What is Netflix?
Netflix is a subscription-based streaming service that allows our members to watch TV shows and movies on an internet-connected device.
How To Invest In Netflix in South Africa
1. Choose an Online Broker
If you want to trade Netflix shares, you can use an online broker, which facilitates the purchase by allowing investors to buy and sell shares through a trading platform. Since there are plenty of options to choose from, which could overwhelm you, in the next topic we have prepared a list with two options where you can buy Netflix shares in South Africa.
2. Open a Brokerage Account
The first step to buying Netflix shares in South Africa is to open a brokerage account. Most online brokers will require that you fill in a form with personal and financial information. It is normally followed by an ID verification.
But before starting investing with real money, some online brokers offer the possibility of paper trading, which allows you to experiment with investments stress-free and without risking any money. It is a tool used by beginners to train their investments, but also by experienced traders to experiment with new trading strategies. Before investing, you can choose to open a demo account to test the features of the online broker that interest you the most. Interactive Brokers and Saxo Bank allow you to open a demo account to simulate investments.
Once you are familiar with the platform, it may be time to open a real investment account and buy Netflix shares.
3. Deposit Money
The only online broker in this list that requires a minimum deposit is Saxo Bank, which asks for $2000 for the initial deposit. On Interactive Brokers and Next Markets, you may deposit any amount you wish.
Interactive Brokers does not ask for a minimum deposit, but be aware because the same may not apply for withdrawals. Interactive Brokers has no minimum withdrawal, no fee for the first monthly withdrawal but an €8 fee for the subsequent ones. Finally, Saxo Bank has no fee and no minimum threshold for withdrawals.
4. Place a “Buy Order” on Netflix
If you have found an online broker that suits your needs, managed to open an investment account, and made the initial deposit, you are all set to buy Netflix shares in South Africa! All you have to do is find the Netflix share ‘NFLX’ within the broker you chose and place a buy order.
Is it good to invest into Netflix?
Currently, Netflix has a Zacks Rank #1 (Strong Buy) and a Growth Score of B, a combination that offers the best opportunities in the growth investing space. Its shares have already outperformed the broader S&P 500 in the year-to-date period (+19.8% versus +6.4%).