Is investing a lump sum in Tsumitate possible?

[adamtokyo]

Hi there,

I've been reading up on a lot of threads here on the differences between the NISA and the Tsumitate and it looks like the Tsumitate is the better option for me. One thing I noticed is that it requires monthly investments. I'd like to know:

Can you vary the investment amount each month?
Can you invest the full 400,000 in the first month?

With the current panic in the markets due to the corona virus I'd like to front load some of my allowance in these next couple of months.

Also I read in one thread that whilst you are only allowed to open one NISA account a year you are of course allowed to open a new account on the subsequent years.

I.e.

Year 1: Open Account A with ¥1.2 mill
Year 2: Acc. A add ¥1.2 mill (tot ¥2.4 mill) + Open Acc. B with ¥1.2 mill.
Year 3: Acc. A add ¥1.2 mill (tot ¥3.6 mill) + Acc. B add ¥1.2 mill (tot ¥2.4 mill) + Open Acc C with ¥1.2 mill.
etc etc etc

Is this also possible with the Tsumitate NISA?

Any help greatly appreciated.

[goodandbadjapan]

With regular NISA, it doesn't quite work like that. It's like this (as far as I understand it)

Year1. Invest up to 1.2 million
Year2: you can't add to that year 1 amount. You just open a new year's allocation and invest up to 1.2 million again.
Year 3: you can't add to year 1 or 2. Again, open a new year's allocation and invest up to 1.2 million

and so on.

[adamtokyo]

Thanks goodandbadjapan,

Yeah that was my original understanding too. I just went back and reread the thread which ran counter to that and realised that the OP was eventually corrected as per your comment.

Do you know if lump sum payments are allowed in the tsumitate or is it always a regular fixed payment?

[goodandbadjapan]

Not sure - I think I read somewhere that it had to be a monthly payment, but by no means certain.

[RetireJapan]

Do you know if lump sum payments are allowed in the tsumitate or is it always a regular fixed payment?

I don't have a tsumitate account, but I believe you have to set a monthly payment. However, you can top up the account with a lump-sum (at the end of the year?).

[adamtokyo]

Sorry for the late reply everyone and thank you very much for your help.

I decided to just open a standard Nisa with Rakuten as I want to make a few lump sum payments.

Now I'm just waiting for the inevitable kafuffle over my middle name.

Thanks again

Adam

[TokyoWart]

Now I'm just waiting for the inevitable kafuffle over my middle name.

This drives me crazy too. I don't know if it helps you, but a few of my financial accounts addressed this problem by combining my first and middle names into one long name.