facebookLooking to DCA $300/month into VT. Should I consider Irish-domiciled ETFs instead? - Seedly

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Anonymous

08 Oct 2021

βˆ™

General Investing

Looking to DCA $300/month into VT. Should I consider Irish-domiciled ETFs instead?

I understand there are withholding tax advantages with investing into Irish-domiciled ETFs compared to US ones. However, the brokers which allow investing to LSE are limited and they usually do not have an automated DCA option. As such, should I just go ahead with VT or are there any compelling reasons to consider an equivalent Irish-domiciled ETF?

Discussion (3)

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^ to whatever CTKS mentioned. You can consider VWRA/IWDA as alternatives to VT.

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Then again, it really is up to you. If it's too much of a hassle/you dont think you can have the consistency to do it manually every month, then just go ahead with VT. What matters is that you get started and stay invested.

Personally, there are 3 reasons i think one should choose irish domiciled etfs over us ones in the long term:
1) lower withholding taxes (15% vs 30%)
2) no estate taxes
3) accumulating options

These 3 benefits helps to maximise returns in the long run.
I wrote an opinion piece on seedly about irish domiciled etfs (benefits, brokers and etf comparisons). check it out in my profile, hope this helps!

Tan Choong Hwee

09 Oct 2021

Investor/Trader at Home

Another reason for Irish-domiciled ETFs is US-domiciled ETFs has 40% estate duty on excess over $60k...

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