What Is A Portfolio Investment Entity (PIE)
A portfolio investment entity (PIE) is an entity such as a managed fund that invests the contributions from investors in different types of investments. A PIE may have tax advantages for you as it has special tax rules. You will pay tax on any investment income based on your prescribed investor rate (PIR) which is capped at 28%, instead of your personal tax rate. PIE's that invest in New Zealand shares and certain Australian shares and is not taxed on capital gains from those investments. All of Salt's retail funds are PIE's.
Further information is available on the Inland Revenue website.