Each week the Eureka Report publish the best letter to the editor for the week along with a reply from the author. In this week's Eureka Report the letter was directed at Scott's recent article - What price index funds?.
The questions posed were:
- Is there a difference between Vanguard's managed fund, which attempts to replicate the ASX 200 and the stockmarket traded share from State Street, SPDR S&P/ASX 200 Fund (ASX:STW)?
- Are there particular merits in either product or are they really much the same in terms of price, dividends, 'management fees', net tangible assets, etc?
- Are there other ASX 200 index-type funds out there that I'm missing?
In his reply, Scott points out that the tax effectiveness of alternatives as well as cost are two items to be looked closely at.
Click on the following link to be taken to the letter and Scott's reply - Reply to letter of the week.