2Yr·

Hey dear community,

after a long time of thinking, I have decided to use my $IUSK (-4.53%) , $IS3N (-6.64%) and the $EUNL (-4.81%) into an All World. Now I have the following question: What is the difference between $VGWL (-6.16%) and $VWCE (-4.8%) . I understand that one is distributing and the other is not but could someone explain to me how the whole thing works that would be really mega thanks🙌

Lg and Merry Christmas :)

7 Comments

Basti U.@Babistebi

2Yr

In simplified terms, dividends are reinvested in the same fund units in the case of an accumulating fund. In view of your question, I assume that you are not yet fully familiar with the subject. I can highly recommend all of the financial flow appearances. Whether YouTube, website, podcast. There is actually an answer to every question. Merry Christmas! 🎅🏼

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Alexander Schober@alexschober_

2Yr

@Babistebi I've basically seen it but wanted to make sure I've understood it correctly. What's more, I live in Austria and, as you know, we have a different tax situation to you. We always have to pay tax, whether accumulating or distributing🥲

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TomTurboInvest@TomTurboInvest

2Yr

Tip: Easybank offers the "Börsenführerschein" - all basics structured in learning modules - free of charge also for non-customers https://ausbildung.easybank.at/home.php PS: with the distributor you get quarterly dividends, with the accumulator you get no dividends - the dividends are reinvested - ⚠️in Austria, however, you also have to pay the KEST. In Austria, I recommend the Distributor

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Pezi@Pezi

2Yr

@TomTurboInvest you mean the accumulator, right?

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TomTurboInvest@TomTurboInvest

2Yr

@Pezi No, in Austria you don't have an advantage for reinvested income like in Germany. We also have to pay tax on income equivalent to distributions (e.g. reinvested income), and it is quite frustrating (at least for me) when a few hundred euros are debited from your clearing account for the tax on reinvested income. It's better to be a payer, taxwise it stays the same and the divi can be reinvested... but of course that's a matter of taste...

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Pezi@Pezi

2Yr

@TomTurboInvest ok, I didn't know that you also have to pay for reinvestors in Austria.

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TomTurboInvest@TomTurboInvest

2Yr

@Pezi Unfortunately, we do not benefit from the tax deferral effect as in Germany. In your case, it makes sense to use a reinvestment vehicle as soon as the tax-free allowance is exhausted. By the way, we don't have that either 😢💸

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