Overview of Foreign Stocks Investing
In today’s connected global economy, investors have many opportunities outside
of the United States. Some brokerage firms, including Charles Schwab and E*TRADE, give their clients ways to reach foreign stock markets, opening the door to investments that can offer both high return potential and higher risk. Here’s a look at how these opportunities can be accessed through each broker.
Foreign Stocks on Charles Schwab
Traders at Schwab can open
a dedicated global trading account, which gives them direct access to
twelve foreign stock markets. Inside this account, quotes appear and trades settle in the local currency of each market.
The markets available through Schwab include
Australia, Belgium, Canada, Finland, France, Germany, Hong Kong, Italy, Japan, Netherlands, Norway, and the UK. Together, these markets involve a total of seven currencies: the Euro, Australian dollar, Canadian dollar, Hong Kong dollar, Japanese yen, Norwegian krone, and British pound.
Importantly,
Schwab charges no fee to open or maintain this account, and there is no minimum deposit requirement. However, trading commissions and other transaction costs still apply. Opening a global account still requires completing a paper form and sending it to the broker, as there is no digital application form available. The account statement is shown in multiple currencies, which fits the international nature of the account.
Schwab provides real-time quotes during the trading hours of the twelve foreign markets. The broker
also has specialized representatives with deep foreign-trading experience. These representatives are available from
5:30 p.m. ET on Sunday until 5:30 p.m. ET on Friday.
To help traders, Schwab’s website includes a useful video that explains how the global account works, how it can be used, and which trading features it includes. There is also an informative brochure in PDF format that can be downloaded, covering the risks and benefits of global-market investing. The brochure also notes that foreign bonds can be traded at Schwab.
Schwab’s website also offers broad information on different countries, along with research from Schwab and third-party providers on foreign stocks. Schwab specialists and research teams also publish articles on emerging markets and other global regions, offering investors additional ideas and analysis.
Besides trading global stocks on their home exchanges, Schwab also lets clients trade foreign ordinaries that are quoted over-the-counter in the U.S. The fee for these securities is currently
$50 online, with a higher cost for broker-assisted trades. Schwab clients can also trade ADRs (American Depositary Receipts) of international companies, which continue to carry the broker’s regular
$0 online commission.
Schwab’s commission schedule for international stocks is based on the currency used in the trade, which gives traders a clear fee structure to review in advance.
| Currency | Online | Phone |
|---|
| Australian Dollar | $32 | $70 |
| Euro | €19 | €50 |
| Canadian Dollar | $9 | $65 |
| HKD | $250 | $600 |
| Yen | ¥2,000 | ¥6,000 |
| Krone | 160 kr | 400 kr |
| Pound | £9 | £30 |
These rates are much higher than the $0 Schwab charges for U.S. stocks. In addition to the trading commission, the broker can also pass through local broker fees, and it currently charges a foreign currency conversion fee between
0.20% and 1.00%, depending on the size of the exchange.
For a complete Charles Schwab review
click here.
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Satisfaction guarantee, ACAT reimbursement, and $0-fee trades at Charles Schwab.
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Foreign Stocks on E*TRADE
E*TRADE previously offered a much broader global-trading setup. Today, the broker still offers more limited ways to trade foreign stocks. It currently charges
$0 for U.S.-listed stock trades, while online trades of OTC-traded foreign securities carry a
$6.95 commission. Broker-assisted stock trades add
$25 plus any applicable commission and fees.
The broker’s website still includes information on global markets, including market data from exchanges such as the Tokyo Stock Exchange, London Stock Exchange, Hong Kong market, as well as Germany, France, and Canada. E*TRADE also supplies research tools for stocks listed on these markets.
For example, if you search for Honda Motor Company on the Tokyo market, you will find the ticker symbol 7267 (the Japanese market uses numbers instead of letters). E*TRADE provides detailed information about this stock, making it clear that it is not an American Depositary Receipt (ADR) trading in the U.S. market but the actual stock on the Tokyo Stock Exchange.
Details shown for Honda’s stock include its 52-week high of 3,675 yen, the latest declared dividend of 24 yen, and a market capitalization of 44.8 trillion yen. The stock’s P/E ratio is listed at 9.33. E*TRADE’s website also offers charting tools and displays recent news related to whatever stocks you are researching.
In addition, E*TRADE has an international watchlist where users can monitor securities trading on Canadian, French, German, Hong Kong, Japanese, and UK stock markets. To add a security, the correct ticker symbol needs to be entered.
The site also displays stock indexes from several markets, including the FTSE 100 and Hang Seng, with a 20-minute delay from real time. Global market-moving news is shown alongside information on market movers, such as most active stocks, percentage gainers and losers, as well as net gainers and losers. For example, Sing On Holdings in Hong Kong rose by more than 40% on the day this article was originally written.
E*TRADE now highlights stock research from
Morgan Stanley and other research providers. These reports do not simply focus on one opinion; they also give broader information on a stock’s performance history, analyst views, and financial-statement data that can help investors evaluate a company in more depth.
For a complete E*TRADE review
click here.
International Stocks Brokers Recap
Global trading services differ a lot from one broker to another. Keep in mind that commissions and related fees can be much higher than those charged
for U.S. stocks.
Updated on 4/14/2026.
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