Best way to invest $100k for HSBC premier account? [Europe]

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cashheavy18
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Joined: Fri Jun 15, 2018 3:19 pm

Best way to invest $100k for HSBC premier account? [Europe]

Post by cashheavy18 » Sat Jun 16, 2018 4:08 pm

We have an HSBC Premier account in the USA. We set this account up because of the flexibility it offers to transfer funds internationally with no fees (we have rental property & family in Europe). We find this particular service very convenient and since everything has been setup (had to go through a bit of a rigmarole setting up the local account in Europe), would like to maintain it.

To avoid the monthly $50 account maintenance fee, you need to maintain $100k worth of assets with HSBC.

From what I have researched, all of their investment vehicles have huge fees associated with them. We parked the money in a 12 month cd at .95% (matures Jan 2019).

- Does anyone have any investments at HSBC that they can recommend (if yes, what are the fees)?
- Pending a "decent" investment option, I am now thinking to just pull the money when the cd matures and pay the $50 account fee (even if I move the $100k to another cd - rates will likely be much higher at other FI's).



Thoughts?

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Pete12
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Re: Best way to invest $100k for HSBC premier account?

Post by Pete12 » Sat Dec 01, 2018 9:09 am

I too am considering putting $100k with HSBC in order to re-qualify for their Premier service. I was with HSBC premier a few years ago and if you look through my past posts you will know I fired my FA there and moved my retirement assets to index funds at Fidelity.

However I miss having the ATM fee rebates when I travel abroad and I will also be needing to open a UK checking account at some point to handle some historical/family matters.

If HSBC offers a self directed brokerage option then I would consider converting some Vanguard MF units in my taxable account to ETFs then moving them in-kind to HSBC. Then I would just let the ETFs sit there.

Anyone here have any experience with this?

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cashheavy18
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Re: Best way to invest $100k for HSBC premier account?

Post by cashheavy18 » Sat Dec 01, 2018 9:56 am

After seeing a response (after so many months :wink: ), I found this online:

https://www.us.hsbc.com/content/dam/hsb ... hedule.pdf

It's still a bit shocking that places charge these kind of fees....

Would still like to hear from others on what type of strategy they've employed at HSBC.

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William Million
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Re: Best way to invest $100k for HSBC premier account?

Post by William Million » Sat Dec 01, 2018 10:12 am

Sounds like $50/month versus CD interests 1-1.5% lower than the market are about a wash. So it might not matter what you do.

I use Schwab ATM card for no fees when withdrawing $ from foreign ATMs. There are other ways to transfer $ between dollar and euro accounts.
However, you might get more out of the HSBC Premier.

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Pete12
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Re: Best way to invest $100k for HSBC premier account?

Post by Pete12 » Sat Dec 01, 2018 10:43 am

cashheavy18 wrote:
Sat Dec 01, 2018 9:56 am
After seeing a response (after so many months :wink: ), I found this online:

https://www.us.hsbc.com/content/dam/hsb ... hedule.pdf

It's still a bit shocking that places charge these kind of fees....

Would still like to hear from others on what type of strategy they've employed at HSBC.
This is good info thanks! So it looks like if you are a Premier client they waive any inactivity fee. This would work for me then as I would plan to move ETF units in and just let them sit there. I would take the dividends as cash then just reinvest as usual at Vanguard.

j0nnyg1984
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Re: Best way to invest $100k for HSBC premier account?

Post by j0nnyg1984 » Sat Dec 01, 2018 4:13 pm

I’ve looked online for the last 15 minutes and have yet to find anything helpful.

What are the benefits of having a premier account with HSBC?

Topic Author
cashheavy18
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Re: Best way to invest $100k for HSBC premier account?

Post by cashheavy18 » Sat Dec 01, 2018 4:54 pm

j0nnyg1984 wrote:
Sat Dec 01, 2018 4:13 pm
I’ve looked online for the last 15 minutes and have yet to find anything helpful.

What are the benefits of having a premier account with HSBC?
After initial account setup (both in US & Europe - which isn't exactly customer friendly), it is now the ease of being able to seamlessly move money from one account to another without any fees. They offer competitive exchange rates. We have an European debit card, which is very helpful in self-service machines (many that won't take US cards). We have a full checking account in Europe, to pay expenses by paper check (yes, a lot of people where we have our rental property still like paper checks).

