Financial services provided to a resident of the Bahamas will be exempt from VAT, except for any explicit fee, commission or similar charge for providing the service.
VAT will be charged on trading commission fees, brokerage account fees, mutual fund and pension plan administration fees, and mutual fund and pension plan investment management fees.
There is no VAT charged on dividend income or interest income.
There is no VAT charged on capital gains.
The minimum initial investment in a brokerage account is $5,000 or the equivalent in stocks or bonds.
The minimum investment is $500. Contributions thereafter can be as little as $100.
A mutual fund is convenient vehicle through which investors, big and small, pool their money to invest in a variety of securities. Through mutual funds, investors often can participate in investment opportunities that they otherwise may not have access to.
A bond is much like a loan. A company or government that issues a bond to an investor promises to repay the loan with interest.
A stock represents ownership in a company. Typically if a company is successful, it pays dividends to its stockholders. The value of the stock may also go up and be sold at a higher price than when bought. Of course, the reverse can happen if a company does not do well.
Typical investments include stocks, bonds, and mutual funds.
Yes, we do. A qualified member of our investment team can sit with you and come up with an investment plan ideally suited for your needs.
Brokerage accounts incur annual fees of $150 plus VAT, charged quarterly.
Deposits can be made online or at the Family Guardian Financial Centre on East Bay and Church Streets.
Contact us at our offices and we will provide you with the necessary forms. Be ready with the standard KYC documents, such as your passport, NIB card, and some form of address verification like a utility bill.
We are located at #1 Shirley Street. You may also phone us at 396-4000.