- Generate Managed Funds Fees
Generate Managed Funds fees
What are the fees?
You will be charged fees for investing in the Generate Unit Trust Scheme (Generate Managed Funds). Fees are deducted from your investment and will reduce your returns. If Generate invests in other funds, those funds may also charge fees. Small differences in these fees can have a big impact on your investment over the long-term. The fees you pay will be charged in two ways:
Regular charges
E.g. annual fund charges
One-off fees
Currently none
Always compare returns after fees, not just fees
Fees can be a hot topic among providers, but at the end of the day, what usually matters most to investors is the long-term return on their investment. That's why we recommend comparing net returns after fees. A comparison of just fees will only tell part of the story.
For example, Fund A has a 1% fee while Fund B has a 2% fee. If you were only comparing fees, Fund A looks like a good option. But when you consider the returns, the story changes. Fund B has a total return of 8% less the 2% fee, giving a net return of 6% - which is higher than Fund A, despite the fees.
Net returns of
5% p.a.
Fees of 1% p.a.
Fund A
Net returns of
6% p.a.
Fees of 2% p.a.
Fund B
Summary of fund charges
Conservative
1.19%
Estimated annual fund charge
Show fee breakdown
Balanced
1.35%
Estimated annual fund charge
Show fee breakdown
Focused Growth
1.41%
Estimated annual fund charge
Show fee breakdown
Australasian Fund
1.29%
Estimated annual fund charge
Show fee breakdown
Thematic Fund
1.29%
Estimated annual fund charge
Show fee breakdown
How do the fees apply to me?
$10000
Hannah’s initial investment in Generate Focused Growth Managed Fund
Hannah is charged management fees, which work out to about $141 (1.41% of $10,000). These fees might be more or less if her account balance has increased or decreased over the year.
Fund charge (1.41% of $10,000)
Estimated total fees for the first year
Base fund management fee
Other administration fees and expenses (included within the fund management fee)
Third party underlying fund fees
Advice Charge
