Bringing you live news and features since 2006 

London & Capital service lets US resident non-doms open US domestic investment accounts

RELATED TOPICS​

London & Capital has launched a new service enabling US resident non-doms and Green Card holders to open a US domestic investment account, reducing onerous administrative burden for its US clients.

By having a US domestic investment banking facility, investors can avoid the onerous FBAR (Report of Foreign Bank and Financial Accounts) and Super FBAR (Statement of Specified Foreign Financial Assets – form 8938) investment reporting obligations, which have created a significant administrative, and in extreme cases, penalty burden for US-connected investors worldwide.
 
Up until now, it was not possible for individuals to obtain a US domestic bank account without a primary US residential address. 
 
SEC regulated London & Capital has created this facility, in conjunction with Royal Bank of Canada (RBC), to further simplify the inherent processes involved in preserving their wealth.
 
London & Capital is one of the few UK-based wealth management firms that is SEC regulated, and has provided wealth management services to US resident non-doms and Green Card holder families since 1986.  More recently it has sought to deepen its offering to US-connected clients at a time when most firms have looked to reduce or withdraw their services. 
 
Benefits of the service include:
 
•             US domestic platform: the opportunity to custody assets onshore in the US
•             Reporting: the ability to avoid the FBAR and 8938 reporting obligations
•             US pensions: the ability to manage US pensions effectively in line with the client’s brokerage account
•             Multi-currency: the facility to manage the account in both sterling and US dollars
•             Low brokerage costs: transaction, custody and trading charge set at US brokerage rate
•             Online access: 24/7 online access to RBC’s reporting facility
•             Investment advice: investment management strategies and advice, portfolio management and brokerage solutions from London & Capital
•             Reduced accountancy costs
 
The investor nominates London & Capital as their investment adviser, and can expect their account to be opened in a matter of days. London & Capital will assist those wishing to set up an investment account on the platform to complete the application forms.
 
Daniel Freedman (pictured), co-founder and head of US office at London & Capital, says: “Recent US legislation has been designed to catch out US citizens who may not have declared their investments overseas, and with penalties sometimes in the region of 50 per cent of the balance of an investor’s account, plus interest, penalties for non-reporting occasionally exceed the underlying value of the account.
 
“The new service we are offering provides US resident non-doms and Green Card holders with an investment solution which will reduce the amount of paperwork they have to complete and cut accountancy costs. What is more, as an SEC regulated adviser, we are able to offer a US national complete peace of mind that their investment affairs are being handled in a fully compliant manner.”

Latest News

HSBC Asset Management’s (HSBC AM) ETF and Indexing business has passed USD100 billion in assets under management (AUM), reflecting its..
Amundi’s ETF Market Flows Analysis for April reveals that investors added EUR54.1 billion to global ETFs in April with equities..
VanEck has reached USD10 billion in assets under management in Europe for the first time in April 2024...
Global index revenues increased 9.3 per cent in 2023, totalling a record USD5.8 billion, according to a benchmark study published..

Related Articles

Dan Miller, IQ-EQ
With just over a week to go till T+1 settlement begins in North America, Canada and Mexico, time is of...
Emily Spurling, Nasdaq
Last October’s ETF Express US Awards 2023 found Nasdaq winning Best Index Provider – ESG ETFs and Best Index Provider...
Vinit Srivistava, MerQube
Index provider, MerQube, launched in 2019, with the aim of providing a “technology-driven answer to the most complex, rules-based investment...
Sean O' Hara
Pacer ETFs has announced the launch of three Cash Cows UCITS ETFs. The firm writes that this will give European...
Subscribe to the ETF Express newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by