I have a query regarding trading stocks. I live in Japan, but am Australian. Now I can trade stocks in Oz or Japan. I guess both would be nice to do. My question largely is about trading in Oz. Aside from the language, trading in Japan is fairly straightforward as I live here.
For Oz, my question is how should I account for the exchange rate? For example, let's say I transfer over Y2,000,000 to my Oz bank account to use for trading when the yen to dollar is at 80 yen to the dollar. That means I end up with AU$25,000. At some point I want to transfer the money back to Japan, so I need to make sure I'm accounting for the exchange rate. How should I go about doing this? I'm a little confused about the whole thing. I'm thinking I need to make x% of profit on trades to cover an exchange rate loss, or something along those lines.
Is it even worthwhile trading stocks in Oz if the exchange rate is going to be a factor that may wipe out any gain made from trading? (Would it wipe it out?)
(I'm going away for a few days over the weekend, so I'll check this thread again when I come back.)