Bester Tag für ETF-Kauf und Sparplanausführung! ETF-Experte Arne Scheehl im Interview Teil 1/2

Summary

This video interview explores the intricacies of Exchange-Traded Funds (ETFs), focusing on key aspects such as cost structures, index provider selection, and dividend strategies. Experts discuss how factors like index choice, cost management, and sustainability impact ETF creation. They also delve into the nuances of dividend payouts, distinguishing between accumulating and distributing ETFs, and addressing tax considerations. Additionally, the interview highlights the importance of balancing cost-efficiency with market exposure, offering valuable insights for investors seeking optimal ETF strategies.

Takeaways

• 😀 ETFs are cost-driven, with storage, management, and index licensing fees impacting pricing, especially for physical ETFs or those tracking exotic markets.
• 😀 The choice of an index provider (e.g., MSCI vs Solactive) is crucial in ETF creation, balancing cost, brand recognition, and relevance for the target market.
• 😀 While MSCI is a common brand used in global indices, Solactive is often selected when cost is a more important factor, especially for non-branded indices.
• 😀 Established indices like the DAX are highly recognized, making them more attractive for German stock ETFs, while less-known indices might struggle to gain traction.
• 😀 The popularity of high dividend yield stocks is often confused with the actual payout structure in ETFs. Some investors are more interested in capital gains than cash dividends.
• 😀 Dividends are usually taxed as capital income, and they are reinvested in accumulating ETFs until the distribution date, maintaining full investment.
• 😀 Investors can receive dividends as cash payouts in distributing ETFs, but accumulating ETFs reinvest those payouts into the fund to maintain a full portfolio exposure.
• 😀 A major cost factor in ETFs is the transaction fee for selling assets to generate the cash for dividend distributions, though this cost is typically minimal.
• 😀 Investors need to be aware of tax implications on dividends, especially with international holdings that are subject to withholding taxes before reaching the fund.
• 😀 ETF distribution structures affect cash flow to investors. Distributing ETFs pay out dividends, while accumulating ETFs reinvest them, leading to different investor experiences based on their needs.

Q & A

What are the key cost drivers when setting the price of an ETF?

The key cost drivers include storage and management fees for physical ETFs, especially when dealing with exotic markets, the fees paid to index providers, and the overall liquidity of the ETF. Exotic markets may require more complex handling, thus increasing costs, while index providers like MSCI or Solactive charge different rates.

How do index providers influence the ETF selection process?

Index providers play a significant role in ETF selection as their costs, brand recognition, and the assets they cover influence the decision. For example, popular indices like MSCI may attract investors due to their established brand, whereas a provider like Solactive may be chosen for its lower cost, even if it's not as well-known.

Why is the MSCI World ETF popular among investors?

The MSCI World ETF is popular because it tracks a globally recognized index, which makes it appealing to both retail and institutional investors. The MSCI brand is well-known, and its index includes a broad range of stocks from developed markets, offering a diversified portfolio.

What is the significance of choosing an index with an established brand for a specific market?

Choosing an index with an established brand ensures greater recognition and trust among investors. For example, a DAX ETF focusing on German stocks will likely use the DAX index, which is a well-known brand, to attract investors, while lesser-known indices may struggle to gain market traction.

How do ETFs handle dividends, and what is the process from a company's payout to an investor?

When a company in the ETF pays a dividend, the dividend is initially taxed (e.g., by withholding tax). After that, the remaining amount is reinvested into the ETF until the next distribution date. For payout ETFs, the dividends are eventually transferred to investors after being collected by the ETF.

What is the difference between accumulating and distributing ETFs?

In accumulating ETFs, dividends are reinvested back into the fund, allowing the fund to stay fully invested and grow. In distributing ETFs, dividends are paid out to the investors. The decision depends on the investor's preference for either reinvestment or receiving the dividend as cash flow.

How do transaction costs factor into the ETF's dividend distribution?

Transaction costs for distributing dividends are generally minimal and can be neglected. ETFs regularly handle cash inflows and outflows, so distributing dividends involves minor selling of assets. However, since the dividend yield is typically around 3%, these costs are not significant enough to affect overall performance.

Can investors receive regular payouts from an ETF, and how would this work?

Yes, investors can receive regular payouts from an ETF, but they need to consider how the ETF handles dividends. Some investors might want regular payouts, while others prefer reinvestment. It is also important to consider the tax implications, as payouts are taxable as capital gains in most cases.

Why is staying fully invested important for an ETF?

Staying fully invested is crucial to avoid missing out on market gains. If cash is held temporarily before distribution or reinvestment, the ETF might not capture potential growth, which could impact returns. Ensuring the ETF remains fully invested at all times allows it to track its index as closely as possible.

How do dividend payments impact the overall value of an ETF?

Dividend payments can impact the ETF's value in two ways. When dividends are paid out, the net asset value (NAV) of the ETF typically drops by the amount of the dividend, similar to how an individual stock's price drops after a dividend is paid. However, this is balanced by the reinvestment of dividends or the cash flow received by investors.