SATRIX 40 Costs - OST vs. Direct

[#1]

I have been trying to determining the cheapest option for purchasing SATRIX 40. There seem to be two options, either buying via Online Share Trading (or similar) or direct from SATRIX. On the face of it, it appears the going direct is cheaper. Any other thoughts or considerations?

[#2]

Satrix will charge you an annual management fee of about 1% (just check). OST charges a monthly fee of R45. This means that for total nts less than R60,000 you are better of buying through Satrix. I suggest moving each R60,000 from Satrix to OST. Remember that the Satrix brokerage is also significantly less than SB OST. P.S. I am assuming you are using the investment plan.

[theyoungster]

STXDIV is in my opinion the best buy in market conditions add to it like an annuity fund with dividends reinvested im 21 now lets see in three years time...

[#4]

You're right, I was thinking of using the Investment Plan. The SATRIX fee is 0.80% for lump sums below R100,000. My initial investment will be below R60,000 so I think I will go the SATRIX route for now. Thanks for the suggestion!

[#5]

Just remember the STXDIV looks at dividends retrospectively, they do not use any expectation of future dividends. There is no guarantee that you will get the benefits of a high dividend yielding portfolio going forward. I'm not bashing STXDIV, just know what you're getting into and adapt your expectations accordingly.

[DST]

Wat jy waar kry?
"The index selects the top 30 high yield instruments based on a one year forecast dividend yield. The consensus forecast of stockmarket analysts, from both the buy and sell side of the industry, is collected in the McGregor BFA Survey. The analysts provide forecasts purely based on cash dividends, therefore excluding special dividends, capital reductions and capital repayments."