That's the reason we're keeping the account, but would like to avoid paying $600 and/or have better low-cost investments to put the $100k in.

j0nnyg1984
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Re: Best way to invest $100k for HSBC premier account?

Post by j0nnyg1984 » Sat Dec 01, 2018 5:10 pm

cashheavy18 wrote:
Sat Dec 01, 2018 4:54 pm
j0nnyg1984 wrote:
Sat Dec 01, 2018 4:13 pm
I’ve looked online for the last 15 minutes and have yet to find anything helpful.

What are the benefits of having a premier account with HSBC?
After initial account setup (both in US & Europe - which isn't exactly customer friendly), it is now the ease of being able to seamlessly move money from one account to another without any fees. They offer competitive exchange rates. We have an European debit card, which is very helpful in self-service machines (many that won't take US cards). We have a full checking account in Europe, to pay expenses by paper check (yes, a lot of people where we have our rental property still like paper checks).

That's the reason we're keeping the account, but would like to avoid paying $600 and/or have better low-cost investments to put the $100k in.
Okay, those seem very user-demand specific, not benefits for a wider audience to take advantage of.

I currently have the top status with the BoA / Merrill Edge preferred rewards program and the benefits are substantial: large credit card reward multipliers, free safe deposit box, no atm fees, lots of extra cash back opportunities...Great package for me, but I’m always shopping around.

mrx
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Re: Best way to invest $100k for HSBC premier account?

Post by mrx » Sat Dec 01, 2018 7:24 pm

cashheavy18 wrote:
Sat Dec 01, 2018 4:54 pm
j0nnyg1984 wrote:
Sat Dec 01, 2018 4:13 pm
I’ve looked online for the last 15 minutes and have yet to find anything helpful.

What are the benefits of having a premier account with HSBC?
After initial account setup (both in US & Europe - which isn't exactly customer friendly), it is now the ease of being able to seamlessly move money from one account to another without any fees. They offer competitive exchange rates. We have an European debit card, which is very helpful in self-service machines (many that won't take US cards). We have a full checking account in Europe, to pay expenses by paper check (yes, a lot of people where we have our rental property still like paper checks).

That's the reason we're keeping the account, but would like to avoid paying $600 and/or have better low-cost investments to put the $100k in.
Isn't the seamless immediate no fee transfer available for HSBC Advance customers as well? If this is really all what you are looking for, why don't you settle with an Advance account? It's much easier to meet the bar for it.

Topic Author
cashheavy18
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Re: Best way to invest $100k for HSBC premier account?

Post by cashheavy18 » Sat Dec 01, 2018 7:44 pm

mrx wrote:
Sat Dec 01, 2018 7:24 pm
cashheavy18 wrote:
Sat Dec 01, 2018 4:54 pm
j0nnyg1984 wrote:
Sat Dec 01, 2018 4:13 pm
I’ve looked online for the last 15 minutes and have yet to find anything helpful.

What are the benefits of having a premier account with HSBC?
After initial account setup (both in US & Europe - which isn't exactly customer friendly), it is now the ease of being able to seamlessly move money from one account to another without any fees. They offer competitive exchange rates. We have an European debit card, which is very helpful in self-service machines (many that won't take US cards). We have a full checking account in Europe, to pay expenses by paper check (yes, a lot of people where we have our rental property still like paper checks).

That's the reason we're keeping the account, but would like to avoid paying $600 and/or have better low-cost investments to put the $100k in.
Isn't the seamless immediate no fee transfer available for HSBC Advance customers as well? If this is really all what you are looking for, why don't you settle with an Advance account? It's much easier to meet the bar for it.
Thanks for this, was not aware of this tier of account. Will have to call and inquire/verify that the International services are equivalent. If they are, then this will definitely be the route we'll go!

ICH
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Re: Best way to invest $100k for HSBC premier account?

Post by ICH » Sun Dec 02, 2018 12:49 am

One advice: do check with HSBC if investments (anything other than CDs) count towards premier status.
I believe they don't.

