“Stock markets needs no specific minimum amount to enter, so it’s possible to start your investments, no doubt with very small amounts of money”
Only practical unit is to buy a single share. Buying of fractional number of shares is not possible.
E.g. Buying of 2.5 shares not possible
1, 2, 3,4…only possible.
So anyone can start their investments in stock markets by buying atleast one share, of course there are different shares in markets ranging from below one rupee to more than ten thousand. Hence theoretically it’s possible to enter investments in stock markets with a single rupee.
But this is not the case with all the stock brokerages; some may fix their own minimum amount. Many brokerages cannot accept amounts below 1000 rupees, also transactions pause when the balance is reached below 1000 rupees.
Lacking of minimum amount is an immense advantage to investors. That’s we start our investment with small amounts first, then after better expertise we make our full sized investment. Thereby avoiding the losses by lack of experience during our initial practices. Most of mutual funds have atleast 5000 rupees as their minimum investment and also we share our profit with the mutual fund company. Also they are preferable than other investment options like gold (requiring atleast 1gm buy), currency futures (1000$) or other commodities having their own minimum amounts.
But, how much you invest that much you profited. But its best to start your stock market investment career with a start amount of 5000 rupees minimum.
Conclusion: Stock Markets have NO minimum amount must required to invest, But arbitrarily its better to start with atleast 5000 rupees. Hence always prefer stock markets for your investments and make better.
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