You do not need thousands of dollars to start investing in Australia. Thanks to low-cost ETFs and modern brokerage platforms, many Australians now invest with as little as $500 — and micro-investing apps make it possible to start with as little as $5. The real question is not how much you need, but how to make your first investment cost-effective.
The Theoretical Minimum
There is no universal minimum investment amount in Australia. What limits you is the combination of:
- The price of one unit of the ETF or share you want to buy
- Brokerage fees — the cost charged per trade
For example, VDHG (Vanguard Diversified High Growth ETF) trades around $60–$70 per unit. You could technically buy one unit for ~$65 plus brokerage. But paying $10 brokerage on a $65 investment means paying 15% upfront — which is not cost-effective.
The Practical Minimum — Making Brokerage Cost-Effective
As a rule of thumb, brokerage should represent no more than 0.5–1% of your investment per trade. This means:
| Broker | Brokerage per trade | Minimum to keep brokerage under 1% |
|---|---|---|
| Superhero (ETFs) | $0 | Any amount |
| Pearler | $6.50 | ~$650+ |
| CommSec | $10.00 | ~$1,000+ |
| SelfWealth | $9.50 | ~$950+ |
| Interactive Brokers (IBKR) | ~$3 | ~$300+ |
Superhero’s $0 brokerage on ETFs removes the minimum-amount problem — you could start with $100 and face no brokerage cost at all.
Starting With $500
$500 is a realistic and effective starting amount for most beginner investors in Australia.
With $500 you can:
- Buy 7–8 units of VDHG or DHHF at current prices
- Pay $2–$6.50 brokerage on a low-cost platform
- Begin building a fully diversified global share portfolio
If you invest $500/month and the portfolio grows at an assumed 8% annual return, after 10 years you would have approximately $91,500 (including contributions of $60,000). Actual returns will vary.
Starting With $1,000
$1,000 is a comfortable starting amount for most brokerage platforms:
- Brokerage of $9.50–$10 represents just 0.95–1% of the investment
- Gives you a small buffer for market moves before your next contribution
- Works with CommSec, SelfWealth, and most major Australian brokers
Starting With Less — Micro-Investing Options
If $500 is not yet achievable, micro-investing apps allow Australians to invest small amounts:
| Platform | Minimum investment | How it works |
|---|---|---|
| Raiz | $5 | Round-up app, invests in ETF portfolios |
| Spaceship Voyager | $1 | Tech-focused or index portfolio options |
| Pearler | $65+ | Direct ETF buying, lower brokerage |
Micro-investing apps charge flat fees (e.g., Raiz charges $3.50/month for balances under $20,000). This can represent a significant percentage on small balances — worth understanding before starting.
What About Super?
Your superannuation account invests money for you automatically. If you have an employer, you already have an investment portfolio in the form of your super. Super is worth topping up via salary sacrifice or personal concessional contributions, as the tax benefits are significant.
How Much Should You Invest Each Month?
The right contribution amount depends on your income, expenses, debts, and goals. Common guidance:
- Minimum: Whatever you can do consistently — even $50/month is better than nothing
- Target: Many financial planning frameworks suggest saving and investing 10–20% of take-home income
- Aggressive: FIRE (Financial Independence, Retire Early) followers typically aim for 30–50%+ savings rates
Consistency matters more than the amount. Investing $200/month every month for 20 years typically outperforms investing a large lump sum irregularly.
The Bottom Line
| Situation | What to do |
|---|---|
| Have $50–$200 | Start with a micro-investing app (Raiz, Spaceship) |
| Have $500+ | Open a broker account (Superhero, Pearler), buy an ETF |
| Have $1,000+ | Any major Australian broker — CommSec, SelfWealth, Pearler |
| Have $10,000+ | Consider your asset allocation across Australian and global ETFs |
Related Articles
- How to Start Investing with $500 in Australia
- How to Start Investing with $1,000 in Australia
- Dollar Cost Averaging Australia
- Best Broker for ETFs in Australia
- Getting Started hub
- Investing hub
Frequently Asked Questions
Can I invest in shares with $100 in Australia? Yes. Platforms like Superhero offer $0 brokerage on ETFs, making $100 a viable starting point. Raiz and Spaceship also allow investments from $1–$5. The risk at very small amounts is that platform fees (e.g., Raiz’s $3.50/month) represent a high percentage of your invested amount.
Is $500 enough to invest in the ASX? Yes. $500 buys 7–8 units of DHHF or VDHG at current prices. On a $0–$6.50 brokerage platform, this is a cost-effective entry point with full diversification across global share markets.
Should I wait until I have more money to start? No — time in the market generally beats timing the market. The cost of waiting (missed compounding) typically outweighs the benefit of a slightly larger starting amount. Start with what you have, then increase contributions over time.
This article provides general financial information only. For advice tailored to your situation, speak with a licensed financial adviser. You can find one through the ASIC financial advisers register or MoneySmart.