Places to invest small amounts to get you started

Krismoore28

So I'm looking to start learning about investing /trading etc and to start off with I want to spend just a little amount a build up as I get more experience n better . Now all I've been able to find is places that u have to spend a few hundred etc to even get started so I'm looking for recommendations on aps/ websites ,companies etc that are legit and trusted that allow you to spend low amounts at start .I'm looking to spend £50 at most possibly but could possibly go higher if I feel it's worth it. Thanks in advance

Fatbritabroad

Www.monevator.com

Suggest opening an account with someone like vanguard and invest in one of their global equity funds but use the above to understand WHY you should do this.

Don't buy individual shares

Make sure you have a decent pot of money for emergencies before investing. Aim to leave in there for 5 to ten years min

slapmatt

Most funds will allow you to invest from £100 upfront and then £25 a month.

If you want to learn about investing I'd suggest Fundsmith. There are two reasons for this, firstly it invests in a small number of companies, so you can follow the ups and downs of those companies yourself and understand how well they are performing.

Secondly, the fund is very transparent. It has an AGM which you can watch online, they publish an annual newsletter and the fund manager Terry Smith has several videos on YouTube talking about investing and his particular strategies. These are a good way for you to learn about the various approaches, terminology and so on.

The Brucie Bonus is that historically Fundsmith has delivered very good returns (which is of course the point).

eskbanker

Krismoore28 wrote: »

So I'm looking to start learning about investing /trading etc and to start off with I want to spend just a little amount a build up as I get more experience n better . Now all I've been able to find is places that u have to spend a few hundred etc to even get started so I'm looking for recommendations on aps/ websites ,companies etc that are legit and trusted that allow you to spend low amounts at start .I'm looking to spend £50 at most possibly but could possibly go higher if I feel it's worth it. Thanks in advance

Firstly it's worth understanding the difference between investing and trading - the former is a long-term (at least 5 years and preferably 7-10+) process driven by objectives whereas the latter is much more short-term, expensive and risky, especially for those who believe it's a shortcut to wealth!

£50 isn't really worth it as a one-off, as dealing costs will obliterate your return, so you might be better going down the route of practising via virtual/fantasy arrangements such as https://www.sharesmagazine.co.uk/fantasyinvestor/ to start with until you're more confident that you know what you're doing.

The articles at https://www.moneysavingexpert.com/investments/ are a reasonable primer for the beginner, but key messages include not investing until you have enough readily-available cash as an emergency fund, and diversify. There are plenty of newbie investor threads on here so keep reading around!

Brynsam

Very sensible.

Spend a bit of time as a member of one of the sites where you 'trade' in imaginary money. That way you can test your skills without losing anything (bit frustrating if you find you might have made a mint, but that's rather unlikely for a beginner, but you never know).