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Vanguard ETFs for dividends

Discussion in 'Beginner's Lounge' started by gretrust, Dec 31, 2019.

  1. Dona Ferentes

    Dona Ferentes

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    Sadly and unfairly, as a retail investor, Credit Agencies will not release the ratings for individual companies. (a good OTC broker will help clarify their research but can't technically hand it to you in print ;) ).

    Most solid long term corporates sit as investment grade at BBB or higher but very few make the cut to the A league. As alluded to by aus trader, governments have a way to meet obligations - it's called taxation !

    And remember, anything labelled High Yield as a sub category is "non investment grade" & really just JUNK

    "How did you go bankrupt?"
    "Two ways. Gradually, then suddenly.”

    ― Ernest Hemingway, The Sun Also Rises
     
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  2. sptrawler

    sptrawler

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    I just checked HSBC term deposit rates, they seem to max out at 1.35%:
    https://www.hsbc.com.au/accounts/products/term-deposits/

    What product are they offering 2.35% on? I wouldn't mind moving some money over.
     
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  3. Humid

    Humid

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  4. Belli

    Belli

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    Alternatively save yourself any trouble hunting around and just buy more shares.:)
     
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  5. sptrawler

    sptrawler

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  6. willoneau

    willoneau

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    I was thinking of ETF,s that you wanted to hold medium to long term, so just an idea if ETF was being held for dividends. Hadn't thought about the franking which would need to be included.
     
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  7. gretrust

    gretrust

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  8. gretrust

    gretrust

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    Yes that seems to be the general view and the reason why I have been looking at:

    https://www.vanguardinvestments.com...ct.html#/fundDetail/etf/portId=8208/?overview

    11% return in the last year and averages 5% for the last 3yrs, if Im reading it right.
     
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  9. Dona Ferentes

    Dona Ferentes

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    then it's not 2.35%pa. It's called a honeymoon rate, aka; 'come on down because investor psychology is once we have you, inertia will enable us to keep you'

    your yield is 2.35% for 4 months and 1.35% for 8 months, or 1.72%pa.
     
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  10. InsvestoBoy

    InsvestoBoy

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    It's nice to want to help but I think @gretrust should talk to a qualified financial advisor and not take anything about investing off this thread.

    A lot of the replies about bonds are well meaning but dangerous.
     
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  11. qldfrog

    qldfrog

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    True, based on the question, @gretrust has a lot to learn and wo knowing his her situation, our advices could be misguided.
    Look for a FA or a friend with knowledge.my 2c
     
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  12. aus_trader

    aus_trader

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    upload_2020-1-8_0-46-42.png
     
  13. sptrawler

    sptrawler

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    VC's rate setters seems just as good short term?
     
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  14. aus_trader

    aus_trader

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    Yes, VC explained the details and broke down the risks and level of protection offered with the Provision Fund.
     
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  15. qldfrog

    qldfrog

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    I
    consider it as risky but not more than share market, you can get 6pc on dedicated green energy funds..basically solar panels etc where savings roi are higher then the loan rate, in theory relatively safe..as the saving on the power bill do pay the loan, not coke and bundy...
    Anyway, ratesetter an option to add to your portfolio.
    I also met the management and was not scared for what it is worth...
    Disclaimer i have 25k with them
     
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  16. gretrust

    gretrust

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    Dont plan on staying with them after 4 months, will xfer back to rams for a consistent 2/2.1 that I ve been getting so far, subject to RBA announcing further cuts ofcourse.

    As pointed out earlier Macq bank has 2.65 for 4 months with a 250k limit but i cant be bothered opening another account for 4 months.
     
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  17. gretrust

    gretrust

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    I've thought about this from the 1 year that Ihave been visiting and reading Beginner threads here, especially the one someone started when he came into inheritance.

    With the market full of so called proclaimed 'FA's & Property advisors' charging a 2 to 4 grand a year, how do you filter junk out?

    Im sure there are a few really good FA's out there, but the chance of finding them via google is like finding a needle in a haystack. Which is where word of mouth or recommendations come in...
    There's high chance that some of members have experience in dealing with a few.

    Any recommendations on FAs from personal experience ?
    Not sure if this deserves a thread of its own, but would definitely assist the community & beginners in shortlisting a few options.
     
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  18. sptrawler

    sptrawler

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    Generally the forum is made up of people who want to look after their own finances, so I'm not sure that there will be many giving advice, however there are some members who are financial planners and seem to have ethics so they may contact you.
    But in reality, if you aren't confident in your own counsel, I would suggest you just buy top quality, low management cost, ETF's and LIC's and if you are in the building phase use dividend re investment.
    Just my opinion. It is the safest path IMO
     
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  19. qldfrog

    qldfrog

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    Not sure if it is just my experience but finding a decent accountant for my business took me 15y and the poor soul passed away within a year RIP,i inow got a decent one, and this should be easier than FA.
    I have never met a FA i can trust, and gave up searching
    Rationally, i made many mistakes and paying a few k a year for right advice would have been worthwhile, but finding the right oerson seems mission impossible
    Part of the problem is you need a local contact, face to face interaction and this obviously greatly reduces the pool of prospects
    So as many, you turn to asf and self education, or worse do nothing
     
  20. gretrust

    gretrust

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    :) Which is why I started this thread for Step 1 of beginner investment, for a safe, low risk-low return approach.

    So true about finding decent accountants, after 5 years of crap personal accountants, I finally found a old soul who was as genuine as they come with letting you choose/customize risk. Sadly he's not v good at ETF/Bonds/LIC investment advice but awesome at personal taxes. I'll miss him when he's gone.
     
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