sharetrader
Results 1 to 4 of 4
  1. #1
    Member
    Join Date
    Oct 2011
    Location
    Auckland
    Posts
    40

    Default Buying Aussie companies on NZX

    Hi, what are the advantages of buying a stock like AFI on the NZX instead of the ASX? My first thought is the liquidity isn't as good as ASX but it's sufficient for small investors.

  2. #2
    born2invest
    Guest

    Default

    Quote Originally Posted by Kaspar View Post
    Hi, what are the advantages of buying a stock like AFI on the NZX instead of the ASX? My first thought is the liquidity isn't as good as ASX but it's sufficient for small investors.
    - Exchange rate movement
    - Exchange rate commission by your broker

  3. #3
    Veteran novice
    Join Date
    Jun 2007
    Location
    , , .
    Posts
    7,289

    Default

    IMO, it depends very much on the company involved - only a few have sufficient liquidity on the NZX for (my) comfort. In theory, one should be able to arbitrage inefficiencies between the two markets but the "thinness" of most Aussie stocks on the NZX makes this problematic. At least, in my experience.


  4. #4
    Member
    Join Date
    Aug 2010
    Location
    Bologna Country
    Posts
    64

    Default

    Any thoughts on buying AFI on NZX vs ASX as part of exposure to Australian shares? Excluding exchange rate movements, do others include AFI in their investments?

Bookmarks

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •