With more and more people inclining towards stock market investments, the craze for global stock investments or international stock trading has also witnessed a rise. After tremendous growth in Indian stock market over the past few years, there has been a great increase in the interest of international stock trading among traders and investors. In this article you will get your answer about how to invest in international stocks.
The first and foremost question that hits the minds of investors is how to invest in international stocks like Apple, Google, Dell, Walmart and many such stocks. It is quite obvious that US stock markets are quite advanced from Indian stock markets and this is why it always seems tempting among investors to invest in global stocks.
The U.S stock market is known to have some of the most fabulous stocks in the world like Google, Facebook, General Motors, etc. when you choose to invest in global stock, you tend to get optimum exposure to growth due to the rapidly developing economy.
How to invest in international stocks?
There are primarily two options through which one can invest in international stocks(global stock investment).
- Direct investment in stocks
- Indirect investment in stocks via ETFs or Mutual Funds
Direct Investment
An investor can invest in international stocks by opening an overseas trading account with a foreign or domestic broker like Upstox, HDFC Securities, ICICI Direct, Kotak Securities, Axis Securities, and others.
Today many domestic stockbrokers have an association with global stockbrokers. Basically, they act as intermediaries and provide trading support. One just needs to submit a few documents to get the account opened and operational.
Indirect Investment
The easiest way to invest in international stocks is to invest through mutual funds. This way, you don’t need to open any kind of overseas trading account or maintain a minimum deposit for investment. There are many mutual funds that invest in US stocks and/or mutual funds. You can invest in these funds if you want to save yourself from the complexity of choosing the right stocks for investing. However, it is necessary to make sure that you pay detailed attention to the expense ratio of the mutual fund scheme before international stock trading.
If you carried a dream of investing in global stocks or you want to see your money grow exponentially, investing in international stocks is surely a great way forward. For example, if you decide to buy a share of Uber, which is currently trending at $35.13. By utilizing fractional investing, you can choose to buy just a fraction of it and see your money grow like never before. Here is an example of Upstox.
Steps to invest in international stocks
- Open a Upstox Demat Account – This is can be done in a completely online format and it doesn’t take much time to submit and get the information verified.
- Choose a Upstox Global Investments Account – The next thing to do is to choose an account that is suitable for global investments.
- Access the Upstox Global Investments Platform – Get your login credentials and start using your Global Stocks Investment Account.
Benefits of Upstox global Investments
- Option to invest in the shares of renowned brands like Uber, Apple, Zara, among others.
- No need to maintain minimum balance by owning a portion of international share using fractional investing
- Choose from over 60 exchanges across 25 countries worldwide
- Save brokerage with zero commission option
FAQs – How to invest in international stocks
Which international markets can be chosen for investment?
Some of the leading stock markets, best for investments are Nasdaq, New York Stock Exchange, Japan Exchange, Hong Kong Stock Exchange, and others.
What about the security of international transactions?
Most trading platforms are secured with 256-bit encryption and Secure Sockets Layer (SSL). Advanced log-in methods, automatic logouts, and ID verification that help avoid unauthorized access. Overall, you can rest assured about the safety of your data and all your transactions.