By Chad Creveling, CFA, and Peggy Creveling, CFA As the new year begins, it’s a great time for expats to re-evaluate their financial positions and to make positive changes. Improving our financial circumstances largely requires instilling good habits, being consistent, getting started early, and possessing a basic understanding of finance and investing concepts. To help you thrive in 2021, here are some financial resolutions to consider as you start the year. If you start at...
By Peggy Creveling, CFA, and Chad Creveling, CFA As you look for a holiday gift for your favorite expat or perhaps just for some interesting reading over the holidays, have a look through our annual list of good books. Although we’ve selected these with the expat reader in mind, in a year as challenging as 2020, we hope everyone can enjoy them. All can be easily purchased on the Internet, and while some are more...
By Peggy Creveling, CFA, and Chad Creveling, CFA As the end of the year approaches, expats working in Thailand may wish to consider sheltering some of their income from Thai tax by contributing to Thailand’s Retirement Mutual Funds (RMFs) or the new Super Saver Funds (SSFs). With a bit of planning, you may be able to save up to THB 175,000 (or about USD 5,700) this year in Thai taxes by contributing to these types...
By Chad Creveling, CFA, and Peggy Creveling, CFA When you’re living overseas, you may at some point consider the question “Should I buy or should I rent?” If you consult with local real estate agents, property developers, or mortgage brokers, you may hear advice similar to the following that appeared in the property section of an expat-oriented newspaper: “Owning your home has great objective and subjective merits. Savvy investors take full advantage of the tremendous...
By Peggy Creveling, CFA, and Chad Creveling, CFA As an expat investor, how much of your portfolio should you allocate to less risky or less volatile investments (such as bonds) versus riskier or more volatile equity investments (such as stocks)? It's a fundamental consideration, but the best allocation is not always obvious. Complicating the decision, market noise tends to focus on the most recent best-performing investments, creating a “fear of missing out” (FOMO) response in...
By Chad Creveling, CFA, and Peggy Creveling, CFA One of the biggest financial challenges that expat retirees can face is how to generate a reliable stream of income when they no longer have a regular paycheck coming in. During working years, people tend to focus on saving and reaching a particular dollar target or trying to maximize investment returns. Less thought may be given to how to turn a lump sum portfolio into a sustainable...
By Peggy Creveling, CFA and Chad Creveling, CFA Investing is a full-time profession for many people. Countless books have been written on the hows and whys of making smart investment decisions. If you’re an expatriate, you must also consider the role that different currencies and tax jurisdictions play in your portfolio. These issues are complex, and our goal today is to simply introduce you to some of the concepts behind successful investing. We will also...
By Chad Creveling, CFA, and Peggy Creveling, CFA​ When it comes to losing weight, most agree that short-term fads don’t work. The only permanent solution is to maintain a sensible diet and exercise plan over time. And it's the same with investing. Get-rich-quick schemes or investments won’t work. Despite all resources dedicated to making short-term investment predictions, the reality is that no one has the ability to consistently foresee the future. The truth is much...
By Chad Creveling, CFA, and Peggy Creveling, CFA​ With the introduction of the U.S. Foreign Account Tax Compliance Act (FATCA), most expat Americans have found that trying to avoid U.S. tax by investing offshore doesn’t work. American citizens and green card holders are subject to U.S. tax on all of their global income, even when they live outside of the United States. The complications can be considerable: An American expat’s current country of tax residence...
By Peggy Creveling, CFA, and Chad Creveling, CFA​ Although it may not be common to have problems with a financial custodian, bankruptcies and fraud do happen. Although these types of issues may occur most frequently in the offshore world where regulators may not provide solid oversight, they can also happen in larger or better-regulated markets. This is especially the case during periods when market volatility is high and financial firms experience increased liquidity needs, margin...
By Peggy Creveling, CFA, and Chad Creveling, CFA​ Volatility in global markets picks up sharply as investors’ worry grow and discontent spreads. Talking heads on financial news programs discuss uncertainty over economic forecasts while U.S. treasury yields plunge and crude oil and gold prices rise and fall. For expatriates trying to manage their long-term portfolios, there are times that financial news flow and market volatility can be particularly unsettling. In this environment, what should expat...
By Peggy Creveling, CFA, and Chad Creveling, CFA This article is for general information purposes only and is not intended as specific tax advice. Please consult your tax advisor for advice relevant to your situation. It’s that time of year when many Americans living overseas are collecting the various documents needed to file their 2019 U.S. taxes. Below we’ve provided an updated checklist to help you with filing; this list should be used as a...