offerings might be overwhelming for beginners, particularly if investing in the United States market. Sharesies offers far fewer funds, but does offer ETFs and, unlike InvestNow, investors can hold individual company shares all on the one platform. Thanks to fractional investing, no minimum amounts, and our low fees, you can start investing with as much or as little as you like. Their ultra low minimum investment amount of a single cent opens up the opportunity to start investing for almost anyone. Hatch makes investing easy and rewarding for novices and experts. NZ shares: Sharesies vs InvestNow vs Smartshares Launched in March 2017, InvestNow is an online investment platform based in New Zealand. 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. Found this article helpful? But that’s where brokers come in (see below section). Fund Platforms also provide investors with good online portals, allowing you to buy, sell, and view your investments at anytime and anywhere. For doing so, they charge investors a management fee which is a small percentage of the amount you have invested. This is usually a minimum fee (in dollars) or a percentage of the sale. InvestNow, Sharesies, Hatch, ASB Securities and Direct Broking are well-known among New Zealand investors as online platforms for trading shares and buying funds. A wide selection of New Zealand Fund Managers, like Milford Asset Management and Pie Funds, are available on InvestNow. Hatch vs Stake - Mid/Long Term Index Funds. In addition, a large collection of Smartshares ETFs can be found on InvestNow and Sharesies – which is probably the easier way to invest in these ETFs due to their lower fees and superior online portals. Get new investing articles in your inbox. 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. 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. InvestNow | Invest Online | KiwiSaver, Managed Funds & Term ... What happens to your investments if Hatch, Sharesies, Stake ... InvestNow | LinkedIn. Our easy to read custodian guide explains what you need to know. 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. 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. While we receive compensation when you click links to partners, they do not influence our content. Each of these providers offers access to a different range of financial products. 0 Comments 1267 Views. 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. Interestingly, their non-Australasian ETFs simply invest in Vanguard and Blackrock ETFs, so they are really ETFs within an ETF! Close. Fund Platforms, such as Sharesies and InvestNow, offer several different funds you can invest in. 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. Hatch gives Kiwis easy access to the United States sharemarket, and with this access comes the opportunity to invest in 754different US domiciled ETFs!!! However, you must change your NZD to USD before buying anything through Hatch, and to do this they’ll charge you a 50bps fee on the exchange rate. Hatch is a service that allows you to buy and sell shares and ETFs from the United States sharemarkets. They have low minimum investment amounts, making investing very accessible to ordinary people. 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). Henk Hustle Investing 2,737 views. Share Brokers can be online-only (e.g. Sign up with this link, and you’ll get a bonus $5 in your account to invest! Want to compare Hatch with InvestNow, Sharesies and other platforms? a sharemarket). The platforms let you see the fund performance data and track the results. Sharesies vs InvestNow vs Smartshares: Available markets. Further Reading:– InvestNow vs Sharesies – Ultimate Fund Platform showdown and review– What happens to your money if InvestNow or Sharesies go bust? InvestNow offers over 120 funds on its platform, from 20 Fund Managers/issuers including AMP, Smartshares, and Vanguard. What happens to your money if InvestNow or Sharesies go bust? Simplicity is an attractive choice among investors because of their super low fees. It’s Sharesies again. US shares: Stake vs Hatch vs Sharesies; NZ shares: Sharesies vs InvestNow vs Smartshares; Stake, Hatch and Sharesies are three popular online investing platforms. Stake offers a free service, with unlimited buying and selling, although it's foreign exchange fee is the highest. Sharesies offers the lowest fees for share trades up to $3,000 given there's no minimum transaction fee. Both InvestNow and Sharesies are fund platforms. However, a lot of managers offer their funds on platforms like InvestNow and Sharesies, where the minimum investment amount is lower. over $10,000), but is the most expensive for smaller trades. The information on this website does not constitute financial advice in any form. Your guide to investing in shares, bonds, funds, and peer to peer lending in NZ, InvestNow vs Sharesies – Ultimate Fund Platform showdown and review. Our easy to read custodian guide explains what you need to know. 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. It allows Kiwis to invest in more than 140 NZ and global managed funds online, plus provides access to term deposits from 5 banks. But if you dig deeper, they are actually all quite different things, offering unique services and working in different ways: Below I’ll be explaining what each of these services do and offer, as well as giving a brief mention of the fees, minimum investment amount, and who they’re suitable for. They do not manage your funds – instead they act as a “middleman” between investors and Fund Managers. 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. the SuperLife NZ Top 50 Fund invests exclusively in the Smartshares NZ Top 50 ETF). Investing . It is a percentage of the total funds under management, for example, 0.25% or 1.50% per year. New Zealanders are spoilt for choice these days when it comes to investing options. In addition to being a Fund Platform, they provide a brokerage service for shares listed on the NZX, New Zealand’s sharemarket. Hatch offers an all-inclusive pricing system which covers all regulatory fee costs, and has the second-lowest FX fees. They charge brokerage fees whenever you make a trade (buy or sell something). Worried about what happens to your investments if InvestNow collapsed or shut down? Archived. An Australian platform, Stake, is also testing its product in New Zealand and plans to launch in coming months. US shares: Stake vs Hatch vs Sharesies; NZ shares: Sharesies vs InvestNow vs Smartshares; Finder is committed to editorial independence. What Happens If Your Investing Platform Shuts Down? 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. 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. InvestNow vs Sharesies . Hatch vs Sharesies – Which Is Better? Because ETFs are listed on the sharemarket, you can also buy and sell ETFs through brokers. I have recently joined Stake so I can access US stocks, and went with Stake because they had no fees and I had a referral code which got me a free US share. Must-read Hatch-related guides. Fund Platforms are services that offer you access to a variety of different funds to invest in, sometimes described as a “Fund Supermarket”. 