If your holding is set to reinvest, your distribution is used to buy additional units in the fund instead of being paid to your bank account. This article explains how the number of units is worked out and where to find the detail.
How your units are calculated
Your reinvested distribution is your net distribution divided by the reinvestment price for your unit class.
The net distribution is your gross distribution less any tax withheld and any fees
The reinvestment price is set by your fund manager for the distribution and applies to everyone reinvesting in your unit class
The reinvestment price is not necessarily the same as the unit value used to show your holding's worth
Note: The reinvestment price is chosen by your fund manager and is fixed before the distribution is processed. It does not change afterwards.
Rounding
Units are issued to the number of decimal places the fund uses. If your net distribution does not divide into whole units exactly, a small residual amount can remain. Your fund manager reviews any rounding difference before the distribution is confirmed.
Where to find the detail
Your distribution statement shows:
The gross distribution, any tax withheld, and the net distribution
The reinvestment price used
The number of units issued to you
A Holding Summary Post Reinvestment section showing your unit balance including the reinvested units, as at the reinvestment date
Note: The reinvestment date can be later than the payment date, because some funds reinvest a set number of days after payment. Your statement shows both dates.
To review the units arriving in your holding:
Log in to the Investor Portal
Open the relevant holding
Review your holding movements, where the reinvestment appears as a unit issuance
Changing how your distributions are paid
Your distribution and reinvestment settings are set by your fund manager. You can view them but not change them.
Click your profile name in the top right corner
Select Investing Entity Settings
Open the Distributions tab
To change from reinvestment to a cash payment, or to change the bank account distributions are paid to, contact your fund manager.
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If you have any questions or need help at any stage, please contact your fund manager for support.