RetireJapan

Assume I can only afford to save ¥50,000 each month.
I understand the 新NISA has two elements to it: one part you can fill up to ¥2.4m in a year, and the other part you can fill up to ¥1.2m in a year. Which part do I put my ¥50,000 in? Do I have to specify to my broker, SBI?
Or is this allocation somehow done automatically?
Thanks.

Roger Van Zant wrote: ↑Wed Sep 20, 2023 2:13 am Assume I can only afford to save ¥50,000 each month.
I understand the 新NISA has two elements to it: one part you can fill up to ¥2.4m in a year, and the other part you can fill up to ¥1.2m in a year. Which part do I put my ¥50,000 in? Do I have to specify to my broker, SBI?
Or is this allocation somehow done automatically?
Thanks.

which funds do you buy currently? I mean in current NISA.

I don't know exactly how it'll work yet because nobody has released the details, but I assume anything up to ¥100k/mo will automatically go ino the regular/tsumitate/¥1.2M portion if it's an elegible fund.

Edit: more likely what'll happen is that it will "use" the regular allowance first until there's none left, then go into the growth allowance. If you're investing ¥50k/mo, that will just use the regular allowance. Again, this is speculation.

The old 新NISA (that got scrapped to be replaced with this 新しいNISA) required you to fill the tsumitate portion first.

I haven't seen anything about how the 2024 NISA will work in that regard.

goran wrote: ↑Wed Sep 20, 2023 2:26 am

Roger Van Zant wrote: ↑Wed Sep 20, 2023 2:13 am Assume I can only afford to save ¥50,000 each month.
I understand the 新NISA has two elements to it: one part you can fill up to ¥2.4m in a year, and the other part you can fill up to ¥1.2m in a year. Which part do I put my ¥50,000 in? Do I have to specify to my broker, SBI?
Or is this allocation somehow done automatically?
Thanks.

which funds do you buy currently? I mean in current NISA.

I only buy eMaxis Slim All Country.

RetireJapan wrote: ↑Wed Sep 20, 2023 2:35 am The old 新NISA (that got scrapped to be replaced with this 新しいNISA) required you to fill the tsumitate portion first.

But there was also that caveat for 'experienced investors' wasn't there?
Anyway, as you said the details have not been explained yet.
And also, for someone just buying mutual funds that are in the tsumitate/safe portion, why does it matter?

I am just imagining/speculating too, and I assume this will be broker specific.

But thinking from my Monex perspective, I think there should be an option to choose, specifying whether you want to use the 1.2m tsumitate-only part, or the 2.4m growth part. Because the other option is that one might want to use one’s outright taxable account too (getting into Rich Prick territory).

A nice default setting would be the tsumitate allocation, but i imagine one will need to set up separate orders for the growth allocation part, and also any tokutei account orders.

if it's anything like the current one I imagine you'd have to setup order schedule to use tsumitate portion and everything else goes to growth. (at least for rakuten. no idea about anywhere else)

the portion is still called "tsumitate" after all

Roger Van Zant wrote: ↑Wed Sep 20, 2023 7:04 am

goran wrote: ↑Wed Sep 20, 2023 2:26 am

Roger Van Zant wrote: ↑Wed Sep 20, 2023 2:13 am Assume I can only afford to save ¥50,000 each month.
I understand the 新NISA has two elements to it: one part you can fill up to ¥2.4m in a year, and the other part you can fill up to ¥1.2m in a year. Which part do I put my ¥50,000 in? Do I have to specify to my broker, SBI?
Or is this allocation somehow done automatically?
Thanks.

which funds do you buy currently? I mean in current NISA.

I only buy eMaxis Slim All Country.

I think emaxis slim all country fund will be available in both, tsumitate and growth portions. And your monthly investment of 50k JPY will not fill the annual allowance of either portion.

So depending on which one the broker (or the government) wants filled first, you could make the choice.
I assume it will be some sort of automatic allocation. But let's wait for more details.

For rakuten, according to this page, to use tsumitate portion the order must use the 積立投資 which is the one you set the monthly schedule and stuff.

The current tsumitate header in つみたてNISA → 積立設定 looks like this:



My guess is it'll go up to (1.2M + <available growth portion>) for the new one and if you use (schedule) up all 3.6M for tsumitate (f.e. setting 300k/mo), you can't place any spot order unless the tsumitate order is readjusted to free up the allocation.

Or maybe it'll be completely separate 積立投資 between tsumitate portion and growth portion mainly because the growth portion has wider selection of products?