Following John Bogle advice, I would like to invest in S&P 500 regularly, about $1000 every month. Which platform should I use to buy Ireland-domiciled S&P 500 ETF? - Seedly
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JustJohn_JJ

Asked 2w ago

Following John Bogle advice, I would like to invest in S&P 500 regularly, about $1000 every month. Which platform should I use to buy Ireland-domiciled S&P 500 ETF?

Does the dividend from iShares Core S&P 500 UCITS ETF (Acc) be subject to withholdin tax?

I'm also unsure between mutual funds, robo-advisor and investing in stocks directly (my capital is low)

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Shaun WQ Lim
Level 7. Grand Master
Answered 2w ago

Any platform that allows access to the London Stock Exchange (LSE) can be used. Have to do your due diligence on the costs between the platforms.

Any stock dividends from US companies and paying to non-US persons are subject to withholding tax(usually 30%).

In the iShares Core S&P 500 UCITS ETF (Acc), the dividends are subjected to withholding tax of 15% rather than 30% due to the tax treaty between USA and Ireland.

But as it is a accumulating ETF, the dividends net of withholding tax is not paid out but reinvested back into the ETF automatically.

For SG, not a lot of robo-advisors offer Ireland-domiciled ETFs, last I checked. You may need to DIY.

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Shaun WQ Lim

2w ago

For the time period, it is more to optimise transaction costs. DCA is to invest consistently in fixed time period regardless of market conditions. If you buy every time there is a 10% dip, not really considered as DCA. In the short term, may be possible opportunistically but over the long term, if the index doesnā€™t fall 10%, you may miss out on the growth potential.
JustJohn_JJ

2w ago

This is so helpful šŸ‘thanks