Three common U.S. investing myths debunked

The U.S. is home to the largest, most exciting and most innovative businesses in the world. No matter where they might come from, Wall Street is an investor’s dream. 

Yet while the companies are typically bigger and brighter than anything the Australian market has to offer, investors are often hesitant to invest directly in their favourite names overseas. 

Today, we’re going to dispel the three biggest U.S. investing myths holding investors back.

1. U.S. investing is too hard

While the country might be different, the pillars of good investing remain. Whether you’re looking for growth or income opportunities, stocks on the New York Stock Exchange or the Nasdaq operate just the same as the ASX.

In fact, with a platform like Superhero you can invest just as easily. The best part? You can manage all of your investments in the one handy app, making it simple to switch between different markets using the U.S. filter. Just look for the stars and stripes. 

2. Investing on Wall Street is a tax nightmare

America’s tax system might look a little different but it doesn’t stop millions of foreign investors from trading U.S. companies every day. 

At Superhero, we make it as simple as possible to do the same. When you first fund your U.S. wallet, you’ll get a pop-up so you can declare you’re an Australian tax resident (if you are). 

You can also read more about this on the ATO’s website or speak to a tax professional if you need personal advice. 

3. Currency conversions are complicated

Unsurprisingly when you buy U.S. shares, you’ll pay in U.S. dollars. This means that your returns can be increased or reduced by currency fluctuations, or the difference between the AUD/USD when you buy and when you sell.

While it’s something to be aware of, it’s never been easier to move between the two currencies. At Superhero we take care of the conversion for you, allowing you to exchange Aussie dollars easily within the app.*

*fees apply

So what’s holding you back?

If you already have a Superhero account, trading U.S. shares is simple. Just navigate to the Invest tab and hit the U.S. filter to see some of the most traded companies on the platform. Already have a stock in mind? Use the search bar to find your next investment.