Author Topic: Expat living in Mauritius, nobdoy wants me...  (Read 691 times)

IndianOcean-Expat

  • 5 O'Clock Shadow
  • *
  • Posts: 2
Expat living in Mauritius, nobdoy wants me...
« on: August 09, 2017, 02:23:43 AM »
I am eagerly following all the advice on this forum but it seems I can not apply any of the advice given as I am a European expat living in Mauritius. I can't get access to the Vanguard Total Stock Market fund, can't open a Charles Schwab One account to get access to the right funds (ie SCHB) and financial advisors want to sell me expensive managed funds.
Anyone else out there in a similar situation that managed to create a 'Vanguard like' portfolio that is easy to set-up for a newbe, cheap to maintain and is hands-free? the aim is -as for many others here- to create and contribute towards a portfolio that eventually allows me to live by the 4% rule.

Thank you for any suggestions anyone may have.

Feivel2000

  • Stubble
  • **
  • Posts: 168
  • Age: 33
  • Location: Germany
Re: Expat living in Mauritius, nobdoy wants me...
« Reply #1 on: August 09, 2017, 02:27:24 AM »
I am eagerly following all the advice on this forum but it seems I can not apply any of the advice given as I am a European expat living in Mauritius. I can't get access to the Vanguard Total Stock Market fund, can't open a Charles Schwab One account to get access to the right funds (ie SCHB) and financial advisors want to sell me expensive managed funds.
Anyone else out there in a similar situation that managed to create a 'Vanguard like' portfolio that is easy to set-up for a newbe, cheap to maintain and is hands-free? the aim is -as for many others here- to create and contribute towards a portfolio that eventually allows me to live by the 4% rule.

Thank you for any suggestions anyone may have.
You are still European? Can't you open an investment account at a direct bank in your country of origin and then buy ETFs?


IndianOcean-Expat

  • 5 O'Clock Shadow
  • *
  • Posts: 2
Re: Expat living in Mauritius, nobdoy wants me...
« Reply #2 on: August 09, 2017, 02:33:16 AM »
@Feivel2000: as I have not been a resident in my passport country for the past 15+ years (and hence tax exempt) I would struggle to do so and even if that was possible I would have to start paying taxes there, which of course I would like to avoid ;-)

Feivel2000

  • Stubble
  • **
  • Posts: 168
  • Age: 33
  • Location: Germany
Re: Expat living in Mauritius, nobdoy wants me...
« Reply #3 on: August 09, 2017, 02:51:23 AM »
It seems to be possible to trade ETFs relatively cheap:

http://www.mcbstockbrokers.mu/Interior.aspx?ID=6&SubMenuID=12


PapaBear

  • 5 O'Clock Shadow
  • *
  • Posts: 82
Re: Expat living in Mauritius, nobdoy wants me...
« Reply #4 on: August 09, 2017, 08:27:42 AM »
In your shoes, I would check and compare the brokerage fees for the banks available to you in Mauritius. Compare the annual cost of the brokerage accounts and the cost per trade (depending on which stock exchange you want to trade). Usually direct (online) banks are the cheapest.

If you have a brokerage account, you should be able to buy almost any ETF (exchange traded fund) that is available in your country via the stock exchange. Look for ETFs that are mirroring broad market indices (e.g. MSCI World for worldwide coverage, S&P 500 for US, Stoxx Europe 600 or MSCI Europe for Europe, MSCI Emerging Markets and similar indices) and have a low expense ratio.

Regarding your brokerage account: If I look at these statistics, there seems to be not that much ETF trading activity at the Mauritius stock exchange - that kind of illiquidity could lead to irregular ticker price movement (http://www.stockexchangeofmauritius.com/etfs/). Maybe it is better if you look for a brokerage account that also offers you access to international stock exchanges at a reasonable price. I guess the South African stock exchange would be the largest exchange close to you, safe bets are also other large international stock exchanges as e.g. New York stock exchange, London stock exchange, Amsterdam Euronext and so on.