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. Simplicity offers New Zealand's lowest fee managed fund but isn't offered on InvestNow or Sharesies. So what kind of service should you use? Comparing these three, InvestNow offer the cheapest option. 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. InvestNow vs Sharesies – Ultimate Fund Platform showdown and ... InvestNow's Flexible KiwiSaver Scheme Review. We are a journalistic online resource with the aim of providing New Zealanders with the best money guides, tips and tools. Most New Zealand Fund Managers also offer KiwiSaver funds, but I won’t cover these here. 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). those starting, occasional investors and expert-level) and don't have the high minimum investment levels that individual funds often charge. Monique Law . Worried about what happens to your investments if InvestNow, Sharesies, Hatch or another platform collapsed or shut down? Their upfront brokerages fees are higher compared with Sharesies, but ASB does not charge an ongoing account fee. In this video I compare the US share trading platforms; Stake, Sharesies and Hatch side-by-side. Simplicity has five different fund options (Conservative, Balanced, Growth, NZ Share, NZ Bond). Unfortunately these ETF issuers don’t offer anything in the New Zealand market. For this, fund managers charge their investors something known as a 'management fee'. 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. When withdrawing your investment you’ll need to change the USD back to NZD, costing you another 50bps on the exchange rate. Read our Comparing Sharesies vs Investnow vs Hatch and more guide. Don’t be scared off by the $500,000 minimum investment amount because these funds are available on the InvestNow platform, where you can invest with only $50. That is unless: Further Reading:– Building an investment portfolio – Simplicity vs InvestNow. There are also no brokerage fees and free withdrawals at any time, and any amount. 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. What happens if a Fund Platform goes out of business? Hatch review: Easy access to US shares. Overseas, Vanguard has a much more comprehensive offering, with over $5 trillion under management across a huge range of funds and ETFs. ETF Issuers are pretty much the same as Fund Managers. Sharesies offers far fewer funds, currently. We link to other websites throughout this website, but take no responsibility for the content they publish. Some of the ETF issuers are (click each o… the US Small Cap ETF. Best of all, managing your investments is very easy with both Sharesies and InvestNow's user-friendly interface. By Lisa Walter May 5, 2020 . Even more confusing, is that sometimes SuperLife’s fund management fee differs from its Smartshares ETF equivalent e.g: Because SuperLife’s online portal is relatively poor, and their offering mirrors Smartshares so closely, it is probably easier to stick with buying the equivalent Smartshares ETF from InvestNow or Sharesies. I can't find anything written up, but maybe I've missed it. Smartshares is the dominant ETF issuer in NZ with over 30 ETFs, and are owned by the operator of NZ’s sharemarket, NZX. Andrew Munro . We welcome your stories, tips and any feedback via. The information should never be used without first assessing your own personal and financial situation, and conducting your own research. See Smartshares, Sharesies and InvestNow as examples. Dynamic startups like. 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). Does anyone have experience changing a reasonable amount of money from one platform to another? Direct Broking offers the best value fees for big trades (i.e. InvestNow | Invest Online | KiwiSaver, Managed Funds & Term ... 5 Things to Know About InvestNow | Business Post Nigeria. you need to invest over $4,616 in the SuperLife Aussie Mid Cap Fund for it to work out cheaper than investing in the Smartshares ETF equivalent. Smartshares is one of the main wholesale providers of index funds in NZ. They have low minimum investment amounts, … 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. Keen to start building your investment portfolio with Sharesies? Brokers allow you to buy and sell shares in individual companies on the sharemarket. This may introduce additional tax implications to you. 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). This means if you have an average investment balance of $10,000 and your management fee is 1.50%, you'll pay $150/year in fees. The Smartshares ETF you want is not offered on InvestNow or Sharesies e.g. Read our Comparing Sharesies vs Investnow vs Hatch and more guide to find out more about popular investment options. On the surface, they all have one thing in common – they all provide you with access to funds to invest in. Discussion about Sharesies vs InvestNow vs SuperLife vs something else? Fund Platforms are services that offer you access to a variety of different funds to invest in, sometimes described as a “Fund Supermarket”. Further Reading:– Smartshares vs Simplicity vs AMP vs Kernel – NZ Share Index Fund shootout– Smartshares vs Vanguard vs AMP – International Share Index Fund shootout. 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. So, investing in hatch is a good option if you are planning to buy shares of a single company. First Steps - What is an "index fund"? They allow you to invest in large range of funds in once place, and manage your investments through their online portals at anytime of the day or night. The reason I'm asking is that I've been using InvestNow but I'm thinking of changing. Retail investors have always been able to access local and global share markets. 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. Our easy to read custodian guide explains what you need to know. Want to buy shares in some of the world's biggest brands? I may move on in future, and have already opened an InvestNow account, but Sharesies is good for learning. Our values statement is simple: MoneyHub exists to give every New Zealander the information they need to make better financial decisions. ... Hatch Full Review | How to buy US Shares and ETFs | New Zealand - Duration: 11:08. 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! Plus investing in individual companies requires research to ensure you’re getting into a sound investment. Now wondering if Sharesies is going to be better, given I use them for NZX already. Posted by 8 months ago. 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. 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. This information took me a long time to track down, so I'm delivering it to you on a silver platter. This gives you access to the dirt cheap Vanguard and Blackrock ETFs, as well as individual companies like Apple, Facebook, Netflix, and Tesla. Sharesies doesn't charge a fee for buying index funds but has an annual fee, and SuperLife often charge more than InvestNow. The trendy Sharesies platform offers around 40 funds – comprising mainly of Smartshares ETFs and a few ethical funds. Let’s be friends on Facebook, Twitter, or via email so you can keep up with the latest news and posts! Sharesies is another popular option for New Zealand investors and is aimed at young people. 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