"In the US, if a customer invests in a listed company through an SEC-regulated brokerage account, he is protected up to $5,00,000 against any wrongdoing by the brokerage house or account provider. This protection is not only for US residents but all investors," says Viraj Nanda.
Want to invest in stocks of foreign companies? Here s how to go about it
Pricing models could be annual fee-based or transaction fee-based charge while trading.
Synopsis
For investors who are comfortable doing research and taking exposure to individual foreign stocks, opportunities in the US market are immense. Choose a platform that is regulated, invest for the long-term and make decisions based on valuation merit, not just on popularity.
Sakshi is a young finance graduate who is about to start her career in a multinational financial institution in India. She wants to invest in leading global stocks like Tesla, Apple, Nio, Alphabet, Youtube, etc. that have outperformed in the recent past. She believes that the companies that are at the forefront in their respective fields are continuously joining the US market. Hence, she wants to invest in a portfolio built with stocks of