Investing in foreign ETF

A reader asked me in email how I invest in ETFs that are not listed in Singapore Exchange. I replied that currently for Vanguard Total Stock Market ETF (VTI) that is listed in the US, I use optionsXpress Singapore; for iShares DJ STOXX 50 ETF (EUN) that is listed in London Stock Exchange, I use POEMS. However, this may change as I am considering other low cost brokers to consolidate my ETF holdings. I will write on this if there is any update.

In my reply to the reader, I also included sgfunds.com topic “Seek Help in Investing in Foreign ETFs“, which has some information on foreign ETF trading, tax and charges.

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6 responses to “Investing in foreign ETF

  1. Nice writing. You are on my RSS reader now so I can read more from you down the road.

    Allen Taylor

  2. I refer to your portfolio frequently as a guide now that I’m doing up my own.

    For the Europe portion, you choose to buy iShares DJ STOXX 50 ETF, instead of investing in Infinity Eur fund or the Vanguard Europe ETF (VGX), which I thought might be the more conventional approaches for sg investors.

    May I know your rational, since investing on LSE adds to time cost of managing funds? I read somewhere on sgfunds the Vanguard Eur ETF is subject to double taxation in the US, but I can’t find more comments on that in the forum.

    I might have missed something in your postings that explain that, my apologies if I did. Many thanks for your help.

  3. Hi kite,

    About the reason I use iShares DJ STOXX 50 ETF and the double taxation of Vanguard Eur ETF, it has been discussed in this post in sgfunds. You might want to read the whole thread for more info. Cheers.

  4. One thing about EUN is that it tracks the top 50 stocks by capitalization in Europe; it is less diversified than MSCI Euopre index.

    iShares MSCI Europe was listed in LSE last year but it is too young to tell its tracking error and its asset size is still small.

    I still use EUN given the limited choices.

  5. Thanks for your patience and the very useful link.

    I’ve decided to use Infinity Eur Fund for the convenience. Thanks.

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