How much money do I invest in shares?

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The most important tip when investing money in shares is to only invest money that is not needed in the short term. Investing money in shares is a long-term investment. That is why savings for the new car or the next holiday are not suitable for investing in shares.

Many people who want to invest money decide to invest a share of about 30% of their savings in shares. However, more important than the exact share of total assets is a successful investment strategy that the investor should develop and stick to.

Under no circumstances should a loan be taken out for trading in shares and other securities in, as the risk of loss would thereby lead to even greater financial consequences. Only invest money that you own and can do without in the longer term in order to achieve a high return.

Different investment strategies

One of the most important tips of experienced traders is that every money investor should decide on his or her own investment strategy. This strategy should be maintained even if the stock prices move in the wrong direction. In order to monitor the development, the prices should be checked regularly. This does not have to be done daily. At least once a week, however, every investor should check on the development of his portfolio.

Here is a list of the best-known investment strategies in securities trading:

  •     Dividend strategy: buying shares with high dividend payments.
  •     Dividend growth strategy: buying shares with the strongest rising dividends
  •     Momentum strategy: buying stocks whose price has risen in the past and will continue to do so
  •     Reversal strategy: buying shares whose price has fallen and will rise again in the future
  •     Value strategy: buying shares below their value
  •     Index strategy: buying exchange traded funds (ETF) that track an index

Successful investors often combine several strategies to achieve the best returns from trading stocks. At the same time, experts emphasise that a financial investor who trades in shares must also endure losses. This is also where one of the biggest beginner's mistakes lies: many inexperienced financial investors sell their stock holdings directly after a negative price development has taken place. However, in such a situation, which is not uncommon, it is important to keep a cool head and wait instead of selling right away.

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Inform yourself about the stock market

Before beginners invest money in trading shares, they should familiarise themselves with the financial market and learn about some stock corporations. Experts advise dividing the investment assets among different securities. Beginners should concentrate on less than ten stocks and only hold more than 10 different stocks after some experience. This way, keeping track of the portfolio does not become too time-consuming. In addition, the investor can react quickly to current economic news and movements on the market.


Investing in shares is not suitable for every investor. However, those who acquire some knowledge about the stock market and how it works can make good profits trading stocks. To do so, however, investors should invest money that they do not urgently need in the near future. Those who want to build up a fortune with shares should proceed cautiously and set up a strategy and take a long-term view. In addition, a general interest in the financial market and patience are among the most important qualities of a successful trader. In order to take the first step on the way to successful trading in securities, our guide also offers you information on more advanced topics such as the stock market or custody accounts. After all, knowledge is also the key to success in the world of finance!