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Interested in investing? Here are 6 places to find the best stocks advice

Six platforms for investment advice. Source: Getty

The stock market has hit record highs and sunk to dramatic lows as the coronavirus pandemic continues to unfold, and many of you might be thinking it’s a good time to strap in for the rollercoaster ride. 

In fact, many experts agree: AMP economist Shane Oliver told Yahoo Finance with the market down over 30 per cent from its high, shares are extremely cheap, making this a good entry point for investors.

Economist Stephen Koukoulas said while it was tough to call when the market would reach its lowest point, it’s a good time to buy. 

“There could be some extreme volatility ahead, but it is better to be buying shares when the index is around 5,750 points than when it was above 7,000 points,” he said.

But you shouldn’t go in blind. 

Here are the best places to find investment advice:

1. MoneySmart

MoneySmart is the government’s free online resource, and with tonnes of information on how to seek financial advice, it’s a good place to start to get your bearings.

It can help you choose your investments too, by determining what type (defensive or growth) and what method (on your own or with an adviser). 

2. Online blogs

Motley Fool is a site dedicated to investment decisions, whether it be the best three ASX shares to buy this week or a deep-dive into Qantas. 

The Barefoot Investor’s blog is another good place to find some general insights on whether it’s the right time to get into the stock market, or what founder Scott Pape is investing in himself.

3. Follow the experts

Economists like Shane Oliver and Stephen Koukoulas, and money commentators like Peter Switzer will often share their sentiment on Twitter, or through news outlets like Yahoo Finance. 

You could also seek out some investment podcasts like The Australian Investors Podcast, run by Owen Raszkiewicz, founder of the Rask Group or Equity Mates, run by university mates Bryce and Alec.

4. Investment trading sites

If you’re already trading on sites like eToro, you should try and utilise the tools on those sites. 

On eToro, you can search expert investors to read their strategy and see their investment portfolios. 

If this expert has thousands of followers, they’re also likely to put our weekly updates on why they’re investing in certain stocks, and what they’re looking for next.

5. Financial advisers

Financial advisers aren’t a free service, but they can provide you with a more tailored service.

Their fee structures vary, and can either be fixed or as a percentage of your portfolio. It’s also worth noting they can make commission on some investment products, too.

The Australian Securities and Investments Commission (ASIC) says the first meeting with a financial adviser is often free, so you can always test the waters and see if this is right for you. 

According to Finder, you could fork out anywhere between $200 and $10,000 for a statement of advice. This is a one-time fee, however. 

Portfolio review meetings are usually charged by the hour, which can be as much as $350 per hour. 

6. Brokers

Stock brokers can either offer you advice (full service brokers), or not (non-advisory brokers).

Both types of brokers will charge you a fee, however full service broker fees tend to be higher than non-advisory.

You can head to ASIC’s brokers page to find a broker that suits you, or Finder offers a comparison for brokerage costs.

Like adviser fees, brokerage fees can vary. 

For example, CMC Markets, a popular brokerage site, will charge around US$20 for up to $5,000 worth of shares, or $15 per month if you make no trades in that period. 

Bell Direct charges $15 or 0.1 per cent for your first 10 months of trading, with no other fees.

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