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Do you offer a distribution reinvestment plan?
Some ETF issuers allow the unitholder to opt for a distribution reinvestment plan (DRP). Even if your QuietGrowth portfolio may comprise such an ETF, we do not offer you the flexibility to opt for a distribution reinvestment plan for that ETF.
This arrangement is because we prefer the ETF issuers to deposit the distributions and dividends you are entitled to, as cash to your portfolio. We attempt to use this incoming cash to rebalance your portfolio.
The dividend and distribution amounts that are paid by different ETF issuers are deposited in your cash account. We reinvest dividend or distribution amounts towards the purchase of securities, after sufficient cash is accumulated in your portfolio, by executing one or more buy trades. We prefer this portfolio management approach over a distribution reinvestment plan because this approach allows us to attempt to rebalance your portfolio while executing those buy trades.
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