Questions regarding NISA
Posted: Tue Jan 12, 2021 7:46 am
Hey Everyone!
I have a few questions regarding NISA and finding funds to invest in the same.
1. Since capital gains and dividends are tax-free over 5 years in NISA, when after 5 years are over, can I shift the holdings from NISA to some other broker under taxable accounts? Like opening NISA in Rakuten, keeping it open for 5 years and then once 5 years are over shifting to IB, in the event of leaving japan? or do I have to liquidate everything and then rebuy from IB or some other broker if I'm leaving Japan?
2. What are some good resources to find and learn about the Stocks, ETFs and domestic funds in which I can invest through NISA?
3. Which is considered good? Investing directly in S&P through domestic broker or investing in some tracker fund which tracks S&P?
I read that these tracker funds have the same weightage and composition of stocks as S&P itself. So, on paper, if S&P rises 8% over the year, then this tracker should also rise 8% over the year, right? The major difference being on S&P, I buy the share in dollar and on domestic tracker I will buy it in yen.
4. Lame question but, between Monex, SBI and Rakuten, which has the best currency exchange rate for buying US entities? I already have Rakuten credit card. I read that if one exchanges yen to dollar directly in NISA, the rates are more but if done in forex account and then transferred, the spread being less, you pay less fees? So does it make sense to open a forex account for currency exchange?
5. On the news of NISA ending in 2023, so if someone opens it this year, the account will still be under NISA scheme until Dec, 2025, right? Even if the government ends the NISA program and doesn't replace it with some other program.
6. On any of the platforms(Rakuten, SBI, Monex), How much time did it take to open the NISA account? A rough estimate in general sense, so if it takes more, I can speed up my decision process on whether to open or not?
Thank you!
I have a few questions regarding NISA and finding funds to invest in the same.
1. Since capital gains and dividends are tax-free over 5 years in NISA, when after 5 years are over, can I shift the holdings from NISA to some other broker under taxable accounts? Like opening NISA in Rakuten, keeping it open for 5 years and then once 5 years are over shifting to IB, in the event of leaving japan? or do I have to liquidate everything and then rebuy from IB or some other broker if I'm leaving Japan?
2. What are some good resources to find and learn about the Stocks, ETFs and domestic funds in which I can invest through NISA?
3. Which is considered good? Investing directly in S&P through domestic broker or investing in some tracker fund which tracks S&P?
I read that these tracker funds have the same weightage and composition of stocks as S&P itself. So, on paper, if S&P rises 8% over the year, then this tracker should also rise 8% over the year, right? The major difference being on S&P, I buy the share in dollar and on domestic tracker I will buy it in yen.
4. Lame question but, between Monex, SBI and Rakuten, which has the best currency exchange rate for buying US entities? I already have Rakuten credit card. I read that if one exchanges yen to dollar directly in NISA, the rates are more but if done in forex account and then transferred, the spread being less, you pay less fees? So does it make sense to open a forex account for currency exchange?
5. On the news of NISA ending in 2023, so if someone opens it this year, the account will still be under NISA scheme until Dec, 2025, right? Even if the government ends the NISA program and doesn't replace it with some other program.
6. On any of the platforms(Rakuten, SBI, Monex), How much time did it take to open the NISA account? A rough estimate in general sense, so if it takes more, I can speed up my decision process on whether to open or not?
Thank you!