1. Decide if Samsung stock is the only stock you want to buy
We ’ d like a word before you buy anything—Samsung or any early stock for that matter. Are you absolutely sure you want to buy an individual lineage ? Stock pick is inordinately heavily to do well. Famously ample malcolm stock picker Warren Buffett has spent the last decades discouraging reasonably much everyone not named Warren Buffet from trying to make money picking individual stocks, he proclaimed : “ The goal of the non-professional should not be to pick winners — neither he nor his ‘ helpers ’ can do that — but should rather be to own a cross-section of businesses that in aggregate are bound to do well. ” One stock does not a crossbreed section make. An aggregate of companies, not to mention bonds and real estate of the realm, can well be bought by investing through a robo-advisor. It ’ s up to you to decide if you know better than the fiscal Yoda with the $ 81 billion net worth.
Picking individuals stocks is a batch like playing the lottery. In the case of american stocks, the top best performing 4 % stocks accounted for the entire wealth initiation of the US stock commercialize since 1926, which means there were lots and lots of losing store pickers. Are you sure Samsung is going to be the stock certificate with the kind of up trajectory you want for the long haul ? If you ’ ra certain you want to own some Samsung, there ’ s a bunch to said for the “ harebrained money ” doctrine of investing. If you own a properly diversified investment portfolio and have a little discretionary, or “ brainsick ” money on hand you ’ d like to use to speculate, bang-up. Roll the die. But a good principle of hitchhike is that you should gamble with no more than 5 % of your entire portfolio .
2. If you’re sure you want to buy Samsung stock
If you ’ re certain you want to acquire an interest in Samsung Electronics Co. Ltd., you have a few choices.
- Though an ETF. The absolute easiest way to acquire an interest in Samsung is by buying an exchange traded fund that invests in korean companies. By far, the dominant south korean ETF in terms of assets under management is called iShares MSCI South Korea ETF, which trades under the watch symbol EWY. BlackRock, who issues the ETF, writes in its literature that EWY “ seeks to track the investment results of an index composed of south korean equities, ” however Samsung is such a dominant player in the korean economy, it makes up a amazingly big percentage of of EWY ’ s sum holdings—currently closely 25 % in fact. other ETF options that will invest heavy in Samsung include Xtrackers MSCI South Korea Hedged Equity Fund ( DBKO ) and Franklin FTSE South Korea ETF ( FLKR ). The advantage of investing in Samsung through an ETF is not merely ease but besides added diversification that you wouldn ’ thymine become by purchasing shares in any one company, Korean or otherwise. Why not get a little side of Hyundai with your Samsung entree ?
- Through a global depositary receipt. According to Samsung ’ s web site, those who would like to trade shares in Samsung may besides do then by buying something called Global Depositary Receipts ( GDRs ) for Samsung that are listed on London Stock Exchange ( LSE ) and Luxembourg Stock Exchange ( LuxSE ). You can learn more about GDRs and their cousin, American Depositary Receipts ( ADRs ) here. deplorably, Americans are prohibited from purchasing Samsung this way thanks to Rule 144A of the US Securities Exchange Act. All others should be wary of senior high school fees that are sometimes associated with trade GDRs.
- Over the counter. Another room to invest in Samsung would be to trade them over the counter, or OTC. Basically, OTC trades cover purchases of securities that aren ’ triiodothyronine available on major exchanges like The New York Stock Exchange. Though OTC changes are regulated by politics agencies, for exemplar FINRA in the US, they are far less regulate than central exchanges .
- Directly on the Korean stock exchange. You can trade stocks on the Korean Stock Exchange ( KRX ) without setting food in Korea, though some legwork will be required. According to Samsung ’ s web site, this may be accomplished by obtaining an investor registration certificate ( IRC ), and opening a a stock trading report at a korean securities firm. If this sounds onerous—which it is, to be honest—a local broke with a major investment bank may be used to execute the trade, though the fees could surely be cost prohibitive .
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