Our team at findabroker.online has provided this guide to help you understand how to Buy American States Water Shares. When buying shares it is important to use an experienced, professional broker to make the transaction easy.
Below we detail in full how to purchase American States Water stock including what to be careful of and also help finding the best broker for your needs.
The following is an overview of the process to buy American States Water stock.
- Decide how you want to trade in American States Water. Are you interested in American States Water CFDs or American States Water Stock.
- Register with a leading American States Water broker that suits your needs. We suggest registering with a few to see which one best fits your needs. (Currently the top two online brokers for American States Water are IC Markets and XTB).
- Do some detailed research on American States Water financial reports. (IC Markets and XTB both provide research tools and resources).
- Finalise your budget and decide how many American States Water shares you are going to buy.
- Buy or Sell your American States Water shares with your chosen broker by placing an order.
You can easily buy American States Water stock with one of the leading brokers listed below depending on the type of trading you wish to conduct. You can buy American States Water shares with a broker like eToro or you can trade American States Water CFDs with XTB. It really is quite simple to start trading American States Water shares today.
If you are purchasing stock in the UK or Europe, eToro offer 0% commission on stock. This makes eToro a wise choice of broker when learning how to purchase American States Water stock.
when a client buys American States Water stock at 1x leverage with eToro, it is completely commission free and you would be buying the actual stock.
Also with eToro, clients can buy fractional shares – The Minimum deposit with eToro is $200, and to buy stock, $50 is the minimum trade.
eToro are not only market leaders but also one of the cheapest places to buy American States Water shares.
Below is our detailed article on How To Buy American States Water Stock. What you should know, Types of trading American States Water Stock and CFD’s. Pros and Cons, everything is explained below in our complete guide.
How To Buy American States Water Shares Guide
Buying American States Water Stock and CFDs
When investing in American States Water you have several options open to you and it is largely dependent on what type of investment you intend to conduct. You can easily buy traditional American States Water shares with one of our recommended brokers or you can trade what is known as a CFD (contract for difference).
In this ultimate guide to buying American States Water shares we will detail for you the difference between the two so when you do come to invest in American States Water you will be able to decide if you want to buy shares or CFD’s.
American States Water Traditional Share Dealing vs CFD Trading
CFD (Contracts for Difference) trading is pretty much what it sounds like, an agreement for the “difference”. In trading, this is basically a contract whereby two parties agree that the seller will pay the difference in the value of two financial instruments, usually defined as “buyer” seller”.
It is defined by Merriam Webster as: “A contract made by two or more persons in which they agree to exchange one or more securities for another or a difference in their value; or a contract entered into by a person who has bought a security, the difference between that amount and the price paid for it.”
If you are thinking about buying or selling stock in American States Water, you must first determine if you want to participate in CFD trading or not. If you decide that it’s a good way of making money, then you need to learn more about CFD trading and the best way to do that is sign up for a demo account with a reputable online broker like IC Markets.
CFD trading is a lot like stock trading, except when you exchange a CFD you do not actually own any American States Water stock.
If you buy American States Water shares with a leading online broker you actually own a share of American States Water. When you trade a contract for difference (CFD) you only have an agreement between you and your CFD broker speculating whether the American States Water share price will go up or down.
So why you would buy American States Water as a CFD instead of shares?
It’s all about leverage…
If you bought 100 American States Water shares at $50 a share with an online broker you now own $5,000 worth of American States Water.
If you purchased American States Water as a CFD you can get American States Water as a share in contracts for difference as they offer increased leverage.
Contracts for difference are traded on margin which means to have $5,000 invested in American States Water you would not need to invest the full amount as you would with a stock broker. Some online brokers offer leverage at 1:100 so you would only have to invest $50 ( known as the CFD margin ) with a CFD to hold the same position in American States Water. Trading a American States Water CFD allows investors to hold larger positions than their invested amount.
But be aware that although investing in a American States Water CFD like this amplifies any potential profit, it also increases your potential losses which may exceed the amount you invested. To guard against this, it is advisable to go with an online broker that offers negative balance protection.
If you invested in American States Water shares with an online broker you would only lose the amount you invested as you pay the total cost of your position to your broker upfront. It is a 1:1 transaction so there is no leverage.
Buying a American States Water CFD long would be hoping to profit from the share price of American States Water rising. A American States Water CFD short would be that you believe the share price of American States Water is going to fall. Trading CFDs allows you to profit from the share price moving in either direction.
This gives you a much greater chance to be flexible and move with the markets…. Just imagine if you’d shorted airline stock CFD’s just before Coronovirus in 2020….
By buying normal American States Water shares you can only profit from a rise in the American States Water stock price.
Stock Market Times For Trading American States Water Shares & CFD’s
If you are buying ordinary American States Water stock then your trades are limited to when the stock exchange is open if you are trading American States Water CFD’s then you have a 24/7 access to the market 🙂
How To Buy American States Water Stock With An Online Broker
Buying American States Water shares with a reputable online broker minimises your risk to losing everything as you have to purchase the total amount up front. Online brokers offer no leverage when buying American States Water shares. This means that your risk is limited to your initial investment into American States Water. You can only lose what you put into American States Water shares. Another benefit of buying American States Water stock with an online broker is that you may be eligible to receive American States Water dividends.
