Should I repatriate my US E-Trade portfolio?

Mr_Cautious

Hello all.
I am looking to simplify, and de-risk somewhat, my investments.  A healthy chunk of my assets (30%) are held in a US based E-Trade account.  The admin process to sell shares and then to transfer USD proceeds to my UK bank account is working very well so there isn't an urgent issue to fix.  But!!
However I am concerned if I am taking unnecessary risk in holding assets in a foreign jurisdiction?  I have had an occasional nightmare of President Trump seizing all foreign nationals assets! :-)  Seriously, I'm not sure if there is much risk or if it's actually a smart play to have investments in a different currency in a different jurisdiction in case the UK Prime Minister goes crazy with a wealth tax!!  I am assuming that I will be able to make the share transfers without triggering any capital gains tax events! 
My question is should I transfer my holdings to a UK based platform? What should I consider?
Thanks in advance!

squirrelpie

Sorry, are you trolling? You've chosen to put your assets in the US? And now you're worrying about it? About the influence of a US president just as his term comes to an end? "What should I consider?" well maybe getting a psychiatric examination.

EdSwippet

squirrelpie said:

Sorry, are you trolling? You've chosen to put your assets in the US?

It's possible that this is an account still held from when the OP was a US resident.

Mr_Cautious said:

A healthy chunk of my assets (30%) are held in a US based E-Trade account. ... I am assuming that I will be able to make the share transfers without triggering any capital gains tax events!

You posted on the Pensions board. Is this in a US pension, such as a 401k or IRA? If yes, then you have no way of transferring it to the UK. If no, then whether or not you can transfer holdings intact (that is, 'in specie'), and if so then how much it will cost in fees, depends heavily on what you hold in this account, and on broker willingness to allow holdings to transfer without requiring a sale.

Transferring holdings without sale wouldn't realise any capital gains. Transferring with a sale might, though it is possible you could buy back the exact same things within 30 days and so use the 'bed-and-breakfast' rules to your advantage. Fiddly calculations and projections required for the latter, if you plan it.

Mr_Cautious

Hi, definitely not trolling!   
EdSwippet is right in that the account is a hangover from employment with a US based employer. It is not a 401K but a standard account for employee options plus the ability to buy and hold other stocks.  So, I can transfer the assets without selling them first.  Another worry is that I cannot specify a beneficiary in the event of my death so I don't know what would happen (how difficult the process would be) to have these US assets passed on to my family.  Maybe I do need to go see a psych Dr! ;-)

Definite

Mr_Cautious said:

Hi, definitely not trolling!   
EdSwippet is right in that the account is a hangover from employment with a US based employer. It is not a 401K but a standard account for employee options plus the ability to buy and hold other stocks.  So, I can transfer the assets without selling them first.  Another worry is that I cannot specify a beneficiary in the event of my death so I don't know what would happen (how difficult the process would be) to have these US assets passed on to my family.  Maybe I do need to go see a psych Dr! ;-)

That's a really good point. I also have significant stocks in an trade account and hadn't thought about what happens to them if something happens to me. Presume the Executor goes after them, but you've reminded me to find out. 

randompenitent

Similar position here. Options and shares bought through a discounted employee share plan held in a US brokerage account because that’s what the company gives me. It’s been a very good deal, but sadly with no tax advantages at all.

I’ve gradually been selling and transferring the proceeds to the UK where some gets reinvested in an ISA or SIPP. 

Mr_Cautious

randompenitent said:

Similar position here. Options and shares bought through a discounted employee share plan held in a US brokerage account because that’s what the company gives me. It’s been a very good deal, but sadly with no tax advantages at all.

I’ve gradually been selling and transferring the proceeds to the UK where some gets reinvested in an ISA or SIPP. 

That is what I've been doing.  I use Revolut at this end as it can take in USD wire transfers and hold them till the exchange rate is favourable.   Feels like the sensible estate planning move is to transfer all the assets to a UK based broker (no CGT and it's all under the UK regulator).