Best Online StockBroker For Non-US Residents or Foreigners
Best Stockbroker for non-US residents, foreigners or international investors you can open a global stock trading account, pick profitable top gaining stocks on Nasdaq, AMEX and NYSE
If you are a non-US resident looking for tips on opening a low-cost stock brokerage account in the US so you can easily trade shares of listed companies from the comfort of your home, or office, this investing guide contains my experience and how I gained access to the world’s largest and most liquid stock exchange platform.
Yes! the US stock market remains the most attractive financial trading platform in the world; not only is it because it has the highest number of listed companies of any market size from different countries but also offers you the easiest route to tap into the numerous wealth creation opportunities in the US market; technology, healthcare, real estate, finance, construction, etc
When you gain access to the US stock market, you have an unlimited opportunity to trade the finest, fast-growing and most valuable companies in different stock exchanges like NYSE, AMEX, Nasdaq & OTCs.
During my search, I realised that the real challenge typical non-US residents or international investors face wasn’t the availability of US brokers but finding the regulated and trusted stockbrokers that accept retail investors with little capital. Some even, accept and reject applications from selected regions due to international regulatory policies.
My first encounter with a US stockbroker wasn’t even appealing: I met all their minimum account opening requirements but couldn’t move ahead because their initial deposit as t then was $500 ( at an exchange rate of N360, you need N180,000), by the time you factor additional commission on trade, miscellaneous fees, e-tax statement, and so on, I guess you properly would re-direct your search.
Update: Sogotrade broker no longer accepts Nigerians.
Best Stockbroker for non-US residents, foreigners or international investors & basic requirements:
To summarize this guide, here are the basic requirements you need to make available before opening a US stock brokerage account as a non-US resident or international investor.
- Government issues ID ( National ID, International Passport, Drivers’ License) for personal identification.
- Utility bill (PHCN for almost 3 months ) or bank statement showing your physical address. The address on your document must correspond with the address to fill online.
- Go to ChoiceTrade.com, my preferred and recommended regulated low-cost stockbroker for non-US retail investors.
ChoiceTrade is the leading stockbroking firm in the US, the platform offers the cheapest transactions fee compared to other US Stockbrokers like ETrade, TDAmeritrFidelityleity, and Schwab.
While other Stockbrokers require a minimum initial account funding of $2,000, $5,000 and $10,000, ChoiceTrade is pegged at $100.
Before you register on this platform, you need to cross-check your documents and make sure the information you provide during registration (personal profile, investment records, etc) corresponds with the details on the documents submitted. Any discrepancy may lead to termination of your account.
After filling the forms you will be required to scan and send your government ID and utility bill for review. For registrations submitted during business days, you will receive a response on the status of your applications and if approved, a welcome email will be sent to you with your ChoiceTrade account number and login details.
How to fund your ChoiceTrade account:
ChoiceTrade offers various funding options but I recommend “bank wiring” via international transfers from your local bank: it’s faster and safer except that the rising cost of international transfers from certain countries.
The last time I wired fund from my local bank in Nigeria to ChoiceTrade, the total fund sent was $50 + the amount funded.
Here is a recent update on ChoiceTrade website:
IMPORTANT NOTE: In order to fund your account with a wire transfer, you must have a bank statement on file with ChoiceTrade from the bank and account where the wire transfer will originate. Your name and address on the bank statement must match the name and address on your Choicetrade account. Please do not initiate a wire transfer unless you have provided us with a correct bank statement. If the bank information does not match the wire transfer when it is received, your wire will be returned. No exceptions will be made to this requirement.
To fund your account, submit these details to your bank:
Bank Name: BMO Harris Bank, N.A.
Bank Address: 111 West Monroe St., Chicago, IL, 60603
ABA # of Bank: 071-000-288
SWIFT (foreign only): HATRUS44
Beneficiary Name: Electronic Transaction Clearing, Inc. Settlement Account
Beneficiary Address: 660 Figueroa Street, Suite 1450, Los Angeles, CA, 90017
Beneficiary Account: 2459865
For Further Credit To: Your Name / Your ChoiceTrade Account Number (Beginning with “01”)
NOTE: You must include your ChoiceTrade Account Number on the wire document, or your wire will be returned.
That’s all for now!
Update, ChoiceTrade is still accepting Nigerians, Click here for a guide on how we trade US stocks for profit.