How do i start investing in shares

Should I how do i start investing in shares into a Lifetime Isa and would my Help-to-Buy Isa be closed if I do? Workers’ pension deductions triple to 2. Will you be a tax winner or loser this year? How much money do you need before you start investing?

Experts reveal when you should take the first steps By Tanya Jefferies for Thisismoney. Read this: How much money do you need before you start investing? Would you lose sleep over the amount you plan to invest if it got wiped out in a market crash? If your answer’s ‘yes, it would devastate me emotionally and financially’, think again about whether you’re ready to invest. That’s not a bad rule for novices to bear in mind, even though there are more exact pounds and pence answers to what sum you need to get started.

We take a look at what amount of seed money is ideal, how long you should be prepared to lock it away, and what the general state of your finances should be before you take the first steps into the world of investing. Getting started: How much seed money do you need to enter the world of investing? How much money should you have before investing? 1,000 is a good starting point, according to Gavin Haynes, managing director of financial adviser Whitechurch Securities. Traditionally people will go down the route of investing in funds as their first port of call. It can provide a good level of diversity through collective investing, and you get the expertise of a professional manager,’ he says. Do you know where your fund is invested?

But Haynes cautions that if you plan to kick off investing in just one fund, then make sure it is well diversified across asset classes – shares, government and corporate bonds, property and so on. Adrian Lowcock, investment director at asset manager Architas, says the minimum investment levels on online platforms serve as a guide to how much money you need to get started. 50 a month is preferable if you want to invest regularly. 500 if you want to invest in funds because you don’t have dealing costs. 1,000 if you want to buy shares because that involves shelling out fees every time you make a transaction. How long should you be prepared to invest for? The rule of thumb usually given by investing experts is at least five years, because in theory that should allow you to ride out any losses at the outset.