Foundation with IBC combination for brokerage accounts

[kyler565]

I want a safe place to keep investments (dividend stocks or farm land purchases) where‌ I can open at least one or multiple brokerage accounts . I wont be reciving‍ payments or doing any crypto so the transactions on the banking side should be few.⁠

What are the options that should work well for the type of banking/ brokrage account⁤ setup I mentioned above

List of options:

Panama foundation w/ Panama IBC
Panama foundation w/⁣ Florida/Wyoming llc
Panama foundation w/ UK or Scotland Lp
Panama foundation w/ Freezone company
UAE foundation w/ freezone company
Other

 

[Jerry1911]

I would personally avoid UK/Scotland/Florida/Wyoming due to lack of privacy. Canada LLP might be an‌ alternative.

edit: Sorry I meant UK because of privacy and Florida/Wyoming because of IRS and‍ their ever changing multi-thousand pages long tax code.

 

[kyler565]

I dont think privacy is a concern for me‍ at this point since the foundation will be the owner and Benifisiry of the corprate⁠ inenty and in this case the Benifisiry of the Foundation will be a charity. I⁤ wont be owner or Benifisiry of anything. I will just be controlling it and making⁣ the investment decisions.. The primary concern is I want ease of opening and keeping brokrage/bank⁢ accounts and also would be nice if accounting/ tax filings are simple

 

[JohnnyDoe]

Makes sense, but you need⁢ some good money for this structure to be accepted. For >$10m I can give a︀ good recommendation

 

[kyler565]

Less than that.‍ Around $2m would be in the brokrage account.. but could be >$10 someday if the⁠ investments work out. I'm curious what you recommend for more than $10m

 

[JohnnyDoe]

A bank that doesn’t give a f**k as long as⁠ you have enough money…
Some might already know which bank it is, but you need⁤ to pick the right country branch

 

[Silvio]

"Ease of Opening" and⁢ "Foundation owned by freezone" is not something you want to put in the same sentence.︀
Why are you doing this if privacy is not a concern?

I would find some︁ bank in Switzerland\Liechtenstein, approach them with the idea and find out first what structures THEY︂ WILL ACCEPT, and maybe they can even set up the structure for you so you︃ ensure that it will be onboarded. Either way it won't be cheap and It's not︄ clear why you want to do through this complicated route.

There were also a carribean︅ broker that accepted complicated structures, I don't remember the name but they were mentioned here.︆ Of course at higher monthly costs and more risky jurisdiction. If you have $2m to︇ invest I would NOT put them into some shitty carribean broker even if it's a︈ Saxo whitelabel, but instead go for CH\LI.

 

[Fred]

If you structure things right you can go with ADGM/DIFC/RAKICC Foundation owning a FZCO in‌ Dubai and getting it banked with Swissquote DIFC or even Emirates NBD + IBKR.

Further LLB in the DIFC.

LGT, UBS, CS won't touch this structure below 5m$ and Citibank‍ Private Bank not below 10m$.

Be careful with all the small CH/LI Private Banks like⁠ @Martin Everson mentions all the time - hard times for there business and endless compliance⁤ doesn't have anything to do with a proper compliance.

VP Bank is pretty good as⁣ well with 5 full banking license across BVI/CH/LI/SG/LU but they don't touch UAE actually due⁢ to FATF Grey Listing (Group Policy)

I would go with Swissquote and ENBD + IBKR︀ as backup or to use it to buy with IBKR and transfer to Swissquote -︁ so you end up paying nothing for this compliance intensive structure.

When reaching 10m$ I︂ would ask myself twice if it's worth it getting ripped off from the bigger players︃ unless they offer you some really unique and solid private placements where there fees don't︄ eat all the profits.

Ps: UAE is only in with Residence Visa of course which︅ you get through the FZCO anyway.

Channel Island Banks would work as well like the︆ already discussed Nebank Private Wealth.

 

[kyler565]

I have been sort of semi-retiremeid since covid I have sold my business in︄ Canada and moved to a laid back low cost of living country in South America.︅ And with all the BS happening in Canada (becoming a communist country) I don't think︆ it's a safe place to keep money at all. I have been Reading about Panama︇ charitable foundations and panama private intrest foundations im attracted to the low oversight structures especially︈ the charitable one because i liked the idea of not having wealth in my name︉ and taking a small wage for managing the charity.. i don't know if they will︊ really able to work meaning I can get a good brokerage account like Interactivebrokers which︋ is more safe than any Canadian bank IMO (our Canadian housing bubble could popl) .︌ Then it's kind of usless and it seems like the responses so far have been︍ quite skeptical so maybe it's best to just keep my IB account in my personal︎ name and forget about foundations?

 

[kyler565]

Thanks for the bank recommendations︈ . But looking at the VP bank website i dont know if they have a︉ self directed broker . Im not intrested in the high fee wealth management stuff lots︊ of risk and small reward. The NebBank looks interesting as well as a saxo bank︋ account.. I can prove my funds are legit so I might have a chance opening︌ a decent bank/broker account or does the panama foundation make it hard? I don't want︍ to shoot myself in the foot

 

[Fred]

VP Bank is used for self directed investors as well with normal brokerage platform︀ - see there mobile app.

Of course something like a Foundation is compliance intensive and︁ the risk/reward for something like IBKR is horrible.

From what I can read in-between your︂ lines - forget about the foundation. It sounds fancy but people underestimate the structure maintenance︃ and attached fees.

 

[kyler565]

I looked at other structures and read allot here on the forums for the last‌ week straight and reached out to some forgin banks and forgin lawyers. But im still‍ feel most comfortable with the Panama Foundation in particular im learning on the Panama foundation⁠ w/Wyoming disregarded llc . I fully understand that dealing with the IRS will be a⁤ nightmare if you file incorrectly or late. But the access to us banks and brokrages⁣ is most important...

Can someone confirm short and long term capital gains including gains for⁢ stocks gains on futures contracts or options contracts are not taxed at the Disreguarded LLC︀ level?

I know FDAP income like dividends form US companies or intrested gains on US︁ bonds is taxed at 30%

 

[lostguy]

they are‍ a good bank, I once paid them a visit but it went out not to⁠ be for me.

 

[Candoit]

Hi Fred, independently come to︈ a similar setup solution as you but in my structure it's the RAK foundation that︉ will own the sharedealing account with the agent being the 2 resident Councillors but delegating︊ the online banking and sharedealing to me. It avoids doubling the costs and hassle of︋ also having to manage a FZCO? I'll continue to be non-resident so I don't need︌ the FZCO visa. What are the downsides of this please?