Accumulating: the default choice during growth
Accumulating (Acc): dividends are automatically reinvested, accelerating capital growth. This is more tax-efficient during accumulation, since no tax is due on dividends until you sell the units. For the vast majority of investors still building up their capital, this is the preferable choice.
Distributing: useful during the income phase
Distributing (Dist): dividends are paid out periodically to your account. This is more suited if you want a regular cash flow without having to sell units — a feature that becomes relevant mainly during the income or drawdown phase, when the goal is no longer growing capital but drawing an income from it.
💡 Even during the income phase, many investors still prefer accumulating ETFs and generate the cash flow by periodically selling units (the "gradual withdrawal" approach described on the Strategy page), keeping full tax and timing control over withdrawals.
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