US expat looking for lower priced world etf

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Topic Author
Boog
Posts: 9
Joined: Mon Jan 04, 2021 9:11 am

US expat looking for lower priced world etf

Post by Boog »

I have found that the only way for me to buy a US etf and avoid PFIC issues with foreign domiciled etfs, is to sell an in the money cash secured put on a US domiciled etf with the goal of getting assigned the shares.

This is not ideal, but it is a solution. Now the issue is that I invest $1k - $2k a month but if I want VT, I need $10k since the price is ~$100 a share.

Is there a similar etf with a lower price or is it best to just save up and buy one or two batches a year?
ivk5
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Re: US expat looking for lower priced world etf

Post by ivk5 »

Have you looked into whether you could open a US-based brokerage account? (Not much use to you now but would have been advisable to get that in place while residing in the US, assuming you have at some point in the past.)

Much simpler to transact in US accounts esp if you think it’s likely you’ll one day return to US. This is what I do.

If you’re really stuck using the options workaround, I don’t have first hand experience to share, but seems like you may be stuck spreading out purchases of fewer larger lots.
Topic Author
Boog
Posts: 9
Joined: Mon Jan 04, 2021 9:11 am

Re: US expat looking for lower priced world etf

Post by Boog »

ivk5 wrote: Wed May 12, 2021 4:10 pm Have you looked into whether you could open a US-based brokerage account? (Not much use to you now but would have been advisable to get that in place while residing in the US, assuming you have at some point in the past.)

Much simpler to transact in US accounts esp if you think it’s likely you’ll one day return to US. This is what I do.

If you’re really stuck using the options workaround, I don’t have first hand experience to share, but seems like you may be stuck spreading out purchases of fewer larger lots.
Thanks for the reply

I have looked into opening a US brokerage account, but it is not very realistic since I may not return. I have been abroad for almost 5 years and have only worked abroad so I never had a need to open a US bank/investing account.

The other thought I had was to sell a put the day before expiry using margin, then once assigned the shares sell shares to pay off the margin. Very frustrating situation since none of these options are very good.
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typical.investor
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Re: US expat looking for lower priced world etf

Post by typical.investor »

Boog wrote: Thu May 13, 2021 4:13 am
ivk5 wrote: Wed May 12, 2021 4:10 pm Have you looked into whether you could open a US-based brokerage account? (Not much use to you now but would have been advisable to get that in place while residing in the US, assuming you have at some point in the past.)

Much simpler to transact in US accounts esp if you think it’s likely you’ll one day return to US. This is what I do.

If you’re really stuck using the options workaround, I don’t have first hand experience to share, but seems like you may be stuck spreading out purchases of fewer larger lots.
Thanks for the reply

I have looked into opening a US brokerage account, but it is not very realistic since I may not return. I have been abroad for almost 5 years and have only worked abroad so I never had a need to open a US bank/investing account.

The other thought I had was to sell a put the day before expiry using margin, then once assigned the shares sell shares to pay off the margin. Very frustrating situation since none of these options are very good.
Are you in Europe where you can’t buy US ETFs even from a US broker? Is that why you are using options that settle in ETF shares?

Most anyone can open an account at a US broker (Interactive Brokers or Schwab especially). It mainly depends on the laws of your country of residence. Have lived in the US or planning to return there isn’t related. Doesn’t help if you are in Europe though as regulations prevent them from selling you US ETFs that lack EU required disclosures.
Topic Author
Boog
Posts: 9
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Re: US expat looking for lower priced world etf

Post by Boog »

typical.investor wrote: Thu May 13, 2021 6:58 am
Boog wrote: Thu May 13, 2021 4:13 am
ivk5 wrote: Wed May 12, 2021 4:10 pm Have you looked into whether you could open a US-based brokerage account? (Not much use to you now but would have been advisable to get that in place while residing in the US, assuming you have at some point in the past.)

Much simpler to transact in US accounts esp if you think it’s likely you’ll one day return to US. This is what I do.

If you’re really stuck using the options workaround, I don’t have first hand experience to share, but seems like you may be stuck spreading out purchases of fewer larger lots.
Thanks for the reply

I have looked into opening a US brokerage account, but it is not very realistic since I may not return. I have been abroad for almost 5 years and have only worked abroad so I never had a need to open a US bank/investing account.

