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Online Share Trading

Engage and learn about markets and trading online

I am new to investing

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Carlos
New Contributor
I am going to start off with R2000,Where do I start?
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47 REPLIES 47
Not applicable
Unless thats a typo, Investing R2000 is a bit of an oxymoron. If you want to trade you can maybe get away with a warrant or 2 but dont know how long that would last but if you want to invest Id advise at least R10000 otherwise the brokrage is going to knock you a bit.
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surfer
Regular Contributor
NOT WITH R2000 THATS FOR SURE
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dreamer
Contributor
welcome to the share market. i would advise to built up capital before investing. the brokerage costs on a R 2000-00 deal are high, and making a profit is really difficult when brokerage costs are over 1-2%. especially since you pay the brokerage costs bought when buying and selling. if not, options might be a share with a high dividend yield, or a small cap that has a good prospect for high growth in share price. good luck.
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Hibiscus
Regular Contributor
Please identify yourself under "i think it is time for roll caal" by John. hehe Agre eith the other forumites. I started with R17 000 buying GFI in July 2004. The amount was according to my calcs the optimum to start with re transaction costs
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SimonPB
Valued Contributor
satrix. But in truth it depends what you plan to achieve with the R2k? If you're lookign to double it quickly expect to loose it. If you want long term capital growth, easy enough, buy STX40 or a decent blue chip and come back in 2 years.
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Carlos
New Contributor
Ok well that is not a typo. I just to be honest am very very new at this. I make an ok salary and have just bought a new place. So i just was looking at other possible avenues to making money. The R2000 is just to learn how to use online trading. So if for that price if it is only Warrants so be it,until i am used to trading. So then which warrants and how do i go about it.....
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SimonPB
Valued Contributor
err, rare error. Come back in 20 years (not 2).
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Tango
Super Contributor
Carlos, warrants are not just cheap shares. You are clearly green and looking for advice. Stay away from geared instruments (including warrants). Perhaps stay in cash and save a little more so you can invest R10k or so at a time to save on transaction costs. Or use Standards "Auto Share Invest" products to get cheap trades and regular investment. Attend as many of the Standard investment and trading courses as you can. Most of them are free, and they really are worthwhile. Don't be in a hurry to throw your money into the market until you understand what you are doing.
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Not applicable
If you are new to this and want to learn warrants are the last place you want to start... ask almost anyone on the forum, it wont last too long. Paper trade to get a feel for the market (even easier sharenet has a free "virtual trading account") possibly a good place to start with little capital could be share installments, you can read up on them under "help and education" but make sure you open a warrants account so you dont have to pay the high brokrage for normal shares (on R2000 the brokrage could cost you 10% which putsyou on the back foot from the start.)
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Chem_I
Contributor
I brought 2700. I see it as an exspenive learning school. Iam trading warrents for 4months. But be assured you not going to make money.
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Preston
Super Contributor
Carlos , pls do view this in a negative manner. Basically there are 2 cost that erode whatever profit you can make namely brokerage fee for Buying and for selling and secondly the quantity of the share you buy. Holding less qty of share , you do not benefit greatly from positive movement in share prices and also stay away from warrant,SSF for now. For us to suggest a share to you ,we will be doing you an INJUSTICE afterall most of the forumite loves the "Bull" market. AND DO NOT TAKE ADVISE FROM OUR "BEAR" FRIENDS.
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Not applicable
chem ! if you understand them ... then you make money, i've made 3 fold more on warrants than shares this year alone ... cap to cap
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saash
Super Contributor
I agree with Simon - To "Invest" R2000 - buy Satrix40, and then do so each month to build up a decent volume of those shares. Leave them for a few years or so, should make a decent long term investment and you'll get some dividends. I don't think you can "trade" R2000 for a profit because of all the costs (School fees included). OMO
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samoa
Super Contributor
I recommend STXDIV - no cost and maybe lots of excitement both ways
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barry_1
Super Contributor
All sound investing advice,but u can start right now with a watch list or two.This is completely free,remember to configure in highest and lowest for the year with shares and percentage gain since u start.Dont include everything as it will make your watchlists unweildly.ONLY TRADE WARRANTS ON A WATCHLIST for a start.Also have a seperate watchlist for small shares u might fancy etc.U should first attend a course or two before trading in earnest.good luck!
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Not applicable
Hi Carlos, believe it or not but I started with R2000 last year March. You can make money by starting small and by buying penny shares(cost less than R10 a share). Subscribe to Red Hot Penny Shares-www.fsp.co.za The fee is R55.84 per month. You will get positive answers/advice from Frank, not like the rest of the chat forum who are negative. Every month they pick 3 shares that you can include in your portfolio. The shares are normally less than R5 sometimes even a R1. This will be worth spending your R2000 on to make a little profit to start with. Happy trading.
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Not applicable
Nuweling...you start out like all the starry eyed traders....one or two lucky picks and away you go....this is the very very worst thing you can do....penny stocks are cheap cause no one but fools with their last bit of savings buy them....so u wanna blow 5% of your capital on a crooks like these guys....with R 2000 you will blow your capital on the horrific spreads even before you start?
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Not applicable
Chartist-most shares start out as penny shares. You have to crawl before you can walk. My NET return after 16 months of trading = 85%. I am sure most new traders would rather be happy to make R10000 per 1c increase in the share price, than R10.
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Not applicable
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