FAQs

Find the answers to our most asked questions.

About Collins House Online Investment Services (Collins House Online)

Dominic Alafaci established Collins House in 1999, creating a multidisciplinary financial advice firm that today is one of only a handful that specialises in providing Independent Financial and Investment advice. The firm provides a range of services encompassing superannuation, taxation, accounting, estate planning and legal.

Collins House Online (a Corporate Authorised Representative of Collins House Private Wealth AFSL 449146) began in 2017, in response to the demand from large sections of the public wanting professional investment advice that was low cost and easily accessible on different technological platforms.

Our Philosophy

Our philosophy is a simple one. Investing does not need to be complex and intimidating. We offer an easy-to-use online system for people wanting to access professionally managed diversified portfolios.

What does Collins House Online provide?

Professionally managed portfolios - We offer the choice of 5 different investment portfolios;

  • Moderately Defensive,
  • Balanced,
  • Growth,
  • High Growth and
  • Socially Responsible Balanced

All of our portfolios are diversified across different asset classes such as Australian shares, global equities, fixed income, listed property, emerging markets, infrastructure, commodities and cash.

Tax reporting - We provide you with an end of year tax summary which can be directly inputted into your tax return or given to your accountant.

Client portal and app - Our client portal allows you to securely login to your account 24/7 and see how your portfolio is performing as well as receive regular updates from the Collins House Investment Committee. Clients also have access to the Collins House Online app.

 

What are the benefits of using Collins House Online?

Simple to set up - Open an account online in under 5 minutes

Low minimum to begin - You can start with as little as $5000

Competitive fees - The headline fee for portfolios up to $500,000 is 0.75% pa (discounts apply for amounts over $500,000)

Experienced investment committee - Our investment team has over 60 years of combined experience in financial markets and managing investment portfolios

Beneficial ownership - All investments are beneficially held by the investor.

What type of advice does Collins House Online provide?

Collins House Online provides General Advice only. This means the information provided on our website has been prepared without taking into account the investment objectives, financial situation or needs of any particular investor.

Before acting upon this general advice, people should consider the appropriateness of the advice, having regard to their objectives, financial situation and needs. Please read our Product Disclosure Statement and Financial Services Guide before investing in one of our products.

What happens to my money if Collins House Online was to be acquired, sold or closed down?

All of your investments are legally held on trust by the custodian, Sandhurst Trustees ( a wholly-owned subsidiary of Bendigo and Adelaide Bank ) but beneficially owned by you and kept separate to the portfolios of other investors. In an extreme situation and something happened to Collins House your securities would be safely held on your behalf by the Bendigo and Adelaide Bank.

What Third Parties do Collins House Online use?

Collins House uses Openinvest Limited https://www.openinvest.com.au/ to provide the investment platform. They host the technology and undertake all trading as directed by the Collins House Investment Committee.

Why would I use Collins House Online instead of buying ETFs or managed funds myself?

If you have the experience, expertise, and time to monitor your portfolio and to rebalance it in response to market movements, then self-managing your portfolio is certainly an option.

However, we have built Collins House Online for the vast majority of people who don’t have the time or expertise to do it themselves.

How do I open an acount with Collins House Online?

Simply choose the portfolio that best suits your risk profile and time horizon and complete the short account opening process. You will then be asked to transfer funds which we will draw upon to build your portfolio.

Can I transfer my initial deposit in multiple payments?

Yes, you can. We understand that banks often impose a daily transfer limit and also some people may want to transfer their initial deposit from multiple bank accounts. There is no need to transfer your funds in a single transaction.

What is the minimum investment amount?

 Our minimum investment is only $5000 making it accessible to more people.

Can I invest in more than one Model Portfolio?

No. We only accept one Model Portfolio per Account.
But it is certainly possible to invest in more than one model portfolio but you will need to open up a new account. For example, if you wanted to open an account in both your personal name and your SMSF, or an account for each of your children and you want to choose either the same or a different Model Portfolio per Account, you should follow this process :

Step 1 - Open your first account as per normal
Step 2 - Login to your Investor Portal
Step 3 - Click Account Maintenance on the left side of the screen
Step 4 - Click Create New Account
Step 5 - Click Start Application

Can I open an account for my child/grandchild?

Yes, it is possible for a parent or relative to open an account on behalf of a child or grandchild who is aged under 18. When opening your account please follow these steps :

  1. in Section 3 “Choose your Account Type” please select Individual Account
  2. in the Display Name field immediately below please enter the minors name.

Please note that the Investment Portfolio will be legally held in your name even though it is designated to your child or grandchild. Minors (those under the age of 18) cannot legally own investments in their own name.

Can I make additional contributions to my portfolio?

Yes, you can make additional contributions to your investment portfolio at any time by depositing funds via BPAY or Direct Credit to our administrator and custodian. If you wish to do so please log in to the Investor Portal and follow these steps:

  1. Click Account Maintenance on the left side of the screen
  2. Click Contributions and enter the amount you wish to invest and the payment method.

Please note that the minimum additional contribution amount is $1000.

Why do you ask for my Tax File Number?

We ask for your Tax File Number (TFN) so that we don’t have to deduct withholding tax from your investment returns.

