Hi all,
I’ve recently turned 21 and am looking to use the money I had for my birthday to start some basic investing. I’ve thought about investing in different companies, with the aim of having a longer term dividend paying share and two others to trade when they rise in price, but would it be worth putting an ETF in too?
What’s the best strategy for a first timer?
Definitely put the majority of your money into one or more ETFs, e.g. MSCI world. Only invest a little in individual companies for starters. In the long-run only a minuscule amount of stock-pickers outperform ETFs.
After taking a look at that, does £75 into MSCI World and £75 into OGIG seem like a good choice? That’d also leave me some cash to look at individual companies. One more question, what’s the best amount of time to hold an etf for?
Seems fine to me to start off. OGIG is a US etf, so should not be tradeable in the UK generally, but there’s similar ones if you want to overweight that area.
I’d never sell an ETF like the MSCI World, hold indefinitely or when you need to money for something else.