US Small Caps - USML vs IJR [Brazil]
US Small Caps - USML vs IJR [Brazil]
Hi folks,
Defining my US Small Caps ETF I found USML as a good dividend accumulation option.
My first option was IJR
So in your opinion regarding AUM, liquidity and etf rules, which one would be a better ETF allocation?
In an allocation of USD 600k the market maker would act to provide liquidity?
USML - Invesco S&P SmallCap 600 UCITS ETF - AUM USD 4M/ Avarage Daily Volume USD 130k
IRJ - iShares Core S&P Small-Cap ETF - AUM USD 68B / Avarage Daily Volume USD 509M
Thanks!
Defining my US Small Caps ETF I found USML as a good dividend accumulation option.
My first option was IJR
So in your opinion regarding AUM, liquidity and etf rules, which one would be a better ETF allocation?
In an allocation of USD 600k the market maker would act to provide liquidity?
USML - Invesco S&P SmallCap 600 UCITS ETF - AUM USD 4M/ Avarage Daily Volume USD 130k
IRJ - iShares Core S&P Small-Cap ETF - AUM USD 68B / Avarage Daily Volume USD 509M
Thanks!
Re: US Small Caps - USML vs IJR
Welcome! I moved your post to the Non-US Investing forum because you are referencing USD and "UCITS" is for non-US investors.
What is your home country?
May I suggest you post your portfolio information in this thread using the My portfolio: seeking advice format? It will make you think about the "big picture" while giving us the information we need to point you in the right direction.
If you have any questions, ask them here.
Update: I retitled the thread based on the post below (Brazil).
What is your home country?
May I suggest you post your portfolio information in this thread using the My portfolio: seeking advice format? It will make you think about the "big picture" while giving us the information we need to point you in the right direction.
If you have any questions, ask them here.
Update: I retitled the thread based on the post below (Brazil).
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Re: US Small Caps - USML vs IJR
The former looks far far too small to invest USD 600k in.hciboto wrote: ↑Thu Apr 15, 2021 7:37 am Hi folks,
Defining my US Small Caps ETF I found USML as a good dividend accumulation option.
My first option was IJR
So in your opinion regarding AUM, liquidity and etf rules, which one would be a better ETF allocation?
In an allocation of USD 600k the market maker would act to provide liquidity?
USML - Invesco S&P SmallCap 600 UCITS ETF - AUM USD 4M/ Avarage Daily Volume USD 130k
IRJ - iShares Core S&P Small-Cap ETF - AUM USD 68B / Avarage Daily Volume USD 509M
Thanks!
Re: US Small Caps - USML vs IJR
I'm from Brazil. Thanks for the advice, I'll do that.LadyGeek wrote: ↑Thu Apr 15, 2021 7:46 am Welcome! I moved your post to the Non-US Investing forum because you are referencing USD and "UCITS" is for non-US investors.
What is your home country?
May I suggest you post your portfolio information in this thread using the My portfolio: seeking advice format? It will make you think about the "big picture" while giving us the information we need to point you in the right direction.
If you have any questions, ask them here.
Re: US Small Caps - USML vs IJR
Then the market maker wouldn't act to provide liquidity and in fact the average volume would not be a problem?Valuethinker wrote: ↑Thu Apr 15, 2021 8:00 amThe former looks far far too small to invest USD 600k in.hciboto wrote: ↑Thu Apr 15, 2021 7:37 am Hi folks,
Defining my US Small Caps ETF I found USML as a good dividend accumulation option.
My first option was IJR
So in your opinion regarding AUM, liquidity and etf rules, which one would be a better ETF allocation?
In an allocation of USD 600k the market maker would act to provide liquidity?
USML - Invesco S&P SmallCap 600 UCITS ETF - AUM USD 4M/ Avarage Daily Volume USD 130k
IRJ - iShares Core S&P Small-Cap ETF - AUM USD 68B / Avarage Daily Volume USD 509M
Thanks!
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Re: US Small Caps - USML vs IJR [Brazil]
I've started buying IJR (I'm in the US if that matters).hciboto wrote: ↑Thu Apr 15, 2021 7:37 am Hi folks,
Defining my US Small Caps ETF I found USML as a good dividend accumulation option.
My first option was IJR
So in your opinion regarding AUM, liquidity and etf rules, which one would be a better ETF allocation?
In an allocation of USD 600k the market maker would act to provide liquidity?
USML - Invesco S&P SmallCap 600 UCITS ETF - AUM USD 4M/ Avarage Daily Volume USD 130k
IRJ - iShares Core S&P Small-Cap ETF - AUM USD 68B / Avarage Daily Volume USD 509M
Thanks!
"I am better off than he is – for he knows nothing and thinks that he knows. I neither know nor think that I know." - Socrates. "Nobody knows nothing." - Jack Bogle
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Re: US Small Caps - USML vs IJR [Brazil]
Absolutely it matters.whereskyle wrote: ↑Thu Apr 15, 2021 2:53 pm I've started buying IJR (I'm in the US if that matters).
US tax laws for non-US investors are much worse than for US residents and US citizens, to the point where unless you have good tax treaty coverage (and Brazil has no US tax treaties), Ireland domiciled ETFs are the far better choice for non-US investors.
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Re: US Small Caps - USML vs IJR [Brazil]
Just to clarify.TedSwippet wrote: ↑Thu Apr 15, 2021 3:06 pmAbsolutely it matters.whereskyle wrote: ↑Thu Apr 15, 2021 2:53 pm I've started buying IJR (I'm in the US if that matters).
US tax laws for non-US investors are much worse than for US residents and US citizens, to the point where unless you have good tax treaty coverage (and Brazil has no US tax treaties), Ireland domiciled ETFs are the far better choice for non-US investors.
Poster, although a Brasilian national, lives in USA?
Therefore is tax resident in USA.
Therefore PFIC applies. Poster should under no circumstances hold a fund other than US domiciled? The tax consequences are awful.
With some countries, pensions may be an exemption, covered by tax treaty - funds and ETFs, non US, held within those vehicles. Alas in this case there appears to be no obvious exemption for Brasilian personal pension funds, held by a US resident?
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Re: US Small Caps - USML vs IJR [Brazil]
I read this post to mean "Brazilian resident" and non-US. I agree that there's wiggle room in it.