Do you know of a reliable, low commission online broker? I need a reliable, honest broker; low, low bond commissions; no inactivity fees, and reasonable wire transfer fees. Will create accounts -for foreign citizens- and transfer funds to buy Treasury bonds, and maybe some corporate bonds. It seems bonds are a surefire way to starts managing other people money...
I am nto sure, most foreign citizens can get better rates in their own country than in US treasuries paying 5%. Most countries have better CD rates than that probably. And buying bonds and sitting on them is not managing other people's money. And the rates above are even lower if you are going to charge them a fee for basically guiding their money into something they can buy directly for themselves.
Yeah, many countries pay higher interests, but in their national currencies; so its prone to both currency devaluation/defaults. Many developing countries are plagued by bank frauds. So most people choose the US$ for their life-savings. Of course some people could buy bonds by themselves, but they are ignorant, fearful or just lazy, so there are a lot of business opportunities.
You know, I thought about it.. it'd be a lucrative business. Charge people 1% / year, and get a treasurydirect account, put their money in it, and set up automated shit to roll 28 day bills, and call it a money market fund. If you manage $5M, you get $50K / year, for doing absolutely nothing.
I am fairly sure you need @ least a Green card to participate in Treasury Direct. I buy T Bills @ Auction commission free through Fidelity. el surdo