L fund unit price

[armydillo]

Why is the 2035l fund unit price so low 15/per unit compared to the l 2030 50/ per unit and l income fund 27/ per unit unit price? Will the 2035 l fund unit price be rebalanced to a price closer to the 2030 l fund unit price.

 

[tsptalk]

Welcome armydillo!

The L2035 fund was introduced in June of 2020. It's newer than the L2030 fund, and all the funds start with a 10.00 price.

There's no need to rebalance as a gain or loss of say 10%, is the same regardless of price. A $10 fund would go to 11.00, and a $30 fund would go to $33.00.

If you put all of your money in either of those two funds, you'd just get more shares of the lower priced fund.

Hope that makes sense.