Advantages of investing in overseas markets

One of the potential benefits of investing overseas is that you can gain exposure to markets with different economic forces. That is, by investing in a spread of different countries, when some regions are experiencing a downturn, others may be seeing growth, thus potentially smoothing your returns. 

Direct investment

Direct investment is where you purchase an asset under your own names, such as shares or a property or a business. The only difference is that the asset is located in another country. So that, we have to consider  the regulations and taxes that apply in both the country you’re investing in and in your own country when you collect your returns.

Indirect investment

Indirect investment is where you buy an asset through another party. Examples of indirect investment are managed funds or purchasing shares in an Australian company with overseas exposure.