ETFs not subject to PFIC

Can someone suggest some ETFs that are not subject to PFIC?

This article seems to suggest that some exist:
newcomer link: http://thunfinancial.com/american-expat-pfic-uk-non-reporting-fund-investment-trap-article/ [nonactive]

"However, over the last couple of years, a core of U.S. registered mutual funds and ETFs have been granted UK “reporting fund” status. For the U.S. taxpayer resident in the United Kingdom, therefore, these U.S. registered funds with UK “reporting fund” status represent an elegant solution to the Catch-22 of U.S. and UK investment taxation: they both avoid the PFIC trap in the United States and the “non-reporting fund” trap in the United Kingdom. Most importantly, although the list of U.S. funds with UK reporting status is not extensive, it does now include a core of excellent, efficient ETFs (mostly from the U.S. fund company Vanguard)."

Thanks!

I use a few Vanguard ETF's.

The full list of HMRC Reporting Funds can be found here

https://www.gov.uk/government/publications/offshore-funds-list-of-reporting-funds

All SEC registered EFTs are NOT subject to PFIC.

If you want an EFT that is an HMRC reporting fund, so you can keep your UK capital gains tax allowance and not pay tax at your marginal income tax rate, then look at durhamlad's link. I would also use Vanguard ETFs....FYI make sure you buy the ETF and not the mutual fund! Only buy investments that have a CUSIP number, those are US registered, and make sure the CUSIP number in the spreadsheet is exactly the same as the one for the ETF you buy.

I will be moving one fund over after the first of the year. I will likely be cashing out my Vanguard Total Stock. I will have a ROTH I can just leave where it is since it is supposed to be ignored in both countries, but I will be moving the money in the Dividend Growth fund likely over to the ETF version of Total Stock. Almost all of my safe "bond like" money is in the G fund of my TSP retirement....and if the % rates start going up at all I will likely move all of that money to the G fund. 

Almost all of my safe "bond like" money is in the G fund of my TSP retirement....and if the % rates start going up at all I will likely move all of that money to the G fund. 

Most of my fixed income is in a stable value fund.....which is very similar to the G fund as it's short term bonds and it's getting 2%. I did some rebalancing recently and bought some Wellesley (that's where I have the rest of my bonds) and some Total International Stock Market because it did so poorly in 2014 that my international allocation was down.

I'm afraid I'm one of those horrible market timers. Once I sell off the Total stock I have to decide whether to just leave that Dividend Growth where it is..... I think there is an ETF equiv of it, although that money in the Dividend Growth will get used in the next few years, especially if we buy a house sooner rather than later. I have just been keeping my TSP money in the G+C funds. When the market takes a good zoom up I move $50k-100K over to the G fund. When it takes decent drop I move it back to the C. Currently 60%G and 40%C. I tried doing smaller market timings years ago and was ahead.....but my nerves couldn't stand it. It's easy to move it around in the TSP although they have limits on how often you can move it these days.

Rebalancing has some market timing in it, but it forces you to sell high and buy low and it's timing governed by the actual relative value of the assets, not some prognostication.

nun.....yep, I read the Bogleheads once in a while....and have several of their books .....but I keep coming out ahead on the bigger market timing swings...... Call it rebalancing.....lucky guessing.....I may eventually lose at it.....but over the last 10 years I haven't yet. Prognostication? Magic? Common sense? Damned if I know. Buying in when the market is down.....selling when the market is high......it's market timing, but it sure makes sense. I just don't put much effort into it and at this point I am steadily leaning more towards playing it safe when things rise rather than risk the drops. Come on 10 year treasury......make my G fund worth more and I will bail out completely and play golf as much as I can. Mix in some mando/octave mando/reading and mega walking and my retirement is set.....and my wife will make me watch Look North as well

Thanks for the replies.

I'm a bit confused on how to use this spreadsheet.  For example, take 'Vanguard 500 index fund - ETF shares'.  It has a cusip: 922908363

When I do a search, I find the ticker VOO.  But this seems to be traded on NYSE.  How can I buy this in the UK with £s?  I need to invest my SIPP and ISA accounts in the UK without getting affected by PFICs.  I was holding iShares ETFs, (LON:IUSA) and had to sell because of all the PFIC compliance my accountant needed to do (not to mention the tax implications).

Thanks!

Thanks for the replies.

I'm a bit confused on how to use this spreadsheet.  For example, take 'Vanguard 500 index fund - ETF shares'.  It has a cusip: 922908363

When I do a search, I find the ticker VOO.  But this seems to be traded on NYSE.  How can I buy this in the UK with £s?  I need to invest my SIPP and ISA accounts in the UK without getting affected by PFICs.  I was holding iShares ETFs, (LON:IUSA) and had to sell because of all the PFIC compliance my accountant needed to do (not to mention the tax implications).

Thanks!

The article is all about the foreign funds that you can buy while living in the UK that are not subject to PFIC by the HMRC.  Vanguard does have funds in the UK that you can buy in the UK in pounds but then the US IRS would hit you with PFIC taxes.  That is the Catch-22 mentioned at the top of the article.  There is no way a US citizen can buy UK or other foreign funds without being hit with PFIC, but there is a way a US citizen living in the UK can buy US funds through these HMRC Reporting funds.

Thanks for the replies.

I'm a bit confused on how to use this spreadsheet.  For example, take 'Vanguard 500 index fund - ETF shares'.  It has a cusip: 922908363

When I do a search, I find the ticker VOO.  But this seems to be traded on NYSE.  How can I buy this in the UK with £s?  I need to invest my SIPP and ISA accounts in the UK without getting affected by PFICs.  I was holding iShares ETFs, (LON:IUSA) and had to sell because of all the PFIC compliance my accountant needed to do (not to mention the tax implications).

Thanks!

If your SIPP is a pension as defined by the treaty (and many people think that it is) then you don't need to worry about PFIC.

Your ISA is a different matter and PFIC is an issue and you need to buy individual shares, stick with a cash ISA that pays interest or invest in SEC registered funds to avoid it. If you go the funds route you also need to fund to be HMRC reporting; so on the HMRC spreadsheet and have a CUSIP number.

To buy those funds you have to have access to US markets. So you need a broker that allows you to trade on US markets. I'd ask a few UK brokers and platforms if they will do this. You might run into difficulties because of FATCA. The best way is to use a US broker. If you have a US mailing address you can open an account with firms like Vanguard, Fidelity etc. It's getting increasingly difficult to open US based accounts if you have a foreign address, but you might call a few and explain your situation. The best thing is to have a US account before you move to the UK; Vanguard will certainly allow existing customers to trade even with a foreign address.