The other thought I had was to sell a put the day before expiry using margin, then once assigned the shares sell shares to pay off the margin. Very frustrating situation since none of these options are very good.
Are you in Europe where you can’t buy US ETFs even from a US broker? Is that why you are using options that settle in ETF shares?

Most anyone can open an account at a US broker (Interactive Brokers or Schwab especially). It mainly depends on the laws of your country of residence. Have lived in the US or planning to return there isn’t related. Doesn’t help if you are in Europe though as regulations prevent them from selling you US ETFs that lack EU required disclosures.
Yeah exactly the regulations kill me. I'm in Europe and can't buy US or EU etfs. I have Interactive Brokers based out of Ireland because I can't use a US broker (that I am aware of) since I have no US address or US bank account. It's very frustrating and the put option method is the only thing I have found that may be an option other than fully giving up and just stock picking, which I have been doing but is not ideal.
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typical.investor
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Re: US expat looking for lower priced world etf

Post by typical.investor »

Boog wrote: Fri May 14, 2021 11:18 am
typical.investor wrote: Thu May 13, 2021 6:58 am
Boog wrote: Thu May 13, 2021 4:13 am
ivk5 wrote: Wed May 12, 2021 4:10 pm Have you looked into whether you could open a US-based brokerage account? (Not much use to you now but would have been advisable to get that in place while residing in the US, assuming you have at some point in the past.)

Much simpler to transact in US accounts esp if you think it’s likely you’ll one day return to US. This is what I do.

If you’re really stuck using the options workaround, I don’t have first hand experience to share, but seems like you may be stuck spreading out purchases of fewer larger lots.
Thanks for the reply

I have looked into opening a US brokerage account, but it is not very realistic since I may not return. I have been abroad for almost 5 years and have only worked abroad so I never had a need to open a US bank/investing account.

The other thought I had was to sell a put the day before expiry using margin, then once assigned the shares sell shares to pay off the margin. Very frustrating situation since none of these options are very good.
Are you in Europe where you can’t buy US ETFs even from a US broker? Is that why you are using options that settle in ETF shares?

Most anyone can open an account at a US broker (Interactive Brokers or Schwab especially). It mainly depends on the laws of your country of residence. Have lived in the US or planning to return there isn’t related. Doesn’t help if you are in Europe though as regulations prevent them from selling you US ETFs that lack EU required disclosures.
Yeah exactly the regulations kill me. I'm in Europe and can't buy US or EU etfs. I have Interactive Brokers based out of Ireland because I can't use a US broker (that I am aware of) since I have no US address or US bank account. It's very frustrating and the put option method is the only thing I have found that may be an option other than fully giving up and just stock picking, which I have been doing but is not ideal.
I see. OK. It was confusing because actually Interactive Brokers is a US broker (but set up to operate all over the world).

Anyway, I'd prefer to simply save up and use options that settle in ETF shares than choosing individual stocks. I haven't had to do it though and didn't realize that it'd be a minimum of $10k on an ETF priced at $100. Is 100 shares the minimum then?

In that case, I would probably looking into setting up a US LLC. Nolo seems able to set one up for $99 + state fees. You can get a registered agent at $49 or so per year. Overall, I think I would be looking at $300 to set up, and ongoing fees of $250/year (for State filing requirements and the registered agent). There is lots of information online.

Then you open an account for the LLC with a US broker and since your LLC has a US address, they don't have to follow EU regulations. Income of course flows through to your tax return and you'd report it to your country of residence. I personally haven't looked into how my country of residence would tax my owning a foreign business but think since it's a pass through taxation would be the same as if I just held the assets in my name. Would have to check that.

And that set up is kind of do it yourself and cheap. Maybe you'd want to consult a lawyer about the LLC which of course adds costs ...

I think I'd prefer an LLC to individual stocks myself.
sfmurph
Posts: 178
Joined: Mon Aug 12, 2019 8:15 pm

Re: US expat looking for lower priced world etf

Post by sfmurph »

Ooh, tough one. I see that barchart.com has a list of ETFs with options that you can sort by last price:
SPYG (SPY Growth) is about $50, so you could start there until built up enough for VT? Not ideal, but something. Peruse the rest of that list and see what grabs you.
sfmurph
Posts: 178
Joined: Mon Aug 12, 2019 8:15 pm

Re: US expat looking for lower priced world etf

Post by sfmurph »

Looking again at that list of broad ETFs with options available, I think that VT is your best choice.

