Investing pounds - don't live in UK

For residents of Spain.
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marquitos
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Joined: Mon Mar 02, 2015 11:17 am

Investing pounds - don't live in UK

Post by marquitos »

Hello,

I am a Spanish citizen who lived in London last year. I have £15k in an english bank account that I'd like to put into a low fee passive investment, such as Fidelity. I am not an UK citizen nor do I currently live in UK. Can I still invest in Vanguard UK, Fidelity, etc?

Regards.
Valuethinker
Posts: 48944
Joined: Fri May 11, 2007 11:07 am

Re: Investing pounds - don't live in UK

Post by Valuethinker »

Probably what you want is an online broker then buy ETFs listed on Dublin -- that should cover the basic EU financial services issues.

However tax is another matter.

I suspect without a UK address a UK financial services co won't want to do business with you. However ETFs are generally a lower cost way of investing in the UK, anyways.
scone
Posts: 1457
Joined: Wed Jul 11, 2012 4:46 pm

Re: Investing pounds - don't live in UK

Post by scone »

Can you buy UK government bonds?
"My bond allocation is the amount of money that I cannot afford to lose." -- Taylor Larimore
Tamahome
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Joined: Wed Feb 27, 2013 12:03 pm
Location: Atlanta, GA

Re: Investing pounds - don't live in UK

Post by Tamahome »

Valuethinker (or anyone who can answer) -
Eventually, my plan was to get ETFs listed in Dublin (and some others that are in foreign currencies) simply for diversification. (And with the hope of travelling the world after retirement without having as much currency risk). It would not be a large amount. You mentioned taxes. Is this something that would be overly complex tax-wise. Do I have to worry about taxes other than US taxes (something I had not considered because I did not think it would apply)? Because I was thinking a small amount (for above-referenced travel mainly), I could drop the idea. If it is just a US tax issue, I have a really good CPA, but I would not want to add thousands of dollars to my tax bill to track what would amount to a few tens of thousands. Thanks in advance!
I'm not a financial professional. Post is info only & not legal advice. No attorney-client relationship exists with reader. Scrutinize my ideas as if you spoke with a guy at a bar. I may be wrong.
Valuethinker
Posts: 48944
Joined: Fri May 11, 2007 11:07 am

Re: Investing pounds - don't live in UK

Post by Valuethinker »

Re taxes. Taxes where you are resident - Spain? Every EU country has different rules.

It is one reason non Americans avoid US listed funds and ETFs. HMRC in the UK will make your life very difficult.
TedSwippet
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Joined: Mon Jun 04, 2007 4:19 pm
Location: UK

Re: Investing pounds - don't live in UK

Post by TedSwippet »

Dulocracy wrote:Eventually, my plan was to get ETFs listed in Dublin (and some others that are in foreign currencies) simply for diversification. (And with the hope of travelling the world after retirement without having as much currency risk). It would not be a large amount. You mentioned taxes. Is this something that would be overly complex tax-wise?
Your profile indicates you are in Atlanta. If you are a US resident or US citizen then holding ETFs domiciled in Ireland -- or for that matter anywhere except the US -- carries incredible tax pain.
Tamahome
Posts: 2325
Joined: Wed Feb 27, 2013 12:03 pm
Location: Atlanta, GA

Re: Investing pounds - don't live in UK

Post by Tamahome »

TedSwippet wrote:
Dulocracy wrote:Eventually, my plan was to get ETFs listed in Dublin (and some others that are in foreign currencies) simply for diversification. (And with the hope of travelling the world after retirement without having as much currency risk). It would not be a large amount. You mentioned taxes. Is this something that would be overly complex tax-wise?
Your profile indicates you are in Atlanta. If you are a US resident or US citizen then holding ETFs domiciled in Ireland -- or for that matter anywhere except the US -- carries incredible tax pain.
Maybe I will just deal with the currency risk on the small amounts I would be putting aside. Thanks for the link!
I'm not a financial professional. Post is info only & not legal advice. No attorney-client relationship exists with reader. Scrutinize my ideas as if you spoke with a guy at a bar. I may be wrong.
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