If you invest into American States Water via a CFD, you have no privileges as a shareholder as you don’t actually own the underlying shares. If you buy American States Water stock through a CFD however, the returns (or losses) can be much greater.
If you own shares in American States Water you may be eligible to voting rights at American States Water shareholder general meetings.
What Are The Tax Rules Around Owning American States Water Shares?
This will depend what country you live in as tax laws vary wildly. You should contact your local tax office for complete clarity but normally CFD’s are free from stamp duty. If you looking to buy American States Water shares through a CFD, then losses can normally be offset against profits when you submit your tax return.
Generally, Investment in American States Water stock are only exempt from tax if the American States Water stock is bought through an ISA ( Individual Savings Accounts ) or SIPP ( Self Invested Personal Pension ).
Should I Trade American States Water Stock or American States Water CFDs?
There are pro’s and cons to both American States Water stock or CFDs. Choosing which one is right for you comes down to your appetite for risk.
For long term investments then normally investing in American States Water stock is the better option as historically companies produce better results over the long term. For example, If you had bought $1,000 worth of Apple shares on January 9, 2007, (the day Steve Jobs unveiled the original iPhone), your investment would now be worth over $26,000.
Trading American States Water CFDs is best suited for intra day and mid term traders. With intra day trading on American States Water, you would be aiming to make profits on the fluctuating highs and lows of the American States Water stock price throughout the day. Known as “Day Trading”, it focuses on profiting on the daily price change of American States Water.
With CFD trading you can short or long a American States Water stock price and you can hedge a trade against another trade.
A hedge is an investment that protects the money you have invested from risk. Traders hedge to minimize or offset a loss in value of the American States Water share price.
Both strategies have different risks and benefits and, as mentioned, it is down to you to decide which one is correct for you.
Example Cost Of Buying American States Water As A CFD Trade Or As Direct Shares Side by Side
*The below table is not using live values and is only for illustration purposes. Please open an account with a leading online broker like IC Markets or XTB for correct prices.
CFD and share deals differ from broker to broker so check you are aware of the actual costs with your brokers.
American States Water CFD trade example | American States Water share deal example | |
Market price | $1,000 | $1,000 |
Broker Deal | Invest $200 at 1:5 Margin (20%) | Buy at $1,000 a share |
Deal size | 100 shares | 100 shares |
Initial outlay | $20,000
(Margin = exposure x 20% margin factor) |
$100,000
(100 shares at $1,000) |
Stamp duty | No | £20 |
Close price | Sell at $1125.7 | Sell at $1125.7 |
Estimated Profit | (125.7 point increase x 100 shares = $12570)
*Not including commission fees and taxes |
($112,570 – $100,000 = $12570)
*Not including commission fees and taxes |
Trade American States Water CFDs now with XTB
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Trade American States Water Shares now with IC Markets
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Our brokerage comparison table below allows you to compare the features for the leading online brokers offering American States Water stock and CFDs
When we were searching for the top online brokers that offer the ability to trade American States Water shares, we compared all the important factors to help you make an informed choice.
- The minimum deposit to open an account.
- Available funding methods for American States Water brokers.
- What types of trade you can perform with each brokerage.
- Which trading platforms that are supported by the brokers.
- Spread type (if applicable) for each brokerage.
- Levels of customer support offered.
- Whether each American States Water brokerage offers Micro, Standard, VIP and Islamic accounts.
How To Buy American States Water Stock Explained
Trading in the financial markets with American States Water Brokers when conditions are uncertain can be difficult, even for highly experienced traders.
There are educational resources online but they are never a substitute for actual trading experience which you can only get if you get started.
This is why we recommend opening a demo account with a reputable online broker like eToro or IC Markets and learn the system of trading well before risking your own money.
Another important factor you must consider when searching for American States Water brokers is what platforms does that American States Water broker offer.
You should always choose a American States Water broker that has leading technology and innovation processes.
To have the greatest chance of success you will need a American States Water broker you can trust and rely on.
7 Factors to Consider when Selecting a American States Water Broker
Follow these seven rules for selecting a American States Water broker that’s right for you.
Is Your American States Water Broker Trusted And Established?
Choose a broker that has an excellent track record in the financial markets to make sure you have the bases covered when beginning to trade online.
One of the best American States Water brokers is IC Markets. They were established in 2007 and their head office is in Australia.
IC Markets is fully regulated so you can trust that they are a professional company. IC Markets is regulated and governed by the following regulatory bodies:
Australian Securities and Investment Commission (ASIC),
Financial Services Authority (FSA),
Cyprus Securities and Exchange Commission (CySEC)
Another top American States Water broker is XTB
XTB was established in 2002 and have their head office in Poland
Another top rated broker is XTB.
XTB is fully regulated so you can trust that they are a professional company. XTB is regulated and governed by the following regulatory bodies:
Australian Securities and Investment Commission (ASIC),
Financial Services Authority (FSA),
Cyprus Securities and Exchange Commission (CySEC)
Are The American States Water Brokers World Leading?
