How is StashAway Simple™ Projected Rate Calculated?
StashAway Simple™’s projected returns are driven by the rate of returns of its underlying investments, net of all expenses, and rebates.
The math on the projected rate of returns is quite straightforward: StashAway Simple™ projected returns are the sum of the amortised yield from the underlying fund, minus fees charged by the underlying fund managers, plus any rebates. Eastspring Investments Berhad and Principal Islamic Money Market Fund rebates StashAway, and we distribute this full rebate to you when we receive it on a quarterly basis.
We will update the projected rate should the stated projected rate change. In the case that the underlying fund's projected return changes, we may decide to rebate you an additional amount in order to deliver the stated projected rate (in 3 decimals) at the time.
The Total Expense Ratio (TER) for each fund includes the Management Fee charged by the Fund Manager, as well as other expenses incurred by the Fund (e.g., custody, marketing, compliance, shareholder services); as the TER includes fixed costs, it may slightly vary depending on the size of the funds.
This is an investment, and so the returns are not guaranteed. However, it is ultra low risk.