I earn around £20 a week- from part time jobs. I know it's not much but how can I invest or start trading(on a small scale)
How to start investing? Watch
- Thread Starter
- 30-06-2016 21:00
- 01-07-2016 01:34
Not sure about investing, but you could always try peer to peer lending. Martin's Money Tips has a guide.
- 04-07-2016 23:06
you could use different platforms like plus500 or Etoro to trade. However with £20 you will not get far. It requires much bigger bank and you also need to think about how much will you get paid for amount of work you are prepared to do.
I advise the following. Save at least £200. Use it for matched betting. Increase your bank to £2000-3000, and then trade. However eventually money from matched betting drains and you need to look for an alternative, which could for you be trading.
I will however 100% advise you NOT to invest/trade if you know nothing about it. If you do and you feel confident about it, grow your bank and do it.
- 05-07-2016 00:20
You could albeit i would by no means advise it.
As the above poster mentioned there are multiple exchanges and direct trading software you can use but to be honest with your wee amount of capital and my ssumption you wont be monitering the trades much nor hve great insight [no offence] it will do little good..
That being said miracles have happened so hey ho.
Id also mention count out any brokerege bank etc. as there fee per trade would be at least that..
Could look at the pinkies?
- 05-07-2016 19:17
- 05-07-2016 19:26
DO NOT TRADE, DO NOT SPECULATE THE MARKETS OR TRY TO TIME THE MARKETS!!
Ok basically you want to invest, not speculate. There is a dramatic difference in the level of risk involved.
I suggest opening up a stocks and shares ISA and investing 1-2 thousand pounds per security (any share or bond or instrument which can be traded on the markets). The reason I say this you do not want to keep buying and selling, transaction costs mount up a lot. The platform I use, Hargreaves Lansdown charge £11.95 per trade (buy and sell would be 11.95*2), also you have to pay dreaded stamp duty on top of every security you buy.
Essentially what you want to do, is buy shares which are "cheap"...this means they are undervalued on what the true market value should be and then hold them forever. You want to buy shares which give a good dividend (say 7/7.5%) and their business is a good business which can stay in shape for 20-30 years. You essentially buy and hold. Forget the market, forget the price of what you paid for the security, forget market crashes. We are here to invest, not speculate. With the power of reinvesting dividends, so buying more shares with your dividend income, you can have a fair bit of wealth before you retire.
Now if you want to become a millionaire, you need to speculate, but get it wrong and you will get burnt.
**FYI, I have £14,000 in the markets across 8 securities, S&P 500, FTSE 100 and FTSE 250 companiesLast edited by fg45344; 05-07-2016 at 19:33.