Looking for easiest way to invest in stock market

HI All,

I am looking for some simple and easy ways to invest in stock market for long term like 10 to 20 or maybe 30 years. I started working full time when i was 14 and i think i'll never stop working cause i love what i do (own a panel shop and love spraying the cars) I'm trying my best to read and learn from forums here about strategies and theories but i realised i can't read for long time anymore as i haven't read anything for 20 years.(too dumb)

Till now i have been investing the old fashioned way in precious metals and Real Estate. I recently started contributing 25k a year in my super to save tax. Now i want to start putting extra cash every month or every quarter in Stock market (depending on fee and brokerage charges) Let's say 10k to 20k a year. Should i consult with some Financial planner? Any recommendations? I saw Sackie's thread from 2018 about investing big chunk first time in stocks. Took me 4 days to read the thread very helpful members on pc i must admit.

In that post everyone suggested him investing in lic and etf. He ended up putting all his cash in some etfs and lics. My question is are you investors still recommend the same way? What are the returns or what kinda money i should be expecting in 10 years or 20 years? Are there any tax benefits?

Thanks in advance and apologies for my english.

 

Yes LIC's and ETF's are still the easiest and probably best for your risk profile (I remember you saying you were risk adverse).

So the process is (I assume you're after a really easy "idiots" guide*):

1) Sign up for a trading account (e.g. Commsec).

2) Look up which combination of ETF / LIC works for you. E.g. if you want Vanguard, go to their website and look up each one. Maybe you want x amount of an ETF that focuses in tech, while you have y amount that focuses in real estate (I chose 70% established markets, 30% in emerging).

3) Copy the ETF codes of your choice, go to Commsec or wherever, enter that in, quantity you want and price and buy. It's no different from buying something on say, Amazon.


*There was a series of helper books called "idiots" from many years ago (e.g. Idiots guide to brain surgery). It occurred to me maybe they don't exist anymore and don't want to offend you if you didn't know.

 

He's super risk adverse. So from that perspective I think it really helps narrow down his options

 

Great minds and all that.

No need to apoligise. You're doing OK I reckon.

Stop worrying about brokerage. For plonking down 2 lots of $10k every year it would be less than a tank of petrol.

As to what sort of return you could get in 20 years time, no honest person will put an actual figure to that. Some years it could be 7% upwards and the next 20% down. Best to put in a figure of about 5% average but be ready to accept big swings.

Starting out on what is a hard call there. Don't know what level of risk you're happy to wear. Maybe a Financial Planner but only one who accepts fee for service if you can find them but walk away if you are not comfortable or you feel they are feeding you bull.

 

just save it and invest once or twice a year in $10k lots. Commsec will charge $19.95, easy peasy.

 

Worst case invest every quarter 1st day of every 3rd month and tick drp that means 6 transactions to take care of per year! I think I have saved a post where a excel spreadsheet was done dca 4k per quarter and eventually up to 7k per quarter with inflation into AUI (a lic) and over 17 years a income of 52k per annum was achieved.

 

Check out a fairly light Australian book called Motivated Money by Peter Thornhill.
I struggle to find the attention to read a food label but got through this in a day. Best of all its relevant to oz.
He seemed to prefer LICs to ETFs for reasons I personally dont share, but they are similar enough that his underlying ideas are the same.

I believe your super strategy is an excellent one. As for the rest, monthly or quarterly contributions are a good idea. Brokerage starts at around $10 for the likes of CMC.

My main advice would be to keep it simple. No need for exotic ETFs or more than 3 or 4 max.

With 10-20k year I'd look at putting 2.5-5k a quarter into something like VAS (Vangurad Australian Shares etf). Once the balance has grown over the next twelve months maybe start adding an international ETF such as VGS into the mix.

I also believe that when starting out you can be too diversified.
Just keep it simple and consistent and dont get too bogged down on fees and differences in returns. It's pretty irrelevant until the balance has grown sufficiently, so regular contributions should be be the main goal in the shorter term.

I dont believe in holding precious metals but the world would be a boring place if we all shared the same views.

 

Just remember to keep all the paperwork, and give it all to your accountant. Have them keep copies and do the filing for you. Pay them to do this.

regular buying over decades is great, but a tax nightmare if you dont keep proper records.

 

Didn't take long.

@Islay - Yep.

@pippen - Shh with the numbers. Builds up expectations.

To All and Sundry. Tone it down a bit if ya don't mind. I'm trying to get some sleep over here.

 

Thanks jaybean,

Yes i have made an account on comsec and bought Nab last week and yesterday bought A2M spent 15k now I'm thinking could be a bad move

 

Here's a trick I've learned: if you're not day trading and looking to invest in the medium to long term, the moment you buy, delete the stock from your watch list. Don't follow it, don't check in on it. Return in 5-10 years and take a look. Who cares what it is tomorrow, it will only lead to unnecessary stress. With this approach, I haven't made a loss in over a decade.

 

My super is with combank. I'll wait for till it is 200k so i'll buy an investment property with it what you think of it?

 

Aah sorry
Yes combank is my super fund manager

 

Thanks for your advice satay king

I don't mind paying fees to financial planner or professionals as long as i get good advice and results.

It is like young boys come to my shop for quote after they mess up their cars paint with spray cans which they watched on youtube and they say it looked very easy. I charge them double.

 

I will look into this platform selfwealth for sure

 

Thanks for your advice Islay

So is there any strategy to put money or just put anytime of the year. When market goes down if put extra 5k or 10k that would any help or doesn't really make big difference