I have a question about currency denomination and ETFs: domicile, stocks…
Context:
Assuming that that is the case, I guess that the UK based ETF would be a more efficient vehicle in terms of currency exchange fees?
In the IE based ETF, I would assume the ETF product will charge the customer the EUR->USD conversion fees to buy the 60% USD stock?
Cheers
Context:
- I have USD savings in the bank
- I want to invest them in an all-world ETF, which is is approx. 60% US/USD stock
- I have 2 options to buy the ETF In Interactive Brokers
- UK based ETF, which is denominated in USD, so i can invest directly in USD
- IE based ETF, which is denominated in EUR, so I will have to convert the USD to EUR before buying the ETF
- 10 year horizon with the investment. At that stage, as Irish resident, I will need the money in EUR
Assuming that that is the case, I guess that the UK based ETF would be a more efficient vehicle in terms of currency exchange fees?
In the IE based ETF, I would assume the ETF product will charge the customer the EUR->USD conversion fees to buy the 60% USD stock?
Cheers