How much do I need?
You don’t need a lot of money to start investing in the sharemarket. Many people start with about $2,000, which will generally buy you shares in a single company or enable you to get started with a managed fund. For individual share purchases, most brokers have a minimum charge, so the cost of buying parcels smaller than this is usually cost prohibitive.
But buying shares in just one company means you are placing all your eggs in just one basket—rarely a good idea when you’re new to shares. So we’d suggest you have closer to $10,000 to invest. That way, you can allocate your cash to three or four different companies.
If you have less, don’t worry too much—you can still start learning. In fact, educating yourself about shares before you invest a cent is probably a good idea. And while you’re learning, you can build up a cash kitty to fund future purchases.
Congratulations!
You have completed the Why Invest tutorial.
Now you are ready to start the next one: How to Invest
