I’m in a dilemma on whether to buy Nintendo shares on XETRA or OTC Markets.
In XETRA Nintendo is traded in € which is my account currency. This means I don’t have to pay the 0.15% fee when I buy or sell.
However the stock has very low liquidity - just 386 daily volume.
In OTC Markets it’s traded in $, so I’ll pay 0.15% however the liquidity is very high.
Should I buy on XETRA to save on some fees and sucrifice liquidity or go with OTC Markets?
My vote’s for the OTC listing as I always prefer more liquid options given a straight choice.
You’ll probably find that any saving with the EUR-denominated one is effectively wiped out by a much wider bid-ask spread.
This is also important, thanks for pointing it out.
I’ll probably go with the more liquid one.
You could test the water and see how long the EUR xetra position takes to execute, and check out the spread to avoid the fx fee?
How can I check the spread? It has been removed from T212.
Go grab the market spread from anyone offering quoting. It’ll be the same everywhere.
I use the OTC listing for my NTDOY
I checked on Yahoo finance and Morningstar and they show bid and ask are 0
Anyway I bought the OTC Markets listing. 0.15% is not much.