Search found 103 matches

by rhe
Sun Sep 06, 2020 11:37 pm
Forum: Non-US Investing
Topic: Any ex-US world ETF
Replies: 20
Views: 1724

Re: Any ex-US world ETF

At one point I held a european equity position via futures. I used both stoxx 50 and stoxx 600 futures at different times. I paid fairly close attention to my account around the end of march, and as far as I could tell liquidity remained good even when bid-ask spreads elsewhere in the market were re...
by rhe
Tue Sep 01, 2020 12:09 am
Forum: Personal Consumer Issues
Topic: (MS Applied Economics?) Help a Random Internet Stranger Decide
Replies: 20
Views: 1483

Re: (MS Applied Economics?) Help a Random Internet Stranger Decide

I’m not so sure I’m cut out for a PhD at least. In any case, very few people get an econ PhD after having substantial work experience. My impression, though, is that business school PhD students (accounting, marketing, strategy, etc.) are often older. I'm not suggesting that this is an obviously go...
by rhe
Mon Aug 31, 2020 11:27 pm
Forum: Personal Consumer Issues
Topic: Undergrad College List
Replies: 64
Views: 4420

Re: Undergrad College List

GPA + Test score is all that matters. MD is mostly a numbers game: one of reasons I think a lot of pre-med students at MIT/CalTech/Cornell/Princeton complain due to grade deflation (compared to other schools). This appears to be "common knowledge" for posters on this board, but I still find it very...
by rhe
Sun Jul 26, 2020 7:35 am
Forum: Personal Finance (Not Investing)
Topic: Wow! Dare Not to Follow the Crowd
Replies: 69
Views: 11284

Re: Wow! Dare Not to Follow the Crowd

I have great interest in this discussion because we'll likely be faced with a similar decision in the future. After a fair amount of reading my conclusion is the same as most of the commenters here: it's possible to get an excellent education at many different types of schools. One of the things tha...
by rhe
Sun Jul 26, 2020 6:07 am
Forum: Non-US Investing
Topic: Tiered commission for Ireland domiciled ETF on LSE using Interactive Brokers
Replies: 7
Views: 748

Re: Tiered commission for Ireland domiciled ETF on LSE using Interactive Brokers

If I remember correctly, trader workstation actually labels different parts of the LSE differently, so the comissions for LSEIOB (international order book) may not be the same as for LSEETF. I had a vague feeling that different etfs were being treated differently, but it was never enough money that ...
by rhe
Wed Jul 22, 2020 6:52 pm
Forum: Non-US Investing
Topic: Need help to invest in ETFs [Bahrain]
Replies: 45
Views: 2473

Re: Need help to invest in ETFs [Bahrain]

You are probably better off investing in the US through ETFs that are domiciled in Ireland and traded on the London Stock Exchange. This both avoids estate tax issues and (probably) reduces the withholding tax you will pay on dividends. Vanguard UK has a fairly good selection.
by rhe
Wed Jul 22, 2020 6:35 pm
Forum: Personal Investments
Topic: Generating income for school fees
Replies: 14
Views: 1286

Re: Generating income for school fees

I modeled both based on historical data. Started in '06 (worst case scenario since 2nd child's school fees start hitting during 2009 drawdown). Original VTI investment bottomed out by dropping in half, then at present date would be worth double initial investment. VGMFX never fluctuated more than 6...
by rhe
Sat Jul 04, 2020 8:27 am
Forum: Non-US Investing
Topic: [Expat in Singapore] Seeking advice - buy ETF in AUD or USD?
Replies: 2
Views: 263

Re: [Expat in Singapore] Seeking advice - buy ETF in AUD or USD?

