Stock Investment

With access to information and online trading now possible due to the internet, global investing has become accessible for the average investor who is capable of opening up an online brokerage account. In the past, global investing was undertaken largely by institutions or the wealthy that had access to advisors with connections to prospect and execute investing transactions. The growth in global investment has also been facilitated by emerging market economies such as India, Brazil and China which has captured the medias and fund managers attention on a worldwide basis.

A great way to gain exposure to international investing is to purchase units in a managed or mutual fund. Specialized financial personnel select stocks according to a set mandate which eliminates the need to have stock picking expertise. These funds are often internationally weighted with constituent shares from a diverse range of countries or focused specifically on one region or sector. China based funds, emerging market funds and special opportunities funds are setup to capture global investment opportunities. Individuals can buy units in these funds and sell them as desired. They are sometimes subject to entry fees and exit fees and entail minimum investment amounts. A financial services advisor can provide more details about global investing services.

Exchange Traded funds are another option for global investing. These funds are traded on exchanges around the world. The most common example is the US markets. The funds comprise a basket of internationally weighted stocks that represent a country, region or sector. Individuals can buy and sell exchange traded funds in much the same way as traditional shares. The FTSE/Xinhua China 25 Index Fund is an example of an exchange traded fund with exposure to China. Other similar ETF's are available for emerging markets such as Brazil and India.

American Depository Receipts or ADR's are another way investors can participate in global investing. ADR's are negotiable certificates issued by a US bank that represent shares in a foreign stock that is traded on the US exchange. This is a great way to buy shares in a foreign company but retain dividends and capital appreciation in US currency. In recent years, ADR's for emerging companies in China, Brazil and India have been very popular investment vehicles for gaining exposure to the underlying trend that is manifesting in overseas countries. You can find out more about ADR's by doing an online search. The symbols can be entered at finance portals such as Yahoo which will bring up a price history and provide further details about the funds constituents.

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