Most of the funds on Endowus are accumulation share class funds. This means any distributions received from the underlying securities will be automatically kept or reinvested within the fund/funds. There are no additional charges or fees. This allows you to compound your distribution returns as long as you stay invested.
Where will my distributions be credited to?
For distribution share class funds, you have the flexibility of choosing to have distributions:
- Deposited into your Endowus cash balance (for cash investments),
- Withdrawn to your bank account (for cash investments), or
- Be automatically reinvested at no cost (for cash/CPF/SRS investments).
(Please note that for Fund Smart portfolios consisting of distribution share class funds, only distributions of $1 and above will be automatically reinvested, distributions below $1 will be deposited to your Uninvested Cash Balance. For the Endowus Income Portfolios, distributions below $10 will be credited to your Uninvested Cash Balance, and not withdrawn to your linked bank account.)
The payout preference or option you select depends on your individual circumstances and need for cash distributions to supplement your cash flows.
What if I've fully redeemed from a portfolio, or the distributing fund is no longer in my portfolio?
If you are due to receive distributions upon fully redeeming from your portfolio, or if the distributing fund is no longer part of the portfolio's target asset allocation (portfolio itself may still have other investment holdings), we will credit the distribution proceeds as follows:
For cash investments:
Payout preference is to credit to cash balance or reinvest – credit to cash balance
Payout preference is to withdraw to linked bank account – withdraw to linked bank account
For CPF/SRS investments: Withdraw to the respective CPF/SRS account
How do I change my payout preference?
You can choose whether to have your dividends be reinvested automatically, kept in your Endowus account, or withdrawn immediately to your bank account.
To change the payout preference of your distributions, you may select your goal with distribution share class funds and select "Change" under "Payout Preference".
Thereafter, you may select how you would like to receive your payouts and confirm your choice via SMS.
* Please note that currently, the option to have distributions be automatically reinvested is not available for the Income Portfolios