Based in the UK, my investing has mainly been driven by the tax-efficiency of PEPs, ISAs and so on, of course with great help from What Investment. I am thinking of retiring to Spain and will presumably lose my ISA benefits, etc. Also, I am sure that investing via UK funds will create UK tax and exchange rate issues.

Please can you help me research the 'offshore' euro market, if, indeed, it exists? I have been looking at funds in the Spanish domestic market but have so far experienced mainly poor returns and language difficulties. If you could suggest a few websites to start me off, that would be much appreciated.

David Shaw
London

Jonathan Davis replies: Firstly, investing in Spanish funds should correlate with UK funds, or, indeed, US or other European funds, because the integrated global economy means that mature stock markets move closely wherever you are investing.

Secondly, specifically talking about investment options in Spain, I would be very careful about investing locally, simply because the Spanish economy is at boiling point due to an even bigger housing bubble than in the UK. However, as ECB rates have risen even faster than UK rates, this will surely have a detrimental effect on the economy. On the other hand, an expected medium-term strengthening of the euro would be positive for you.

A good place for you to start would be www.anaf.es, the website for the Spanish grouping of financial advisers, and this should help you locate a local adviser who could guide you. If you are looking for a specific investment to act as a flexible core holding whilst you are establishing your Spanish portfolio, then you could consider Close Investment Services' All Weather Fund, which is available to Spanish residents in euros (www.closeipb.com/Investment/offshore/weather.htm).