1st time buying shares

Discussion in 'Shares & Funds' started by Des, 14th Mar, 2020.

Join Australia's most dynamic and respected property investment community
Page 1 of 4
  1. Des

    Des Well-Known Member

    Joined:
    11th Jan, 2020
    Posts:
    64
    Location:
    Melbourne
    Hi everyone,
    A little while ago some wonderful people here suggested we start investing into shares, at the moment all our investments are in property, and given the crash we figure it’s a good time to jump on the band wagon :).

    We are thinking of buying VAS and VGS in 2k amounts as the prices go down up to a total of 10-20k. VAS and VGS seem like the best way to go for beginners like us. Should we use COMMSEC or do you have a different platform you would recommend?
    Thanks so much!
     
    Des, 14th Mar, 2020
    #1
    Brisbane04 likes this.
  2. geoffw

    geoffw Moderator Staff Member

    Joined:
    15th Jun, 2015
    Posts:
    11,677
    Location:
    Newcastle
    There have been a lot of questions and answers on these two ETFs.

    CommSec is fine on those smaller amounts. Over about $10,000 other platforms may be cheaper. I use CommSec for smaller transactions, as it's a good platform to use, but SelfWealth for larger transactions. CommSec charges a percentage commission, SelfWealth a flat $9.50 per trade. Remember that the same charge applies for selling as for buying.
     
    geoffw, 14th Mar, 2020
    #2
    The Prestige likes this.
  3. Des

    Des Well-Known Member

    Joined:
    11th Jan, 2020
    Posts:
    64
    Location:
    Melbourne
    Sorry I don’t meant to ask a question that’s wasting people’s time. I have been reading through the forum but it’s very hard to understand what anyone is saying when you are brand new at this :( I know it probably seems like a very simple question but I really do appreciate you taking the time to answer @geoffw
    Thanks
     
    Des, 14th Mar, 2020
    #3
  4. geoffw

    geoffw Moderator Staff Member

    Joined:
    15th Jun, 2015
    Posts:
    11,677
    Location:
    Newcastle
    A lot of people are recommending VAS and VGS.

    Personally, I don't have a large capital and I'm close to retirement. So I sold out of a lot of things before things dropped too far. I'm waiting on the sidelines.

    If it wasn't for people with entirely different views on the market, there wouldn't be a market.
     
    geoffw, 14th Mar, 2020
    #4
    Never giveup likes this.
  5. Shogun

    Shogun Well-Known Member

    Joined:
    26th May, 2018
    Posts:
    2,891
    Location:
    Perth
    30 shares at $60 per share is $1800. So $30 adds a dollar a share. Sometimes cheaper to buy bigger dollar amounts. Need 1.5% increase to cover buying cost
     
    Last edited: 14th Mar, 2020
    Shogun, 14th Mar, 2020
    #5
    Des likes this.
  6. Des

    Des Well-Known Member

    Joined:
    11th Jan, 2020
    Posts:
    64
    Location:
    Melbourne
    Hi Shogun, I’m sorry I don’t understand where you are getting those numbers from? We could do 5k amounts instead of 2k.
     
    Des, 14th Mar, 2020
    #6
  7. Trainee

    Trainee Well-Known Member

    Joined:
    24th May, 2017
    Posts:
    10,343
    Location:
    Australia
    VAS closed at $70 a share on Friday.

    Comsec brokerage is usually $30 per trade.

    If you buy in 2k blocks, the brokerage is about 1.5% of the trade.
    If you buy in 5k blocks, the brokerage is about 0.6% of the trade.
     
    Trainee, 14th Mar, 2020
    #7
    David_SYD, Des and Shogun like this.
  8. geoffw

    geoffw Moderator Staff Member

    Joined:
    15th Jun, 2015
    Posts:
    11,677
    Location:
    Newcastle
    Below $1,000 CommSec charge $10. Between $1,000 and $10,000 CommSec charges a flat $19.95 a trade. Then up to $25,000 it's $29.95. Above that it's .12%.

