that they have a relatively high dividend yield and that the stock market itself is characterized by stable growth. As a result, this type of investment is capable of generating permanent dividend income, the amount of which may be higher than in the case of bank deposits or other conservative investment methods. With the right approach, investments in American stocks can not only significantly improve your financial situation, but also allow you to get a promising and profitable profession that guarantees a comfortable existence.
Content:
- Where are US stocks traded?
- How to invest in US stocks for beginners.
- Which US stocks are best to invest in?
- Conclusions.
Where are US stocks traded?
Stocks and other securities of large corporations are traded on the stock exchange. US stocks are no exception in this regard. There are several large stock exchanges in the United States, which are the largest in the world in terms of scale of work and capitalization. First of all, we are talking about two exchanges:
- NYSE;
- NASDAQ.
The New York Stock Exchange has been in existence for more than 200 years. During this time, it was able to become the largest trading platform where the shares of the world’s leading corporations are traded. In a sense, all large public companies dream of listing on this exchange, as this will indicate the company’s high reliability and investment attractiveness. Shares of companies as large as American Express, Boeing, Chevron, The Goldman Sachs, JPMorgan Chase, and hundreds of others trade on the New York Stock Exchange .This exchange is, in many ways, a main link in the entire world financial system, since not only the US economy depends on its quotes, but also markets such as Russian, European, etc.
The second largest exchange in the United States is NASDAQ . Although it does not have as long a history as the NYSE, it also plays a very important role in the life of the stock market. Large high-tech companies working in the field of information technology, engineering, medicine, etc. are trying to access this exchange.
Here, in particular, shares of corporations such as Apple, Google, Intel, Microsoft and others are traded. Recently, companies from China and other Asian countries are actively registered on this exchange.
Since her capitalization is steadily growing, trading volumes on the exchange are also steadily increasing, and she herself is strengthening her position in the stock market. Until now, the securities of Russian companies, in particular, the shares of Tantalum (a company of the military-industrial complex), are poorly represented in this exchange.
How to invest in US stocks for beginners
In order to invest in US stocks, a beginner must find a brokerage firm that is licensed to trade on US stock exchanges. Today there are enough brokers of this type, so choosing the right company should not be difficult.
First, the investor must register on the broker’s website, fill out a short form and contact one of the company’s managers. He will tell you how to properly open a brokerage account, from which stock investments will be made in the future. Then he must take a course on how to work on the exchange, install the software with which exchange transactions are carried out and configure it correctly. Then it remains to replenish the account, select the shares for purchase and conclude a deal on the exchange.
Which US stocks are best to invest in?
The correct answer to this question requires a thorough analysis of the market, knowledge of current trends and the characteristics of the movement of shares of different companies. At first, a beginner should stop at the shares of large companies, since they are characterized by the highest reliability and the least susceptible to speculative manipulations. First of all, we are talking about the companies included this year in the Dow Jones, S&P 500 and Nasdaq 100.
After gaining the necessary experience, you can try investing in shares of lesser-known companies, for example, Pandora shares or Nokia shares. But for this, you need to learn how to correctly carry out fundamental and technical analysis, as well as how to correctly correlate existing risks.
conclusions
Investing in US stocks has great return potential, which is why this type of activity is now very popular. Stocks of US companies are traded on stock exchanges, the main ones being the NYSE and NASDAQ. You can buy shares on these platforms by signing up with a broker. The choice of stocks for investment should be made after thorough fundamental and technical analysis, which will significantly increase the probability of profit.
