Jump to content
Sign in to follow this  
spooks

Why Talk Money?

Recommended Posts

spooks

I suppose as I asked for it , I best stand up and post!!

 

I spent many years in Financial services before retiring at 42. I never looked back until recent events motivated me to take another look.

 

Motivation has changed I planned on being a lifelong bachelor and Financial planning was geared to that reality.  Now I am married with two young children, unemployable due to age and now health.  So I have now to go back to the future and do what I did once, now long ago and my oh my have things changed.!!

 

Dealing screens back then were something a Stockbroker looked at on the floor of the stock exchange whilst wandering around screaming at each other with heaps of paper dripping off each other. Different coloured jackets denoting the role in mayhem that each played.

 

Now I have a pc with a dealing screen software implant and tuition tools that run through so fast I am not sure if I ever began the tutorial!!

 

My domicile is UK but I am a non resident for tax purposes covering income tax and Capital gains tax arising outside of the UK.  I see no advantages to altering this arrangement.

 

Since money laundering requirements internationally have tightened up, relevant treaties to back it up and that tax havens for evasion purposes as opposed to avoidance have diminished it has been very hard to get back in the saddle.

 

UK based On line services  have proliferated but with key stipulations that all joiners MUST be UK resident, use of proxy addresses is not allowed.  Offshore facilities are available but they have very significant country restrictions, example on Thailand is an accepted country of residence in whole of SE Asia at this time for HSBC.

 

So who do you use and why?  

 

 

Share this post


Link to post
Share on other sites
Denis

hi spooks...

 

Cannot help you with trading software but if you are looking for some charting software I suggest you have a look at a program by an Australian, Simon Haynes, who created a program called FCharts...  go to http://www.spacejock.com/

 

He is a very approachable bloke with an extensive installed database since 2001.

 

if he still runs the associated forum you will be in touch with traders from all over the world.

 

Good luck and if nothing else you can always write an ebook telling how you retired at 42.

Share this post


Link to post
Share on other sites
spooks

Retire at 42 nothing to write about just worked very hard.

 

Thank you for the information on charts

 

 

In fairness getting charts on stocks is very much starightforward, it is knowing what to do with them that is key

 

 

I am on line through

 

www.Interactivebrokers.com(IB)

 

This is default as no other broking house would accept me...That simple. I think that IB are registered all over and I am part of their HK niminee accounts.  Dealing charges have been reasonable at 5GBP per transaction plus dealing tax which in other jurisdictions maybe known as Stamp Duty.

 

They are geared up from small investors to full on dealing houe requirements and for the smaller investment the set up can look very very intimidating.

 

Take your time and use their tutorials. I use the 'quick trade deailng desk top software as opposed to the full monty. Once I start going out of base currency I will have to get to grips with the real Traders desktop as currecny dealing wil be a given.

 

 

Others will have different arrangements that work for them and it be good to get their contributions

Edited by spooks

Share this post


Link to post
Share on other sites
Chris24

Hello Spooks, I enjoy your posts and your business history, at least what you've posted about it. 

 

I don't know about the U.K. as I am from the U.S.  I make a couple of trades per month, and have entered/executed trades using my U.S. brokerage account while visiting the Philippines logging in with a Philippine IP address, with no issues.  I would imagine that with a U.K. brokerage account, you ought to be able to do anything from the P.I. that you can do from the U.K., the only issue being perhaps having a U.K. mailing address.

 

A couple of years ago I read up on the logistics of opening a P.I. brokerage account with BPI or BDO, but concluded that it did not make sense due to lack of access to international markets.  The number of stocks and bonds traded on the Philippine stock exchange is like stepping back over a century in the U.S., and probably stepping back longer than that in the U.K.   And, much as I like the country, I really do not trust the companies there to really filter through any profits to shareholders, at least not a centavo more than they think is necessary to incent (fleece) the next batch of investors when they issue more stock.  We have plenty of problems with that here in the U.S., even with our supposedly highly regulated markets.

 

I use one of the major online brokerage firms here in the U.S.  After my move to the P.I. some years from now, I intend to still use the same brokerage house.  As a U.S. citizen my trading income would normally be subject to U.S. income tax, BUT I have been trading mostly within a Roth account which is tax-free, thus eliminating any motivation to try any tax avoidance shenanigans by moving my account overseas.

 

I am surprised that you're encountering a "U.K. resident" requirement as opposed to the brokerage house just needing you to show U.K. citizenship with a U.K. mailing address.

