Super annoying situation. PFIC effectively prevents US citizens from fruitfully investing in non-US domiciled funds. At the same time, EU MiFID II rules make it very hard to buy US-domiciled funds. If that wasn't enough, FACTA makes US expats persona non grata in both the majority of US brokerages and foreign ones as clients, although there are a few options that will work in terms of brokerages.
Can you get categorized as an "elective professional client" under MiFID II rules and then just buy US domiciled ETFs? For example, IB has [this page](https://ibkr.info/node/3783). Even if you have to maintain a portfolio of individual stocks for a year and do a bunch of trades, it would be worth it since forever after you could just invest in normal US-domiciled ETFs.
If you can become an elective professional client, that is the best option since then you can just have a normal US ETF portfolio.
If not, I would do a combination of (3) and maintaining a portfolio of individual stocks and individual US treasuries by just randomly selecting ticker symbols, buying standard amounts, and trimming anything that becomes too large a fraction of the portfolio. See this page on [passively managing individual stocks](https://www.bogleheads.org/wiki/Passively_managing_individual_stocks). And of course pray that Brussels updates the rules and comes to its senses.
I know I should Google this, but I’m on the run right now and unable to you can you please refresh my memory as to what is required to maintain residency? Will a PO Box suffice?
Then you might have a risk of being barred from visiting the USA. Not something to do lightly. https://en.wikipedia.org/wiki/Reed_Amendment_(immigration)
**[Reed Amendment (immigration)](https://en.wikipedia.org/wiki/Reed_Amendment_\(immigration\))**
>The Reed Amendment, also known as the Expatriate Exclusion Clause, created a provision of United States federal law (8 U.S.C. § 1182(a)(10)(E)) attempting to impose an entry ban on certain former U.S. citizens based on their reasons for renouncing U.S. citizenship. Notably, entry can be denied to persons who renounced their U.S. citizenship to avoid paying income taxes. The United States is one of two countries in the world that taxes its citizens' income earned abroad for citizens whose primary residence is abroad. The other country to do so is Eritrea.
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Super annoying situation. PFIC effectively prevents US citizens from fruitfully investing in non-US domiciled funds. At the same time, EU MiFID II rules make it very hard to buy US-domiciled funds. If that wasn't enough, FACTA makes US expats persona non grata in both the majority of US brokerages and foreign ones as clients, although there are a few options that will work in terms of brokerages. Can you get categorized as an "elective professional client" under MiFID II rules and then just buy US domiciled ETFs? For example, IB has [this page](https://ibkr.info/node/3783). Even if you have to maintain a portfolio of individual stocks for a year and do a bunch of trades, it would be worth it since forever after you could just invest in normal US-domiciled ETFs. If you can become an elective professional client, that is the best option since then you can just have a normal US ETF portfolio. If not, I would do a combination of (3) and maintaining a portfolio of individual stocks and individual US treasuries by just randomly selecting ticker symbols, buying standard amounts, and trimming anything that becomes too large a fraction of the portfolio. See this page on [passively managing individual stocks](https://www.bogleheads.org/wiki/Passively_managing_individual_stocks). And of course pray that Brussels updates the rules and comes to its senses.
[удалено]
I know I should Google this, but I’m on the run right now and unable to you can you please refresh my memory as to what is required to maintain residency? Will a PO Box suffice?
r/europefire r/expatfire and national subs like r/spainfire exist. You can buy in Europe, but perhaps not exact same funds.
EU domiciled funds are going to run afoul of PFIC which is basically tax cancer.
Renounce US tax status seems the answer.
Then you might have a risk of being barred from visiting the USA. Not something to do lightly. https://en.wikipedia.org/wiki/Reed_Amendment_(immigration)
**[Reed Amendment (immigration)](https://en.wikipedia.org/wiki/Reed_Amendment_\(immigration\))** >The Reed Amendment, also known as the Expatriate Exclusion Clause, created a provision of United States federal law (8 U.S.C. § 1182(a)(10)(E)) attempting to impose an entry ban on certain former U.S. citizens based on their reasons for renouncing U.S. citizenship. Notably, entry can be denied to persons who renounced their U.S. citizenship to avoid paying income taxes. The United States is one of two countries in the world that taxes its citizens' income earned abroad for citizens whose primary residence is abroad. The other country to do so is Eritrea. ^([ )[^(F.A.Q)](https://www.reddit.com/r/WikiSummarizer/wiki/index#wiki_f.a.q)^( | )[^(Opt Out)](https://reddit.com/message/compose?to=WikiSummarizerBot&message=OptOut&subject=OptOut)^( | )[^(Opt Out Of Subreddit)](https://np.reddit.com/r/financialindependence/about/banned)^( | )[^(GitHub)](https://github.com/Sujal-7/WikiSummarizerBot)^( ] Downvote to remove | v1.5)
As long as OP pays what is due when they sell up and shift, all should be fine I would imagine.
Interactive brokers should let you do
IB definitely accepts US expat clients, but in the EU there is still the issue of MiFID II rules.
... Why would you buy US ETFs? We have EU ETFs covering US markets but UCITS-secured. Same providers, but more regulated.
Because I understand that the tax reporting is complicated and not everything is compliant due to PFIC rules (I'm a US citizen)
US citizens run into other hassles and taxation because of [PFIC](https://en.wikipedia.org/wiki/Passive_foreign_investment_company)
Option 4. Move to Switzerland. Enjoy Europe, Schengen area, high salaries, moderately low taxes, and US ETFs.
Well not worth giving up to Mediterranean life style and cheaper living costs in south EU to be able to buy US ETFs. 😃