The question, then, is what should you do with your accumulated cash while you build up enough to sell a put on VT. Leaving it to earn 0% interest seems like a poor choice.

IBKR has a 1% notes offering, but it's only for "US persons," so that's out. Other options would be to directly buy "baby bonds" or preferred shares. These are traded, and have a par value of $25 (typically), but they trade up and down. The commissions might make this not worth it.
Another idea would be to buy shares of BRK.B, to get "in the market" while you build up enough to buy. Again, the commissions might make this not worth it.

Another option would be to buy on margin. At $1500 a month it takes you 6-7 months to accumulate enough. Consider buying 100 shares of VT after 3 months ($4500), then you continue to add $1500 a month, paying down the debt for 3 months, then building up a reserve to about half of what you'd need, then repeat. The cost here would be the margin rates, currently 1.5%. So borrowing $5K for 6 months would cost about $40. Dividends from those borrowed "50 shares" over 6 months would be about $15, so $25 net.

Lots of not-great options. I think margin is your best choice.

What is your plan for bonds? Are you just 100% VT at this point? I think I would recommend adding TLT or ZROZ, though AGG or BND would work too (but you would need more of them).
Topic Author
Boog
Posts: 9
Joined: Mon Jan 04, 2021 9:11 am

Re: US expat looking for lower priced world etf

Post by Boog »

typical.investor wrote: Fri May 14, 2021 10:35 pm
Boog wrote: Fri May 14, 2021 11:18 am
typical.investor wrote: Thu May 13, 2021 6:58 am
Boog wrote: Thu May 13, 2021 4:13 am
ivk5 wrote: Wed May 12, 2021 4:10 pm Have you looked into whether you could open a US-based brokerage account? (Not much use to you now but would have been advisable to get that in place while residing in the US, assuming you have at some point in the past.)

Much simpler to transact in US accounts esp if you think it’s likely you’ll one day return to US. This is what I do.

If you’re really stuck using the options workaround, I don’t have first hand experience to share, but seems like you may be stuck spreading out purchases of fewer larger lots.
Thanks for the reply

I have looked into opening a US brokerage account, but it is not very realistic since I may not return. I have been abroad for almost 5 years and have only worked abroad so I never had a need to open a US bank/investing account.

The other thought I had was to sell a put the day before expiry using margin, then once assigned the shares sell shares to pay off the margin. Very frustrating situation since none of these options are very good.
Are you in Europe where you can’t buy US ETFs even from a US broker? Is that why you are using options that settle in ETF shares?

Most anyone can open an account at a US broker (Interactive Brokers or Schwab especially). It mainly depends on the laws of your country of residence. Have lived in the US or planning to return there isn’t related. Doesn’t help if you are in Europe though as regulations prevent them from selling you US ETFs that lack EU required disclosures.
Yeah exactly the regulations kill me. I'm in Europe and can't buy US or EU etfs. I have Interactive Brokers based out of Ireland because I can't use a US broker (that I am aware of) since I have no US address or US bank account. It's very frustrating and the put option method is the only thing I have found that may be an option other than fully giving up and just stock picking, which I have been doing but is not ideal.
I see. OK. It was confusing because actually Interactive Brokers is a US broker (but set up to operate all over the world).

Anyway, I'd prefer to simply save up and use options that settle in ETF shares than choosing individual stocks. I haven't had to do it though and didn't realize that it'd be a minimum of $10k on an ETF priced at $100. Is 100 shares the minimum then?

In that case, I would probably looking into setting up a US LLC. Nolo seems able to set one up for $99 + state fees. You can get a registered agent at $49 or so per year. Overall, I think I would be looking at $300 to set up, and ongoing fees of $250/year (for State filing requirements and the registered agent). There is lots of information online.

Then you open an account for the LLC with a US broker and since your LLC has a US address, they don't have to follow EU regulations. Income of course flows through to your tax return and you'd report it to your country of residence. I personally haven't looked into how my country of residence would tax my owning a foreign business but think since it's a pass through taxation would be the same as if I just held the assets in my name. Would have to check that.

And that set up is kind of do it yourself and cheap. Maybe you'd want to consult a lawyer about the LLC which of course adds costs ...

I think I'd prefer an LLC to individual stocks myself.
I've done a lot of research but had not seen the LLC method before. Thanks for the advice, I'm going to look into that further.

