SA Investors: Don’t Buy US Shares Directly Offshore Until You Watch This
Nozi explains a key estate-planning risk for South Africans who invest directly offshore into US shares or US ETFs: those US-based assets can fall into the US estate tax system on death, with a low $60,000 threshold and potential tax rates up to 40%, which can create delays, extra paperwork, and costly legal and tax processes for heirs. She contrasts this with using South African offshore ETFs listed on the JSE, which can provide global and US market exposure with simpler administration and fewer estate complications, and warns against overcomplicating portfolios with duplicated ETFs and too many accounts. For those who still want direct offshore investing, she notes options like investing via jurisdictions such as Ireland and using European UCITS ETFs (e.g., Vanguard S&P 500 UCITS, VUSA) to reduce these issues, and advises getting professional tax and estate-planning guidance. 00:00 Welcome and Warning 01:43 Situs Tax Basics 02:49 US Threshold and Rates 03:49 Double Tax Myth 05:11 Offshore Exposure Options 06:34 JSE Offshore ETFs Simplicity 07:30 Avoiding Complexity Pitfalls 08:38 Direct Offshore Without Situs 10:04 Key Takeaways and Advice 11:27 Disclaimer and Wrap Up 12:06 Like Subscribe and Next Steps New to investing and need my guidance? Click here: https://talkingmoneywithnozi.com/coll...

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