endowus main advantage was that they exclusively had amundi prime usa available for cpf-oa
now phillip poems also have, gg
the endowus extra 0.3% pa platform fee is not worth it
once ishares us index fund is also on poems, endowus is dead
their cash mgmt offering is also very weak
they cannot compete when the vehicles are already low fees and without high kickbacks
they now only threaten banks that sell faggot funds with 1.5% annual mgmt fee with 0.75% - 1% kickback and replace the high kickback with a fixed 0.3% pa platform fee
eager to see how they fight back
but most likely, they will just admit defeat
and focus on a different segmentation instead of saying how they are the cheapest on the market
its cliche
but fees are concrete and certain - we can reduce those for instant and permanent wins
there are no fund managers, that will take your money, that can also outperform consistently
anyone that can, doesnt need to earn your fees
indeed, and now Endowus is trying to hang on by blocking transfer out of unit trusts from Endowus, hoping that majority are too lazy to push through with the switch.
ReplyDeletecompetition is important. Things like FSMOne 0% processing fee RSP of ETF may well have been triggered by competition from roboadvisors like endowus. Similarly, Poems may have agreed with Moneyowl to offer Amundi even though they don't make money because they may have been losing market share to Endowus.
ReplyDeleteSo I hope that Endowus can respond with better deal for investors as opposed to shutting down.
Currently the dividend yield of S&P500 is so low it doesn't matter, but if yield ever hits 2% (like in previous years) , the 30% WHT might matter and then people will 'complain' why Amundi got so high WHT.