Where to begin?

[Infest]

Hey guys. Currently discussing about investing in shares on another forum and was pointed in this direction.

So, I was just wondering, where do I start? I don't know much of anything when it comes to this kind of stuff. I want to start with $1000 and go from there. I was told "Managed funds". Is this a healthy choice? Can anyone recommend me anything better? I only just turned 18, therefore am a bit tight with money. I have also just created a term deposit ($30,000) so this have left me with just over $1000.

Any recommendations and advice would be extrememly greatful.

Thanks guys.

[disarray]

what do you want to do? invest your money for a few months / years in a sound company or trade shorter time frames and try and be in/out with quick profit? i found myself that this is a huge field with many different methods, timeframes and applications, any one of which can make you money.

to get involved in the market you need a broker account, and brokers charge fees when you use them - the big banks all have share broking services and you'll pay $20 - $40 per trade. $1000 is really not enough capital to start out because the fees you pay will take up a decent percentage of your money.

if you are serious about getting involved then read a few books (stan weinstein secrets for profiting in bull and bear markets is a good beginners book that will introduce you to the basic concepts) and decide how you want to play the game, all the while saving more money so you can start from a decent position. if you jump into the market with $1000 not knowing what you are doing (especially with the market as it is now) you'll just piss your money up against the wall.

[Infest]

what do you want to do?

Without researching, I would like to have both "quick" and "long term" investments.

[Julia]

Congratulations on having a $30K term deposit and $1000 left over at age 18.

Great that you're taking responsibility for your financial good health. I reckon you'll be able to retire at 40!

For basic understanding of how the stockmarket works go to the ASX website
www.asx.com.au and read through their Education section. That will describe the various approaches and give you an idea of whether you want to be a fundamental investor or take a technical approach.
I agree with Disarray about Stan Weinstein's "Secrets for Profiting in Bull and Bear markets".

Buying lots of books (and several will no doubt be recommended in response to your question) can chew up a chunk of your available money so I'd suggest the ASX website first of all.

Good luck.

[Infest]

I reckon you'll be able to retire at 40!


Haha, I have along way to go before there. But thanks for the vote in confidence. I actually have $3000 left over, but $2000 of that has gone to a friend as he needed it. He should be able to pay me back soon.