Investing in International Stock Markets from Chile

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Space Cat
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Re: Investing in International Stock Markets from Chile

Post by Space Cat » Wed May 08, 2019 11:27 pm

Britkid wrote:
Wed May 08, 2019 10:16 pm
I have just looked at the site a little more and am not sure Interactive Brokers is right for me. $10 a month minimum charge/spend is a fair bit for me. I was thinking of investing about $1000 in one stock initially and then after some familiarity with it maybe going to about $10,000 at some point.
Ah, yes, IB isn't good for less than $10k, before they even required this amount to open an account.
Britkid wrote:
Wed May 08, 2019 10:16 pm
The type of investment I will do will be to spend 5 hours reading up on one company, then buy a few thousand dollars of their stock as a medium to long term investment, then just leave the investment for years. I could conceivably go months without even logging into the account. I'll probably only purchase in 2 - 5 companies in total.
To be blunt, this is a bad idea because you'll have no diversification and basically make a few bets. Going into index funds (hundreds to thousands of companies) is a much better choice for a casual investor. I stock-picked about 25-30% of our Chilean portfolio and sort of regret it now. Our worldwide portfolio is 100% ETFs.
Britkid wrote:
Wed May 08, 2019 10:16 pm
I am not too sure about Renta 4 either. I have doubts about trusting a Chilean company that I don't know with a few thousand dollars. What if the company isn't trustworthy? I mean, how do you know? It's not like the UK/US where you can go online and easily find a hundred reviews from people that have used the company on several different review sites, all of which are known to be legit. You can't usually do that in Chile as easily.
Renta4 is a Chilean subsidiary of a Spanish bank with the same name.

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admin
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Re: Investing in International Stock Markets from Chile

Post by admin » Thu May 09, 2019 9:28 am

association with a spanish company i would count as a strike against renta4. :lol:

they are a registered broker with the chilean security and exchange. no more nor less questionable than any other broker.

i just got buggered making a stock sale using Santander's brokerage system. placed a 5 day limit order. market moved against me. went to go adjust the order, and guess what? no cancel or modification button in their web interface. had to ride out the order for 5 days while the market was running away from me. that was a 400,000 peso burn thanks to their technical incompetence.

renta4 might not have the most cutting edge system, but so far does what it should when it should.
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Britkid
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Re: Investing in International Stock Markets from Chile

Post by Britkid » Thu May 09, 2019 10:42 pm

I did actually invest in a couple of funds already. At the moment I have only funds and no individual companies except some shares I was given in the company I work for.

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Re: Investing in International Stock Markets from Chile

Post by admin » Fri May 10, 2019 11:21 am

i kind of look at ETFs vs. individual stocks as a 'right tool for the job' sort of thing.

like if i am going to make a play with a specific investment thesis, over a long period, I might have a look at say the top holdings of a etf related to the sector and buy the individual stocks to avoid the etf fees. especialy when like 5 to 10 stocks, or less, will pretty much drive the etf and the sector. i am not really getting any diversification anyway.

obviously getting a full spectrum of a sector with diversification is hard, so an etf over a year or two is fine. also if i simply can not see what is going to be dominate companies, then the etf shotgun is useful.
Spencer Global Chile: Legal, relocation, and Investment assistance in Chile.
For more information visit: https://www.spencerglobal.com

From USA and outside Chile dial 1-917-727-5985 (U.S.), in Chile dial 65 2 42 1024 or by cell 747 97974.

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