this post was submitted on 12 Jul 2023
16 points (100.0% liked)

AusFinance

1001 readers
3 users here now

founded 2 years ago
MODERATORS
[email protected]
[email protected]
16
Proposal to move Vanguard retail investor funds to wholesale funds (www.vanguard.com.au)
submitted 1 year ago by [email protected] to c/[email protected]
7 comments fedilink hide all child comments
 

As Vanguard retail funds are now closed to new investors, there is a risk that over time these funds may no longer be economically viable to operate and could result in increased fees or termination of the funds. This proposal gives you the opportunity to participate in a one-time transaction to transition to our larger wholesale funds without triggering a capital gain.

you are viewing a single comment's thread
view the rest of the comments
[โ€“] [email protected] 1 points 1 year ago (1 children)

So many "middle men/business" in making this all happen, you wonder if there isn't a more efficient way to do it.

[โ€“] [email protected] 1 points 1 year ago

I can see the logic in letting their market-traded holdings be managed by someone else. JPM and ANZ would already have the expertise and infrastructure in place to run a brokerage and commercial bank account respectively. Not to mention having the required regulatory compliance. Probably cheaper for Vanguard than spinning up their own teams. Also probably cuts costs by not having to administer two separate businesses which run parallel.