Over long periods your performance is going to be identical assuming the ETFs hold the same investments and have the same expense ratio. If you see different expense ratios for the same investments, then choose the cheaper one. In the short run, you may be able to buy with a smaller spread if you ar...
by rhe
Fri Jul 03, 2020 1:17 am
Forum: Non-US Investing
Topic: SIPC coverage for Irish-domiciled ETFs
Replies: 24
Views: 2248

Re: SIPC coverage for Irish-domiciled ETFs

14. IB's Right to Loan/Pledge Customer Assets: As allowed by law, IB is authorized by Customer to lend to itself or others Customer securities or assets. IB may, without notice, pledge, re-pledge, hypothecate or re-hypothecate Customer's securities and assets, separately or together with those ofot...
by rhe
Sun Jun 28, 2020 8:21 pm
Forum: Investing - Theory, News & General
Topic: Any ways to leverage BND / GNMA?
Replies: 12
Views: 658

Re: Any ways to leverage BND / GNMA?

I believe much of the historical advantage of bonds comes from the interest rate exposure, rather than the credit risk exposure. The cheapest way to get leveraged interest rate exposure is to use treasury futures. These are available through many brokerages - I used interactive brokers. I have close...
by rhe
Fri Jun 26, 2020 8:27 pm
Forum: United Arab Emirates
Topic: UCITS ETF is similar to VGTSX
Replies: 10
Views: 1041

Re: UCITS ETF is similar to VGTSX

Oh, I understand you are trying to simulate the global index but excluding a large chunk of it. To consider UK and France a proxy for all Europe, means you're disregarding Germany, Switzerland, Spain etc. That's an active bet IMO. If you similarly approximate Asia by using only Japan and China for ...
by rhe
Fri Jun 26, 2020 8:15 pm
Forum: Non-US Investing
Topic: Investing in EUR from Japan
Replies: 3
Views: 343

Re: Investing in EUR from Japan

I don't know about Japan-specific issues... but have you looked at Interactive Brokers? I have used Interactive Brokers from Japan for several years with no issues. They will need a copy of ID showing your address and will verify it via registered mail. With the "international" account you are allo...
by rhe
Sun Jun 21, 2020 11:57 pm
Forum: Non-US Investing
Topic: Irish alternatives to US domiciled ETFs
Replies: 15
Views: 1105

Re: Irish alternatives to US domiciled ETFs

At the risk of starting an extended discussion, non-US can be constructed from component parts, specifically

Europe
Asia-Pacific ex-Japan
Japan
Emerging

There are a variety of opinions regarding whether such an approach is appropriate.
by rhe
Sat Jun 20, 2020 8:08 pm
Forum: United Arab Emirates
Topic: UCITS ETF is similar to VGTSX
Replies: 10
Views: 1041

Re: UCITS ETF is similar to VGTSX

In your example, France is approx 3% of a global stock fund (e.g. VWRD). With a 60-40 portfolio, this means France is 1.8% of your portfolio. Assuming a dividend yield of 2%, the dividend attributed to France is 0.036% of the value of your portfolio. The numbers are so small, it doesn't matter what...
by rhe
Fri Jun 19, 2020 7:22 pm
Forum: United Arab Emirates
Topic: UCITS ETF is similar to VGTSX
Replies: 10
Views: 1041

Re: UCITS ETF is similar to VGTSX

Buy VWRD/A and be done with it. The simpler the better. This may result in unnecessary extra taxes. For example, an investor from Japan will not only be taxed twice on dividends from Japan, but will also likely not be able to claim a refund that they would otherwise be entitled to on US dividends. ...
by rhe
Thu Jun 18, 2020 7:18 pm
Forum: United Arab Emirates
Topic: UCITS ETF is similar to VGTSX
Replies: 10
Views: 1041

Re: UCITS ETF is similar to VGTSX

Buy VWRD/A and be done with it. The simpler the better. This may result in unnecessary extra taxes. For example, an investor from Japan will not only be taxed twice on dividends from Japan, but will also likely not be able to claim a refund that they would otherwise be entitled to on US dividends. ...
by rhe
Sun Jun 14, 2020 4:39 pm
Forum: United Arab Emirates
Topic: UCITS ETF is similar to VGTSX
Replies: 10
Views: 1041

Re: UCITS ETF is similar to VGTSX

"International" can be effectively reconstructed using

Europe
Asia-Pacific ex-Japan
Japan
Emerging

All of these are available as irish vanguard funds.
by rhe
Fri Jun 05, 2020 5:27 am
Forum: Personal Investments
Topic: Foreign portfolio investment experiences?
Replies: 3
Views: 276

Re: Foreign portfolio investment experiences?