Try to choose an online American States Water broker that’s at the forefront of innovation and generally considered an industry-leader.
IC Markets separates client funds and offers over 232 instruments for trading. IC Markets offers both an online trading solution as well as a mobile platform giving their clients easy access to global markets.
IC Markets is classed as a world-leader when it comes to innovation and they are always looking at ways to improve and to maintain their competitive advantage.
IC Markets also supports many popular third-party trading solutions enabling full access to a variety of economic markets worldwide that can be traded with the assistance of expert advisors or a customizable automatic trading strategy.
Another good choice when looking for American States Water Brokers is XTB.
XTB also segregates clients funds and offers over 1,500 instruments for trading.
What are the Commissions and Fees For American States Water Brokers?
For safety make sure that your broker is transparent and you fully understand all their fees and make sure they are competitive with other American States Water online brokers.
Currently, the best-rated American States Water broker IC Markets, offer very competitive rates for Forex, CFD’s, Share Dealing, Cryptocurrencies and Spread Betting. The minimum deposit for IC Markets is $200.
A second top American States Water broker is XTB who offer CFD’s Cryptocurrency, & Forex. XTB have no minimum deposit so a great choice to get started with.
What are the Funding and Withdrawal Options For American States Water Brokers?
When working with American States Water Brokers, having easy funding and withdrawal facilities makes the trading process and your trading experience smoother. It is also important so that you can get easy and quick access to your money if needed.
Which American States Water Brokers offer Round-the-clock support?
No matter if you are new to investing or an experienced trader, customer service is universal and very important for American States Water brokers.
Having access to professional customer support is vital for everything from trading problems to trying to understand the tools that your broker offers.
The customer support of the best American States Water brokers normally include Phone, Email and Live Chat customer support.
Choosing a top American States Water broker will also mean that they can communicate in multiple languages to speed up any questions you might have. Normally they cover English, Chinese, Danish, German, Afrikaans, Japanese, Polish and more.
IC Markets support a wide range of languages including English, Japanese, Chinese, Polish, Afrikaans, Danish, Dutch, German and more
XTB support a wide range of languages including English, Spanish, Czech, Chinese, German, French, Italian, Polish, Portuguese, Romanian, Slovenian, and Turkish
Both IC Markets and XTB offer full support where clients are able to call or contact their helpdesk via email or live chat.
Does Your American States Water Broker Offer Comprehensive Trader Resources?
Any top online American States Water broker in should offer free tools and resources like analysis and risk management tools. Leading brokers like IC Markets and XTB also provide breaking news and personalised insights to their clients.
Another great resource for up to date information, news and support is us. We pride ourselves on making financial choices simple 🙂
For most traders, their main concern is keeping an edge over other traders which can only be achieved by absorbing as much up-to-date information as possible. It will help you navigate the markets and identify opportunities that you can exploit through trades with your broker.
But to do that you need the best broker who is quick and efficient to execute your trades.
Why Do American States Water Brokers Need To Be Regulated?
Because a regulated American States Water broker lowers your exposure.
Broker regulation is there to protect individuals. If you use an unregulated broker then it will lead to very poor services and potentially financial harm or even fraud.
American States Water brokers are mainly regulated to protect against fraud. They have to keep their money separate from their clients money as if they use client money for their own work they commit fraud. The regulation ensures this doesn’t happen.
How To Buy American States Water Stock – Frequently Asked Questions
How Can I Buy Stock In American States Water?
The following is an overview of the process to purchase American States Water stock.
- Decide how you want to trade in American States Water. Do you want to to trade in American States Water CFDs or American States Water Stock.
- Register with a leading American States Water broker that suits your needs. We suggest registering with a few to see which one best fits your needs. (Currently the top two online brokers for American States Water are IC Markets and XTB).
- Do some detailed research on American States Water financial reports. (IC Markets and XTB both provide research tools and resources).
- Finalise your budget and decide how many American States Water shares you want to buy.
- Buy or Sell your American States Water shares with your chosen broker by placing an order.
Can I Buy American States Water Stock Directly From Them?
You cannot buy American States Water shares directly from American States Water. Stock in American States Water must be purchased through a stock brokerage firm.
You can buy American States Water shares with a stock broker like IC Markets or you can trade American States Water stock via CFD share trading with a broker like XTB.
How Much Does It Cost To Buy American States Water Stock?
All the numbers in this article are for illustration purposes only. To get the latest American States Water share price, either Google it or sign up with IC Markets or XTB.
What Is The Minimum Required Investment For American States Water?
The minimum investment to buy stock in American States Water would depend on the current share price of American States Water and the costs associated with the stock or CFD broker your decide to trade with.
The price of a American States Water share changes by the minute. Your other costs would be the minimum deposit required by your brokerage and any commission fees you have to pay for buying and selling your American States Water shares. You can buy American States Water shares with a stock broker like IC Markets or you can trade American States Water stock via CFD share trading with a broker like XTB.
both brokers have a low minimum deposit to trade so you can start trading straight away.