Charles Schwab, U.K., Limited

Charles Schwab, U.K., Limited
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Why the U.S. Market

Well Established, Better Capitalisation, and More Liquidity

A well-established market with abundant financial data, the U.S. market reporting and information make it highly transparent. No other financial market is as large, accessible, transparent, and liquid as the U.S. market. Transaction volume, market capitalisation, and the sheer number of listed companies make it a unique investment opportunity for foreign investors.

U.S. Markets are Better Capitalised

The U.S. stock markets represent the biggest single concentration of wealth in history. In terms of market capitalisation, no other financial market comes close to the combined U.S. stock markets. As of the end of 2013, the market capitalisation of the NYSE Euronext (US) was valued at US17.95 trillion.

Exchanges Market Capitalisation
(2013; USD Trillions)
NYSE Euronext (US) $17.95
NASDAQ OMX $6.08
Tokyo $4.54
London $4.43
NYSE Euronext (Europe) $3.58
Hong Kong $3.10
Shanghai $2.50

U.S. Stock Markets are More Liquid

Looking at the NYSE Euronext (US) alone, the value of share trading for the whole year of 2013 was 6 times that of London, 2 times that of Tokyo, and 10 times that of Hong Kong. U.S. markets are still the biggest in terms of turnover as well as value. That means there's a very high chance of finding a buyer or seller of any particular stock at any given time. However, investors should be aware that there are securities offered in the U.S. market that are illiquid. Investors should consider their individual situation before purchasing any specific securities.

Exchanges Market Capitalisation
(2013; USD Trillions)
NYSE Euronext (US) $13.70
NASDAQ OMX $9.58
Tokyo $6.30
Shenzhen $3.86
Shanghai $3.73
London $2.23
NYSE Euronext (Europe) $1.66
Hong Kong $1.32

U.S. Stock Markets Offer Greater Diversification

U.S. markets offer access to a huge variety of American companies seeking capital. With over 5,000 companies to choose from, you can invest in major companies and global brands that list their shares on U.S. financial markets.

Exchanges Number of Companies
U.S.1 5,008
London 2,736
Tokyo 3,419
Hong Kong 1,643
NYSE Euronext (Europe) 1,062
Shanghai 953