Tsumitate Wrestler wrote: ↑Mon Feb 17, 2025 12:13 am
What are your nationalities?
Do you have brokerage accounts in your home countries?
General advice for 5 years is:
1.Skip ideco
2. Strongly consider NISA (non-Americans)
3. Consider a strategy you can replicate back in your home country.
4. Have a home country brokerage setup as well.
5. I would say 100% diversified global equities is fine at 20.
Thanks for the tips. I am from Australia, but I have no brokerage account, just a generic savings one with extremely low interest rates. I am looking to change this however.
For NISA, is it as easy as just opening an account with my current bank (in this case, Resona), or is there a better way that I should be aware of?
If you are Australian you might want to consider MONEX as they have a branch in Japan and Australia.
Generally Rakuten/SBI/Monex are the recommended brokers. Do not use a bank, they have a poor selection of funds.
Karune wrote: ↑Mon Feb 17, 2025 11:58 am
For NISA, is it as easy as just opening an account with my current bank (in this case, Resona), or is there a better way that I should be aware of?
Going with Monex or SBI or Rakuten means you'll most likely always have access to the most competitive funds.
However, most banks these days have a decent option. For Resona, it's their Smart-i Select 全世界株式インデックス which is not a bad choice either if you want to keep everything at one institution, and it's better than not opening a NISA due to analysis paralysis. But I would still prefer major online broker, as the others said above, to make sure you have access to the best options in the industry, not whatever your bank decided their customers would buy.
Karune wrote: ↑Mon Feb 17, 2025 11:58 am
For NISA, is it as easy as just opening an account with my current bank (in this case, Resona), or is there a better way that I should be aware of?
Going with Monex or SBI or Rakuten means you'll most likely always have access to the most competitive funds.
If I open an account with those brokers, will they allow me to keep the account once I move back to Australia in the future? Would like something portable if possible to make things simpler in the future
Karune wrote: ↑Mon Feb 17, 2025 11:58 am
For NISA, is it as easy as just opening an account with my current bank (in this case, Resona), or is there a better way that I should be aware of?
Going with Monex or SBI or Rakuten means you'll most likely always have access to the most competitive funds.
If I open an account with those brokers, will they allow me to keep the account once I move back to Australia in the future? Would like something portable if possible to make things simpler in the future
No, if you move back permanently you'll have the sell the NISA whichever provider you choose, including your bank.
Sorry I went AWOL for a bit. Things got busy and I need to also do my own research.
Since everyone is more experienced than me on this, I wanted to get everyone's opinions on this:
1. Based on what Tsumitate Wrestler posted and my research, opening a NISA account through MONEX would be best (since I am an Australian). My Japanese is ok, but I will have to rely on UI translation to brute force my way through it
2. I was thinking of also opening an IBKR account to invest in things not offered by NISA, but I would have to file my own taxes and deal with that headache, so I am feeling less inclined to take it, though it does offer portability to Australia I believe
3. I have also been talking to a wealth manager from Argentum (I know, I know, but here me out) and they recommended opening an Investors Trust fund (product is called IT-Evolution) that last for about 20-25 years. This is not only portable to Australia, but also is tax free there. Downsides are that the fees are really expensive in the beginning (around 1.9% for the first 10 years) but then drop off after that (to 0.35%), plus there is a 0.8% management fee after the first 2 years. Reason I am considering it is because I realised I don't have a lot of time or the skills to manage this stuff on my own and I honestly don't mind paying someone with much more expertise and experience to help me out with that (now making sure they are good is another thing entirely).
4. Open a broker account in Australia and build a portfolio there (which is its own thing for another forum I guess).
1. Sounds good.
2. Probably not worth it.
3. Just read the horror stories in the other threads. 1.9% is an astronomical fee to pay and it could amount to millions of yen in fees over 10 years.
4. Probably not worth it while you're a tax resident in Japan, but it's probably better than 3 - I suspect you might have trouble opening an account as a non-resident, though.
If you move to Australia, generally what you will do is convert your NISA to cash (and get the gains tax free), move it to Australia, and re-invest in something similar there.
Karune wrote: ↑Thu Apr 03, 2025 1:59 pm
3. Reason I am considering it is because I realised I don't have a lot of time or the skills to manage this stuff on my own and I honestly don't mind paying someone with much more expertise and experience to help me out with that (now making sure they are good is another thing entirely).
I am not sure if this is a serious comment or not.
If it is, you need some 'tough love' advice.
'This stuff' is your financial future. Put on your big girl /big boy pants and take some responsibility for improving your own future.
It is important.
Aiming to retire at 60 and live for a while longer. 95% index funds (eMaxis Slim etc), 5% Japanese dividend stocks.
beanhead wrote: ↑Thu Apr 03, 2025 3:57 pm
3. Do some more reading before deciding to do this.
It sounds like it may be an ILAS. Not 100% sure, but it smells like it.
Some links:
Yeah, I slept on it last night and decided to not do it. Even though its daunting with all the jargon, etc., would rather make the mistakes on my own and learn from them when doing this rather going down that path.
I think I will just setup the NISA and the Aussie account (I still have a registered address there, so that is no problem) as first steps and then build upon that foundation
Karune wrote: ↑Thu Apr 03, 2025 1:59 pm
3. Reason I am considering it is because I realised I don't have a lot of time or the skills to manage this stuff on my own and I honestly don't mind paying someone with much more expertise and experience to help me out with that (now making sure they are good is another thing entirely).
I am not sure if this is a serious comment or not.
If it is, you need some 'tough love' advice.
'This stuff' is your financial future. Put on your big girl /big boy pants and take some responsibility for improving your own future.
It is important.
Yeah I dont know what I was thinking when I posted that (probably just exhausted after work). Decided to not go through with it and want to actually work on this going forward
