Off lately, Indians have begun to approach stock investments more thoughtfully. Instead of making decisions based on emotions, investors are now using logical explanations and reasoning to understand the world of stock investments, which was previously seen as risky or undervalued. This trend suggests a shift towards more informed and rational investment decisions among Indians; and thanks to technological evolution, opportunities at present are just a click away.
As Indian investors increasingly explore opportunities for the future, other securities such as investments in bonds, NFOs, NCDs and international stocks have emerged as a popular choice. Among the listed, investment in the international market has remarkably picked up speed, with the US stock market surfacing as a popular investment destination for Indian investors. With advancements in online share trading and the rise of user-friendly trading apps, investing in US stocks has become more accessible than ever. But – “To invest is second, to learn is first”, it is necessary that Investors have an idea about the market and the stocks that could suit the diversification well and establish a stronger portfolio. For this, we ran through some of our resources and plucked some US Stocks, highlighting how they have performed historically and are well-suited for Indian investors looking to diversify their portfolios.
1) Apple Inc. (AAPL):
- Newton’s Apple experience changed the world of “Science” and Steve Jobs’ Apple experience changed the world of “How humans interact with everything”. Incorporated in 1977, in a small garage, today the company is listed as one of the most valuable companies in the world. Known for its creative, innovative, and out of the box experience, Apple Inc. has performed remarkably in the US Stock Market, with a market cap of $3 Trillion, a feat yet to be achieved by other listed companies. The company shares were listed at $22 per share in 1980 , which at present are trading at $193/share. While, the calculation may provide you with a return of only 88% in 40 years, which is of course less than any other average company stocks, you may have skipped the part that the company stock was split 4 times, which means if you had bought one share of Apple in 1980 for $22, you would have 56 shares today, each trading at $193. So, the calculation done right would be you investing $22 in 1980 and getting $10,808 in 2023. A whopping 49027% return on your investment! Doesn’t seem less, does it?
2) Amazon.com Inc. (AMZN):
- Growing from an online book selling platform, to a multi-billion-dollar technology company isn’t easy. Amazon changed the way people shopped. Not only this, but the company forayed into businesses tactically, which helped them secure a place among the FANGs! Incorporated in 1994, the company went public in 1997, listing its shares at
$18/share. Surviving and reviving itself from the 2002 DOTCOM BUBBLE, Amazon quickly bounced back. The stock was split 3 times during the tenure, which means at $18 in
1997, you would have now held the ownership of not one but more than 300 shares, at the current price of $128, turning your $18 investment into $41,472!
3) Alphabet Inc. (GOOGL):
- The idiom “Google God” holds true as Google seems to know everything, and it’s often our first go-to-place when we want to find information or ask a question. It has become our virtual oracle, providing answers and insights on a wide range of topics, making it an indispensable source of knowledge in our daily lives. The source, however, was birthed in a garage, which today holds one of the largest office spaces in the world! Known for revolutionizing the internet advertising space, Google has been one of the best performing US Stocks when it comes to analyzing returns generated over years! Google held its IPO on August 19, 2004, pricing shares at $85 each. An investment of $1,000 in 2004 could have purchased 12 shares of Google. Google underwent stock splits of 2-for-1 in 2014 and 20-for-1 in 2022, which means the 12 shares would now have been more than 450 shares, returning the investment of $1,000 to more than $1,160,000, in just 19 years!
While these are only a handful of stocks that you might be able to invest in, if you are looking to diversify your portfolio into international securities, there are more than 2,000 stocks that are available for you. Diversifying your investment portfolio by adding US stocks can offer you a chance to participate in the success of global giants and tap into different industries. As the world of online stock trading and trading apps continues to evolve, the barriers to entry are significantly reduced.
We at Appreciate, facilitate US stock investments for Indian investors. With our user-friendly Appreciate App, seamless money transfer capabilities, zero commissions, and no minimum investment amount, we offer a hassle-free and transparent investing experience. For more information about Appreciate Wealth and to explore US stock market opportunities, visit our website or download the Appreciate App today. Happy investing!