Investing in Shares ($10k Budget)

Hi guys,
Been doing some research in terms of investing in businesses.
ie. afterpay, zip pay, vdhg, ndq, vgb, vas, vgs.

What would you guys recommend to invest in? First time investing, made an account with self wealth.
-> Put $500 into Spaceship to test the waters too.

Comments

  • +5

    Depends if you’re investing or punting?

    You listed some punts, and some investments.

    Think about your time frame, how you Would feel if something down 10, 20, 50%, and what would you do, etc before you invest.

    • I'm looking for both high and low-risk investments, ones where I can leave it for long term (lower risk) and short term (higher risk)
      Long term is around a decade or so.

      • +5

        If you don’t wanna do any homework just go ETF for the long term, choose a broad base etf.

        For the short term I can recommend Port Adelaide for finals win, I’m feeling lucky:)
        it’s better to bet as the winnings are not taxable, if you do win.

        But in all honesty, I wrote about two investments a month ago, see my past comments. Both are low risk investments, but I expect will return like a high risk one over time. I like bets where heads I win, and tails I lose not much/nothing.

  • +7

    OP please make sure to do your due diligence when taking advice. :)

  • -2

    Just invest in whatever brands you see around your bedroom when you open up the buying platform. The wise investor will literally weigh the contents of your room and invest in each corporation based on that ratio.

    • +4

      So the wise investor will take into account their own spending but not of the investments valuation? Interesting piece of wisdom

      • +3

        An exhaustive value judgement was already performed when you bought the items in the first place. Why double up on your work?

        • +1

          lol, when I look at my investment portfolio I don’t think I shop at any or many of the investments.

          For instance I recently bought into CDP, it owns half of Carindale Westfield, I’ve never even been there. I shop at plenty of Vicinity centres or GPT in Victoria. But the valuation of VCX and GPT doesn’t stack up against the property of CDP.

          This is my thinking anyway, but I can see how your judgement can work, see TESLA drivers buying TESLA stock woohoo lol.

      • -1

        The most pumpable stocks on the SPX are the ones that pays the least amount of divs.

  • +6

    vdhg set and forget

  • Blue chips like banks and airports…the stock price is low right now but it won’t last long

    • -5

      Banks, airlines and airports will take about 7 years to recover from what happened this year.

      • +1

        Which is why they're good buys now for long term.

        • -2

          No really. The CBA, WBC and ANZ has been in a downtrend since Mar and Apr 2015 while the NAB has been going down since Nov 2007. Nobody wants to catch a falling knife.

      • +1

        That should already be priced in if the market knows about it, so it's irrelevant.

  • Buy WEB

  • My go to at the moment is Downer EDI
    Ridiculous amounts of infrastructure spending, i can only see it going up.

  • Qantas.

    Double in 2 years.

    • Agreed. Sydney airport too.

    • OP, don’t listen to anyone who puts a time frame on price action, they are just trolling you.

      • +1

        Are Airlines & Syd Airport not worth investing on? Just had a look at the history of them and they seem to do very well before the pandemic.

        • +8

          They are worth investing in, but it really requires a deep look. I can write a bit more of my thoughts tonight when I’m on a PC, but here’s the back of an envelope thinking.

          airlines and airports are soooo different.

          You have one airport, you don’t really get another (sure badgery creek will come in the next decade but who wants to taxi 2-3 hours to get into the CBD?). SO AIRPORTS ARE a nice monopoly business.

          Airlines on the other hand, have a over supply issue. There’s grounded planes everywhere and plenty of them willing to fly for the cost of jet fuel and staff costs (ie below all in costs). That’s not a dynamic I’d invest in with confidence.

  • +1

    all in black

    • I've done that once with my tax return. I won….

      never again. I've learn things the hard way with the old all on banker or all on black.

  • +1

    10k isn't much to invest with in a retail fund and I don't think the returns are expected to be great over the next few years.
    Gambling on random stocks takes a lot of time to research unless you treat it like the lottery and hope for the best.
    My advice is don't invest if you can't afford to lose it. The only people get rich from investing are the fund managers.
    Pretty much anything is a gamble at the moment cause of the increased volatility.
    You're better off focusing on whatever skill/job you have and improving your earning potential on that.

  • +7

    Did someone say high yield vestment?

  • -1

    Put it ALL into ASX200 index. Save us all the trouble of debating it. Simply the point is you are diversified over 200 companies, across different industries and most likely they would get kicked out (of top 200) before they go bust.

    If things go wrong you just blame the overall economy, there is only one excuse if things go bad if you invested in the index.

    This topic is done to death. Search the forum history.

    If we say the index and you put it all on Afterpay you already made up your mind and you are just looking for validation of decision already made.

    • i'm just after everyone's perspectives and opinions based on the current state of the market. I haven't made up my mind on anything at all.
      I apologise if I have done something to offend you

      • +3

        You haven't offended me at all.

        I am just stating a point and you should read all the previous threads.

        If you only have $10k do you want to risk it all on one company, if it doesn't meet market expectations, price drops or even go out of business.

        Putting it into a broad index (ASX200 or all of market) you eliminate company specific risk and you are instantly diversified. Theory is you need between 5 - 10 companies (in different industries) to be adequately diversified for company and industry risk. You would be buying small $1k - $2k amounts of shares and paying $10 fee for each parcel for the pleasure.

        • I have read previous threads. but I'm after answers based on my current situation rather than a hypothetical 120k budget.

          • +1

            @MidToNext: Don't listen to any of us.

            Go on podcasts and listen to channel "Bogleheads on Investing"

  • VAS NDQ

  • +5

    r/ asxbets

  • Time share!