I don't have any VT at the moment, I have been buying blue chip stocks and didn't come across the put option method until last month. I am also leaning towards the put method or something involving using margin at the moment since it just seems a bit easier. Overall, it's really just an annoying issue
Topic Author
Boog
Posts: 9
Joined: Mon Jan 04, 2021 9:11 am

Re: US expat looking for lower priced world etf

Post by Boog »

sfmurph wrote: Sat May 15, 2021 4:23 pm Looking again at that list of broad ETFs with options available, I think that VT is your best choice.

The question, then, is what should you do with your accumulated cash while you build up enough to sell a put on VT. Leaving it to earn 0% interest seems like a poor choice.

IBKR has a 1% notes offering, but it's only for "US persons," so that's out. Other options would be to directly buy "baby bonds" or preferred shares. These are traded, and have a par value of $25 (typically), but they trade up and down. The commissions might make this not worth it.
Another idea would be to buy shares of BRK.B, to get "in the market" while you build up enough to buy. Again, the commissions might make this not worth it.

Another option would be to buy on margin. At $1500 a month it takes you 6-7 months to accumulate enough. Consider buying 100 shares of VT after 3 months ($4500), then you continue to add $1500 a month, paying down the debt for 3 months, then building up a reserve to about half of what you'd need, then repeat. The cost here would be the margin rates, currently 1.5%. So borrowing $5K for 6 months would cost about $40. Dividends from those borrowed "50 shares" over 6 months would be about $15, so $25 net.

Lots of not-great options. I think margin is your best choice.

What is your plan for bonds? Are you just 100% VT at this point? I think I would recommend adding TLT or ZROZ, though AGG or BND would work too (but you would need more of them).
I have been buying blue chips like BRK.B, so that could work. But the margin method you mentioned sounds like the best option.

The other thing I was thinking is that I could sell a put 1 day before expiration for VT using margin, then once assigned just sell x amount of shares at market open to cover the outstanding margin.

I have never used margin, but from what I understand from this link

Cost of margin for 2 days = $8500 * 1.56% * 2/360 = $0.73

I would consider this negligible with the main risk being that VT moves against me before I am assigned the shares or able to sell to cover the margin. I think I will try this since this seem the best option, but will do some more research first
sfmurph
Posts: 178
Joined: Mon Aug 12, 2019 8:15 pm

Re: US expat looking for lower priced world etf

Post by sfmurph »

Boog wrote: Sun May 16, 2021 1:20 pm Overall, it's really just an annoying issue
Ya think!?

Boog wrote: Sun May 16, 2021 1:41 pm
sfmurph wrote: Sat May 15, 2021 4:23 pm Lots of not-great options. I think margin is your best choice.

What is your plan for bonds? Are you just 100% VT at this point? I think I would recommend adding TLT or ZROZ, though AGG or BND would work too (but you would need more of them).
I have been buying blue chips like BRK.B, so that could work. But the margin method you mentioned sounds like the best option.

The other thing I was thinking is that I could sell a put 1 day before expiration for VT using margin, then once assigned just sell x amount of shares at market open to cover the outstanding margin.

I have never used margin, but from what I understand from this link

Cost of margin for 2 days = $8500 * 1.56% * 2/360 = $0.73

I would consider this negligible with the main risk being that VT moves against me before I am assigned the shares or able to sell to cover the margin. I think I will try this since this seem the best option, but will do some more research first
Yes, you could definitely get assigned 100 shares of VT, then sell off 80 or whatever to get out of margin. It'll cost more in transaction fees, but would really be the right place to start.

You should come up with a plan for bonds too, to define a good asset allocation along with the funds that work for you. 80/20 VT/ZROZ or 60/40 VT/AGG or BND.
wmvink
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Re: US expat looking for lower priced world etf

Post by wmvink »

Boog wrote: Sun May 16, 2021 1:20 pm
I've done a lot of research but had not seen the LLC method before. Thanks for the advice, I'm going to look into that further.

I don't have any VT at the moment, I have been buying blue chip stocks and didn't come across the put option method until last month. I am also leaning towards the put method or something involving using margin at the moment since it just seems a bit easier. Overall, it's really just an annoying issue
Please note that in many European countries, income, gains or even the capital itself may still be taxed. If that weren't the case all Europeans would set up a US-based LLC for their retirement savings. The issue here is that even though the money sits in an LLC, you still own a sizeable share (probably 100%?) of the company.

