UK or US stocks?

I’m curious about this so I wanted to start a discussion on the topic…

Now that we are starting to see a healthy amount of US stocks on Freetrade are people gravitating towards US stocks more than UK stocks??

Is there an actual preference? If so, why??

Personally, I’ve found that my US investments are generating much more rewarding returns and in most cases there is a US alternative stock (to a UK equivalent) that ends up being the better investment.
I know, from a dividend perspective, that some UK stocks are great for passive incomes but even so, the numbers seem slim.

The simple fact that the US market is far, far bigger than the UK and has some of the biggest innovation and tech companies in the world makes it a no brainer for growth investments too.

What are your thoughts?..

1 Like

Personally have quite a good mix of both UK & US stocks, but have found, just like yourself that the US stocks have been performing a lot better.

Not just that but I think my preferred investments are US stocks. (Tesla, Amazon, other tech etc)

I have some FTSE 100 & S&P 500 ETF’s though, and even then the S&P 500 ETF is better.

2 Likes

Yes I have more US stocks and on average they have performed much better. However, I’m a little concerned about currency changes which can reduce the value of my investments

1 Like

How ironic… I mentioned that I understand one of the main reasons people continue to invest in UK stocks is the dividends but I guess that might not be true anymore… (this article was published on the same day as my original post, 21 June 2020)

1 Like

I’m mainly UK and ETF at the moment. I want to do some US stocks but, despite knowing I shouldn’t try timing the market, I feel like there’s going to be a pretty big drop across the board soon. I’ll probably wait until post election and go in on a lot of them or when/if there is a decent drop sooner.

4 Likes

Interesting view on this here. Worth a read.

2 Likes

This topic was automatically closed 91 days after the last reply. New replies are no longer allowed.