Insights

Where to invest your first $500 into ASX shares today

Looking to invest your first $500 into the share market? Then you might want to consider Nearmap Ltd (ASX:NEA) and these top ASX shares…
The post Where to invest your first $500 into ASX shares today appeared first on Motley Fool Australia. –

male looking at laptop with confused expression

If you’re looking to make your first investment in the share market, then you may be wondering where to put your funds.

The good news is that I believe there are a large number of quality ASX shares which have the potential to generate strong returns for investors.

Now, if you have just $500 to invest, then I would suggest you think long-term. This is because the brokerage fees you pay will eat into your returns if you are always buying and selling shares.

With that in mind, I have picked out three ASX shares I would buy. Here’s why I think they would be great long-term options for a $500 investment:

Kogan.com Ltd (ASX: KGN)

The first ASX share to consider investing $500 into is Kogan. I think the rapidly growing ecommerce company could be a great long term option due to the accelerating shift to online shopping. This has underpinned explosive active customer, sales, and profit growth this year. Pleasingly, this strong form has even continued when retail stores reopened. This appears to be an indication that the pandemic has brought about a lasting change in consumer habits. In light of this, I believe Kogan is well-placed to grow its earnings at a very strong rate over the 2020s. This could be bolstered by value accretive acquisitions following its capital raising earlier this year.

Nearmap Ltd (ASX: NEA)

Another option to consider buying with the $500 is this aerial imagery technology and location data company. Nearmap has been growing very strongly over the last few years thanks to increasing demand for its services in the ANZ and North American markets. And while FY 2020 was a tough year because of a large customer churn event, I remain confident that its growth will accelerate over the coming years. Especially given its leading position in a highly fragmented market currently worth $2.9 billion per year. Furthermore, the company has the option to expand geographically in the future to increase its addressable market. I suspect it is only a matter of time before it is operating in the UK and Europe.

Pushpay Holdings Ltd (ASX: PPH)

A final ASX share to invest $500 into is Pushpay. It is a donor management and community engagement provider to the church market. Pushpay’s platform has been growing in popularity with churches over the last few years as they embrace the shift to the cashless society and the digitisation of the church. So much so, Pushpay reported a 42% increase in customer numbers to 10,896 in FY 2020. This strong customer growth led to the company delivering even stronger sales and earnings growth for the year. And pleasingly, more of the same is expected in FY 2021 and in the years that follow. I believe this makes Pushpay shares one of the best options for a buy and hold investment.

Man who said buy Kogan shares at $3.63 says buy these 3 ASX stocks now

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

In this FREE STOCK REPORT, Scott just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. These stocks are trading at dirt-cheap prices and Scott thinks these could really go gangbusters as we move into ‘the new normal’.

Find out the names of our 3 Post COVID Stocks – For FREE!

*Returns as of 6/8/2020

More reading

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Kogan.com ltd, Nearmap Ltd., and PUSHPAY FPO NZX. The Motley Fool Australia has recommended Kogan.com ltd, Nearmap Ltd., and PUSHPAY FPO NZX. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post Where to invest your first $500 into ASX shares today appeared first on Motley Fool Australia.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;


To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.


An active and funded account with a positive trading balance is required to continue to have access to the tools;


Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;


Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!