Providing your TFN is not compulsory, it just means that without it we have to deduct tax, which you may be able to claim back at a later day. You also have the option to provide a TFN exemption code if one applies to you.

How long does it take for my money to be invested?

Once your funds have cleared (usually 2-3 days) we will invest in the portfolio of your choice. We will email you when we first receive your funds and also when we invest them.

Do I need to be an Australian citizen to invest with Collins House Online?

No you don’t, but you do need to be an Australian resident for tax purposes.

What type of accounts are available with Collins House Online?

Collins House Online is currently available for the following accounts:

  • Individuals
  • Company accounts
  • Trust Account with a corporate trustee
  • Trust Account with an individual(s) as trustee
  • SMSF Account with a corporate trustee
  • SMSF Account with an individual(s) as trustee
What is a PDS?

A Product Disclosure Statement is a document that contains information about the service including its key features and benefits. It also provides details about the risks, costs and fees of the service as well as how it works and your rights and obligations as an investor.

How many portfolios does Collins House Online provide?

We offer the choice of 5 different portfolios. 

  1. Moderately Defensive
  2. Balanced
  3. Growth
  4. High Growth
  5. Socially Responsible Banaced
What asset classes am I invested in?

Each portfolio is constructed from a list of ETFs and Managed Funds diversified across different asset classes.

Asset classes include:

 

  • Australian shares
  • Global equities
  • Australian fixed interest
  • Australian listed property
  • Emerging markets
  • Infrastructure
  • Commodities
  • Cash
What is an Exchange Traded Fund?

An Exchange Traded Fund (ETF) is a type of investment fund listed on the stock exchange and traded like shares. Each ETF holds a collection of securities, the composition of which mirrors a particular index, such as the S&P/ASX 200 index of Australian shares.

ETFs allow individual investors to gain all the diversification benefits of owning a large number of securities while only having to hold one investment thereby lowering the investment amount needed to properly diversify. Since each ETF is designed to track a particular index, ETF fees also tend to be lower than for equivalent funds trying to beat indices

What Funds am I invested in?

We use a range of ETF’s and Managed Funds to represent the various asset classes that make up our portfolios. All of our Funds are chosen based on a number of factors including; fund size, liquidity, costs, tracking error and performance. We also aim to diversify our portfolios across different ETF issuers. Please click here for details on the ETF’s and Funds currently used in our model portfolios

What happens to the distributions that the funds or ETF’s pay?

All of the various holdings in your portfolio pay distributions at various intervals (usually monthly, quarterly or half-yearly). These are held in cash until the minimum trade size is reached after which we will purchase additional shares on your behalf in line with your model portfolio.

Will I receive franking credits from my investments?

Yes. You will be entitled to any franking credits that are attached to distributions. This will be detailed in the annual tax statement that we issue you.

Why does my account have a small cash balance?

When we purchase your portfolio we leave a small amount (approx. 2%) in a separate cash account in order to pay your fees. This cash account is part of your investment account and accrues interest daily.

Can I customise my portfolio?

 No, Collins House Online does not offer the capability for customisation of the portfolio.

How often do the Funds pay distributions?

The majority of our chosen Funds pay quarterly distributions although in some cases it is half-yearly or monthly.

Who makes my investment decisions?

Our portfolios are approved and maintained by the Collins House Investment Committee. The Investment Committee has over 60 years of combined experience in financial markets and portfolio construction. Click here for further information.

What are the costs involved?

Please click here to calculate your monthly fee. Your fees are based on the daily value of your investment account, calculated monthly in arrears and deducted directly from your cash account, which is a part of your investment account. For a more detailed breakdown of how your fee is calculated please see the PDS.

Are performance fees charged?

 No, all gains are retained by the investor.

Do you charge brokerage?

No, there is no brokerage charged to the investor.

Are there any Entry/Exit Fees or Lock-in Contracts?

No, there are no Entry/Exit Fees or lock-in contracts.

How do I keep track of my portfolio?

Every investor has access to their own investor portal so you can log in at any time and see at a glance:

  • The overall status of your investment account
  • The composition of your portfolio
  • How your portfolio is performing
  • Updates from the Collins House Investment Committee

We also provide investors with access to the Collins House Online app.

Can I change from one portfolio to another?

Yes, if you feel your circumstances have changed or perhaps you weren’t in the right portfolio to start with, you can change portfolios at any time via the client portal.

How do I withdraw funds from my account?

You can withdraw funds at any time by visiting your online portal and clicking on the Account Maintenance tab. The entire process normally takes three days.

Are there any penalties or costs when withdrawing?

No, there are no penalties or costs involved no matter how long you have invested your funds. Brokerage fees are also never charged.

How do I add to my account?

You can transfer additional funds at any time by visiting your online portal and clicking on the Account Maintenance tab.

Who do I contact if I have questions regarding the administration of my account?

For questions regarding the administration of your account, please contact our friendly team on 1800 861 016 or support@collinshouseonline.com

Can I speak with one of the portfolio managers?

Yes. If you wish to speak with one of our portfolio managers you can contact us on (03) 80807838 or chois@collinshouse.com