Wealth Management - How to Invest €6M - Where to Get Advice

Marc said:
ETFs which are subject to general tax principles in which case your income would be tax free and your gains subject to capital gains tax at 33%
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What are these ETF'S you speak of?
Do you have some examples please?
 
Clubman,

I have never heard anyone say dca is a bad move for a lay investor. By DCA, you are keeping your investing strategy consistent. You will buy some of a stock when it is cheap and when it is expensive so hopefully over time, it will limit the perceived risk of buying an item. If you lump sum into a single stock and it was at the bottom, great, good job, you maximised your return but no one truly knows the absolute bottom and there is no point trying to time the market.If you lump sum in when it peaked, well you just lost a fortune so thats why i prefer the dca strategy.. Similar to eating health, working out, and doing everything else in your life, do it in moderation and keep everything stable and consistent.

From a documentation POV. Since i stay away from ETF, how will you document all your purchases and keep on top of the documentation if you are DCA in every month. To me that seems like a headache to keep track of.

Please tell me how dca is pointless and detrimental.
 
fonduster said:
Please tell me how dca is pointless and detrimental.
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Dollar cost averaging - Wikipedia

en.wikipedia.org

The Pros and Cons of Dollar-Cost Averaging

When thinking about investing, one consideration is whether to invest funds all at once or over a period of time. If you choose the latter route, you might be opting for an investment strategy called dollar-cost averaging, in which you invest your money in equal portions, at regular intervals...
www.finra.org

Here's why lump-sum investing is a better option than dollar-cost averaging

If you're debating between investing a large sum immediately or at set intervals, be aware that one strategy tends to outperform the other.
www.cnbc.com
 
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Always Learning said:
Okay, I've read that link you posted which pretty much sums it up. It's up to the individual, you could chance your arm on it and probably be fine... but you might not be!
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From the start of this year, the default position will be to treat a US-domiciled ETF as being subject to offshore tax treatment (with income and gains realised on disposals being taxed at 41%, with no offset for losses incurred on the disposal of any other investments).

If it can shown that a particular US ETF does not have a comparable legal structure to an Irish-domiciled fund and is generally not subject to comparable regulatory oversight (which will be difficult to demonstrate IMO), then it can be treated as being outside the offshore fund regime. However, the onus will be on the taxpayer to demonstrate why the US ETF should be subject to the mainstream income tax/CGT regime.

Even if you can find a tax adviser that will give you a positive opinion that a particular US ETF falls outside the offshore tax regime, there is no assurance that Revenue (or the Courts) will agree with that opinion.

Also, shares in a US-domiciled ETF fall within the scope of US estate tax, regardless of your residence for tax purposes.

Finally, US ETFs cannot be marketed to retail investors in Ireland without a specific regulatory document (which to my knowledge no US ETFs produce). That effectively means that you would have to engage a discretionary investment manager to acquire US-domiciled ETFs and that obviously comes at a cost.
 
I didn't realize the wealth managers Gordon listed would be active investors. I misunderstood. I thought they would be independent and advising people on on going passive.
 
To quote Woody Allen “ a stockbroker is someone who invests other peoples money until it’s all gone”
 
ClubMan said:
Surely a stockbroker just does what an investor tells them to do?
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You are thinking of an execution only stockbroking service which is not the same as a discretionary portfolio service provided by a traditional stockbroking firm exactly like the ones listed earlier by someone who then subsequently goes on to claim that nobody mentioned Stockbroking firms exactly like the ones that they themselves listed.

In practice many wealth managers have 3 or 5 model portfolios which they put their clients into and then manage on a discretionary basis. This point may have been made already.

These are generally selected on the basis of a risk assessment (low medium high) and then the client is given the investments that are in that model.

If a clients circumstances are even slightly unusual then the manager has to decide if the portfolio is unsuitable or inappropriate.

We spoke to a U.K. manager who was “managing” a portfolio for a client who had moved to Ireland and asked if any changes needed to be made to the portfolio.

No, they said we are the experts sort of reply.

To which I pointed out that Ireland uses the Euro.

Oh yes well we think that Sterling is going to go up so blather blather answer

I said but you have low risk bond funds hedged to Sterling and the client is in Ireland - surely a Euro hedge is more appropriate.

Ah, yes well you see, we only have Sterling models they finally admitted.

Wealth manager was then replaced with one more suitable
 
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UK based providers can’t service clients in this country anymore because of Brexit.

Plus nobody mentioned giving the money to a stockbroker. That’s a different service, so the Woody Allen quote isn’t really relevant.
 
Hi Always Learning,

What did you do in the end?

Regards,

G
 
Hi Always Learning,

I'm in a similar position to yourself, so wondering what approach did you take, what advisors did you use?

Many thanks!
 
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