LIC & LIT LIC's v ETF's which is better and why

Hi All,

After the VAS dividend for this quarter being fairly low because of an institutional investor withdrawing from a fund that the ETF shares with a Mutual Fund I have started to question the wisdom of this ETF.

ARGO's site list their returns on a 'dividend reinvested" basis as compared to the Indexhttp://www.argoinvestments.com.au/portfolio-performance/portfolio-performance.

VAS I assume does not include it's performance on a "dividend reinvested" basis.

Is anyone else having this ETF v LIC thought. After having evolved from investing in individual shares to an ETF Index way of investing I am now considering LIC's. Any thoughts out there on the various pros and cons of each.

 

Hi Simon
Did I post in the wrong area?

I assumed "Other Asset Classes" to be ok for this type of post.

Sev

 

Yep here we see the difference between open end and closed end structure.

The bogleheads never mention this

Personally I prefer company structure, but then you are taking on manager risk as well. Very much a case of dyor

 

He's trying to direct you to his other site. Looks a bit ordinary despite the Herculean efforts of @austing who should be getting paid for the effort he's put in!

 

Hey......is this a thread about LIC's and ETF's or another website?

Simon I have looked at the other site and as a mainly property guy I don't feel I am in the same league as a lot of the posters over there. That's why I posted in the old Somersoft Forum (here) as I like the type of people that inhabit this place. Many of them are at my level of knowledge....or lack of it.

 

Simon.
Why not delete the "other asset classes" forum if you don't want us to post there then?

It would be a whole lot politer than killing a thread off that someone has gone to the trouble of posting.

I understand where you are coming from. I just think you are going about it the wrong way.
Still you are the owner now so as some here say "it up to you".

 

Personally I think the questions about other assets should stay. I don't want to check multiple forums when there are some good responders on here.
Let the other forum form its own community rather than spreading this one thinner.

 

Hi Simon,

Fair enough.
I don't think the brains trust on this site will want to post here now. Why not just delete this whole thread. I don't like how its turned out either.
Best Regards
Sev

 

I've been giving it my best shot on InvestChat but I've just about run out of time, motivation and energy. Plus it's starting to become embarrassing seeing mostly my posts (an amateur) albeit all I'm trying to do is create traffic. Looking at the posts read count there seems to be people reading them but hardly anyone is contributing except mostly for one other person with some interesting views to say the least. I'll keep posting on IC albeit much less but it's up to other members there now to do their bit.

On the other hand I don't feel I can just give up on PC completely given the warm friendly and respectful nature of most members here. And to date we've successfully managed to deter the traders and crazies from taking over here. Although perhaps some here think I'm one of the crazies.

 

Hi @seven, I hope I and others here aren't coming across as being perceived as some kind of expert or part of the brains trust. We're all just amateurs here trying to help each other. It's not anyone trying to take on a brains trust role but if we don't respond to posts at times no one else might resulting in a thread going dead. Apologies if we've disappointed.

 

@seven,

Getting back on topic here the following might be helpful:

Caveat Emptor: LICs versus ETFs - Cuffelinks

Consider a LIC before you bite into equities - Cuffelinks

 

Bit late for that,but's it's always a good idea to question the error rate ..

 

They're great links! I think those short articles should be mandatory noob reading & they answer this thread topic quite concisely. Thanks @austing

 

He, and my banal questions