Investing basics - How do I start investing?

Every person i meet who has no prior exposure to the investing world will ask me this question:

How do I start investing?


This is a very general question but its also a question that makes me ponder a lot on it. I ask myself back:

How did i even start this investing journey?
You can read my About Me page by clicking on the tab above to read how i started my journey.

In this blog post, i hope to answer this question in a simple and clear way so that readers can understand.

1) To start investing, you must have savings. If you do not have the habit of saving, start by putting aside a monthly amount to save. A good start will be 10% of your monthly salary or allowance.

2) Sign up for a brokerage account.  I realised many people do not know where or how to sign up for a trading account. A trading account allows you to buy shares of companies in the stock market.

A few brokerage that you can open an account with:

http://www.citibank.com.sg/gcb/investments/citi_brokerage.htm?eOfferCode=SGIVBRPWAL
http://www.limtan.com.sg/
http://www.phillip.com.sg/
http://www.dbsvonline.com/English/index.asp

I personally use citibank brokerage and limtan securities. You can click on the link to check out the commission charges of each one. Opening an account is free. You can sign up for it anytime.

3) Attend seminars or read books on investment.
There are free investment seminars out there which you can attend. One good provider is Singapore Exchange(SGX). Yes, in Singapore, the stock exchange actually organises free beginner investing lessons for the public.
You can visit their website here: http://www.sgxacademy.com/index.php?option=com_sgx&task=listing&Itemid=4 (Note: Some courses are free while some require a fee)

You can also read up websites that the singapore government links with to improve the financial literacy of Singapore.
Some websites recommended are:
http://www.moneysense.gov.sg/
http://www.moneysmart.sg/
http://www.cpf.gov.sg/imsavvy/default.asp


These are the basic steps to get you started. Some of the websites recommended above not only teach you about investment but also on personal finance, ie taking up a housing loan.

Lastly, do follow this blog as i'll be sharing finance tips and investment analysis from time to time. You can follow by entering your email address at the top right of this page. Do comment below if you got any questions or just general comments are welcomed.

Thanks and wishing you all the best in your journey towards financial freedom.

Related Post:
1. Investing Basics - Low Cost Index Fund investing (Passive Investing)