Share this post


Link to post
Share on other sites
Monsoon

I have an account at IB. Strike that, my wife has an account at IB (you can probably guess why), I just know the password. I have also been trading the PSE for about 3 years now. Also have accounts at TD Price/Ameritrade. Nice think about IB is the shorting side - Ameritrade is worthless for anything other than buying ETFs without commission. 

Share this post


Link to post
Share on other sites
spooks

Hello Spooks, I enjoy your posts and your business history, at least what you've posted about it. 

 

I don't know about the U.K. as I am from the U.S.  I make a couple of trades per month, and have entered/executed trades using my U.S. brokerage account while visiting the Philippines logging in with a Philippine IP address, with no issues.  I would imagine that with a U.K. brokerage account, you ought to be able to do anything from the P.I. that you can do from the U.K., the only issue being perhaps having a U.K. mailing address.

 

A couple of years ago I read up on the logistics of opening a P.I. brokerage account with BPI or BDO, but concluded that it did not make sense due to lack of access to international markets.  The number of stocks and bonds traded on the Philippine stock exchange is like stepping back over a century in the U.S., and probably stepping back longer than that in the U.K.   And, much as I like the country, I really do not trust the companies there to really filter through any profits to shareholders, at least not a centavo more than they think is necessary to incent (fleece) the next batch of investors when they issue more stock.  We have plenty of problems with that here in the U.S., even with our supposedly highly regulated markets.

 

I use one of the major online brokerage firms here in the U.S.  After my move to the P.I. some years from now, I intend to still use the same brokerage house.  As a U.S. citizen my trading income would normally be subject to U.S. income tax, BUT I have been trading mostly within a Roth account which is tax-free, thus eliminating any motivation to try any tax avoidance shenanigans by moving my account overseas.

 

I am surprised that you're encountering a "U.K. resident" requirement as opposed to the brokerage house just needing you to show U.K. citizenship with a U.K. mailing address.

Holding a UK mailimg address is not what is required I am required to provide evidence of residence in the Uk for the last 3 years. I mover away from the Uk many years ago so i have no ability to do that even though my other UK based investments use my Uk bank as a mail destination and I liase with them.

 

For those who plan to emmigrate from the Uk I would strongly advise that you open your dealing account before you leave as you can then use that anywhere.

 

I agree the Philippines on line system is way too restricted which is another reason why I would not use it. Plus it would in the event of death be treated as a Philippines asset for Inheritance Tax purposes and taxed accordingly. The tax is not too bad but the process to get settlement is a very expensive long drawn out nightmare, by the end of which, any assets may have been severly denuded due to expenses.   

Share this post


Link to post
Share on other sites
spooks

Chris24,

 

I just run foul of the USA regulations.

 

I just got a message adving that one of my Uk stocks bought in pounds on the LSE now needs to have its margins raised to 100% to cover loans?

 

I was sy urprised not to mention annoyed by this as even if the IB is US based you would think that they would allow non Us citizens to invest in their own exchnages without having to abide ny USA requirements for the NYE. Should the LSE requirement have had this then I would have understood it.

 

So my punt i on a small cap stock is now gone as I will not hold cash when I wish to invest!!  The whole purpose of opening a broking account is to inves, not  borrow.  I will not invest anything unless cash is available.

 

So Bye bye sell sell dear Laura you were a nice girl , sad to see you go so cheaply!!

 

So, sold Laura Ashley soft fabrics and home furnishings.  Just hope they do not blame me for being under capitalized!!

Share this post


Link to post
Share on other sites
spooks

I hold a not insignificant amount of stock in one of the Bigger banks.

 

I would like to consider transferring them into the IB account but have decided not to do so as IB will not accept Scrip(Dividend Reinvestment).

 

I will therefore leave this one out of 'on line 'dealing as I like the qtly div roll up.

 

This will be a key consideration for some 

Share this post


Link to post
Share on other sites
spooks

Last one from me until someone else jumps in or my echo will deafen me.

 

Oe of forum members, I regret I cannot remember who, was having issues with transferring existing stock into his IB account.  
if anyone else experience such problems it would be very helpful if they could share their expereince and solutions as I am sure there will be those who would benefit....me for one just in case I change my mind with my existing stock holdings.

Share this post


Link to post
Share on other sites
Chris24

Spooks, I'd like to offer ideas, but I have no experience with U.K. accounts or tax laws.  If it were the U.S., the larger brokers do allow direct transfer of securities (thus avoiding a sale with the tax implication thereof, I assume that's what you're tryng to do).