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Bogle the Mind
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Re: Best way to invest $100k for HSBC premier account?

Post by Bogle the Mind » Sun Dec 02, 2018 1:03 am

cashheavy18 wrote:
Sat Dec 01, 2018 4:54 pm
They offer competitive exchange rates.
Can you quantify this? What is the next best exchange rate + fee that you've found?

Have you looked into TransferWise?

If you find an international wire transfer option that's cheaper than HSBC Premier, I assume you could downgrade your HSBC accounts such that you still benefit from having the accounts.
- Bogle the Mind

Topic Author
cashheavy18
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Re: Best way to invest $100k for HSBC premier account?

Post by cashheavy18 » Sun Dec 02, 2018 10:12 am

ICH wrote:
Sun Dec 02, 2018 12:49 am
One advice: do check with HSBC if investments (anything other than CDs) count towards premier status.
I believe they don't.
They do count towards premier status. One of the "perks" of premier is you get "free" wealth management services, which is a very heavy sell for all of their extremely expensive investment options. Not interested.

Topic Author
cashheavy18
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Re: Best way to invest $100k for HSBC premier account?

Post by cashheavy18 » Sun Dec 02, 2018 10:15 am

Bogle the Mind wrote:
Sun Dec 02, 2018 1:03 am
cashheavy18 wrote:
Sat Dec 01, 2018 4:54 pm
They offer competitive exchange rates.
Can you quantify this? What is the next best exchange rate + fee that you've found?

Have you looked into TransferWise?

If you find an international wire transfer option that's cheaper than HSBC Premier, I assume you could downgrade your HSBC accounts such that you still benefit from having the accounts.
I have not used transferwise, will look at it, thank you.

Topic Author
cashheavy18
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Re: Best way to invest $100k for HSBC premier account?

Post by cashheavy18 » Tue Jan 22, 2019 12:48 pm

mrx wrote:
Sat Dec 01, 2018 7:24 pm
cashheavy18 wrote:
Sat Dec 01, 2018 4:54 pm
j0nnyg1984 wrote:
Sat Dec 01, 2018 4:13 pm
I’ve looked online for the last 15 minutes and have yet to find anything helpful.

What are the benefits of having a premier account with HSBC?
After initial account setup (both in US & Europe - which isn't exactly customer friendly), it is now the ease of being able to seamlessly move money from one account to another without any fees. They offer competitive exchange rates. We have an European debit card, which is very helpful in self-service machines (many that won't take US cards). We have a full checking account in Europe, to pay expenses by paper check (yes, a lot of people where we have our rental property still like paper checks).

That's the reason we're keeping the account, but would like to avoid paying $600 and/or have better low-cost investments to put the $100k in.
Isn't the seamless immediate no fee transfer available for HSBC Advance customers as well? If this is really all what you are looking for, why don't you settle with an Advance account? It's much easier to meet the bar for it.
I have to thank you for mentioning the Advance account - I was unaware this existed with the same "global" benefits as Premier. Just seamlessly changed to Advance and as you mention, it has a much lower threshold to avoid monthly fees. Now I'm ready to deploy the dollars that were tied up at HSBC!

magicbunny
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Re: Best way to invest $100k for HSBC premier account?

Post by magicbunny » Tue Jan 22, 2019 1:17 pm

I've had an HSBC premier account for many years. It's actually quite nice for international work, as you can open local bank accounts in international countries to transact with locals and have access to a multitude of international HSBC offices. It's most useful if you travel where you need to do local personal/business transactions (real estate, whatever) overseas.

HSBC Brokerage investments do count for premier status, and plopping some investments in a HSBC brokerage account will work to gain/maintain status.

Topic Author
cashheavy18
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Re: Best way to invest $100k for HSBC premier account?

Post by cashheavy18 » Tue Jan 22, 2019 1:28 pm

magicbunny wrote:
Tue Jan 22, 2019 1:17 pm
I've had an HSBC premier account for many years. It's actually quite nice for international work, as you can open local bank accounts in international countries to transact with locals and have access to a multitude of international HSBC offices. It's most useful if you travel where you need to do local personal/business transactions (real estate, whatever) overseas.

HSBC Brokerage investments do count for premier status, and plopping some investments in a HSBC brokerage account will work to gain/maintain status.
In general, I agree on the benefit of HSBC's global presence.
However, we do not need the Advisor services that comes with premier and find the brokerage services/investment options to be of poor value.
Now, that we've downgraded to an Advance account - we can still maintain our global money transfer benefit and no longer need to keep the high balance to waive their monthly fees.
All, in all, a much better solution for our personal situation.

elderwise
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Re: Best way to invest $100k for HSBC premier account?

Post by elderwise » Tue Jan 22, 2019 3:30 pm

Does the Advance still allow you the ability to open (local HSBC ) accounts in any or all local countries they legally operate in without hassle? Usually when going abroad, the local banks in each country requires proof of residence, bills the usual stuff.

Also free money transfers from US outbound to any other local HSBC account you own / operate?

If yes then its a no brainer to just go advanced...hmm interesting.

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Earl Lemongrab
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Re: Best way to invest $100k for HSBC premier account?

Post by Earl Lemongrab » Tue Jan 22, 2019 3:48 pm

If a brokerage account works, then just buy some ETFs elsewhere and transfer in or make a one-time buy there (the commission isn't that high).
This week's fortune cookie: "Your financial life will be secure and beneficial." So I got that going for me, which is nice.

magicbunny
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Re: Best way to invest $100k for HSBC premier account?

Post by magicbunny » Tue Jan 22, 2019 4:06 pm

cashheavy18 wrote:
Tue Jan 22, 2019 1:28 pm
....
In general, I agree on the benefit of HSBC's global presence.
However, we do not need the Advisor services that comes with premier and find the brokerage services/investment options to be of poor value.
Now, that we've downgraded to an Advance account - we can still maintain our global money transfer benefit and no longer need to keep the high balance to waive their monthly fees.
All, in all, a much better solution for our personal situation.
:happy uh huh, most people don't get big benefits from HSBC Premier unless they are an expat or something. The advance account sounds like a good intermediate solution.
Earl Lemongrab wrote:
Tue Jan 22, 2019 3:48 pm
If a brokerage account works, then just buy some ETFs elsewhere and transfer in or make a one-time buy there (the commission isn't that high).
This +1. For me, I just plopped some stock shares into the HSBC brokerage account to qualify for Premier. An ETF would be more pure Boglehead-y, but I wanted something with no dividends. It just sits there. The Advisor services are very nice and polite. I just tell them I'm using the account for international travel benefits, and they leave me alone.
Last edited by magicbunny on Tue Jan 22, 2019 10:42 pm, edited 1 time in total.

fujiters
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Re: Best way to invest $100k for HSBC premier account?

Post by fujiters » Tue Jan 22, 2019 6:09 pm

I'm curious how your exchange rates compare with Transferwise. It may be worth tracking for a transaction or two

I did this with the Schwab ATM card and found that the rates for ATM withdrawal were slightly better than Transferwise with its fee (the concern is that the exchange rates you get might have a fee baked in).
“The purpose of the margin of safety is to render the forecast unnecessary.” -Benjamin Graham

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unclescrooge
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Re: Best way to invest $100k for HSBC premier account?

Post by unclescrooge » Tue Jan 22, 2019 9:39 pm

cashheavy18 wrote:
Sat Jun 16, 2018 4:08 pm
We have an HSBC Premier account in the USA. We set this account up because of the flexibility it offers to transfer funds internationally with no fees (we have rental property & family in Europe). We find this particular service very convenient and since everything has been setup (had to go through a bit of a rigmarole setting up the local account in Europe), would like to maintain it.

To avoid the monthly $50 account maintenance fee, you need to maintain $100k worth of assets with HSBC.

From what I have researched, all of their investment vehicles have huge fees associated with them. We parked the money in a 12 month cd at .95% (matures Jan 2019).

- Does anyone have any investments at HSBC that they can recommend (if yes, what are the fees)?
- Pending a "decent" investment option, I am now thinking to just pull the money when the cd matures and pay the $50 account fee (even if I move the $100k to another cd - rates will likely be much higher at other FI's).



