The legalization of the use of marijuana in Canada has made it become an essential investment place for U.S investors. The only G20 state to legalize the use of cannabis nationwide is Canada. Investing in Canada will give investors the opportunity of investing in licensed products. It is difficult for U.S investors to access the Canadian exchanges many companies use using traditional brokerage accounts. The Canadian shares offer the best liquidity for U.S investors. This article discusses the Ways in Which U.S Investors can Purchase Canadian Cannabis Stock.
One way U.S investors can purchase Canadian stocks is by U.S Brokers who trade on Canadian Stocks. A lot of U.S Brokers are not given the permit on trading international stocks. Canadian stocks allows U.S brokers trade on foreign stocks.
There exist some brokerage accounts which allows online trading in the international markets. The most popular U.S brokerage available for international traders is InteractiveBrokers. Investors can maximize their returns and reduce their fees using the fixed and tiered pricing of InteractiveBrokers. The other easy-to-use U.S brokerage for international traded are PennTrade and Questrade.
When trading on international stock exchanges, there are many important factors U.S investors should consider. The first important consideration to remember is that the prices expressed are in Canadian dollars which will fluctuate at times. Brokers who offer ways of converting Canadian dollars to U.S dollars are present today. Learn how to buy canadian stocks here!
All the options available for liquidity should be considered when trading on international stock exchanges. Some preferable liquidity terms available are American Depositary and over-the-counter versions stocks. If you don't want to worry about trading fees or the movement of the Canadian dollars, you should go for considering the OTC version of security. Read more facts about cannabis, visit https://en.wikipedia.org/wiki/Cannabis_indica.
Payment of foreign taxes on international capital gains and dividends should be considered when trading on an international stock exchange. A deal has been struck between Canada and the United States of America to avoid double taxation cases, and this is good to the side of U.S investors. It is important to consult your financial advisor for them to elaborate on how your tax situation will be affected if you invest in the Canadian stock exchange. Know the 280e cost of goods sold here!
By due diligence, U.S investors will be able to buy Canadian shares. Many of the Canadian stocks do not march up with the U.S security exchange, and this may bring about issues to an investor. Investors are able to look up common filings such as quarterly and annual reports if they conduct due diligence tips.
Investors looking for exposure the Canadian stocks have a lot of options which they should consider carefully.