[OPINION] Tax Efficiency vs. Real Returns: Are you being penny wise and pound foolish?

Specifically, the Portfolio Investment Entity (PIE) regime. It’s become a bit of a national pastime to hunt for that capped 28% tax rate like it’s a hidden treasure.

But what if the very first step you take—your "entry point" into the decision—is actually sabotaging your long-term wealth? By obsessing over the tax wrapper before looking at the engine inside, you might be missing the forest for the kauri trees.

After reading Edward de Bono’s classic, Lateral Thinking, I jotted down the following learnings regarding “entry points” as applied to the thought process on fund manager selection. The initial perspective often dictates the entire line of reasoning, but a subtle shift in focus possesses the potential to fundamentally redefine the situation.

Here is why your "tax-first" approach might be leading you down the wrong garden path.