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Minimum amount of money to start investing?
What is the minimum amount of money that one should have before starting to invest in the stock market, assuming that one wants to make a living off of trading? I know that there is no real minimum, but surely there is a crude number that would be good to start with?
6 Answers
- ?Lv 79 years agoFavorite Answer
For day trading? $50,000
For investing? two or three thousand.
Important distinction: learn the difference in investing vs. trading.
Answered similar questions here:
- ?Lv 69 years ago
Investing starting point:
1. Be employed because you need a stable source of income.
2. Get out of debt. Especially credit cards. Credit card interest rates can eat you alive. You should be at the point where your unsecured debt is less than 10% of your annual income.
3. Insolvency barrier: A gotcha for many investors: Running out of cash. You can be worth millions but if you don't have cash to pay bills, taxes, and other debits you can be forced into bankruptcy. If the IRS wants taxes from you and you become insolvent and you don't have a good lawyer you can be toasted, roasted, and broiled by the IRS. So, you need to have three months pay in cash or near cash accounts (Certificates of Deposit, a money market account, savings account, and stuff you can sell fast).
4. After all that is covered save up a few thousand dollars and buy some relatively safe investments that pay a modest dividend or interest.Stuff that pays high interest always has a catch usually that you run a good risk of loosing it all. Penny stocks are a bad idea because if the company is a good investment the stock won't be worth less than a Dollar.
Go to the link below and read everything, than read it again. Take lots of notes.
Source(s): http://finance.yahoo.com/education - 5 years ago
If you are shopping character shares then £one thousand or $1750 but you have got to do some research within the asset you fancy purchasing. You additionally particularly have to be watching at protecting that inventory for three-5 years until you are particularly lucky and pursuits unfold for your favour. Yahoo / Reuters can exhibit you graphs of contemporary performance and are a excellent location to start. The true main issue is overcoming transaction bills and even worse forex conversion costs. If you're not comfy doing it your self then are attempting a fund - that you would be able to have a financial savings plan / insurance plan that invests in precise assets or there are of direction unit trusts. Are trying reading probably the most higher papers for advice - or try researching on-line. There's continuously chance or beta worried in these matters - you have to have the proper mentality to make function assessments of the dangers you are prepared to take - or else you might simply put money into a savings bond / account with a assured return over time. Just right success and have fun!
- 9 years ago
To start trading you don't need THAT much money. You can easily start with 1000$ or so.
A good way to invest your money is by trading binary options.
All you need to do, is register in a trading platform, I personally use EmpireOption, and the use it to trade every day and make your capital grow.
The method is quite simple actually, all you need to do to be successful is following trends. If the latest history of an asset shows a substantial and continuous growth, the odds that the growth will continue into the near future is bigger than the probability that it’ll change. Therefore, the trend will be based on an increase. You just need to forecast if prices will go up or down.
Source(s): http://earnmoneywizard.com/ - How do you think about the answers? You can sign in to vote the answer.
- Anonymous7 years ago
The secret word of trading success is "organized". You can't be successful without a strategy, a plan and some kind of technological support. I use a software called "autobinary signals" that is helping me a lot. There are plenty of them on the market. I recommend this one because it's very easy to use (you don't have to be an expert or have special skills to make money with it).
Check it out here. It's worth it: http://tradingsignal.toptips.org/