Does it make sense to invest in index funds like Vanguard with the 30% tax and Dividend handling charges?

Equity ETFs (like SPY, QQQ) or Index Funds are typically suitable for a Growth goal and the dividends are relatively small, hence the withholding tax impact should be tiny. A lot of investors do prefer UCITS ETFs, especially when going into Bond ETFs. Feel free to reach out to our advisory desk for more info. Given US-domiciled ETF investments via kristal.AI are free, it may be worthwhile for you to consider us and test us out. Happy to hear more feedback.

Learn more from us here: http://bit.ly/36ci0yF

Hi anon, are you referring to the VOO ETF?

The dividend yield on that is around 1.9% and relatively low, so I would not really think that the 30% hit on your dividend will make too much of an impact. If you were to invest in it, it would be largely for the capital gains. So consider your purpose of investing in it, if you wanted dividends, there are other asset classes/markets which may suit you better.