Buying exUS assets in USD or EUR doesn't change anything besides FX costs? Currency risk is the same. Until recently I held my position in european stocks as futures. The value of the stocks (in euro) will react to changes in the exchange rate, so it's not really possible to correctly hedge exchang...
by rhe
Wed Jun 03, 2020 8:01 am
Forum: Personal Finance (Not Investing)
Topic: Adding Canadian Citizenship - any downsides?
Replies: 99
Views: 7487

Re: Adding Canadian Citizenship - any downsides?

Yes, it looks like $75 + birth certificate = certificate of citizenship certificate . https://www.canada.ca/en/immigration-refugees-citizenship/services/canadian-citizenship/proof-citizenship/about.html. ...although an application for this certificate with a canadian birth certificate might generat...
by rhe
Thu May 07, 2020 5:40 am
Forum: Non-US Investing
Topic: Will work in Japan for one year. What are the implications for my brokerage account?
Replies: 2
Views: 328

Re: Will work in Japan for one year. What are the implications for my brokerage account?

The japanese government will be interested primarily in money coming into japan. From a practical perspective, as long as you don't transfer money from your brokerage account into the country you won't owe anything on the account. (Legally, I think certain types of capital gains may be taxable, but ...
by rhe
Mon May 04, 2020 11:46 pm
Forum: Personal Finance (Not Investing)
Topic: College savings if possibly moving internationally? [529 plan, Move from US to Japan]
Replies: 5
Views: 375

Re: College savings if possibly moving internationally? [529 plan, Move from US to Japan]

Japan does not see accounts like IRAs, 401ks and 529 accounts as having tax free status there. My understanding is that the 401k at least is treated by japanese authorities as a "non-qualified retirement plan" and you will be taxed on growth (but not contributions) when you start making withdrawals...
by rhe
Sun May 03, 2020 5:27 am
Forum: Investing - Theory, News & General
Topic: Check my "roll yield" math please
Replies: 5
Views: 617

Re: Check my "roll yield" math please

This sounds plausible but I generally just look up "instantaneous forward rates" online. The fed produces a set of them although I don't know if they're updated every day. It's the sort of thing where it's safer to let someone else do it...
by rhe
Wed Apr 29, 2020 8:34 am
Forum: Non-US Investing
Topic: ETFs in GBP on LSE which fulfill these criteria
Replies: 3
Views: 292

Re: ETFs in GBP on LSE which fulfill these criteria

Vanguard offers a ftse100 etf with good liquidity (VUKE), as well as a good ftse250 etf. They may offer others as well.
by rhe
Fri Apr 24, 2020 7:45 am
Forum: Non-US Investing
Topic: Nomura investment portfolio for US citizen in Japan
Replies: 24
Views: 1722

Re: Nomura investment portfolio for US citizen in Japan

I've used interactive brokers from japan for several years. They will not produce japanese tax forms (at least not for the account type you want) but I suspect they will produce US tax forms. One other option may be to use a discount japanese brokerage (eg Rakuten). Look at their exchange rate sprea...
by rhe
Fri Apr 24, 2020 7:29 am
Forum: Non-US Investing
Topic: [Dominican Republic] Portfolio Advice
Replies: 7
Views: 582

Re: [Dominican Republic] Portfolio Advice

I have used vanguard funds on the LSE for several years now without any issue. Spreads are somewhat higher, but you can see those before you buy. Depending on your tax treaty withholding rate and estate tax status, you may be better off holding your US stocks in a US domiciled fund, rather than in t...
by rhe
Fri Apr 24, 2020 7:22 am
Forum: Investing - Theory, News & General
Topic: Help with switch from degiro to Interactive brokers
Replies: 3
Views: 269

Re: Help with switch from degiro to Interactive brokers

Are you sure the currency is the same? That is, if you execute a buy order in a paper trading account, are euros debited?
by rhe
Thu Mar 26, 2020 10:27 am
Forum: Non-US Investing
Topic: [Dominican Republic] Portfolio Advice
Replies: 7
Views: 582

Re: [Dominican Republic] Portfolio Advice

[*] Are there any guides on how to actually buy these assets using IB? I'm new to trading The easiest way to figure out how everything works is to set up the "paper trading" account that should come along with your real account. You can then mess around with TWS until things make sense to you. The ...
by rhe
Wed Mar 25, 2020 1:13 am
Forum: Non-US Investing
Topic: [Japan] Which broker to chose to get vanguard lifestrategy funds ?
Replies: 2
Views: 353

Re: [Japan] Which broker to chose to get vanguard lifestrategy funds ?

