Buy Nvidia shares in Hong Kong
If you have been thinking about investing for a long time, but the idea seemed out of your reach due to a lack of funds, knowledge and competent preparation, nowadays there is every opportunity to realise your dream. Thanks to modern web technologies, investments are available to anyone with a laptop (tablet or mobile phone) and access to the World Wide Web. Innovative online trading platforms are helping almost anyone on earth, even from the remotest corners of the smallest provinces, to start investing.
In this short article, we take a look at investment options for NVIDIA Corporation stock in Hong Kong.
NVIDIA Corporation. Briefly about the company
NVIDIA Corporation (NASDAQ: NVDA) is a US-based company that is one of the world's largest manufacturers of graphics accelerators, graphics processing units (GPUs) and system logic kits. The Company's products are marketed under such brand names as GeForce, nForce, Quadro, Tesla, ION and Tegra. The company's name is based on a play on words: envidia in Spanish means "envy".
The company was founded in 1993. By the end of 2020, the corporation had more than 13,000 employees working in more than 50 offices around the world. The company is headquartered in Santa Clara, California (USA).
The company's core products:
- GeForce®-solutions for gaming systems.
- Quadro™- Professional Solutions.
- Tegra™- a media processor designed specifically for mobile devices.
- Tesla™-all about supercomputers.
- ION-system for Atom-based notebook computers.
Nvidia's slogan is "Play as you play". It's mostly found in games that use Nvidia technologies such as:
- MFAA, MSAA, TXAA
- Nvidia Hairworks
NVIDIA serves the entertainment and consumer market with its GeForce GPU products, the professional design and visualization market with its Quadro products, the high-performance computing market with its Tesla computing solutions, the mobile computing market with its Tegra processors - the foundation for a new generation of tablets, Slate, smartbooks, e-books and the small form factor Ion graphics processors.
In January, the company went public via an IPO on NASDAQ, where NVDA is the ticker symbol.
So far no European stock exchange can provide as much daily trading volume in the issuer's shares as the US system NASDAQ.
Nvidia remains the green giant of the computer graphics industry these days, and it is not even about to give up its position, regularly delighting consumers with more and more powerful graphics cards. The company's presence in both gaming and heavy computing is extremely broad, and it would take something truly stunning to knock Nvidia off of Olympus.
As of the date of this writing, Nvidia's share price is 802,01$, up 88.64% on last year's figures for the same period.
Key methods for investing in NVIDIA shares in Hong Kong
You can only invest in Nvidia shares through a licensed intermediary. Now, the choice of brokerage companies in Hong Kong is extremely large, but your task is to choose the best intermediary. To do this, firstly ask if the brokerage company has a brokerage license. Secondly, check the reviews of the company's operations.
Check how the trading platform works. Remember, online trading differs from classic investing in that you will be acting on behalf of the broker, using the online trading platform provided, but virtually on your own. Therefore, functionality, informativeness, clarity and ease of use are important qualities of the platform.
Whether investing in shares via the dividend method or trading in derivatives is the next question.
If you have available investment capital of a substantial amount and wish to ensure a passive income for the future, feel free to choose the dividend method.
Dividends are part of the income of a business. Accordingly, the amount will fluctuate slightly, because it is directly linked to the development of profits. How much of the net profit the organization pays out to the shareholders and how often (annually, semi-annually or quarterly) is stated in the dividend policy. In some cases, the number of distributions is calculated based on net cash flow rather than net profit. Sometimes companies may pay dividends out of undistributed profits from previous years. The amount and frequency of dividend payments are determined by each company, based on internal policy, at a general meeting of shareholders. Dividend investing is rightly considered one of the safest methods of investing.
In the case of Nvidia, the company pays quarterly dividends to its shareholders in the range of 1.97% per annum.
Many people choose derivatives trading as an alternative to standard investment.
CFD trading or CFD trading is defined as 'buying and selling CFDs', where 'CFD' stands for Contract for Difference. CFDs are derivative financial instruments because they allow you to speculate on financial markets such as shares, currencies, indices and commodities, without owning the underlying asset. When you trade a CFD, you are agreeing to trade the price of the asset from the time the contract is opened until it is closed. One of the major advantages of trading CFDs is that you can speculate on price movements in either direction, whether or not you make a profit or loss depends on whether your predictions were correct.
If you choose the CFD type of investing, which is the most popular, you can also use a multiplier. Using a multiplier (also known as leverage) increases your profit if a trade is successfully closed. Remember, however, that when investing in derivatives you will only make a profit if your prediction of the price rise or fall of the stock is correct at the time of closing the trade. Therefore, your experience and ability to analyse the stock market is important to make correct predictions.
How to start investing in Nvidia shares in Hong Kong?
An online investment platform is software designed to give the potential investor access to all transactions in the stock market. Generally, this software is called a platform because it is available on every possible gadget - there is a web version as well as mobile applications and an e-tablet application and the like. In other words, by registering on an online investment platform, you will actually have access to stock market data anytime and anywhere, 24/7.
Let's take a closer look at how you register on the platform, what accounts will be available to you and the options for depositing or withdrawing funds.
Account registration on the trading platform
Registering on the platform can be done in a few clicks. Go to the broker's website and click on the "register" option. A standard registration form will open. All you need to do at first is give your first and last name and your email address, which you will need to confirm via an automatic link the system sends to the email. For the time being these details will be sufficient to get you acquainted with the system and to carry out training operations. Later on when you will want to make real transactions and withdrawals the system may request additional details to confirm your identity. Normally they will ask for scanned copies of your IDs (or any other information the system will provide).
Training with a Demo Account
When you first log in to the platform you will be asked to open a free demo account. A demo account that will help you get started without depositing any real money. You will see on the account an amount of money which you can freely use for training purposes. The benefits of such an account cannot be overestimated, as investing involves the possibility of losing money. So if you have very little experience with investing and you don't want to take any chances, you should try out a demo account. You will have access to the same features of the platform as you would have with a real account, except of course for withdrawals. If the trial investment proves unsuccessful and you lose your dummy funds, you will be able to restore them again and continue learning. There is no time limit on how long you can train and use the demo account. You can also re-establish a dummy amount in your account as many times as you want.
Live account activation
Once you have practiced on the demo account and decided to go for real trading, you need to fund your real account. Right on the platform you will see a "deposit" button and by clicking on it you will see all the funding options. The most popular option is by credit card, but you can also use online payment systems. Withdrawals can be made using the same methods.
What should you remember when investing online?
Remember that the risk you take when investing in shares online depends largely on your comprehensive knowledge, understanding of the functioning of the stock market, your ability to do thorough analysis, as well as your experience and even your intuition.
Investing is a whole science, which requires a potential investor to understand certain patterns and processes and also requires constant learning and deepening of knowledge. If you persistently study such processes, follow market trends, and monitor the behaviour of certain companies, over time you will learn to analyse and predict the possible rise or fall in the value of a company's assets. This will enable you to make successful transactions in the investment market and grow professionally as an investor.
To do this, you should constantly improve your knowledge in the science of investing.
You should also remember that share prices are affected by factors such as the political and economic situation in the country in which you are located and the home country of the company in which you are investing, as well as global developments around the world. It is therefore advisable to keep abreast of any new ones by constantly monitoring them.