Sometimes people who want to start buying shares can feel like she has never had a chance. So many other expenditure priorities may appear in life.

That is why I think that it may make sense to direct a specific, mastered part of the income to invest.

Setting a regular level of insert

How much will it depend on the circumstances of the investor.

Different people have different salaries – and different expenses. For some, purchases of shares can be a high priority. For others, it can be something that they do only on a very petite scale.

In this example, I imagine that someone postpones 5% of the salary every month to start buying shares and then build a portfolio in a long term.

How much it depends on how large the salary is (and whether a person sticks to his good intentions!). Perhaps in time they decide to invest a higher or lower percentage of their earnings.

But I think that establishing a regular goal can aid build wealth in a long -term perspective, because it can put the foundations of building a portfolio of action.

Preparation for investing

This money should be placed on some investment account. A helpful early step may be comparing the account, ISA or application or application.

While dealing with the nuances on the stock exchange is a long -term project, I press more, I think that the recent investor needs at least moving with key concepts, such as valuation and risk management, before heavily earned cash was exposed.

I am looking for high -quality companies with attractive share prices

Each investor has its own approach to decide what to buy.

Like the billionaire investor Warren Buffett, I try to buy shares in great companies when they sell at an attractive price.

An example of the participation I bought recently European value B&M (LSE: BME).

A quick look at the action chart shows that not all investors have shared my enthusiasm over the past few years.

The charming dividend looks attractive (and I hope that it will generate passive income for me when I have shares), but dividends are never guaranteed.

Indeed, one mistake that some make when they start buying shares (and sometimes outside), is excited about the prospect of dividend without making every effort, how balanced payment can be, based on their assessment of the company’s business perspectives.

B&M has its challenges. Recently, the sale of speedy -moving consumer goods was disappointing. This emphasizes the risk of a wider slowdown in other product categories.

But I see a lot to like here. The company is well known, and in a indigent economy, its discount proposal may look attractive for even more buyers. It has a enormous shopping estate, generally increases sales and uses a significant pool of ordinary customers.