The fact that the LLC is based overseas doesn't absolve you from taxation. Almost all European countries tax residents on their worldwide income/capital - not just their local income/capital. The US takes it one step further by taxing its citizens even if they are not residents.

On your next trip home, you may want to establish residency in a no-income-tax state like FL, TX or SD, set up a forwarding mailbox and open a brokerage account with IBKR.
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typical.investor
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Re: US expat looking for lower priced world etf

Post by typical.investor »

wmvink wrote: Mon May 17, 2021 9:03 am
Boog wrote: Sun May 16, 2021 1:20 pm
I've done a lot of research but had not seen the LLC method before. Thanks for the advice, I'm going to look into that further.

I don't have any VT at the moment, I have been buying blue chip stocks and didn't come across the put option method until last month. I am also leaning towards the put method or something involving using margin at the moment since it just seems a bit easier. Overall, it's really just an annoying issue
Please note that in many European countries, income, gains or even the capital itself may still be taxed. If that weren't the case all Europeans would set up a US-based LLC for their retirement savings. The issue here is that even though the money sits in an LLC, you still own a sizeable share (probably 100%?) of the company.
Yes, and it was never suggested this would reduce taxes in your country of residence.

Europeans would have no need for such a strategy, as they can simply invest with an EU broker. Americans however, must use US domiciled funds for tax reasons which EU regulations prohibit its residents from buying (due to lacking documentation).

The tax aspect is a potential headache though and of course needs to be examined, but since it's a pass-through entity would taxation actually change? I mean the OP is already paying taxes to the country of residence for their investments and claiming a credit from the US.
Topic Author
Boog
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Re: US expat looking for lower priced world etf

Post by Boog »

sfmurph wrote: Sun May 16, 2021 11:44 pm

Yes, you could definitely get assigned 100 shares of VT, then sell off 80 or whatever to get out of margin. It'll cost more in transaction fees, but would really be the right place to start.

You should come up with a plan for bonds too, to define a good asset allocation along with the funds that work for you. 80/20 VT/ZROZ or 60/40 VT/AGG or BND.
Thanks for the bond suggestions, I haven't thought about bonds yet. I am under 30 so that is not as much of a concern for me at the moment since I would like to take on more risk. From what I have seen this is the best strategy, is that correct?
typical.investor wrote: Mon May 17, 2021 9:25 am
Yes, and it was never suggested this would reduce taxes in your country of residence.

Europeans would have no need for such a strategy, as they can simply invest with an EU broker. Americans however, must use US domiciled funds for tax reasons which EU regulations prohibit its residents from buying (due to lacking documentation).

The tax aspect is a potential headache though and of course needs to be examined, but since it's a pass-through entity would taxation actually change? I mean the OP is already paying taxes to the country of residence for their investments and claiming a credit from the US.
Luckily I am in the Netherlands, which out of the EU countries is one of the most lenient for capital gains taxation (I know some are better, but some are also *much* worse). I don't think the LLC option will make sense for me at the moment since I invest under $20k a year, but it could be much more interesting in the future.
wmvink
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Re: US expat looking for lower priced world etf

Post by wmvink »

I know that under Dutch income tax, if you own >5% of any business - foreign or domestic - income or gains from it are considered "income from substantial shareholdings" and taxed at a higher rate than dividends (so called "Box 2"). The US-NL treaty to prevent double taxation also doesn't address the fact that in the US, you're taxed on investment gains, while in NL you're taxed on capital (gains are irrelevant), which means that in all likelihood you're going to be taxed twice without any recourse.

Edit: if you don't put your savings in an LLC, your capital would be taxed at the Box 3 rate of up to 1.7% max annually. If you do put it in an LLC, it would not be taxed until you actually take income or sell/dissolve the LLC, but the rate is close to 25%. You can do the math to work out what's most economical.
Topic Author
Boog
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Re: US expat looking for lower priced world etf

Post by Boog »

wmvink wrote: Mon May 17, 2021 3:02 pm I know that under Dutch income tax, if you own >5% of any business - foreign or domestic - income or gains from it are considered "income from substantial shareholdings" and taxed at a higher rate than dividends (so called "Box 2"). The US-NL treaty to prevent double taxation also doesn't address the fact that in the US, you're taxed on investment gains, while in NL you're taxed on capital (gains are irrelevant), which means that in all likelihood you're going to be taxed twice without any recourse.

