Independent Financial Adviser --- Page: 24 : 12 February 2007 Original article by Justin Wood
ABIX Summary
The performance of managed funds on an after-tax basis is something that is of increasing interest to Australian investors. However, when seeking to compare the performance of funds after tax, a number of factors need to be taken into account, including whether or not the fund distributes all of its long-term capital gains. Not doing so can make the fund's returns initially look better in terms of the growth component. However, it should be noted that when investors come to sell their units, they get taxed on that proportion of the gains that was not distributed.