  • +1

    ETF, for example VDHG if you're fine with higher risk option, set to re-invest dividends, walk away and come back later

  • +1

    VAS, but you have probably missed that ship for short term gain. Has gone up $14 since mid April when I purchsed mine. Is on the slow crawl back from it's heady days of $90 pre Covid.

  • KGN - Founder led business, you'll find from your research these tend to do much better than non-founder led ones.

    They actually know how to start up and grow a business, compared to CEO's who jump from company to company for higher pay, unlikely to never have started a business themsevles and don't really give a damn about the business.

    • +2

      Funny you say this,Kogan is very smart. But he is so smart he would sell out a minority shareholder for a dime.

      Why you ask? Well look at his history, he often delivers fantastic business updates, pushing up his share price and then he would sell a bundle. Isn’t that just fantastic, a man so bullish on his own business he is willing to sell it to you.

      • LoL…

        Ok you can choose to invest elsewhere for sub par results, no problems.

        Maybe put your money in Myer, MYR is the ticker…enjoy the ride!

        • I went for DDR, same owner found and lead, but chooses to treat their shareholders as partners.

          If you don’t care how you are treated as long as you “make money” one day you might regret it.

  • +3

    onlyfans

  • AGH

  • +1

    NDQ or vgs?

  • Soon retiring (collectable) LEGO sets.

  • I would also recommend looking at U.S. stocks and ETFs.

    I won't give individual stock recommendations as they're subjective. You'd be better off discussing and reading communities focusing on stocks (hotcopper; on reddit - r/stocks, r/investing, r/ausstocks, r/asxbets)

    ETFs to look into
    - VanGuard index funds
    - ARKK and other Ark Invest funds
    - WCLD for exposure to technology growth companies (also comes with higher risk)

    DYOR

  • If you’re willing to cop exchange rate fluctuations, which can be to your benefit, Tesla
    Ark Invest predicts they will triple to quadruple by 2024 without autonomy & be 8x to 12x if they get robotaxis
    They are up over 200x from their 2010 low
    So if they do achieve autonomy according to those timelines, $10K invested in 2010 will be worth $25M in 2024
    Additionally as they have now met the requirements, they are likely to be added to the S&P 500 in the near future. That will result in huge institutional purchasing of shares, pushing the price up

    • +2

      So if they do achieve autonomy according to those timelines, $10K invested in 2010 will be worth $25M in 2024
      no point calculating based on a 2010 investmnet, you can cherry pick plenty of past rises and say 'what if' (eg, what would a btc investment in 2010 be worth currently?)

      what to calculate total market cap worth of tesla at that price?
      its currently about 400 billion USD
      So, in 2024 you're expecting something like 1.2-1.6 trillion at a minimum?
      whats their current profit ratio again? :)

      • +1

        Please don't FUD TSLA. They have undisputed pumpamentals.

        • Exxon has great future potential & an awesome current price earnings ratio!!!!

          • @Boogerman: Energy stocks doesn't interest me.

            • @whooah1979: Stocks that provide huge returns interest me. For example, Tesla

              • @Boogerman: TSLA doesn't pay divs. The only way to make a profit on TSLA is to go long (or short) and sell.

                You've already told us that you've made a ton on them which means that you either sold some, most or all of your position. You may have bought back a smaller bag at a higher price. The stock may go up to 400%, 500% or even 1300% by 2024, but your bag is getting smaller every time you trade.

                $10K invested in 2010 will be worth $25M in 2024

                This number is off. $10k is 23 TSLA. 23 TSLA at a 1300% gain in 2024 is ~$130k and not $25m. OP would have to do a 190x leverage to get $25m in 2024 (assuming that "Stocks only up" https://www.youtube.com/watch?v=rx-64CQZFHY).

                • @whooah1979: Share price hit a $10 low ($2 post split)
                  It is predicted to hit $25,000 ($5,000 post split) with autonomy
                  Therefore $10K invested in 2010, gets $25M
                  A big slap in the face for self centred conservative voters (a tautology) who couldn’t give 2 sh1ts about future generations

                  • @Boogerman:

                    Therefore $10K invested in 2010, gets $25M

                    LOL. Tesla has to invent a Cyber DeLorean for OP to be able to buy TSLA at $10 per stock.

                    • @whooah1979: Good to see you finally understand some extremely basic mathematics

      • Some people struggle to grasp future earnings potential. I’ve made a sh1t ton on Tesla

        • +1

          Past performance isn't not an indication of future performance ;)

          • @SBOB: Oh, everyone’s a Monday morning expert

        • +1

          future earnings potential. I’ve made a sh1t ton on Tesla

          TSLA doesn't pay divs. Your profits were capital gains.

  • +1

    Have a look at the 5 year graph for the asx then have a look at the 5 year graph for the Nasdaq and ask yourself which one has the better returns. You can buy a Nasdaq etf on the asx.

    As you have only a very small amount I would go the etf route as it's very hard to make money trading such a small amount.

    I would probably also wait for the next time there is a drop which may be before the US election due to uncertainty and because there has been a good run since late September.

  • It is too hard to answer this question without knowing about you. How old are you, what are your objectives, do you have a stable job, etc etc etc. Just go see a financial adviser for a comprehensive plan. It costs but is worth it if you get a good one.

  • Some things to consider https://www.youtube.com/watch?v=0g8FaKvRKMg

    Personally I sold most of my stocks a few weeks back and am expecting a rough 12 months (at least) DYOR but I would be holding off and watching. Bargains are coming.

  • If you have a Super Fund… then you are already investing in shares.

    Put the money toward other ventures, or put in in Super.

  • On the right track with VGS if you're happy to not touch them for 10yrs or so.

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