Want to start investing in stocks? Or want to try to diversify your investment?
You came to the right place!
How does the US stock market perform when compared to other world stock markets? Is investing in US stocks safe? Then, did you know there is an industry that the market doesn't have world but is growing rapidly in the US stock market? Continue reading to find out the answer!
United States Capital Market Performance
The US stock market is represented by the S&P 500 index.
So what is the S&P 500? The Standard and Poor's 500 Index or abbreviated as S&P 500 is an index consisting of the shares of the 500 largest companies from various sectors listed on the United States stock exchange. Generally companies with large capitalization. More here and here.
We can see SPX500 grow faster
Company Shares in Today's Industry
In the SPX 500 there is TSLA (Tesla) the pioneer of consumer electric cars, NFLX (Netflix) the ruler of international film streaming, RBLX (Roblox) the current game that is on the rise, and many more.
Is it safe?
When talking about the safety factor, a liquidity approach can be used or how liquid / liquid are the shares in the market.
Of course, the security of the guarantee availability factor can also be a consideration.
Why liquidity can reflect the security of investing?
This is because the more liquid a stock market means the faster we can buy and/or sell a stock.
So the lower the risk of getting stuck.
In essence, higher liquidity translates to lower risk.
According to Siblishsearch.com, America's stock market capitalization stands at $53 trillion (USD).
In addition, if investing in US stocks is legally through an authorized broker and registered and regulated by an authorized agency in America, all stock market securities assets are insured or guaranteed by SIPC for a maximum total of $500,000.
Conclusion
Growth performance according to the last 5 years data clearly SPX500 has a higher growth rate.
Likewise if we take the top 3 stocks from each stock market index.
But should I invest in US stocks?
In the past, investing in the American stock market was very difficult because there were many conditions that retail investors couldn't afford, such as administrative documents and a minimum deposit, in addition to the high stock price.
Now with Gotrade we can start investing in US stocks quickly and easily.
Fast because it is paperless without the need to send complicated physical documents.
Easy because it can be done directly on the cellphone through an application.
In addition, Gotrade makes investing in US stocks affordable because we can buy some shares without having to buy one lot (100 shares).
Enough with a minimum purchase of $ 1 to get a part or fraction of a share.
Of course, with all these conveniences we don't have to invest in US stocks.
But a lot of wise advice not to put eggs in one basket.
This means that investment diversification is not a bad thing to do.
However, I always remind you that investment decisions are still in the hands of each one.
Why? Because profit, money, risk, and loss, also bear each.
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