Investing in stocks isn't just for the rich. In fact did you know that you can start investing in a diversified portfolio of stocks with as little as $5.
In this post I've put together some legit options for investing in stocks with just $1000.
Acorns is a micro-investing app. You invest small amounts in a diverse portfolio of stocks and bonds. What I like about Acorns is that you're investing a portfolio that has been put together by experts. You don't need to pick stocks on your own. So this is perfect for an investor who is looking for a hands off investment.
I've been using Acorns for the past two years, and it's been one of my best performing investments. And even though there has been a recent downturn in the stock market, I've still made significant gains. That's thanks to dividends and a very diverse portfolio.
You can choose for Acorns to automatically transfer your spare change into an investment account or you can setup regular recurring deposits or one off transfers. And because you can get started with as little as $5 there is really no excuse not to get started.
Acorns charges just a $1 a month account fee for accounts under $5k. This is quite cheap and much cheaper than trying to invest in a similar portfolio manually.
eToro is a multi-asset trading platform with stocks from all over the world. The reason why I've included eToro in this list is because you can buy partial stocks. Instead of buying one whole stock like you do on regular brokers, on eToro you can buy $50 or $100 etc worth of a stock. So you can basically invest however much you want. This means you can start investing in stocks with less capital.
eToro has stocks from markets all over the world including the U.S, Europe and Asia.
If you don't want to pick stocks on your own, you can also copytrade on eToro. This is where you copy the trades made by more other traders. You simply allocate funds, and then whenever the trader makes a trade your account will too.
Robinhood charges no commissions on trades. Which makes it a perfect place to start investing in stocks. Obviously if you're looking to start with $1000, you're not going to be able to invest in some stocks which have $1000+ prices.
Unfortunately Robinhood is only available in the U.S although they have plans to open in more countries.