How To Buy Google Shares In Australia

Last Updated on 27 January 2024 by Ryan Oldnall

Google is a multinational technology company based in the United States that specializes in providing Internet-related services and products. It was established in September 1998 by Larry Page and Sergey Brin.

For many investors, they want to know how to buy Google shares in Australia. Google Shares like all stocks can be purchased by investors living in Australia.

Investors in Australia have the opportunity to buy Google shares through Australian brokerage accounts that facilitate international share purchases. These brokerage accounts enable individuals to acquire Google shares even while residing in Australia.

GOOG vs. GOOGL: An Overview

Google became Alphabet through a corporate restructuring process that took place on October 2, 2015. In this restructuring, Google established a new parent company called Alphabet Inc.

Alphabet became the umbrella organization that encompasses Google and several other subsidiaries that were previously under the direct control of Google.

Alphabet shares however trade under two ticker symbols Alphabet Inc Class C (GOOG) and Alphabet Inc Class A (GOOGL). So what is the difference between Alphabet shares

Class C and Class A?

The primary difference between Alphabet’s Class C and Class A shares lies in their voting rights. Class A shares carry one vote per share, while Class C shares do not have any voting rights.

This means that Class C shareholders do not have the ability to vote on company matters or have a say in corporate decisions.

Both Class A and Class C shares represent ownership in Alphabet, and their value is tied to the performance and financial results of the company. However, since Class C shares do not have voting rights, they may trade at a slightly different price compared to Class A shares.

How to Buy Google (GOOG) and (GOOGL) Shares in Australia

Purchasing shares in Google (GOOG) and (GOOGL) can be a rewarding investment opportunity. To get started, it’s crucial to select the right brokerage account in Australia.

Here are some key factors to consider when choosing a brokerage account:

Australian Brokerage Account

Transaction Fees: Take into account the transaction fees charged by brokers for buying and selling shares on the stock exchange. Note that trading fees are typically applicable to most market orders.

Considering share investing as a long-term opportunity can be wise due to potential price fluctuations.

Forex Exchange Fees: Purchasing US shares like Google (GOOG) and Google (GOOGL) requires converting Australian dollars to US dollars, which may incur additional costs known as foreign exchange fees. While brokers may not explicitly advertise these fees, they could still apply.

Monthly Fees: Some brokers charge fixed monthly fees, offering additional features and information beyond the needs of the average investor. Consider whether these services align with your requirements.

Website and App Functionality: Evaluate the website and app functionality provided by different brokers. Some platforms offer basic interfaces, while others provide detailed share charts and market information. Consider your preferences and requirements regarding the availability of these features.

Trade Options: Brokers operate in different markets, and trade options can vary. Take note of fees and trade minimums applicable to the specific market you’re interested in.

Access to Live Market Data and Research: Look for brokerage platforms that offer live market data, including current price movements, buy and sell volumes, and historical trading data.

Some platforms may also provide additional research tools, while others may not offer these features.

Order Types: Consider the available order types when buying and selling shares. Options like “limit price,” “at market,” or “conditional orders” can offer flexibility. Look for platforms that provide order expiry options to suit your trading preferences.

By considering these factors, you can make an informed decision when selecting a brokerage account for purchasing shares in Google (GOOG) and Google (GOOGL).

Make sure to research and choose a reliable brokerage that meets your needs and aligns with your investment goals.

Considerations for Buying Google Shares in Australia

Investing in Google shares from Australia involves a process similar to purchasing Australian-listed shares. However, there are specific factors to consider due to Google’s status as a multinational company headquartered outside Australia. These considerations are essential to understand and address potential tax implications.

One notable distinction is that US stocks, including Google shares, do not offer franking credits. Unlike Australian shares, they are not subject to Australia’s dividend imputation system, which prevents double taxation.

Investors interested in the US market must complete the necessary paperwork, including the W8BEN Form. This form is required by the US government for non-US residents who wish to invest.

By properly filling out the W8BEN form, Australian investors can benefit from the special tax arrangement between Australia and the United States.

Failure to submit the form can result in a 30% tax on sold shares and a 30% withholding tax on dividends. However, completing the W8BEN form accurately reduces the American tax component to 15%.

It is crucial to ensure the timely and accurate completion of this document. Seeking investment or financial advice, as necessary, is highly recommended to successfully navigate this process and optimize your investment in Google shares.

Google Share Price

In 2023, Google’s Alphabet shares have experienced a significant rebound. Both classes of shares, GOOGL Class A and GOOG Class B, have shown impressive year-to-date gains of 34.07% and 33.94% respectively.

However, these figures are still a considerable distance from Alphabet’s highest-recorded closing stock price of $150.71 in November 2021.

Following the peak in 2021, Google’s share price has encountered downward pressure due to heightened competition in certain areas of its business.

The decline in Alphabet’s share price has coincided with the emergence of rival companies launching artificial intelligence-powered applications, including Chatgpt, which is supported by Microsoft.

Google’s Business Is Everywhere

Google’s business empire is vast and diverse. It includes the world’s most popular search engine which is likely used daily by most internet users. Google handles billions of search queries daily, serving as the foundation for the company’s success.

Google generates its primary revenue through online advertising on its platform, Google Ads, which supports various ad formats like search, display, and video ads.

Google Cloud offers a wide range of cloud computing services, including infrastructure, storage, data analytics, machine learning, and enterprise applications. It competes with other major cloud providers like Amazon Web Services and Microsoft Azure.

As the dominant player in the global smartphone market, Google’s mobile operating system, Android, serves as a platform for app development and allows Google to offer its suite of mobile applications.

Through its ownership of YouTube, the largest online video-sharing platform, Google earns revenue from advertising. YouTube provides a diverse array of content, including user-generated videos, music videos, TV shows, and movies.

Summary

Google has become apart of most people’s everyday lives. Whenever someone uses the internet they are likely interacting with a Google-based product in some way. Google’s dominance in the search engine market has remained unparalleled, with no current competitor coming remotely close.

The phrase “Google it” has become deeply ingrained in our thinking and daily routines, serving as a symbol of how we seek information and navigate our everyday lives.

Consequently, the sudden disappearance of Google is highly unlikely, and it is expected that Alphabet’s shares as a result will continue to experience growth.

Moreover, with Alphabet’s persistent focus on exploring next-generation technologies and artificial intelligence, the possibilities are boundless. They are consistently pushing boundaries and reaching for new horizons driving themselves and others forward.

This article does not serve as an endorsement or recommendation for the purchase of Alphabet or Google shares, or any other products mentioned in the article.