What is a good first investment?
You’re ready to start investing. You have sufficient balance in your linked account and you want to buy your first investment. So what’s a good choice? We can tell you what to look for in your first investment.
Investing involves risk. You could lose all or part of your initial investment.
Choose the level of risk you’re prepared to take
Are you building up your assets for a specific goal? And are you willing to take a risk, or would you rather avoid this? Setting out your goal and risk level will help you decide which investment product is right for you. In general, investing in shares involves a higher risk than investing in investment funds or ETFs. One way to spread your investment risk is to invest for the longer term.
Choose something that matches your knowledge
Do you know someone who has invested successfully in a particular share, and do you want to do the same? First of all, read more information about the company concerned. This will help you to understand what you’re investing in and what you can expect. For example, make use of our expert opinions on a large number of shares. These opinions include our experts' fundamental analysis of the share and a suggestion for investors: buy, hold or sell. Or learn more about the characteristics of investment funds and ETFs here. Another way to research and compare funds and ETFs is using the Fund Selector.
Choose what suits you best
Successful investing is usually a question of patience. The longer you leave your investment, the greater the chance of big profits. This is because daily market fluctuations only have a limited effect in the long term. If a small drop in share prices makes you nervous, you’ll probably be happier with diversified investment funds or ETFs. A portfolio with just a few shares often has a bumpier ride.
Would you prefer to start off slowly?
You don’t have to invest a large amount immediately. You can start with a small sum and see how it goes. Invest in an investment fund or an ETF from our basic range to avoid paying transaction fees. This way, you can create diversity in your portfolio, even with small amounts.
Think about the fees!
Fees can have a huge impact on your returns. So first check whether the buying fees are in proportion to your intended returns. What’s more, transaction fees can vary per investment product. If you have Self-Directed Investing Basic, you don’t pay transaction fees for buying or selling.
Investing involves risks
Investing involves risks. You could lose (some of) the money you invested. If you are going to invest, it is important that you are aware of this. Invest with money you can spare. Read more about the risks associated with investments.