Mathematically is just does not matter as compounding is a percentage increase. x*1.05 is the same as (y+z)*1.05 with x = y+z
In real life there might be some caveats to this however
are there any fixed (amount) costs associated? These will eat more on a smaller account than on a larger one
splitting everything appropriately in case of a divorce
No, when you buy ETF shares you buy from some other holder on the market not from the issuer, and the same when the broker buys to reinvest a distribution (but they do a bulk transaction for all their clients which is more efficient). That's the difference between an ETF and a traditional fund; see Do ETFs move on their own? Or only on aggregate from the ...
What I wonder about this -- If you go to this website and try two
variations (just change initial amount in both. Keep rest the same),
you will find that the one with the higher investment amount, makes a
much larger profit than the other.
I made two variations:
the default numbers:
10K initial investment;
$100 additional ...
More or less standard answer for this type of question. If you have some extra money, you should (in that order)
Pay off any high interest debts
Build up an emergency fund of 3-6 months of minimum living expenses. Put it in a savings account or something with easy access.
Pay off any low interest debts
Maximize tax advantaged savings vehicle (retirement ...
Published dividend yield is calculated based on the current unit/share price and most recent annualized distribution. Your yield will change over time as you receive dividends.
Assuming you paid the current price of $41.68 per unit for your 100 units of SPYD, your cost basis is $4,168. If the distribution holds to the most recent paid of $0.6362/unit your ...
The short answer seems to be no:
Unless you’re able to prove you’re a ‘sophisticated investor’ then practically all platforms and brokers will refuse to sell you ETFs based in the US (also known as US-domiciled or US-registered ETFs) because these products do not conform to European UCITS regulation. This piece explains why we can no longer buy US-domiciled ...
According to S&P U.S. Indices Methodology:
S&P Dow Jones Indices calculates multiple return types which vary based on the treatment of regular cash dividends. The classification of regular cash dividends is determined by S&P Dow Jones Indices.
Price Return (PR) versions are calculated without adjustments for regular cash dividends.
Gross Total ...
If this was a non-ETF fund then the transaction would have taken place at the end of the day. That would mean that all re-investment transactions that day would take place at the same price.
With an ETF the price could change every second of the trading day. Unless they took place at the same second the price could be different. On a particularly volatile ...