When I looked into this a few years ago, it seemed like the three large discount brokerages (rakuten, monex, kabu.com) were all offering about the same product. I ended up putting my NISA with kabu.com and my ideco with rakuten. I don't believe vanguard lists on the tokyo stock exchange so if you ar...
by rhe
Tue Mar 17, 2020 10:07 pm
Forum: Non-US Investing
Topic: Question about Forex using IB
Replies: 5
Views: 261

Re: Question about Forex using IB

TWS is actually quite flexible. You can type any number in as the quantity, and the pull down menu should also let you flip which currency that number refers to. Don't expect your transaction to exactly zero out the balance. Any remaining balance under about $2 or so is magically converted after a f...
by rhe
Mon Mar 16, 2020 6:50 pm
Forum: Non-US Investing
Topic: U.S. expat in Japan with Japanese spouse - pre/post retirement taxation
Replies: 9
Views: 1676

Re: U.S. expat in Japan with Japanese spouse - pre/post retirement taxation

Current market events have motivated me to go back and look at this more carefully. The most definitive document I found is https://www2.deloitte.com/content/dam/Deloitte/jp/Documents/human-capital/ges/jp-ges-kokuzeisokuho-3august2015.pdf which has the great advantage of being both recent and from a...
by rhe
Fri Dec 06, 2019 10:21 pm
Forum: Investing - Theory, News & General
Topic: A gentle alternative to HEDGEFUNDIE's excellent adventure with 2-Year Treasury Futures
Replies: 136
Views: 17801

Re: A gentle alternative to HEDGEFUNDIE's excellent adventure with 2-Year Treasury Futures

Could someone explain the cost of rolling T-notes? If there a calculator/ formula that I can use to roll these Futures? I looked and wasn't able to find anything. There are two fundamental problems. First, the cheapest to deliver is usually going to be different for the two contracts, because it wi...
by rhe
Thu Dec 05, 2019 3:02 am
Forum: Investing - Theory, News & General
Topic: Treasury bond futures pricing
Replies: 3
Views: 374

Re: Treasury bond futures pricing

Buying a contract will put you long a hypothetical $100k treasury at a specified coupon - I think it might be 6%. Since current interest rates are lower than this, the hypothetical treasury would trade at a premium. If I remember correctly, the $180k figure you cite should be the cost of the cheapes...
by rhe
Wed Nov 06, 2019 9:25 pm
Forum: Non-US Investing
Topic: Japan - Inhabitance tax on interest/dividends taxed as ordinary income
Replies: 5
Views: 467

Re: Japan - Inhabitance tax on interest/dividends taxed as ordinary income

Any chance you mind sharing the keywords you used to find that info? My reading level is pretty weak, so I'll be using OCR and google translate, but it would be a helpful starting place. You could try something like "配当 税金". Note that the top result (from mizuho) is contradicted further down the pa...
by rhe
Wed Nov 06, 2019 8:31 am
Forum: Non-US Investing
Topic: Japan - Inhabitance tax on interest/dividends taxed as ordinary income
Replies: 5
Views: 467

Re: Japan - Inhabitance tax on interest/dividends taxed as ordinary income

I don't know the details here, but the top japanese language google result suggests that there's no way of escaping the inhabitant tax on dividends. It also suggests that below 9 million yen total income you may be better off combining dividends and regular income. On the other hand, another website...
by rhe
Sat Oct 26, 2019 10:03 pm
Forum: Non-US Investing
Topic: U.S. expat in Japan with Japanese spouse - pre/post retirement taxation
Replies: 9
Views: 1676

