Understand Private Credit distributions

When you invest in Wealthsimple's Private Credit fund, you'll receive monthly distributions. These distributions are calculated on the last day of each month and added to your account balance.

By default, we'll automatically reinvest all distributions that you receive in this fund. This means that we use your distributions to buy more units of the fund to help grow your investment over time.

On a quarterly basis, monthly distributions will need to be withheld in the account to cover fees. If you have elected to receive a cash distribution for a month in which fees are expected, you will receive the remaining distribution balance net of fees.

Change your distribution preferences

You can choose to opt-out of reinvesting your distributions, and instead have your distributions paid out to you in cash.

Note: You must change your distribution preferences before the 15th of the month. Otherwise, these changes will not go into effect until the following month.

To opt-out of reinvesting your distributions, follow these steps:

Log in to your Wealthsimple mobile app
Tap the Home tabat the bottom of your screen
Select your Private Credit account
Scroll down and tap Distribution reinvestment
Turn distribution reinvestment Off

Note: If you choose to have your distributions paid as cash, you’ll need to transfer the cash out of your Private Credit account before the 15th of the following month. Otherwise, your funds will automatically be reinvested into the Private Credit fund. To do this, please contact our support team.

Change your distribution preferences

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