Golden Visa Portugal 101 — What investment fund is the right one for me?
Since October 2018 the Portuguese law allows investors to apply for the Golden Visa Portugal through the Investment Fund option.
One of the main problems we have noticed is that the majority of investors that decided to invest in an eligible investment fund for the Portuguese Golden Visa, don´t actually know enough about the investment fund, management, fees and portfolio.
Therefore we have prepare a small list of questions which may help you as a guideline to understand an to make a thoughtful decision about which investment fund to choose.
When you decide to move forward with your Golden Visa application and make it through the investment fund option, you should consider obtaining clarity on the following questions:
- How long is the management company in operation? What is their track record?
- What is the management company´s AUM?
- What fees are payable in connection with the subscription (set-up, due diligence, subscription)?
- What other fees are payable (custodian bank, supervisory fee, others)?
- Has the fund started raising capital? How much capital was raised?
- Are there periodic distributions of cash flow?
- Is the fund tax exempt to citizens and residents of your country?
Sectors: The majority of the existing investment funds have their core on real estate investments. Only some investment funds decided to allocate investments into other sectors like renewable energy or technology.
US Person: are subject to FATCA regulations. This means that “US Person” to invest in the eligible investment funds for the Portuguese Golden Visa they need to open the Portuguese bank account at a FACTA compliant bank so that you are able to hold the shares of the investment fund on their account.
From January 2022 on, the 350.000,00 euros or more capital transfer for acquisition of units of investment funds or venture capital funds option will increase to 500.000,00 euros capital transfer.
Golden Visa Portugal Eligible Fund Investments
If you are curious and would like to understand more about the necessary steps, process, and timeliness, please have a look at the following page Golden Visa Investment Funds.
Thank you.