Edit: if you don't put your savings in an LLC, your capital would be taxed at the Box 3 rate of up to 1.7% max annually. If you do put it in an LLC, it would not be taxed until you actually take income or sell/dissolve the LLC, but the rate is close to 25%. You can do the math to work out what's most economical.
Ah yes, you are correct. I had seen Box 2 tax before but had not considered this would include the LLC (of course it would). Not a practical method for me at the moment but something to keep in mind if my situation changes in the future.
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typical.investor
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Re: US expat looking for lower priced world etf

Post by typical.investor »

wmvink wrote: Mon May 17, 2021 3:02 pm I know that under Dutch income tax, if you own >5% of any business - foreign or domestic - income or gains from it are considered "income from substantial shareholdings" and taxed at a higher rate than dividends (so called "Box 2"). The US-NL treaty to prevent double taxation also doesn't address the fact that in the US, you're taxed on investment gains, while in NL you're taxed on capital (gains are irrelevant), which means that in all likelihood you're going to be taxed twice without any recourse.

Edit: if you don't put your savings in an LLC, your capital would be taxed at the Box 3 rate of up to 1.7% max annually. If you do put it in an LLC, it would not be taxed until you actually take income or sell/dissolve the LLC, but the rate is close to 25%. You can do the math to work out what's most economical.
Yeah, you’re right. An LLC isn’t pas through under Dutch law

https://www.iamexpat.nl/expat-info/dutc ... etherlands
sfmurph
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Re: US expat looking for lower priced world etf

Post by sfmurph »

Boog wrote: Mon May 17, 2021 2:55 pm I am under 30 so that is not as much of a concern for me at the moment since I would like to take on more risk. From what I have seen this is the best strategy, is that correct?
For under 30, 100% stock isn't wrong, but it's worth thinking about what role fixed income has in your portfolio, both as "ballast" and for providing yield. There's a thread here about always putting the first 20% of bonds in long-term Treasuries, for example. Something to consider, decide on, and write down a plan.
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typical.investor
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Re: US expat looking for lower priced world etf

Post by typical.investor »

sfmurph wrote: Mon May 17, 2021 6:23 pm
Boog wrote: Mon May 17, 2021 2:55 pm I am under 30 so that is not as much of a concern for me at the moment since I would like to take on more risk. From what I have seen this is the best strategy, is that correct?
For under 30, 100% stock isn't wrong, but it's worth thinking about what role fixed income has in your portfolio, both as "ballast" and for providing yield. There's a thread here about always putting the first 20% of bonds in long-term Treasuries, for example. Something to consider, decide on, and write down a plan.
That’s a really good suggestion. Long treasuries are best to balance equity risk especially with such a long investment horizon. Losses due to rising rates will be recovered by the funds duration, but probably sooner and very well could turn into a gain in a hard equities crash.

That said, not having used options to obtain ETF shares personally, it seems like a bit of work even to be just a simple 100% stocks.
sfmurph
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Re: US expat looking for lower priced world etf

Post by sfmurph »

typical.investor wrote: Mon May 17, 2021 10:45 pm
sfmurph wrote: Mon May 17, 2021 6:23 pm
Boog wrote: Mon May 17, 2021 2:55 pm I am under 30 so that is not as much of a concern for me at the moment since I would like to take on more risk. From what I have seen this is the best strategy, is that correct?
For under 30, 100% stock isn't wrong, but it's worth thinking about what role fixed income has in your portfolio, both as "ballast" and for providing yield. There's a thread here about always putting the first 20% of bonds in long-term Treasuries, for example. Something to consider, decide on, and write down a plan.
That’s a really good suggestion. Long treasuries are best to balance equity risk especially with such a long investment horizon. Losses due to rising rates will be recovered by the funds duration, but probably sooner and very well could turn into a gain in a hard equities crash.

That said, not having used options to obtain ETF shares personally, it seems like a bit of work even to be just a simple 100% stocks.
Yeah, it is work. It's a bit of a kludgy workaround for US citizen residents of the EU (& EEC?). It's not too bad, and it avoids having to create some US based business entity, but it's really not as easy as just buying 1 share of VT! I wouldn't want to try any kind of tilt, and even rebalancing would practically need pretty wide bands. The dollar amounts are just high enough to make it hard. I'd say that a VT/ZROZ allocation would need to range from 90/10 to 70/30. On the bright side, it keeps you staying the course!
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