You made the big move—goodbye bagels on Broadway, hello bourekas in Baka. You’re learning to say “yihiyeh beseder” with confidence, navigating Israeli bureaucracy one form at a time, and settling into your new rhythm. But then… your U.S. brokerage account sends you a notice.
Turns out, your investments didn’t get the memo about your Aliya.
Many Americans in Israel discover—often too late—that moving abroad doesn’t always sit well with U.S. financial institutions. Your account may get restricted, frozen, or even shut down—not because of anything you did wrong, but simply because you updated your address to somewhere east of the Mediterranean.
If you’re living in Israel and still using your American accounts, here’s what you really need to know to keep your financial footing strong.
Surprise! Your U.S. Address Was Doing More Than You Thought
Most brokerage and retirement accounts assume their owners live in the U.S. When you switch to a foreign address—like, say, a cozy apartment in Netanya—you might unintentionally trigger account restrictions.
Some firms are fine with it. Others? Not so much. They might restrict trades or ask you to transfer your entire account elsewhere. Even IRAs can get tricky; some custodians just aren’t set up to work with non-resident clients.
Moral of the story: Don’t wait until you get that awkward email. Reach out to your financial providers and ask the question before they do.
Dollars In, Shekels Out: A Currency Balancing Act
You live in Israel now. You buy groceries in shekels, pay bills in shekels, and tip the delivery guy—even if he shows up an hour late—in shekels. But your investments are still in dollars.
That can be fine… until the dollar takes a dip or the shekel unexpectedly strengthens. If you’re regularly withdrawing from your U.S. account to cover Israeli expenses, exchange rates suddenly matter—a lot.
Planning ahead can make all the difference. Know your cash flow needs and give some thought to when and how you’ll convert dollars to shekels. Timing really is everything.
The Right Advisor Speaks Fluent Cross-Border
Not every advisor “gets” what it’s like to live in Israel while managing U.S. assets. You need someone who understands both systems—ideally, someone who’s helped others in your exact situation.
International investments can trigger hefty U.S. tax reporting, and some seemingly innocent choices—like foreign mutual funds—can lead to big complications. A knowledgeable advisor can help steer you away from these landmines.
They won’t promise perfection (no one should), but they’ll help you avoid surprises and stay on solid ground.
Risk Is More Than Just a Bad Market Day
Everyone worries about market dips—but when you live abroad, risk takes on new forms. A great return on your U.S. investments won’t help much if your shekel spending power gets crushed by a weak dollar or rising local prices.
Think of it this way: you’re straddling two economies. What happens in one can absolutely mess with the other. The more your plan reflects your actual lifestyle, the better prepared you’ll be when the unexpected hits.
As Warren Buffett said, “Risk comes from not knowing what you’re doing.” That includes assuming your finances don’t need to change just because your life has.
Don’t Let Your Plan Collect Dust
You change. Life changes. Your financial plan should change too.
Maybe you thought you were retiring in Israel, but a job offer pulls you back into the workforce. Or you realize your old plan doesn’t quite fit your new lifestyle. That’s okay—but now’s the time to fix it.
Your advisor should check in with you regularly—not just when the market drops or tax season hits. At least once a year, sit down and ask the big questions:
- Are we on track?
- What’s changed?
- What’s coming up?
You don’t need a total overhaul—just a thoughtful refresh.
Bring It All Together
Don’t worry—managing U.S. investments while living in Israel is doable. After all, you’re already balancing two cultures, two languages, and two calendars. Why not bring that same coordination to your finances?
The key is to understand the rules, get the right help, and revisit your plan regularly.
If you’re ready to take the next step in understanding your approach to investing, explore our guide: What’s Your Investment Persona? Uncover Your True Style. It’s a helpful way to see how your mindset connects to your financial strategy—and how to adjust when life shifts.
This article is for educational purposes only and does not constitute financial, tax, or legal advice. Always consult a qualified professional regarding your specific situation. Investments carry risk, and past performance does not predict future results.
Douglas Goldstein, CFP® is the director of Profile Investment Services, Ltd. www.Profile-Financial.com. Securities offered through Portfolio Resources Group, Inc. Member FINRA, SIPC, MSRB, FSI. The opinions expressed are those of the author and not those of this website, Portfolio Resources Group, Inc. or its affiliates. Neither Profile nor Portfolio Resources Group, Inc. or its affiliates, provide tax or legal advice. Nothing in this article is intended to be investment, tax, or legal advice. Information in this article is gathered from sources considered reliable, but we cannot guarantee their accuracy. Past performance is no guarantee of future returns.
