Comparing these 2 funds

bendix

cashbackproblems wrote: »

thats for that, so with bonds im guessing you get a higher yield because its being reinvested and your not getting a regular income?

Are there any other funds you can recommend?

I am looking to reinvest any dividends and make small monthly top ups.

Ummmm . no. I think you're getting a bit confused about what a bond fund is, and starting to mix your terminology a bit.

Most managed funds which hold income-generating assets (shares or bonds predominantly) are sold in two formats. You can have them in an income version or an accumulation version. The yield they pay is generated by the combined yields of the underlying assets - a kind of average of all the various incomes of the shares or bonds it holds,and there can be hundreds of them. That payment can either be made to you direct as income, or it can be reinvested to buy new units - your choice.

Then, of course, market conditions can fluctuate making those shares or bonds rise and fall in value, thus making your capital investment rise and fall in value too.

It all gets a bit complicated when you consider then that the relative yield paid is also affected by the changing value of the yielding asset.

Confused yet?

LongTermLurker

cashbackproblems wrote: »

Also is iii cheaper than HL, these are iii's charges

ChargesStandard (Fund Manager) Initial Charge5%

Interactive Investor Initial Charge1.00% (80.00% off standard charge)

Annual Management Charge (AMC)

1.25%Total Expenses Ratio (TER)1.44%

For what fund???

Why not check HL's website? As an example

Inv Perp Monthly Income Plus (mentioned and linked above)

HL Initial charge 0% (100% off standard charge)
HL AMC 1.125% (10% off standard charge)

Looks like you might be talking about the same fund, so I'd say HL was cheaper to buy and cheaper to hold.