Adaptis Capital, a Kenyan Investment Management Company, has todayannounced its intention to expand its footprint to the US to provide a platform enabling Kenyans to venture into The US stock market. Following the opening of its American office, Adaptis Capital Inc, the firm aims to link local investors to the US stock markets.
The US Stock Market is by far the largest in the world, with the total market cap of all U.S. based public companies listed amounting to a valuation of $49.1 trillion as of March 2021. This has created global interest in the New York Stock Exchange & the Nasdaq Stock Exchange. The NYSE is considered one of the most extensive in the world by market capitalization where shares and bonds of the titanic North American corporations are traded while the Nasdaq Stock Exchange houses the world’s most recognised brands such as Apple (NASDAQ: AAPL) Facebook (NASDAQ: FB) and Google (NASDAQ: GOOGL) which attract huge interest.
“For investors looking to diversify their portfolio and maximize their return on investment, this strategic move by The Adaptis Group will provide them the opportunity to invest in the world’s largest economy, allowing them to hedge against geopolitical and economic risks as well as a chance to invest in the world’s largest companies,” said Kenneth Mantu the CEO of The Adaptis Group.
“We are excited to launch Adaptis Capital Inc in the US. This move is a clear affirmation of Adaptis’ vision of building today and funding tomorrow. Tapping into the US markets provides unparalleled exposure to emerging market investors who want a slice of the market-beating returns provided by US companies,” added David Mwangi, the Managing Partner of Adaptis Capital Inc.
While U.S. investment securities are regulated by U.S law, there are no explicit provisions prohibiting non-residents from participating in the U.S. stock market. However, there are some extra hoops they may have to jump over before investing. It is advisable to consult with an investment firm and use the services of a professional. Adaptis Capital seeks to be the bridge that connects aspiring investors from emerging markets to invest in the world’s biggest economy.
According to Spendmenot Research, The US represents about 55.9% of the total global stock market capitalization with 55% of US adults having a substantial allocation of their liquid portfolio in the said stock market. “This partnership is set to give African investors a global market exposure by clearing a way for them to participate in The New York Stock Exchange, ” said Peter Thiga a financial analyst at Adaptis Capital.
Investing in US stocks have clear benefits such as the rising value of the dollar, access to a variety of stocks from across the globe, better liquidity, & higher market cap compared to any other stock markets in the world.