3 May 2022

Are you grasping global investment opportunities?

As a day trader, technical trader or long-term trader, the world is literally your oyster concerning global investmentopportunities. While we appreciate that day traders and technical traders focus on limited trades and limited diversification, do you have a global investment strategy?

 

Frontier markets

 

Here at GIS HK Ltd, we have a deep-seated knowledge of frontier markets such as Indonesia, Malaysia, Thailand and Vietnam. We also have years of experience with Hong Kong and listed Chinese securities, focusing on the "Connect" trading system. Ongoing investment allows us to provide the latest in cutting-edge trading, clearing and settlement services, facilitating investment across a range of exciting markets.

 

Established global stock markets

 

Electronic trading allows Global Investment Strategy HK to provide access to worldwide markets. From London to New York, Tokyo to Frankfurt and beyond, there are numerousopportunities to diversify your investments and utiliseparticular market strengths. For example, many day traders monitor the technology market, buying on weakness and theselling into strength. Even though there are many opportunities to trade technology stocks in Hong Kong and China, the US market is seen by many as the centre of technology trading. Presenting an exciting option for day traders?

 

Trading and settlement

 

In years gone by, settlement of overseas stock market transactions could be complex, tiresome and often very expensive. However, the situation has changed dramatically in recent years; the introduction of electronic trading has opened markets to global investors and improved liquidity. In what many see as a win-win situation, confidence breeds confidence, and liquidity ensures the best market price.

 

The development of overseas custody relationships, a deep-seated understanding of local settlement procedures and automation of the process have been a game-changer. Whether local or global, transactions are now settled in a fraction of the time of years gone by. Settlement systems worldwide operate together, integrated and constantly working to improve efficiency and speed. This happens within a local and global regulatory framework, which puts investorinterest’s front and centre.

 

Are you open to diversification?

 

Diversification in its most basic form means creating a spread of investments which will allow you to ride out the volatility of markets – effectively, limiting your downside. While some sectors and markets move in tandem, others move in opposite directions, presenting a means of reducing your portfolio's beta risk (volatility). Even though diversification, carried out correctly, will limit your downside, it will also restrict your upside. So how does this fit in with day traders?

 

Access to global investments

 

As day traders tend to focus their funds on a small number of transactions, aiming to bank short-term profits regularly, diversification in its most basic form is perhaps irrelevant. However, in this instance, diversification means the opportunity to look at different types of investments, other markets and even different countries. In brief, adopt a global investment strategy!

 

While you must do your research regarding overseas markets and "new" sectors, there are few limits when looking to trade on a global basis. Whether looking at frontier markets, established global markets or emerging markets, here at Global Investment Strategy HK, we provide cutting-edge dealing, seamless settlement, and 24/7 support services. So, the world literally is your oyster!

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