Like Tree27Likes

What are you doing to protect yourself from US/China trade war?

Reply
Page 3 of 5 FirstFirst 1 2 3 4 5 LastLast
  1. #21

    Join Date
    May 2006
    Location
    Pampanga, Philippines
    Posts
    20,185
    Quote Originally Posted by traineeinvestor
    Yep - higher taxes, more debt, more regulations.
    I hardly think that means far left, unless you are American.

  2. #22

    Join Date
    May 2006
    Posts
    5,649
    Quote Originally Posted by chichow
    I really wonder if the tax deduction is worth it as the mpf fees are so terrible and you are stuck with those fees forever

    eg buy tracker for .2 fee vs .7 in mpf
    So I did some Math. You'd have to keep the payment in the investment for +35 years in order for the tax benefit to be diminished. Hence anyone above 30 who gets taxed at 17% can basically start looking at voluntary MPF contribution in order to benefit. The differential between 2800 at .2% and and MPF at .7% narrows from .5% closer to .4% as the tax benefit of 17% can be reinvested in 2800 with a rate of 0.2%.
    nivantj likes this.

  3. #23

    Join Date
    Jul 2004
    Posts
    3,057
    Quote Originally Posted by civil_servant
    So I did some Math. You'd have to keep the payment in the investment for +35 years in order for the tax benefit to be diminished. Hence anyone above 30 who gets taxed at 17% can basically start looking at voluntary MPF contribution in order to benefit. The differential between 2800 at .2% and and MPF at .7% narrows from .5% closer to .4% as the tax benefit of 17% can be reinvested in 2800 with a rate of 0.2%.
    Spot on!! we discussed this in another forum when TVC was launched, i see it as a good option for someone retiring/leaving in 10-15 yrs horizon..

  4. #24

    Join Date
    May 2006
    Posts
    5,649
    Quote Originally Posted by nivantj
    Spot on!! we discussed this in another forum when TVC was launched, i see it as a good option for someone retiring/leaving in 10-15 yrs horizon..
    Absolutely, and if you have +35 years left and you make enough money to be in a 17% tax bracket and you're looking for a tax deduction that benefits you then go start a family!

  5. #25

    Join Date
    Oct 2010
    Posts
    18,629
    Sith likes this.

  6. #26

    Join Date
    Dec 2002
    Location
    ???
    Posts
    27,366
    Quote Originally Posted by TheBrit
    Thanks for the link.

    Grim scenario!

  7. #27

    Join Date
    Mar 2010
    Posts
    771
    Quote Originally Posted by shri
    Thanks for the link.

    Grim scenario!
    Highly probable scenario.
    Mr Webb is being kind and giving us mortals a little warning. HK and China stocks are going in for a beating.

    US stocks too, but at some point the economical benefits of the trade war will be seen on the US markets the HK / CN markets will start trading in opposite directions. That will take a long time.... it may get him re-elected.
    Last edited by Fenix2; 03-06-2019 at 02:54 PM.
    shri likes this.

  8. #28

    Join Date
    Dec 2002
    Location
    ???
    Posts
    27,366

    In a fantasy world, I can see Xi channel Reagan and give a historic 'tear down the walls' speech.

    Lots of mutually assured destruction scenarios at play here.


  9. #29

    Join Date
    Mar 2010
    Posts
    771

    All those institutions having to sell HKD denominated equities and turn them back to USD could smash the peg...? How much do US pensions own on the Hang seng? How big are HKMA's funds to maintain the peg?


  10. #30

    Join Date
    Oct 2010
    Posts
    18,629
    Quote Originally Posted by Fenix2
    US stocks too, but at some point the economical benefits of the trade war will be seen on the US markets the HK / CN markets will start trading in opposite directions. That will take a long time.... it may get him re-elected.
    Umm, tariffs are economic suicide for the US . Further escalation is not going to be positive for US equity markets.

    China will be hurt as well. I don't think your scenario is plausible.

Reply
Page 3 of 5 FirstFirst 1 2 3 4 5 LastLast