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How to get started with ETF investing

Quirk Team
How to get started with ETF investing

And claim a £25 bonus to get you started. Read on!

Investing can be easy, in fact, when your investing feels boring it means you’re doing it right. The vast majority of day traders will not outperform the performance of the market, which is why the best investors in the world like Warren Buffet use ETFs to invest.

An ETF is an Exchange Traded Fund, meaning instead of buying individual stocks of companies, you’re buying into the whole market, like a big basket of stocks. For example, when you buy an S&P 500 ETF, it is the equivalent of buying a small piece of each of the 500 biggest US companies including Tesla, Amazon, Facebook, and Apple. There are a few reasons why this type of investing is considered better. 

        1. Set and forget - you don’t have to worry about researching all the latest company news, instead the ETF tracks the investments for you.

         2. Diversified - an ETF is already diversified by containing multiple different companies in the fund. This helps mitigate risk. 

         3. Low cost - the fees of an ETF are the lowest among investment funds and priced into the performance of the fund. ETF fees start as low as 0.05%.

         4. Long term - Whenever you invest, your capital is at risk. This could mean the value of your investments goes down as well as up. However, the longer you hold an investment that tracks the market, the risk becomes lower.


Why we love InvestEngine

InvestEngine offers commission-free ETF investing for individuals and small businesses. They stand out to us because of:

         1. No fees - InvestEngine’s DIY account has no platform fees. This makes a big impact on your investment returns over time

         2. Availability of funds - you can choose from hundreds of ETFs from iShares, Vanguard and other leading investment brands

         3. Tax benefits - You can create an ISA account in order to grow your investments entirely tax-free

         4. Regulated - InvestEngine is authorised and regulated by the Financial Conduct Authority and covered by the Financial Services Compensation Scheme (FSCS).

         5. Accessible - you’re able to get started with just a £100 investment

         6. Well designed - we value good design around here, and the Invest Engine app and web portal get our stamp of approval 

Sign up for a £25 bonus

We’ve partnered with InvestEngine to offer you a £25 sign up bonus (T&Cs apply). Create an account with Invest Engine using this link and make your first investment with as little as £100.

For full disclosure, we will also receive a referral fee once you sign up.

Don’t want DIY? Get a professionally managed portfolio

Although we support the DIY approach to minimize fees, InvestEngine also offers professionally managed portfolios of ETFs for just 0.25% a year (ETF costs also apply). 

Comparatively, this is a very low management fee, which gives you the ease of mind of having investment professionals making decisions on your behalf and adjusting your investments. If you’re not convinced with the DIY approach, this is a great way to get started with investing.

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