Broker for buying US shares
Discussion
Good evening all,
Which brokers do you use to buy US shares? All of my holdings are with Hargreaves Lansdown and I'd use them (I have a valid W-8BEN) but I have no idea what the exchange rate would be.
From HL:
"This stock is quoted and traded in US Dollars. When you deal, the total value will be converted into sterling by the market maker we place your deal with. "
Thanks
Which brokers do you use to buy US shares? All of my holdings are with Hargreaves Lansdown and I'd use them (I have a valid W-8BEN) but I have no idea what the exchange rate would be.
From HL:
"This stock is quoted and traded in US Dollars. When you deal, the total value will be converted into sterling by the market maker we place your deal with. "
Thanks
Any broker is going to require you to deliver USD for your purchase.
You could cross GBP over yourself and then try and open a USD broker account but that wouldn't be very logical. Most people would just have their broker execute the fx transaction as part of the stock purchase just as HL do.
The only way to avoid the fx element would be to trade the stock as a SpreadBet.
You could cross GBP over yourself and then try and open a USD broker account but that wouldn't be very logical. Most people would just have their broker execute the fx transaction as part of the stock purchase just as HL do.
The only way to avoid the fx element would be to trade the stock as a SpreadBet.
I trade US stocks using HL. Generally speaking the fx costs are around 1% of the transaction size.
As an example assume you have 50 shares of ABC Corp at $80 each, you want to sell for $4000 at 1.327 = £3014.31.
£11.95 trading fee, and fx costs of roughly £30, so you'd end up with £2970 or so net.
About 50% of my stocks are US, Friday was most unpleasant. Made a decent slug shorting the Dow as some compensation though.
As an example assume you have 50 shares of ABC Corp at $80 each, you want to sell for $4000 at 1.327 = £3014.31.
£11.95 trading fee, and fx costs of roughly £30, so you'd end up with £2970 or so net.
About 50% of my stocks are US, Friday was most unpleasant. Made a decent slug shorting the Dow as some compensation though.
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