ACAF INVESTOR EDUCATION · LESSON 07 OF 10
International transfer costs
A practical learning experience for first-time investors
ACAF Investor Learning Series07 / 10
Section 7 · Understanding International Money Transfer Costs
What additional costs might you encounter when investing abroad?
Recognize international transfer costsLearn about bank fees and currency conversion charges.
| Potential cost | What it means |
|---|---|
| International wire transfer fees | Your bank may charge to send money to another country. |
| Currency conversion charges | Your U.S. dollars may need to be exchanged for the currency used by the foreign stock market. The exchange rate offered may include a markup or conversion fee. |
| Intermediary bank fees | Additional banks involved in processing an international transfer may charge fees. |
| Receiving bank fees | The bank receiving your international transfer may charge a fee. |
When might these costs apply?
An international transfer fee may apply each time you send money abroad. Currency conversion charges may apply whenever money is exchanged between currencies.
These costs may also arise when receiving dividends or transferring money from the foreign market back to your home country.
The important thing is to recognize that investing internationally may involve additional money-transfer and currency-conversion costs beyond those associated with an ordinary domestic stock purchase.
Investor education only. ACAF explains market information and access pathways; it does not recommend investments or execute transactions.