Thoughts?
Their no fee money transfers are not free. They get you on the currency spread. Last time I checked it was about 2.9%.

mrx
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Re: Best way to invest $100k for HSBC premier account?

Post by mrx » Tue Feb 05, 2019 12:05 am

cashheavy18 wrote:
Tue Jan 22, 2019 12:48 pm
mrx wrote:
Sat Dec 01, 2018 7:24 pm
cashheavy18 wrote:
Sat Dec 01, 2018 4:54 pm
j0nnyg1984 wrote:
Sat Dec 01, 2018 4:13 pm
I’ve looked online for the last 15 minutes and have yet to find anything helpful.

What are the benefits of having a premier account with HSBC?
After initial account setup (both in US & Europe - which isn't exactly customer friendly), it is now the ease of being able to seamlessly move money from one account to another without any fees. They offer competitive exchange rates. We have an European debit card, which is very helpful in self-service machines (many that won't take US cards). We have a full checking account in Europe, to pay expenses by paper check (yes, a lot of people where we have our rental property still like paper checks).

That's the reason we're keeping the account, but would like to avoid paying $600 and/or have better low-cost investments to put the $100k in.
Isn't the seamless immediate no fee transfer available for HSBC Advance customers as well? If this is really all what you are looking for, why don't you settle with an Advance account? It's much easier to meet the bar for it.
I have to thank you for mentioning the Advance account - I was unaware this existed with the same "global" benefits as Premier. Just seamlessly changed to Advance and as you mention, it has a much lower threshold to avoid monthly fees. Now I'm ready to deploy the dollars that were tied up at HSBC!
You are welcome :) This forum has given so much to me and it feels really good to be able to give back even a tiny bit.

pasadena
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Re: Best way to invest $100k for HSBC premier account?

Post by pasadena » Tue Feb 05, 2019 12:23 am

unclescrooge wrote:
Tue Jan 22, 2019 9:39 pm

Their no fee money transfers are not free. They get you on the currency spread. Last time I checked it was about 2.9%.
This is correct. It varies between 2% and 3% in general. Might be even higher for Advance customers (I wouldn't be surprised). However, it's true that it's hard to beat the convenience, and having a local branch to go to when you travel abroad is great, if you do that a lot.

One word of caution since your other account is in Europe. Foreign banks really don't like having to deal with "US persons" due to the FATCA rules. HSBC in France closed my account without any warning. I had been with them for almost 20 years, and moved to the US in 2012, with an HSBC Premier Global Account. They sent me a cashier check in euros for the balance ... which I couldn't deposit here. Thanks a lot. That said, my account in France wasn't super active, so maybe it'll be different in your case. Just something to be aware of.

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unclescrooge
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Re: Best way to invest $100k for HSBC premier account?

Post by unclescrooge » Tue Feb 05, 2019 12:25 am

pasadena wrote:
Tue Feb 05, 2019 12:23 am
unclescrooge wrote:
Tue Jan 22, 2019 9:39 pm

Their no fee money transfers are not free. They get you on the currency spread. Last time I checked it was about 2.9%.
This is correct. It varies between 2% and 3% in general. Might be even higher for Advance customers (I wouldn't be surprised). However, it's true that it's hard to beat the convenience, and having a local branch to go to when you travel abroad is great, if you do that a lot.

One word of caution since your other account is in Europe. Foreign banks really don't like having to deal with "US persons" due to the FATCA rules. HSBC in France closed my account without any warning. I had been with them for almost 20 years, and moved to the US in 2012, with an HSBC Premier Global Account. They sent me a cashier check in euros for the balance ... which I couldn't deposit here. Thanks a lot. That said, my account in France wasn't super active, so maybe it'll be different in your case. Just something to be aware of.
What did you do with your Euro check?

pasadena
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Location: Washington State

Re: Best way to invest $100k for HSBC premier account?

Post by pasadena » Tue Feb 05, 2019 1:38 am

unclescrooge wrote:
Tue Feb 05, 2019 12:25 am
pasadena wrote:
Tue Feb 05, 2019 12:23 am
unclescrooge wrote:
Tue Jan 22, 2019 9:39 pm

Their no fee money transfers are not free. They get you on the currency spread. Last time I checked it was about 2.9%.
This is correct. It varies between 2% and 3% in general. Might be even higher for Advance customers (I wouldn't be surprised). However, it's true that it's hard to beat the convenience, and having a local branch to go to when you travel abroad is great, if you do that a lot.

