One legend on the stock market is that it takes a lot of money for someone to start buying shares. In fact, this can be done with a few hundred pounds.

I actually think there are good reasons to consider doing so. One of them is that this means that someone can be on the market sooner, instead of waiting for years or perhaps even contracts before they saved a big day to go. From the long -term investor perspective, the tallest time timer can provide a large possible feature.

Most people make some beginners ’mistakes in the market, realistically – and start a small scale can also mean that they are less expensive.

What is necessary to invest

“Why” may be clearer now – but what about “How?”

To start buying stocks requires a practical way to do this. Therefore, the new investor must consider how 500 pounds in the market. There are a lot of options when it comes to sharing accounts, shares, sharing in ISAS, and trading applications. Each investor has his own circumstances, and therefore he pays to make a deliberate option.

Learn how the stock market works in detail may take years. But at least the investor must hold important concepts, from evaluating stocks to risk management. For example, even with 500 pounds, it is possible to diversify via different shares.

There is a difference between good a job Good investmentSo just putting money in successful companies is not necessarily a smart way to invest.

Find shares to buy

This helps to explain the reason not to have shares like apple or Nafidia at the moment. I consider both strong companies, but I do not think that their current stock prices provide me with a convincing investment opportunity.

What types of stocks do I think someone should think when he wants to start investing, then?

One mistake makes a lot of people is very greedy. I understand – people start buying stocks because they want to build wealth. However, in the stock market, as is anywhere else in life, the opportunities that look very good are not correct.

It can be a well -known work at a decent price. That is why I think new investors should think about Baker Greg (LSE: GRG).

It is easy to understand work – in fact, many of us are completely familiar with shopping there. Greggs has a proven business model and already benefits from the savings of size that I think can grow if its mark expands. There are a lot of opportunities to do this, as the company itself recognized.

Customer request is high and flexible. Although the industry is not glamorous, Greggs earns money thanks to its strong brand, huge store network and unique transformations on known products.

But investors were worried about profitability, with risks such as poor economy that harms sales and high costs of employment in profits. The result is that it is 31 % cheaper to buy GregGs today than it was a year ago.

I see this is an opportunity. In fact, I started buying Greggs shares for my wallet in recent months. 3.6 % profit revenue is ice on the cake.