There are a few online trading platforms in South Africa that offer Coca-Cola ‘stock,’ however, when looking closer, you’ll notice that most of them offer CFDs (Contract for difference,) and NOT actual company stock.
What’s the difference?
Well, when with CFDs, you’re in a sense placing a bet against whether or not you think a particular stock will go up or down, you don’t actually own anything apart from an agreement. On the other hand, when you buy shares of a company such as Coca-Cola, you’re buying a very small part of a company.
So if you want to own a part of Coca-Cola, and not just bet on a price change using CFDs, then follow the steps below.
Here’s how to buy Coca-Coal shares online in South Africa:
- Open an international trading account using Firstrade. I wrote this full guide that covers how you can open an account as a South African citizen step-by-step.
- Once your Firstrade account has been approved and funded, login, then use the search feature and find Coca-Cola’s stock ticker KO.
- Place your buy order on Firstrade. The transaction should go through immediately if it’s during trading hours.
If you’re wondering how much money you’re allowed to invest in United States stocks then keep reading.
How Much Money Can South African’s Invest Overseas?
SARS allows each South African a single discretionary allowance which gives you the flexibility to invest no more than R1million abroad in a given calendar year. If you’re not going to invest more than that then there’s no extra admin you need to do.
…if you’re looking to invest more than R1million and less than R11million in a given calendar year, then you’ll need to apply for a foreign investment allowance. I’ve not done this myself but apparently, it’s quite a pain in the backside.
Did you spot a mistake in this article? Or do you know of a better way that we can invest in Coca-Coal shares without using CFDs? Please let us know in the comments below so we can start learning from each other.