One word of caution since your other account is in Europe. Foreign banks really don't like having to deal with "US persons" due to the FATCA rules. HSBC in France closed my account without any warning. I had been with them for almost 20 years, and moved to the US in 2012, with an HSBC Premier Global Account. They sent me a cashier check in euros for the balance ... which I couldn't deposit here. Thanks a lot. That said, my account in France wasn't super active, so maybe it'll be different in your case. Just something to be aware of.
What did you do with your Euro check?
I let it expire in a drawer. It was 50 euros. Had it been more, I would have insisted for HSBC US to accept it (since it was an HSBC cashier check!), but it wasn't worth the trip and the aggravation. But that is basically when I decided to stop using them. I moved my money and my direct deposits to Ally, stopped using my HSBC CC except for one monthly payment, and closed my account after a couple years when they started charging me the $50 monthly fee.

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cashheavy18
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Re: Best way to invest $100k for HSBC premier account?

Post by cashheavy18 » Tue Feb 05, 2019 8:19 am

pasadena wrote:
Tue Feb 05, 2019 12:23 am
unclescrooge wrote:
Tue Jan 22, 2019 9:39 pm

Their no fee money transfers are not free. They get you on the currency spread. Last time I checked it was about 2.9%.
This is correct. It varies between 2% and 3% in general. Might be even higher for Advance customers (I wouldn't be surprised). However, it's true that it's hard to beat the convenience, and having a local branch to go to when you travel abroad is great, if you do that a lot.

One word of caution since your other account is in Europe. Foreign banks really don't like having to deal with "US persons" due to the FATCA rules. HSBC in France closed my account without any warning. I had been with them for almost 20 years, and moved to the US in 2012, with an HSBC Premier Global Account. They sent me a cashier check in euros for the balance ... which I couldn't deposit here. Thanks a lot. That said, my account in France wasn't super active, so maybe it'll be different in your case. Just something to be aware of.
Good to know. We do have monthly activity in the account. FACTA has definitely caused a lot of issues!

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NotYourAverageJones
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Re: Best way to invest $100k for HSBC premier account?

Post by NotYourAverageJones » Tue Feb 05, 2019 9:16 am

We despise HSBC. :twisted: We got ourselves roped into opening a "Premier account" 3 years ago. Started off back late 2015 with a horrible account set up process in San Diego, right as they were closing shop. We got the most PITA run around we have EVER dealt with, leaving us so frustrated each time we had to deal with anyone from that bank, which then required us to drive to Orange County to deal with any banking issues.

Since we live over in the Middle East, it a requirement to have an overseas bank option here if you want to do business with locals. You have to pay your rent with post dated checks and need a local bank if you want to lease a vehicle, etc. Utility and cell bills, etc. all need to be paid using a local credit card. It's a huge butt-pain, :annoyed but a necessity when living here.

The biggest issue is the "spectrum managed platform" fees where we parked out initial $100k investment is awful and we are currently trying to get out of that poorly managed situation. Our "premier wealth adviser" is suddenly unwilling to help us much now that we told him we aren't paying the fees for sub par performance and want to move our assets to a self directed account to sit and stew in an index ETF. So his response was literally this in an email today:
"The best process would be to liquidate this account, since the self directed account would require a new account to be opened by our team on the east coast. Their number for your future reference is 866-586-xxxx."
That's the high-end advice we pay the big commissions for! The reality is the $5k in LT cap gain we will realize on this under-performing dog if we liquidate, is not gonna make me rethink our position to move away from their managed side. But I find it shameful that this is the type of advice they give to their clients. "Just liquidate and handle it yourself."

BTW - We keep most of our $100k assets in our stateside account and when we need money here, we do a global transfer and transfer money to our local HSBC account but we have it deposit to the $USD (dollar account) we have set up here. There isn't a fee to transfer money FROM our USA HSBC account TO our UAE HSBC (usd$) account. And only a small conversion fee when we move it out of that account into our local AED current account for use local. All of our cash withdrawals is done using our Schwab Visa. They don't charge us any fees and give us all our ATM fees back each month. Anything else we use Chase Reserve card, and they don't charge us any foreign transaction fees.

