Good Retirement

May 13, 2013 at 12:27 PM

This question was asked in The Dominion Post (4 May, 2013) under the "Your Money" section and was answered by Janine Starks.  The writer of the question suggested investing in a rental property, whereas Janine Starks responded by saying a Rental Property is really a wealth building investment and isn't easily liquidated if you need funds in a hurry.

It would be wise to listen to Janine Starks in this occasion.  To develop on her response of investing in managed funds or term deposits, I would suggest that rather than managed funds (as their fee structures can reduce your dividend income greatly),why not look at Property Trusts listed on the New Zealand Stock Market.  These trusts own many commercial properties, pay quarterly dividends, have not historially varied in unit prices greatly (less capital risk than shares) and you can spread your risk by choosing several different Property Trusts to invest in.

To get a list of the Property Trusts on the Sharemarket, ask your broker or go to www.nzx.com, click on Markets, NZX Main Board, and down the left hand side look for Sectors and click on Property.  If you click on each property trust, there should be a link to their individual websites to that you are able to research the companies further.



Category: Retirement Planning

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