Vanguard investment query

gerdo

Hello all, just wondering if someone could explain the below. I have some money in Vanguard short term money market fund. I put in £22k and it's currently sitting at £21,969  so why is the  total gain showing as £391.35  ??

Reaper

The fund paid you £422.04 in income, while the value of the fund dropped £30.72.

Take one from the other and you arrive at £391.32, I guess the missing 3p is rounding somewhere

gerdo

If they paid me £422.04 where did it go?

Hoenir

Your nominatated bank account? 

gerdo

The money is part of my pension account which I'm not taking yet so it's not being paid to my bank account

dunstonh

gerdo said:

The money is part of my pension account which I'm not taking yet so it's not being paid to my bank account

It will be paid to your cash account then unless you have instructed them to buy more units.

The gain showing is the gross total. i.e. unit price movements plus income distributed.

If you have only recently invested and qualified for the distribution by buying before the XD date, then the income is not payable until 28th June.  Its around a month behind (depending on weekends/bank hols).

mark_cycling00

Select transactions in the left hand menu 

Trek select cash statement tab 

And the income should be listed there 

Easyjet77

gerdo said:

Hello all, just wondering if someone could explain the below. I have some money in Vanguard short term money market fund. I put in £22k and it's currently sitting at £21,969  so why is the  total gain showing as £391.35  ??

Hello, if you switch to the accumulation version, you will see the fund value increase as more units are purchased and added to holding. The income version ,as shown above,pays cash separately . Which one suits your plans?  As often said on here, it's best not to invest in something you don't understand,as I have found to my cost!. A little research beforehand is very helpful and a clear strategy is invaluable.  Regards

eskbanker

gerdo said:

The money is part of my pension account which I'm not taking yet so it's not being paid to my bank account

Why choose an income fund if you weren't after income?

dunstonh

Hello, if you switch to the accumulation version, you will see the fund value increase as more units are purchased and added to holding. 

No it wont.   Income units with the income reinvested does what you say but accumulation units do not.   Acc funds retain the income and reflect it in the unit price.  Not the unit count.

Easyjet77

dunstonh said:

Hello, if you switch to the accumulation version, you will see the fund value increase as more units are purchased and added to holding. 

No it wont.   Income units with the income reinvested does what you say but accumulation units do not.   Acc funds retain the income and reflect it in the unit price.  Not the unit count.

I have the vanguard  accumulation money market fund, every month I see the number of units held increase, and so far that is reflected by an increase in my holdings value. Please clarify what I am misunderstanding.  The income version pays cash and the acc increases units held?
   I understand you are one of the most knowledgeable and helpful contributors and when I saw you had replied my first thought was that it was going to be your normal downer re all things vanguard! Regards