Re: U.S. expat in Japan with Japanese spouse - pre/post retirement taxation

You bring up a good point here and so I took a look at the technical explanation for the tax treaty. From the paragraphs quoted below, I conclude that actually a "pension fund" as defined in the treaty includes almost all (if not all) of the typical U.S. retirement accounts. In my situation it full...
by rhe
Thu Oct 24, 2019 10:58 pm
Forum: Non-US Investing
Topic: U.S. expat in Japan with Japanese spouse - pre/post retirement taxation
Replies: 9
Views: 1676

Re: U.S. expat in Japan with Japanese spouse - pre/post retirement taxation

I haven't consulted a lawyer or accountant, but did a fair amount of reading about this. It looks like two important points are 1. How accessible the money in the overseas "tax free" account is, if you were to try to withdraw it. 2. How much the overseas "tax free" account looks like an insurance p...
by rhe
Thu Oct 24, 2019 10:28 pm
Forum: Investing - Theory, News & General
Topic: SPXX -- Nuveen S&P 500 Dynamic Overwrite
Replies: 16
Views: 1458

Re: SPXX -- Nuveen S&P 500 Dynamic Overwrite

At one point I looked at a very similar Nuveen fund that was based on QQQ rather than the S&P index. It looked like the number of options they actually traded was very low and the fund's NAV would basically track QQQ over time.
by rhe
Fri Oct 18, 2019 8:50 pm
Forum: Investing - Theory, News & General
Topic: A gentle alternative to HEDGEFUNDIE's excellent adventure with 2-Year Treasury Futures
Replies: 136
Views: 17801

Re: A gentle alternative to HEDGEFUNDIE's excellent adventure with 2-Year Treasury Futures

In regards to Eurodollars, this is the response I got from Eric Hickman at Kessler: "I have done a lot of back-testing work with these shorter instruments, not trying to eliminate the negative carry, but to possibly capture more movement. The negative carry cannot be eliminated because what you don...
by rhe
Mon Oct 14, 2019 7:55 am
Forum: Non-US Investing
Topic: U.S. expat in Japan with Japanese spouse - pre/post retirement taxation
Replies: 9
Views: 1676

Re: U.S. expat in Japan with Japanese spouse - pre/post retirement taxation

I haven't consulted a lawyer or accountant, but did a fair amount of reading about this. It looks like two important points are 1. How accessible the money in the overseas "tax free" account is, if you were to try to withdraw it. 2. How much the overseas "tax free" account looks like an insurance po...
by rhe
Fri Oct 11, 2019 9:48 am
Forum: Personal Finance (Not Investing)
Topic: Need help !!! US or Canadian universities?
Replies: 56
Views: 4058

Re: Need help !!! US or Canadian universities?

I think the intended major is very important here. Fancy private schools in the US tend to have similar standards for admission regardless of whether you're planning on studying comparative literature or astrophysics. This is not the case in Canada. "Arts" (as opposed to "science") programs often ha...
by rhe
Thu Oct 10, 2019 5:46 am
Forum: Investing - Theory, News & General
Topic: A gentle alternative to HEDGEFUNDIE's excellent adventure with 2-Year Treasury Futures
Replies: 136
Views: 17801

Re: A gentle alternative to HEDGEFUNDIE's excellent adventure with 2-Year Treasury Futures

I'd like to echo again that for this strategy, 2-year treasuries are better to hold than eurodollars in the case of another financial crisis as eurodollars are tied to the LIBOR bank interest rate, which can skyrocket during a panic. If holding eurodollars, this could have the horrible effect of ca...
by rhe
Tue Sep 24, 2019 8:48 pm
Forum: Investing - Theory, News & General
Topic: A gentle alternative to HEDGEFUNDIE's excellent adventure with 2-Year Treasury Futures
Replies: 136
Views: 17801

Re: A gentle alternative to HEDGEFUNDIE's excellent adventure with 2-Year Treasury Futures

In the 2008 great recession, the T-bill rate dropped to nearly zero due to government intervention while the LIBOR rate shot up to 5% as the financial market tightened and banks stopped lending. I recognize that this plot only compares 3-mo rates, but it suggests that holding treasuries would be si...
by rhe
Mon Sep 23, 2019 9:22 pm
Forum: Investing - Theory, News & General
Topic: A gentle alternative to HEDGEFUNDIE's excellent adventure with 2-Year Treasury Futures
Replies: 136
Views: 17801

