Zero dividend ETF
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Discussion

Truffles

Original Poster:

580 posts

213 months

Sunday 19th January 2020
quotequote all
Do ETFs paying zero dividends exist in the UK? A family member has quite a substantial amount to invest, but does not want any dividends as it would take him into a higher tax bracket. I am well aware that some investment trusts wrap up dividends into the investment, but I cannot find any ETFs which do the same.

springfan62

923 posts

105 months

Sunday 19th January 2020
quotequote all
If you look for accumulation ETF's you should find some, I know the Legal and General Global Equity UCITS ETF acc hasn't produced a dividend in the last 12 months. There must be others.


williaa68

1,540 posts

195 months

Sunday 19th January 2020
quotequote all
Does it have to be an ETF? Could it not just be a regular unit trust? I use the fidelity index world fund in my kids SIPP. It is an accumulation fund, priced daily etc.

Helicopter123

8,831 posts

185 months

Sunday 19th January 2020
quotequote all
williaa68 said:
Does it have to be an ETF? Could it not just be a regular unit trust? I use the fidelity index world fund in my kids SIPP. It is an accumulation fund, priced daily etc.
You still need to declare and then pay tax on reinvested dividends though if held in a taxable account.

Truffles

Original Poster:

580 posts

213 months

Monday 20th January 2020
quotequote all
Thank you all for your help. Off to do some further research now.