Q&A: Do ETFs pay dividends, good money habits, exit strategies and FREE investing courses
Nov 27, 2023
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Kate Campbell, author of Buying Happiness, and Owen Rask answer listener questions about investing and money habits. They discuss the best Rask Education courses, getting dividends from ETFs, using ETFs for income, building helpful money habits, and financial exit strategies.
The podcast emphasizes the importance of building wealth and investing for the long term by starting with fundamental knowledge and following a clear roadmap through free courses.
The episode explains the benefits of investing in ETFs for dividends, including simplified management of tax statements and the ability to build a diversified portfolio with just a few ETFs.
Deep dives
Building Wealth and Investing
The podcast episode discusses the importance of building wealth and investing for the long term. It emphasizes the need to have a clear roadmap and to start with fundamental knowledge. The host recommends a series of free courses that cover topics such as emergency funds, saving, budgeting, investing, tax, and super. The courses are designed to be completed in one sitting and provide the necessary information for beginners. Additionally, the importance of continuous learning, asking questions, and seeking advice from professionals is highlighted.
Dividends and ETFs
The episode explores the concept of dividends in ETFs and how they compare to direct shares. It explains that when investing in an ETF, the dividends from the companies held in the ETF are collected and distributed to the investors. This simplifies the process and makes it easier to manage tax statements. The benefits of ETFs are discussed, including their simplicity, diversified investment options, and the ability to build a portfolio with just a few ETFs. However, it is noted that for some high-income earners, tax control may be limited with ETFs as compared to direct shares.
Getting Started with Free Courses
The podcast episode addresses a listener's question about getting started with their financial journey. The host recommends a series of free courses that cover various aspects of personal finance and investing. The courses are designed to provide fundamental knowledge on topics such as building wealth, emergency funds, saving, budgeting, investing, tax, and super. They suggest starting with the road trip series, followed by the ETF investing course, and then the property course. The importance of learning and asking questions while saving for specific goals is emphasized.
Exit Strategies and Retirement Planning
The episode briefly discusses exit strategies and retirement planning. It mentions that most financial content is geared towards people in the accumulation phase, but highlights the importance of planning for retirement and estate planning. The need to consult a financial advisor is emphasized, especially for larger superannuation balances or business owners. It mentions factors such as transfer caps into super, structuring assets within or outside of super, and considerations for beneficiaries. It also briefly touches on selling investments for large financial goals and the need for proper planning and timing.
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DISCLAIMER: This podcast contains general financial information only. That means the information does not take into account your objectives, financial situation, or needs. Because of that, you should consider if the information is appropriate to you and your needs, before acting on it. If you’re confused about what that means or what your needs are, you should always consult a licensed and trusted financial planner. Unfortunately, we cannot guarantee the accuracy of the information in this podcast, including any financial, taxation, and/or legal information. Remember, past performance is not a reliable indicator of future performance. The Rask Group is NOT a qualified tax accountant, financial (tax) adviser, or financial adviser.