While following Interactive Brokers (IBKR Mobile) Tutorial | From Zero to Hero on my iPhone, I noticed there are many options linked to a company. In the screenshot we see, looking for Tesla will give more than 5 results.
As a beginner I have no idea which one should I buy. Any tips on how should I conduct the screening process?
No idea what's NMS, LSEETF or ETP?
NMS is referring to the National Market System - a standard market for equities trading in the U.S. For most people, this is the equity you'd want to trade in if you wanted to "own shares" of Tesla.
LSEETF is likely referring to a London Stock Exchange ETF. In your screenshot, you've returned results specifically from LeverageShares, a specialized company that offers ETF options that are designed specifically to apply "leverage" to magnify gains (and, consequentially, losses). These products are generally not great options for the average investor, especially if you don't understand the fundamentals behind this sort of strategy.
As with all ETFs, investing in an instrument such as this gives you exposure to the price of Tesla's stock, but you aren't a direct owner of the shares and are instead a direct owner of shares of the ETF, which in turn owns the Tesla shares on your behalf.
An ETP (Exchange-Traded Product) is a more broad term under which an ETF falls, but can also include things like ETNs, or Exchange-Traded Notes. (My understanding is that on the London Stock Exchange, this is more common terminology than using ETF or ETN, specifically.) (Investopedia - ETP)
As a beginner I have no idea which one should I buy.
The rudimentary advice is to research ETFs that meet your investment goals, versus investing in individual companies. Beyond that, talk to a financial advisor.
