Is it a good idea to incorporate a private C Corp in order to do stock trading?

[Ismyouroboroslove]

Hi,

I was reading Rich Dad Poor Dad, and Robert Kiyosaki told his personal story of starting his own business and becoming a successful investor, he talked of investing in real estates and stock market.
So I was curious, did he invest in properties and stock through his company? Does anyone do that? Is this smart (I have heard Hollywood Stars live in houses that are legally owned by some random/unheard-of/untraceable company)? Is it advisable? Does doing this have any benefits (i.e. tax advantage)?
Translating the question on to myself, I am foreign and broke, but I want to have some investment in the US; when I set aside USD$1000 and say purchase some sort of asset (growing it, acquiring more with time), should I start a company (C Corp) in US and purchase assets with this separate entity that is under my control?
It is sort of an odd question, I appreciate any response.

Thank you!

[Business Attorney]

There are too many factors to make any broad generalizations but I am going to make one anyway: you should NEVER make a passive investment through a C corporation. If you are a non-resident non-US citizen, you can't use an S corporation but you can use a pass-through entity like a limited liability company (LLC).

One caveat: as a non-resident non-US citizen, you may live in a country where the tax treaty with the United States does make a C corporation (and the withholding at source taxes) a valid option. Unlikely, but possible.

Bottom line: get professional advice. For a $1,000 investment, paying for professional tax and legal advice is not economically feasible, but before you make any substantial investment, you need to come up with the best structure for your situation.

[Fulcrum]

For the most part, it depends on liability and tax planning.

Real estate investments make sense to be owned in a single/dual asset entity (usually an LLC in the US) as it limits the investors exposure if the property owner gets sued.

There are other companies in manufacturing that lease their equipment/building from companies setup by the owner of the manufacturer. Again, this is primarily to limit exposure as well as for tax reduction strategies.