Hello, friends. How are you all? hope everyone well. Today I provide information about various options to invest in various stock markets across the globe regardless of where you currently reside.
in 2020 several stocks rested on various stock exchanges like nasdaq nyc including eva manufacturer tesla neo vaccine manufacturer moderna nova wax video telecommunication company zoom skyrocketed several hundred percent several stocks listed on various stock exchanges like euro next tsx sgx posted triple digit returns. many of you might have tempted of dipping your toes into investing in foreign stock exchanges and benefit from such huge growth in certain sectors and certain markets.
Let's going to discuss certain ways in which you can invest in foreign stock exchanges regardless of where you currently reset. so let's see the first method is to directly invest in foreign stock market for doing this you need to open a global account with a broker who can provide you with access to various stock market for example interactive brokers or eths alternatively you can open a local account with a local broker in the targeted country for example v-bull for investing in u.s stock markets or monique's boom for investing in hong kong and 11 other stock markets the availability of this brokers can vary depending upon the country of your residence you must be very of redundant brokers.
who are not registered with respective regulators in the stock market for example sec in u.s stock markets second option to invest in foreign stock market is through american depository receipts ADR or global depository receipts GDR. I will cover ADR and GDR in detail in the future.
ADR and GDR to allow access to a stock that is listed on other local markets for example china's e-commerce giant Alibaba is traded on nylc as an adr ads and gdrs allow access to stock that you otherwise cannot access you can invest in foreign stock markets through a mutual fund that focuses on international equities. such mutual funds can be country region or investment type specific fees of global mutual fund vary depending upon whether it is an actively management or passively manageable fees of global mutual funds are higher but they provide an easier alternative to previously discussed options an international exchange traded fund is a convenient way to access foreign market etfs can provide access to multiple markets or focuses on single country.
ETF also cover different investment categories such as market capitalization or sectors the last option is an indirect option if you are not comfortable investing in foreign stock markets you can still benefit from the growth in emerging markets by investing into mnc that are listed on your local stock markets which generate majority of the revenues from global operations.
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