06.06.2022
LHV was the first bank in Estonia to make it possible for its clients to buy Tesla, Amazon, Apple, and other popular US stocks in fractional shares, so now you can buy a piece of your favourite company for as little as one euro.
LHV has added a new opportunity to its popular Growth Account service, which is designed for regular money growth with smaller amounts. With this move, the bank made the most popular US stocks among Estonian investors more accessible to small investors.
‘We are delighted to be the first local bank to offer the opportunity to buy a fraction of the shares of the world’s leading companies and thereby share in their success, even if the amounts invested are still small,’ Andres Suimets, Head of Investment Services at LHV, commented.
‘From now on, new and existing investors can buy shares in well-known companies such as Apple, Microsoft or Tesla for just a few euros. This makes investing in foreign exchanges possible for everyone and easier to get started earlier. In addition, with the Growth Account, it is possible to invest in the shares of your choice automatically on a weekly basis, and the investor can spread their purchases over a longer period of time and they do not have to choose a single moment to make a purchase, nor do they have to limit themselves to one share, but can regularly invest in several companies at the same time,’ Suimets added.
‘Interest in investing has grown rapidly. Today, people can start investing free of charge by making their first transactions on the Baltic stock exchanges, but we are seeing a rapid increase in interest in foreign shares. At the same time, the unit prices of some of the most popular US companies run into thousands of dollars and have therefore remained out of reach for many. The size of an investor’s portfolio or the amount of funds available is no longer a limiting factor, and you can also invest in foreign shares as soon as the interest arises and start your journey as an investor as early as possible,’ Suimets said.
Initially, clients will be able to buy ten shares in fractions, but LHV plans to expand the range in the near future. Currently on offer:
- Apple – the world’s largest information technology company is popular for its electronics, software but also for its stock. One stock (AAPL) currently costs around USD 150.
- Microsoft – another of the world’s biggest technology companies, Microsoft produces general-purpose software as well as computers and electronic products. The price per stock (MSFT) is around USD 260.
- Tesla – the world’s most valuable car manufacturer and clean energy solutions company, led by the iconic Elon Musk. The price per stock (TSLA) is USD 735.
- Alphabet – Google’s parent company, one of the largest and most successful US technology companies. A stock of Alphabet (GOOGL) costs around USD 2,270 on the stock exchange.
- Meta Platforms – the parent company of a number of ubiquitous tech companies such as Facebook, Instagram, WhatsApp, and others. One stock (FB) is priced at around USD 190.
- Visa – the world’s leading financial services company and one of the largest providers of card payment systems. Stock price (V) around USD 215.
- Berkshire Hathaway – one of the world’s most famous holding companies, headed by the legendary Warren Buffet; has major investments in a number of large companies. B stock of the company (BRK.B) is available for USD 310 a stock.
- Pfizer – the pharmaceutical and biotech company that has become one of the most popular investment targets during the pandemic. The price per actively traded stock (PFE) is USD 52.
- Coca-Cola – a beverage company known for its popular soft drinks and one of the most famous brands in the world. The price of a Coca-Cola stock (KO) on the stock exchange is USD 62.
- Amazon.com – the e-commerce, cloud and digital streaming giant and one of the world’s leading technology companies. The price per stock (AMZN) is around USD 2,430.
Read more: lhv.ee/en/growthaccount.
LHV Growth Account is already used by more than 45,000 Estonian investors. This service was created with the goal of bringing investment to the masses, making it simple and easy to invest. The Growth Account has proven that investing is not expensive or time-consuming and does not require a lot of prior knowledge. With low fees, smaller amounts can also be invested by spreading risks. The user only needs to select the suitable funds or stocks, and transfer the money to their Growth Account. The bank purchases securities for clients on the Wednesday of each week. By using the permanent payment option or micro-investing, payments also reach the Growth Account automatically.
LHV Group is the largest domestic financial group and capital provider in Estonia. LHV Group’s key subsidiaries are LHV Pank, LHV Varahaldus, and LHV Kindlustus. The Group employs more than 740 people. As of April, LHV’s banking services are being used by 342,000 clients, the pension funds managed by LHV have 135,000 active clients, and LHV Kindlustus protects a total of 148,000 clients. LHV’s UK branch offers banking infrastructure to 200 international financial services companies, via which LHV’s payment services reach clients around the world.
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