 

IB's web site seems to indicate that you can initiate a direct transfer of securities through IB, upon your instruction they will contact your bank and arrange the transfer.  IB does have a U.K. office so hopefully this means that are set up for this to be a local transfer within the U.K.

 

Here is a link:

 

https://www.interactivebrokers.com/en/index.php?f=funding&p=transfer

 

 

Edit:  I think you may be in luck, should you change your mind and decide to move more into IB.

 

"European stock warrants, options, and futures may be transferred to IB
on a manual basis for Belgium, France, Germany, Italy, the Netherlands,
Spain, Switzerland, and the UK. For details and instructions on European
transfers click here. "

Edited by Chris24

Share this post


Link to post
Share on other sites
Chris24

Spooks, do you do any forex trading?  I have been wanting to learn for a while now, but much of the information available online amounts just to sales pitches for trading systems and software.  A while back I met TheMatrix just once over coffee, but it was right as he was packing up to move back to the U.S. and we did not stay in touch.

Share this post


Link to post
Share on other sites
spooks

Spooks, I'd like to offer ideas, but I have no experience with U.K. accounts or tax laws.  If it were the U.S., the larger brokers do allow direct transfer of securities (thus avoiding a sale with the tax implication thereof, I assume that's what you're tryng to do).

 

IB's web site seems to indicate that you can initiate a direct transfer of securities through IB, upon your instruction they will contact your bank and arrange the transfer.  IB does have a U.K. office so hopefully this means that are set up for this to be a local transfer within the U.K.

 

Here is a link:

 

https://www.interactivebrokers.com/en/index.php?f=funding&p=transfer

 

 

Edit:  I think you may be in luck, should you change your mind and decide to move more into IB.

 

"European stock warrants, options, and futures may be transferred to IB

on a manual basis for Belgium, France, Germany, Italy, the Netherlands,

Spain, Switzerland, and the UK. For details and instructions on European

transfers click here. "

Yes the guy in question used the IB help and guidance section but still felt it was not as helpful as it needed to be, Just wondering What his issue was or is?

 

I will not be transfering in as they will not accept Scrip, IB insist all dividends are cash.

Edited by spooks

Share this post


Link to post
Share on other sites
spooks

ty for those links.  I am sure they will be of help to anyone starting out fresh.

 

This is just the type of practical assistance that I believe may be needed.

Share this post


Link to post
Share on other sites
spooks

Most investment strategies tend to aim at 

 

Capital Growth

Income

both of the above in differing proportions

both of the above at least keeping pace with inflation.

 

Risk profiles broadly are

 

Secure

Cautious

Balanced

Adventurous

 

Combinations of the above and % weighting will affect profiles.

 

I always aim to keep sufficient liquid funds equivalent to one years costs and expenses. The rest is placed in LSE (london Stock exchange) based mainly on the FTSE100. My plans to invest into AIM and other Pound based stocks has just been affected by USA laws affecting trading margins in companies, maybe even markets, they do not understand!!

 

One other consideration for me is that I need to try to keep what I ever I do reasonably simple. In event of death or total incapacity. I am acutely aware that my spouse may (does not presently have) not have any inclination to learn about investments which are an alien concept as is saving for a rainy day!!

 

How easily would your family be able to take over and make sense of your arrangements in the event that you can no longer manage.?

 

I have pre prepared Government applications in event of death that just need to be signed and have death certificates lodged all other documents are in. Same for Company pension schemes who have different rulings about paying out widows and orphans benefits dependent upon a flurry of differing scenarios. In effect it will all comes down to the discretion of Scheme Trustees etc. 

 

On Line investment companies also have their rules and will take time to release funds to benficiaries. Some may leave existing stocks as is, others will liquidate the holdings.

 

How much simpler life was when I was a bachelor boy, no great consideratoins at all, now such considerations appear to be more complex than any investment arrangements. 

 

My over all aim is to build capital over the next 5 years so that in event of my death and my Pension schemes deciding not to pay out, including government schemes abandoning us etc. Investment income draw down will cover any other income shorfalls from denuded or closed down retirement schemes.

Edited by spooks
  • Like 1

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
Sign in to follow this  

  • Sailfish Bay Fishing Charters

×
×
  • Create New...

Important Information

By using this site, you agree to our Terms of Use, Privacy Policy and Guidelines. We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue..