Does this sound like you?
- I have monies invested offshore but I am out of touch with how this money is invested and would prefer a simple, low-cost ETF portfolio!
- I used to work in London, and whilst I am back in SA, I still have a rainy-day nest egg in pounds.. I’m not sure how this is doing? it may even be sitting in cash…
- I have always wanted to create a hard currency savings pot, both to diversify my affairs and should I ever plan to immigrate.
- I find the opportunities in Rand based products limited (even when referencing offshore markets) and would like to invest in the global leaders of ETFs including Vanguard, iShares, StateStreet and others.
Whilst ETFSA has been at the forefront of development of the local (JSE) ETF market, a lesser known, but significant part of our service relates to the hard currency ETF portfolios which we also run for clients. This has grown over the years and is now an important pillar of our service offering.
We enable clients to open an offshore securities trading account with secure custody (via CitiBank) and access to most global markets and across multiple currencies including Pound, Euro and Dollar.
An ETFSA advisor will advise you on the most suitable offshore portfolio from an opportunity set of thousands of globally listed ETFs. Some of our ‘go to’ providers include iShares and Vanguard. The portfolio will ultimately aim to match your goal – from long-term capital growth, through to other balanced exposures. Significantly, in this time of elevated market volatility, the investment opportunity set via global ETFs offers superior geographic diversification beyond, for instance, the concentrated and dominant US equity markets. Global listed ETFs also provide significant exposure to major global themes and sectors not often found in SA. These span across artificial intelligence and technology, biotechnology, but also more conservative sectors such as infrastructure and fixed income.
ETFSA will manage the portfolio on your behalf based on pre-agreed terms. We ensure good costing for brokerage, thorough reporting and simple handholding as you walk this somewhat different investment path. Whilst the cost of local ETFs continues to come down, investing in global ETFs is even cheaper with total expense ratios often well under 10 basis points.
The ability to move capital offshore has eased over time, with a straightforward limit of up to R1 million per year per person through a normal foreign exchange allowance and up to R10 million per year per person with SARS and offshore approval.
ETFSA advisors will also guide you on the tax and estate implications of holding monies offshore, which jurisdictions are best, and whether a policy wrapper may or may not be worthwhile.
Should you be interested and have at least 50,000 USD to invest let’s set up a no obligation consultation.
Contact our portfolios management team via email at: [email protected] Or via our website: https://etfsa.co.za/contact/