Money and Finance
As passive investors, many of us including myself invest regularly on a monthly basis. Additionally, some of us are investing for long term goals that includes retirement.
However, how much can most of us afford to invest every month? The numbers may differ when it comes to different financial backgrounds. Some of us can afford to invest thousands of dollars every month.
But what about us teenagers? Some of us are still schooling, some of us are serving the nation. $100 could be the bare minimum we can scrounge up every month for investing.
But what can $100 buy? If you're looking for ETFs that track the Straits Times Index, even the cheapest would be $300++ to purchase 1 lot.
Some may turn to Regular Savings Plan or use POSB/OCBC to invest. How they work is every month, your $100 buys shares with Dollar Cost Averaging (DCA). When shares are cheaper, your $100 buys more. When shares are more expensive, your $100 buys lesser.
Do I use a Regular Savings Plan? I used to, but not anymore. I opted out for a DIY strategy.
An RSP is ideal for beginner investors without much knowledge and doesn't have time to monitor on a regular basis. A RSP works in the background, every month a set amount is deducted from your bank account.
What if you're purchasing stocks 1 lot at a time individually? How could $100/month purchase anything? Well, I'd suggest perhaps consider purchasing US Shares? Their share prices are significantly more affordable because of the board lot size.
Alternatively, you could save every month until you have enough to purchase 1 lot.
Every person will have his/her preferred strategy and it is not up to any of us to judge or comment.
What are YOUR ways of investing? Do you use any Regular Savings Plan? Do comment below, and share with everyone!
Till next time,
Teenage Investor
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Money and Finance
How to Invest in the Stock Market with just $100 every Month?
As passive investors, many of us including myself invest regularly on a monthly basis. Additionally, some of us are investing for long term goals that includes retirement.
However, how much can most of us afford to invest every month? The numbers may differ when it comes to different financial backgrounds. Some of us can afford to invest thousands of dollars every month.
But what about us teenagers? Some of us are still schooling, some of us are serving the nation. $100 could be the bare minimum we can scrounge up every month for investing.
But what can $100 buy? If you're looking for ETFs that track the Straits Times Index, even the cheapest would be $300++ to purchase 1 lot.
Some may turn to Regular Savings Plan or use POSB/OCBC to invest. How they work is every month, your $100 buys shares with Dollar Cost Averaging (DCA). When shares are cheaper, your $100 buys more. When shares are more expensive, your $100 buys lesser.
Do I use a Regular Savings Plan? I used to, but not anymore. I opted out for a DIY strategy.
An RSP is ideal for beginner investors without much knowledge and doesn't have time to monitor on a regular basis. A RSP works in the background, every month a set amount is deducted from your bank account.
What if you're purchasing stocks 1 lot at a time individually? How could $100/month purchase anything? Well, I'd suggest perhaps consider purchasing US Shares? Their share prices are significantly more affordable because of the board lot size.
Alternatively, you could save every month until you have enough to purchase 1 lot.
Every person will have his/her preferred strategy and it is not up to any of us to judge or comment.
What are YOUR ways of investing? Do you use any Regular Savings Plan? Do comment below, and share with everyone!
Till next time,
Teenage Investor
- Lessons 1, 2 & 3 Learned
Lesson 1: Know what your investment style is before you start investing. Granted different situations call for different styles, but you should know your core investment style and goals that you're after. I unfortunately didn't really plan this...
- What Does Investors Have To Say About This?
Today, I received a short email. Upon reading, I was again struck with the realisation that I am not always the best person to come to for advice. Therefore, I'm putting this out there so that financial bloggers and readers of my blog may give...
- Life Goes On In The World's Most Expensive Country
Hello everyone, it's been quite some time since my last post. Have been catching up with my studies, going for army check-ups and everything else that goes on in a life of a polytechnic student. I recently received an email from Hady, who found...
- The Reductions In Board Lot. What It Means And Should It Affect You?
I'm sure many people are aware by now of this date. 19 January 2015. Singapore Exchange (SGX) will reduce the standard board lot size of securities listed on SGX from 1,000 to 100 units from 19 January 2015. A smaller board lot size will make it...
- Index Investing In The Singapore Stock Market, What Do I Buy?
Passive Investment Strategy to Index Investing When it comes to investing, most people are searching the web or mindlessly reading through blogpost after blogpost on a hundred different blogs in an attempt to search for the 1 Valuable Thing. The Best...