Hey guys,
I'm a US non resident citizen. I have my portfolio at Schwab and have been following the below strategy for a few years:
Stocks:Bonds 90:10
Stocks
US:International - 60:40
US - SCHB
International - 80:20 SCHF:SCHE
Bonds
SCHZ - US only
In order to simplify things further and not worry about US:International ratios, I am considering moving to a global two fund portfolio with global stocks and bonds funds such as Vanguard FTSE All-World UCITS
ETF (Acc) and iShares Global Government Bonds UCITS ETF (Acc).
I would probably have to open an account with different broker for this
Do you recommend global two fund portfolios? If so, which two funds are recommended in my case as US non resident citizen?
US non resident citizen global two fund portfolio
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Re: US non resident citizen global two fund portfolio
Have you investigated the US's spiteful PFIC tax rules? If not, see this wiki article (and weep):normalmal wrote: ↑Thu Jun 08, 2023 11:47 am In order to simplify things further and not worry about US:International ratios, I am considering moving to a global two fund portfolio with global stocks and bonds funds such as Vanguard FTSE All-World UCITS
ETF (Acc) and iShares Global Government Bonds UCITS ETF (Acc).
Passive foreign investment company - Bogleheads
In short, this is a Really Bad Idea. Anything UCITS is almost certainly, for you, a US tax death-sentence. For more in general on the difficulties you will face as a US citizen living outside the US, see this wiki article:
US tax pitfalls for a US person living abroad - Bogleheads
You will probably find that a lot of brokers want nothing to do with you. US brokers because you are not a US resident (US AML laws), and non-US brokers because you are a US citizen (US FATCA law). If you do need another for any reason, Interactive Brokers and Schwab International are probably going to be your first -- and perhaps only -- options.
Finally, I'd suggest moving this thread to the Non-US Investing forum, where you will find similarly afflicted (by US citizenship) expats. You can request this using the "!" icon at top right.
- oldcomputerguy
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Re: US non resident citizen global two fund portfolio
^ I got it. This topic is now in the Non-US Investing forum.
There is only one success - to be able to spend your life in your own way. (Christopher Morley)