Thank you to whomever mentioned the Advanced account option for HSBC. I am going to look deeper into it because having to pay more for the "premier status" isn't of interest to me. We don't have any other options outside of maybe 3 Citibank offices I think here that will allow us to deal with local banking requirements. But when we retire in 2. 5 years, HSBC its gone!

Topic Author
cashheavy18
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Re: Best way to invest $100k for HSBC premier account?

Post by cashheavy18 » Tue Feb 05, 2019 9:22 am

NotYourAverageJones wrote:
Tue Feb 05, 2019 9:16 am
We despise HSBC. :twisted: We got ourselves roped into opening a "Premier account" 3 years ago. Started off back late 2015 with a horrible account set up process in San Diego, right as they were closing shop. We got the most PITA run around we have EVER dealt with, leaving us so frustrated each time we had to deal with anyone from that bank, which then required us to drive to Orange County to deal with any banking issues.

Since we live over in the Middle East, it a requirement to have an overseas bank option here if you want to do business with locals. You have to pay your rent with post dated checks and need a local bank if you want to lease a vehicle, etc. Utility and cell bills, etc. all need to be paid using a local credit card. It's a huge butt-pain, :annoyed but a necessity when living here.

The biggest issue is the "spectrum managed platform" fees where we parked out initial $100k investment is awful and we are currently trying to get out of that poorly managed situation. Our "premier wealth adviser" is suddenly unwilling to help us much now that we told him we aren't paying the fees for sub par performance and want to move our assets to a self directed account to sit and stew in an index ETF. So his response was literally this in an email today:
"The best process would be to liquidate this account, since the self directed account would require a new account to be opened by our team on the east coast. Their number for your future reference is 866-586-xxxx."
That's the high-end advice we pay the big commissions for! The reality is the $5k in LT cap gain we will realize on this under-performing dog if we liquidate, is not gonna make me rethink our position to move away from their managed side. But I find it shameful that this is the type of advice they give to their clients. "Just liquidate and handle it yourself."

BTW - We keep most of our $100k assets in our stateside account and when we need money here, we do a global transfer and transfer money to our local HSBC account but we have it deposit to the $USD (dollar account) we have set up here. There isn't a fee to transfer money FROM our USA HSBC account TO our UAE HSBC (usd$) account. And only a small conversion fee when we move it out of that account into our local AED current account for use local. All of our cash withdrawals is done using our Schwab Visa. They don't charge us any fees and give us all our ATM fees back each month. Anything else we use Chase Reserve card, and they don't charge us any foreign transaction fees.

Thank you to whomever mentioned the Advanced account option for HSBC. I am going to look deeper into it because having to pay more for the "premier status" isn't of interest to me. We don't have any other options outside of maybe 3 Citibank offices I think here that will allow us to deal with local banking requirements. But when we retire in 2. 5 years, HSBC its gone!
I think your experience more or less is identical to ours (though locations are different), they have extremely poor customer service and their investment options have extremely high fees. I have switched us to the Advance account, have left $5k there and am doing a $25 direct deposit each month to avoid fees. Haven't cancelled everything outright, since we have our account setup in Europe now and that was a hassle as well, so not going to rock the boat. Maintaining the account in Europe for rental property deposits and expenses that need to be paid by check. Good luck, the Advance process was actually simple, didn't even bother with our dedicated adviser (who never took time to even to reply to emails/phone calls) - just called the toll free number, was done by the next business day.

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NotYourAverageJones
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Re: Best way to invest $100k for HSBC premier account?

Post by NotYourAverageJones » Tue Feb 05, 2019 11:06 am

Thanks for info on Advanced. We are just done with them! My DH wanted a banking option for when or if we buy a vacation home overseas, someplace other than here...😁 But the way that they have handled even the basic of accounts, I can't imagine the stress of working with them on a bigger transaction. We will stick with Schwab, since they already handle a lot of our other assets and Trust as well. God luck to you! :happy

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