Have you ever felt like your investments were no longer working for you? Like you’re stuck in a financial situation that doesn’t align with your goals or comfort level? Recently, I spoke with a widow living in Israel who faced this very issue. Despite having a well-established portfolio in the U.S., her Israeli bank encouraged her to purchase investments she didn’t understand. Feeling overwhelmed and frustrated, she knew it was time to take back control.
The Problem: Overwhelmed by Complexity
Her banker had advised her to transfer her funds from safe, low-risk deposits to complicated, risky investments she didn’t understand. Every time she asked questions, she got brushed off. Sound familiar? It’s frustrating when your money – and your financial advisors – don’t seem to be working for you. The worst part? Her portfolio included Israeli mutual funds that, as a U.S. citizen, could trigger steep American taxes. That’s when she called me.
Simplifying the Situation
After reviewing her situation, I reassured her: She wasn’t stuck, and she didn’t have to maintain investments that didn’t feel right. First, I suggested she talk with her American and Israeli accountants to check for any tax issues before making changes. Then, we discussed safer options. She could return to low-risk Israeli bank deposits or transfer some funds to her U.S. brokerage account—an environment with which she was more familiar.
This allowed her to balance her investments across currencies and regain a sense of control. And, yes, the peace of mind was priceless.
Regain Control of Your Money
Once she got the go-ahead from her accountants, she instructed her bank to sell the risky investments. We helped her transfer some funds to her U.S. brokerage account while keeping others in local deposits. By the end, she felt empowered and finally in charge of her financial future.
Feeling out of control with your investments? Let’s talk! Get a free Cross-Border Financial Evaluation at profile-financial.com/call, and we’ll see if we can help you take charge of your money.
Douglas Goldstein, CFP® is the director of Profile Investment Services, Ltd. www.Profile-Financial.com. He is a licensed financial professional both in the U.S. and Israel. Call (02) 624-2788 for a consultation on how to set up your American assets to meet your financial goals. Securities offered through Portfolio Resources Group, Inc. Member FINRA, SIPC, MSRB, FSI. The opinions expressed are those of the author and not those of Portfolio Resources Group, Inc. or its affiliates. Neither PRG nor its affiliates give tax or legal advice.
Published December 24, 2024.