Australians eager to invest in US stocks were struggling to know everything they could about Tesla, new research on online searches has found.
Commissioned by financial education firm Invezz, the research found that Australians were logging 79,800 online searches per month for Tesla shares as they grew during the coronavirus pandemic.
Second came Amazon, which also increased its market share during the pandemic, garnering 44,900 online searches per month.
From there, an avalanche of high-tech stocks emerged: Apple (34,800 searches), Afterpay (21,000 searches), Facebook (20,000 searches) and Netflix (13,300 a month).
The research found that an overwhelming majority of Australians eager to invest in stocks found education and knowledge to be the biggest barrier to entry.
Others said they were hoping to minimize their family budgets to save for investment capital, while more than half said they were prepared to accept the various risks associated with the stock market.
Surprisingly, only 34 percent said negative stock market speculation would greatly discourage them from investing.
Invezz said it encourages newcomers to diversify whenever possible and invest in companies that operate in the sectors that interest them.
“You are more likely to be more intuitive about what’s going on if you invest in companies in which you have a genuine interest,” the platform recommended.
“By knowing your operations, products, key personnel, and more, you will make more balanced rather than reactive decisions because you have basic knowledge.
“Even when it doesn’t, companies often produce a wide variety of documents, such as their mission statement, financial statements, and letters to shareholders, all of which are detailed sources you can use to learn about a company. , its performance and the way it is executed. “
Another red flag is those looking for quick profits, as it invites too many risks.
“Ask yourself important questions before investing, such as: why am I investing and how much do I want to invest?” Invezz said.
“If you are simply looking to ‘play the market’ for a quick profit, then you should be prudent and not take too much risk; it is recommended to enter the market with a view to investing up to five years minimum.”
Top 10 Company Stocks by Monthly Search Volume in Australia:
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