    Selfwealth charge $9.50 regardless of the size of the trade.
     
    geoffw, 14th Mar, 2020
    #8
    Gockie, Danyool and Des like this.
  9. Shogun

    Shogun Well-Known Member

    Joined:
    26th May, 2018
    Posts:
    2,891
    Location:
    Perth
    ^^^^ this what Trainee said

    Commsec can charge $29.95 per transaction for a $2000 transaction. Depends what you sign up for

    Rates & Fees
     
    Last edited: 14th Mar, 2020
    Shogun, 14th Mar, 2020
    #9
    Des likes this.
  10. Never giveup

    Never giveup Well-Known Member

    Joined:
    13th Oct, 2018
    Posts:
    1,567
    Location:
    Sydney
    Ibnever knew abt Selfwealth...thx
     
    Never giveup, 14th Mar, 2020
    #10
  11. Shogun

    Shogun Well-Known Member

    Joined:
    26th May, 2018
    Posts:
    2,891
    Location:
    Perth
    Shogun, 14th Mar, 2020
    #11
    Des likes this.
  12. geoffw

    geoffw Moderator Staff Member

    Joined:
    15th Jun, 2015
    Posts:
    11,677
    Location:
    Newcastle
    The CommSec platform is better, there are some restrictions with SelfWealth, but for a buy and hold, they're fine.

    There are other discount brokers, I just use Selfwealth.

    Shares are Chess sponsored - I seem to remember that one discount broker didn't use Chess sponsorship.
     
    geoffw, 14th Mar, 2020
    #12
    Never giveup and Des like this.
  13. Shogun

    Shogun Well-Known Member

    Joined:
    26th May, 2018
    Posts:
    2,891
    Location:
    Perth
    Last edited: 14th Mar, 2020
    Shogun, 14th Mar, 2020
    #13
    Des likes this.
  14. Des

    Des Well-Known Member

    Joined:
    11th Jan, 2020
    Posts:
    64
    Location:
    Melbourne
    Thanks I’ll have a read, at the moment it feels like a lot of threads in this part of the forum are 90% in another language but it’s slowly starting to make more sense so using the search will actually start to become more helpful... hopefully!
    Feels like I have made a lot of progress today, just needed a bit of a hand to get started.
    Really appreciate your patience and understanding everyone :D
     
    Des, 14th Mar, 2020
    #14
    Brisbane04 likes this.
  15. Omnidragon

    Omnidragon Well-Known Member

    Joined:
    17th Oct, 2015
    Posts:
    1,693
    Location:
    Victoria
    Horrible investment
     
    Omnidragon, 15th Mar, 2020
    #15
  16. Shogun

    Shogun Well-Known Member

    Joined:
    26th May, 2018
    Posts:
    2,891
    Location:
    Perth
    Do shares fit in with your investment portfolio?
    Is now a good time to buy?

    If yes than you could do a lot lot worse than buying 4 x $5000 of VAS shares.

    Everything I read says they are a good place to start investing in shares especially if you buy and forget
     
    Shogun, 15th Mar, 2020
    #16
  17. wylie

    wylie Moderator Staff Member

    Joined:
    18th Jun, 2015
    Posts:
    14,015
    Location:
    Brisbane
    Why do you say that? I'd be one who may look at investing in the future once our build is done.

    So it would be good to know why you say this.
     
    wylie, 15th Mar, 2020
    #17
    Perthguy and SOULFLY3 like this.
  18. Omnidragon

    Omnidragon Well-Known Member

    Joined:
    17th Oct, 2015
    Posts:
    1,693
    Location:
    Victoria
    I think you’re better off looking at some of the high performing fund managers who deliver 20% IRR over 5 year periods. Like Cooper or Paradice
     
    Omnidragon, 15th Mar, 2020
    #18
    Des and wylie like this.
  19. number 5

    number 5 Well-Known Member

    Joined:
    2nd Mar, 2019
    Posts:
    133
    Location:
    Australia
    number 5, 16th Mar, 2020
    #19
    Des, Skinman, paulF and 1 other person like this.
  20. Omnidragon

    Omnidragon Well-Known Member

    Joined:
    17th Oct, 2015
    Posts:
    1,693
    Location:
    Victoria
    Best way to learn is get burned
     
    Omnidragon, 16th Mar, 2020
    #20
    Des likes this.
Page 1 of 4
Financial Advice – Do you need help

Do you need help with investment strategies, don’t want to buy the wrong stocks, or you just need a regular income stream? We provide the research to ensure your investment selections achieve the goals. This is the value of advice.