RetireJapan

Here's something else that I am curious to fully understand, if someone would be so kind to shed some light!

Let's say I buy a Nikkei225 based index fund (ie. Japan one).
If I do a spot purchase at 1pm on Monday, it appears in my account (along with values) on Tuesday morning.
So my understanding is that the value is fixed after closing on Monday night.

OK, so how about non-Japan funds?
Let's take the ever popular "eMAXIS Slim all country" one.
If I do a spot purchase at 1pm on Monday, that appears in my account (along with values) on Wednesday morning.
Of course I understand that there is the time difference with an international fund, but when exactly are the values of those funds decided?
(Monday night US time, hence the delay in them showing up in my account here? Or, something else?)

Hope that makes sense!

Thank you in advance for any words of wisdom. Let's helping!

Was just reading an article about this the other day:
https://www.americakabu.com/entry/投資信託手続手数料

The answer is that it depends on the fund, but for a given fund you can find the answer it its 目論見書.

For this one,

https://www.am.mufg.jp/pdf/koumokuromi/ ... i=lIedpQmm

It is stated that the price is decided the day after you submit your purchase order, 購入申込受付日の翌営業日の基準価額
However, further below it is stated that you can’t buy or sell on specific days when relevant stock exchanges have holidays:
次のいずれかに該当する日には、購入・換金はできません。 ・ニューヨーク証券取引所、ニューヨークの銀行、ロンドン証券取引所、ロンドンの銀行、
香港取引所、香港の銀行の休業日

For an all country fund, there are more needles to thread than just a single country fund, so this is of most relevance when various countries have holidays at the same time.

Thank you!

So, in the case of the eMAXIS Slim, I saw this:

原則として、午後３時までに販売会社が受付けたものを当日の申込分とします。

So I presume that means that if I placed my order at 3pm on Monday (Japan time), the value I got would be fixed at the end of that same day after the markets have closed over in the US. That would make it too late to show up in my account as an update on Tuesday morning, so it appears in my account on Wednesday.

But the actual value I got would effectively be fixed at the end of business on Monday (post US closing).

I wonder if that is correct, or I'm just getting further muddled up!?

Mrblobby wrote: ↑Mon Oct 02, 2023 2:26 am Thank you!

So, in the case of the eMAXIS Slim, I saw this:

原則として、午後３時までに販売会社が受付けたものを当日の申込分とします。

So I presume that means that if I placed my order at 3pm on Monday (Japan time), the value I got would be fixed at the end of that same day after the markets have closed over in the US. That would make it too late to show up in my account as an update on Tuesday morning, so it appears in my account on Wednesday.

But the actual value I got would effectively be fixed at the end of business on Monday (post US closing).

I wonder if that is correct, or I'm just getting further muddled up!?

This means that:

If you place you order before 3pm on a Business Day, the order is received that day, the price is then fixed at the closing price the next business day, and then the trade is settled the next business day for Japanese Funds and usually two business days later for overseas funds, depending on the fund, and whether international markets are closed.

If you place you order after 3pm on a Business Day, or on a non-Business Day, the order is received the next business day, the price is then fixed at the closing price the next business day after that, and then the trade is settled the next business day after that for Japanese Funds and usually two business days later for overseas funds, depending on the fund, and whether international markets are closed.

Thank you very much!

Got it!