07/24/2024
Why choose to invest in US stocks
Investing in US stocks is actually investing in companies listed in the United States, which is equivalent to investing in the company's genuine business results. Many people believe that investing in stocks is no different from gambling, just buying the stock code of a company. As for whether to make money or lose money, it all depends on luck, but this is not the case. When you buy stocks of a company, you become a shareholder, and selling stocks is a transfer of ownership of the company.
Malaysian stocks are stocks purchased on the Malaysian Stock Exchange, while US stocks are stocks purchased on the US Stock Exchange. The trading rules of different stock exchanges vary.
★ US stocks are more suitable for small capitalists
The smallest trading unit in the Malaysian stock market is 100 shares, also known as 1 lot. For example, if you want to purchase stocks from Yunding Group, which have a price of approximately RM 5.5 per share and a minimum trading volume of 100 shares, then you need to invest at least RM 550; The US stock market, on the other hand, does not have a limit on trading per hand, as a minimum of one hand can be traded.
★ More choices for US stocks
There are over 8000 stocks in the US stock market, while the number of stocks in other countries is lower than that of the US stock market. Many non US companies, such as Alibaba and JD.com, also choose to go public in the US because the US is the most liquid financial market in the world, and listing here can obtain a larger amount of capital.
★ The types of companies in the US stock market are more internationalized
Compared to other countries, companies in the stock market are relatively small and medium-sized, and large companies like Alibaba have very few global stocks.
★ The daily trading volume of US stocks is very high
The US stock market has attracted global investors, so the likelihood of market manipulation is low, while markets in other countries are relatively small, especially some small stocks that are easily manipulated.
★ High domestic demand and strong economy in the US market
The United States has a large population and a very active market, making it the world's largest economy. Therefore, businesses generally operate stably. The stock markets of other countries may be affected by factors such as a small population, insufficient market liquidity, and unstable enterprise development.
