Best shares to buy - Beginner

andrew007007

Could anybody please advise whats the best shares to buy with a max of £500 budget.

Not bought any before so need some guidance, these shares are for the long term view.

I have posted a thread some time ago about how to buy them and had replys below;

[URL="wlmailhtml:{B5E98ECC-B01C-4643-9A47-FB756C871908}mid://00000247/!x-usc:http://www.shareview.co.uk/Products/...ndCharges.aspx"]http://www.shareview.co.uk/Products/...ndCharges.aspx[/URL]

[URL="wlmailhtml:{B5E98ECC-B01C-4643-9A47-FB756C871908}mid://00000247/!x-usc:http://www.iii.co.uk/sharedealing/?type=steps"]http://www.iii.co.uk/sharedealing/?type=steps[/URL]

or

http://www.x-o.co.uk/

Are these still the best ones to use for the dealing.

Looking forward to anyones experiences.

Thanks in advance,

Andrew.

googler

I took the regular daily stock tips from my regular newspaper (The Scotsman) over the last couple of weeks, and tracked where the share price went after their recommendation to 'Buy'

Out of 12 'Buy' recommendations, 4 were down in price at time of checking, 8 had gone up. This over a period from 2 Sept.

To me, this would be a cautious recommendation to follow the advice given therein, but even that's not a guarantee of success.

Reaper

My advice would be not to. You can't divesify £500 enough without the charges eating it away. If you are determined to buy something through one of those brokers the only thing I would consider suitable would be a tracker or ETF.

Alternatively go via a discount broker and buy into a fund.

2010

With a budget of £500, shares are a complete waste of time and money because of the charges.

Forget all about it.

For anyone else with about £5k and with a forecast of spending cuts looming, go for Wetherspoons.

Good times,bad times these pubs are always full. :beer:

Another good one is transport group Stobart.

You see hundreds of these lorries, a lot refridgerated, all over the roads of Britain every day. :T

Annisele

I'd agree with the people who say that £500 is just too little to be making any money out of shares - any profit you make will just be eaten up in charges. I think you'd be better to go for a tracker.

Lokolo

XO only charge £6. So a £500 buy would only leave with 1.2% cost. If you buy in iii's portfolio builder at £1.50, this means the cost is only 0.3%. The charges aren't that much nowadays. I would have previously agreed, but with these deals out, you can easily buy shares for £500 without it costing a bomb.

tonydee

As what Lokolo said, charges are cheap nowadays. Average of £10 to buy and sell + stamp duty which wouldn't be much on £500.

I could name a few companies that offer outstanding value at the current price but please don't just buy a stock on hearsay. Always do your own research and remember that shares don't go up everyday.

Good upcoming oil companies are doing well at the moment as are upcoming mining stocks.

Gulf Petroleum
Afren
African Aura Resources
Encore Oil
Enquest
Sylvania Resources
Petroneft
Circle Oil

To name just a few


p.s. Googler the OP stated for the long term so your reference to tips printed 2 weeks ago hardly stand true.

Hungerdunger

tonydee wrote: »

p.s. Googler the OP stated for the long term so your reference to tips printed 2 weeks ago hardly stand true.

Agreed; and in any case the FTSE 100 has been rising steadily over the last couple of weeks (3.5% or more depending when you start from) so I would expect to have more winners than losers over that period.

atsoc15

you have £500 pound to invest maximum, why would you be putting it in shares.

If you are just being cautious and have more money available and just starting off with £500 then fair enough.

I would suggest always having 6 months of savings in a savings account before even thinking about other terms of investments.

Reaper

Lokolo wrote: »

XO only charge £6. So a £500 buy would only leave with 1.2% cost. If you buy in iii's portfolio builder at £1.50, this means the cost is only 0.3%. The charges aren't that much nowadays. I would have previously agreed, but with these deals out, you can easily buy shares for £500 without it costing a bomb.

Firstly you are ignoring selling charges at the other end, and secondly his total investment sum is £500. It would be reckless to put the whole lot in a single share. So multiply the charges by a dozen for some minimal diversification and the costs start to mount up. That was why I suggested a tracker or ETF instead.

Shatners_Bassoon

DESire petroleum drilling Falkalnds from mid Oct and good value at pound 14 now.

500 quid in now and I reckon in 6 months it will be worth 2.5K

Good luck!