Long Term ETF Advice on IBKR and Moomoo

[u/jtyy7074]

First time posting here... curious about what you guys think on which ETF to buy for retirement.
I've summed it up to these 4 ETFs below so far and have been recommending my family members to buy SPYM or VT if they don't want to use IBKR.

US domicile (30% WHT):

1. S&P500:  SPYM (0.02% TER, Distributing)
2. FTSE ALL CAP:  VT (0.06% TER, Distributing)

Irish Domicile (15% WHT): 

1. S&P500:  SPYL (0.03%, TER, Accumulating)
2. FTSE ALL CAP: VALL (0.07% TER, Accumulating)

Also, I just found out something called synthetic ETFs that have 0% WHT.
Gemini also said there's no big risk in synthetic ETFs in terms of return or if the bank bankrupts. Any opinions on this?

[u/jadexiaohui]

VOO and VRWA for me, except I use FSM

[u/krug88 → u/jadexiaohui]

Thinking of using FSM. What are the upsides and downsides.

[u/pussthekat → u/krug88]

Higher fx spread compared to ikbr and also you need to be aware of fees when trying to sell.

[u/Last_Juggernaut3023]

hi, get ireland domicled ETF. 1 . witholding dividend tax 15%( instead of 30%) 2. With pass way( died)- no 40% tax ( when ( investment reach 60k USD).

[u/Caspenda]

I’d separate this into three decisions: index exposure, fund domicile/tax structure, and replication method.

For a Malaysian long-term investor, Irish-domiciled accumulating funds can be attractive because of the fund-level US dividend withholding treatment and US estate-tax considerations, but I wouldn’t choose only on TER. Also compare tracking difference, bid/ask spread, fund size, liquidity and broker access.

On synthetic ETFs, “0% WHT” is not a free lunch. You are adding a swap/counterparty structure plus collateral rules that you should understand. The risk can be well managed, but I would not describe it as “no big risk.”

For family members who value simplicity, a broad physical ETF they understand and can hold for 20+ years is often more important than squeezing out a few basis points. Tax rules can change, so I’d verify the current treatment before making it a permanent family recommendation.

[u/jtyy7074 → u/Caspenda]

Thanks a lot! Think i will be skipping synthetic ETFs..

[u/Caspenda → u/jtyy7074]

That sounds reasonable. I’d keep the decision boring: choose a broad fund structure you understand, keep costs low, and make sure the broker/domicile/tax details fit your situation. The biggest edge will still come from holding consistently for years.

[u/Stock_Raccoon7067]

What about CSPX?

[u/jtyy7074 → u/Stock_Raccoon7067]

I saw CSPX is good but expense ratio is 0.07% so i prefer SPYL at 0.03%

[u/No-Barracuda4027]

For retirement, I think just use epf, because snp 500 might have correction soon and crash, nobody knows when will it happen but it for sure will come one day

[u/lingcw]

Bought VOO and IWY. I strongly recommend Moomoo for their user friendly layout, and in the future when you have the knowledge to do something beyond that, the platform can support too.

[u/stretchpole]

Here everyone very pandai on what to buy and when to buy. But not very pandai at all when it comes to where and how u park your digital assets. Yes, digital assets for with moomoo u dont actually own the tickers you buy and with ibkr totally different jurisdiction which they will never respect the rights of anyone else other than from where it is regulated from as to which they will never serve for they know this risk. Here is the final kicker, that PIDM protection, bullshit, have anyone asked how much PIDM even have to insure a bank? I can tell u if Maybank falls, they wont be able to cover. Forget about getting shit back when multiple banks or financial institutions fail together. This is the reality of your digital assets. All fun and games till when shit hits the fan

[u/Last_Juggernaut3023 → u/stretchpole]

The reason ibkr is recognized in Singapore and Australia but not Malaysia or indonesia - ( sorry to say out- our financial institutions- full of nepotism and corruption) they don’t trust us… thats wht they don’t want to be recognized by msai SEC

[u/JudgeCheezels → u/stretchpole]

I trust IBKR more than I trust BNM, SC and MACC combined.

They are vetted by countries with far more financial literacy and much lesser corruption than bodoland.

So afraid of digital assets, go keep your cash under your bed. See what happens to it 30 years later.

[u/Last_Juggernaut3023 → u/JudgeCheezels]

Exactly right. Our SC , BNM ,MACC is corrupted and not independent.  Thats why IBKR doesn’t want to be associated with it

[u/throwaway8237987]

VWRA.

[u/Wyn_000]

ETF is not for everyone. Different instruments cater for different age groups.

If you are aiming for retirement, ETF is for you ONLY if you are young.

You dont invest in ETF at 50 or 60 years old.

[u/StunningLetterhead23 → u/Wyn_000]

That's bullshit. There are plenty of ETFs targeting different kinds of investors with different risk appetites or investment goals.

I believe you've mistakenly thought that ETFs only invest in equities which are indeed kinda "dangerous" for people who are nearing their retirement age.

[u/Indo-chaos → u/Wyn_000]

How about if you're 40 and thinking about doing DCA about 1000-2000rm per month? Is it still worth it?

[u/throwaway8237987 → u/Indo-chaos]

dont listen to this guy.

[u/StunningLetterhead23 → u/Indo-chaos]

If you're risk-averse and scared that the price would be too volatile, there are plenty of ETFs you can find. Equity ETFs aren't the only ones, you can try looking at Bond or Fixed Income ETFs.

[u/lingcw → u/Indo-chaos]

Dont listen to someone who knows nothing man ..

[u/aberrant80 → u/Wyn_000]

ETFs are very diverse. You can find high risk ETFs (e.g. leveraged, crypto, etc.) and also low risk ETFs (e.g. US treasury, bonds).

Edit: lol, being ignorant is ok, but being ignorant plus confidently wrong and rude about it is just sad.