Savings account [alternatives]

For residents of the United Arab Emirates.
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lossehelin
Posts: 8
Joined: Sun Jan 20, 2019 11:29 pm

Savings account [alternatives]

Post by lossehelin »

Hi everyone. i Have a question.
I have a saving account with barclays in UK, and the interest rate is low.... too low. So i am looking to see if there are any other safe choices to put this money on a better paying savings account. Investing on an ISA is not a choice because im not a resident in UK.
I saw some recomendations about vanguard money market fund Vmmxx, but that is not FDIC insured. But vanguard does not look it is gonna be gone anytime soon right? otherwise we would be in big trouble here. lol
So what are my choices here?
not interested in UAE banks
thanks
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David Jay
Posts: 14569
Joined: Mon Mar 30, 2015 5:54 am
Location: Michigan

Re: Savings account

Post by David Jay »

By law, U.S. Mutual Fund companies have 3rd party custodians who actually hold the assets. So Vanguard could “be gone” and you could still recover your assets.

But yea, Vanguard is likely to survive any event short of an extinction-level meteor strike.
It's not an engineering problem - Hersh Shefrin | To get the "risk premium", you really do have to take the risk - nisiprius
TedSwippet
Posts: 5166
Joined: Mon Jun 04, 2007 4:19 pm
Location: UK

Re: Savings account

Post by TedSwippet »

lossehelin wrote: Wed Jun 26, 2019 9:21 amI saw some recomendations about vanguard money market fund Vmmxx, but that is not FDIC insured.
As a US nonresident alien, for most practical purposes you are likely to find yourself unable to access VMMXX or any other Vanguard mutual fund. You main choices will probably be ETFs.

Without US tax treaty coverage, you probably want to avoid holding US domiciled ETFs due to unfavourable and harsh US tax laws for nonresident aliens who hold US situated assets. The UAE has no tax treaties with the US.
DJN
Posts: 996
Joined: Sun Nov 19, 2017 11:30 pm

Re: Savings account [alternatives]

Post by DJN »

Hi,
just noticed your post. Have a look at this new page under construction and see if its any help: https://www.bogleheads.org/wiki/Cash_eq ... _investors
I have an offshore $ account with ADCB based in Jersey which gives 3%+ over a year period. Covered by Jersey banking guarantee for what that's worth. I know that if you choose one of these offshore dollar accounts you can get reasonable interest rates if you are willing and able. I know that BNP Paribas does one.
DJN
Yah shure. | Have a look at the Bogleheads Wiki in the first instance.
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