Re: A gentle alternative to HEDGEFUNDIE's excellent adventure with 2-Year Treasury Futures

Can you go into detail on the cost savings for eurodollars vs treasury futures? Because it doesn't seem like it should be very much. Assuming you're trading the front contract, you should be able to pay just one tick on the spread, so 1/256 * 2000, or slightly less than $8. Call it $10 per contract...
by rhe
Mon Sep 23, 2019 3:30 am
Forum: Investing - Theory, News & General
Topic: A gentle alternative to HEDGEFUNDIE's excellent adventure with 2-Year Treasury Futures
Replies: 136
Views: 17801

Re: A gentle alternative to HEDGEFUNDIE's excellent adventure with 2-Year Treasury Futures

@rhe Have you found any disadvantages to trading eurodollar future as compared to US treasuries? As far as I can see, eurodollar futures are perfect if your plan is just to hold the first eight contracts. My strategy was actually slightly more complex, because I would try to hold the part of the yi...
by rhe
Sun Sep 22, 2019 7:17 am
Forum: Investing - Theory, News & General
Topic: A gentle alternative to HEDGEFUNDIE's excellent adventure with 2-Year Treasury Futures
Replies: 136
Views: 17801

Re: A gentle alternative to HEDGEFUNDIE's excellent adventure with 2-Year Treasury Futures

I held a portfolio quite similar to this for the past two years, but toned it down a couple of weeks ago because I was getting worried. Over those two years my bond positions contributed about 6% growth to my total account value, so I disagree with those people who think the proposed bond position i...
by rhe
Sat Sep 14, 2019 2:17 am
Forum: Investing - Theory, News & General
Topic: How would one go about shorting Eurozone bonds?
Replies: 22
Views: 1385

Re: How would one go about shorting Eurozone bonds?

Thanks. That's interesting. So, if I understand this correctly, unless you use another currency this would only potentially work in the case that the yield curve is inverted? (so that short term rates are higher than long term one?) So it would probably work in the US instead at present! :D In prac...
by rhe
Sat Sep 14, 2019 12:33 am
Forum: Investing - Theory, News & General
Topic: 3X leveraged ETFs - where are the gains coming from?
Replies: 40
Views: 3422

Re: 3X leveraged ETFs - where are the gains coming from?

Sorry but I was not looking for the explanation on why portfolio return is good (falling rate and bullish market), but when futures appreciates 3X, who pays for the appreciation in the market. A futures contract always has a long side and a short side, so if you are long 3 contracts someone else mu...
by rhe
Sat Sep 14, 2019 12:18 am
Forum: Investing - Theory, News & General
Topic: How would one go about shorting Eurozone bonds?
Replies: 22
Views: 1385

Re: How would one go about shorting Eurozone bonds?

I'm curious, if you short the Euro, what currency would you be going long ? These things always trade in pairs, you have to put it in something else that you believe the thing being shorted will perform relatively worse against. Would you keep it in shorter term Euro cash? I don't understand your q...
by rhe
Sun Sep 08, 2019 7:32 pm
Forum: Investing - Theory, News & General
Topic: 3X leveraged ETFs - where are the gains coming from?
Replies: 40
Views: 3422

Re: 3X leveraged ETFs - where are the gains coming from?

Sorry but I was not looking for the explanation on why portfolio return is good (falling rate and bullish market), but when futures appreciates 3X, who pays for the appreciation in the market. A futures contract always has a long side and a short side, so if you are long 3 contracts someone else mu...
by rhe
Tue Aug 27, 2019 3:41 am
Forum: Non-US Investing
Topic: One disadvantage of NISA investments in Japan
Replies: 12
Views: 687

Re: One disadvantage of NISA investments in Japan

My understanding is that you are expected to roll over your investments into the next 5 year period, and then the next one, and so effectively the program shields you from taxes indefinitely. De facto you will never pay tax on your investment gains. As I understand it, it shields you from taxes ove...