Technically, the rule is that US mutual funds can only be sold to US residents. ETFs are fine. However, there is an EU rule that funds sold to retail investors need certain disclosures that US ETFs don't provide. So they become off limit as well.
I have never heard of this rule that you can't be buying MFs or ETFs if you live abroad, even if you're US citizen.
The good news is that you will always have access to US treasuries and stocks. ETFs will be unavailable if you are in Europe. I did have access to SWVXX when overseas using Schwab International but that was only in an IRA and it wasn't available in taxable brokerage. I don't know why.Most of what I buy and trade are ETFs and stocks as well as US Treasuries. I believe Schwab's money market account, SWVXX, which I have a sizable position in, might be classified as a mutual fund.
Yes and yes.Am I getting away with this because I am keeping my US address? Will I lose my privilege if I provide a foreign address to my brokerages?
Nobody can say really. As far as I know, firms usually don't check the IP address you log in from. A VPN showing you logging in from the US probably wouldn't hurt, but I wouldn't do so with a free product. As for whether the cost is justified ... it's difficult to say. Sometimes VPNs have really good promotions. One of those may be worth it.I also keep a US phone number solely for my brokers via Mint Mobile by paying $200 per year. So for example, if I wanna receive text authorization, I can tap into Mint Mobile. But they can easily tell I'm abroad as I am not using VPN and logging in from abroad. Do you think this will come to an end at some point or am I safe as long as I keep my US address and phone number?
Statistics: Posted by typical.investor — Wed Nov 06, 2024 4:32 am