🚨 Important: From 15 January 2026, uninvested funds you hold on Hatch will move from the DAGXX money market fund into US bank deposit accounts, administered by our partner DriveWealth. Learn more
During any tax year, your peak investment cost determines whether you’re over the $50,000 threshold and, as a result, fall under the Foreign Investment Funds (FIF) tax rules. Every time you buy or sell, the NZD value of the transaction is calculated using the exchange rate on the day.
Your non-invested money is held in an insured US bank deposit.
Any non-invested money in your Hatch account are automatically swept into US bank deposit accounts, administered by our partner DriveWealth. The uninvested US cash balances will not be held in a FIF-qualifying investment, so won't count toward the $50k NZD threshold.
Cash held in a foreign currency account may have tax obligations for you under the financial arrangements rules - as always, Hatch will help you navigate this at tax time.
You can see your estimated peak investment cost for the current tax year in the Tax Reports section in Hatch, and after the end of every tax year, you’ll get a final tax report.