In order to invest in a country’s stocks, we believe that it is important to know the country’s culture and thereby get a better sense of the investors’ psychology, in that country.
Culture in Denmark:
The 10 most important Danish values
The Danish language
Association life and volunteering
The Christian cultural heritage
Equality before the law.
What characterizes Denmark and Danes?
Danes are subject to one of the highest taxes in the world, and this divides many Danes in two – some think it is good and others bad. But one thing everyone can agree on is that the high taxes help to offset social inequality. This selfless act, in which each Dane averages 45.4 percent of their monthly earnings to the state, and thus others, helps to define the Danes and the way we are always there for each other.
However, it also means that those who earn a lot of money only earn half as much, and the increased tax is also imposed on investments. Where Denmark is high on the list and the most taxed on investments in Europe, therefore there are also fewer who invest in shares.
In Denmark, there is an increased focus on green energy and gender equality, which is why Danes are investing more in large companies that are in control of their CSR (Corporate social responsibility). It also means that if you are going to invest in stocks from the Danish C25 index, then it may be a good idea to look at stocks that are recognized.
Denmark is a small country, and therefore the volume on the market is fairly low. If you buy stocks from the smallest index, you will most likely experience that you can’t sell all your stocks at the same price that it is valued at. Because there simply isn’t enough buyers.