Every investor starts somewhere. And whether you’re in the research phase, the ready-to-make-your-first-investment phase, or somewhere in between, you’re in the right place to find out about how to start investing in Australia.
It’s natural to feel nervous when it comes to investing. It looks complicated, it sounds expensive, and the people who do best at it work on Wall Street for finance firms and drive fancy cars… right?
Well, actually…
By the end of this medium-sized-read, you’ll know whether or not that’s true. (Spoiler: it’s not.)
We’ll cover:
- What investing actually is and why it matters
- Some of the assets you can invest in — shares, ETFs, and managed funds
- How to invest in ETFs and managed funds specifically
- How to start investing with little money
- A step-by-step guide to getting started
- A comparison of the best investment apps for beginners in Australia
- How to get started with Spaceship Voyager specifically, if you want to
And then you’ll be armed with the knowledge you need to feel confident taking your next step.
Let’s do it.
This is general information only and doesn't consider your personal financial situation, objectives, or needs. Before making any financial decisions, consider whether this is right for you and read the relevant PDS and TMD at spaceship.com.au.
What is investing and why does it matter?
Investing is putting your money into an asset - such as shares, property, or a managed fund - in the hope it will grow in value as time passes.
Money that sits still over time loses value. As the cost of living rises, the value of your money - that is, what you can buy with it - declines. This is known as inflation, and it’s why 50c used to buy you a killer python but now it barely gets you a red frog.
As the cost of goods and services gets more expensive, income you earn from your job may not keep pace. When this happens, some people try to keep up by putting their money to work for them.
In general, they do this in two ways: saving, where their money earns interest, or investing, where it may earn dividends or grow in value over time. Capital growth is when the value of an asset increases above what was paid for it - for example, a house someone paid $50,000 for in the 1980s that’s worth $350,000 now.
No matter what they choose, each time someone saves or invests their money, there’s always some risk it will lose value - even if they put it in the bank. There’s always a chance that the $50,000 house could’ve fallen to be worth $20,000 instead. Returns are never guaranteed. It’s important to consider these risks before making any investment, not least because they’ll help you know what to expect.
Each investment type has different qualities, including how risky and volatile it is, its expected return, and recommended minimum holding periods. This means different investment types may suit different investors.
For example, someone who invests their money in a bank account to earn interest in the short term is choosing a lower-risk investment than somebody who puts that money in the stock market hoping they can buy shares they may sell at a profit.
In general, and as seen on MoneySmart, investment types have varying risk, although it depends on the investment itself, and you should always read the PDS and TMD of any investment before choosing it.
| Investment type | Risk level | Potential return | Time frame |
|---|---|---|---|
| Cash / savings account | Very low | Low | Short term (0–3 years) |
| Bonds / fixed interest | Low–medium | Low–medium | Short term (1–3 years) |
| ETFs | Medium–high | Medium–high | Long term (5+ years) |
| Managed funds | Medium–high | Medium–high | Long term (5+ years) |
| Shares | High | High | Long term (5+ years) |
| Property | Medium–high | Medium–high | Long term (5+ years) |
Potential return is indicative only. Returns are not guaranteed and will vary depending on the investment and market conditions. Past performance is not a reliable indicator of future performance.
There are also fees and costs involved with investing. These can include charges such as account fees, management fees, or costs you may pay when you buy or sell investments. No matter what you invest in, these should be clearly stated so you know what to expect.
You can generally find an investment type that suits your goals, timeline, and how much risk you’re comfortable with taking on.
What can you invest in?
While your choices may seem limitless, once you take into account your personal circumstances, goals, risk appetite, and holding period, you may find your options are a lot less overwhelming than they first appear.
This is because not every investment is suitable for every investor. If you’re starting to invest, you may want to give yourself the best chance of success by choosing an investment that suits your personal circumstances, so it’s worth sitting with what those are.
Common investment types include:
Shares: When you buy a small ownership stake in a company. Buying individual shares is considered risky because your money is concentrated in one place. Some investors manage this by buying shares in different companies, across different industries, using a strategy known as diversification, which can lower your overall portfolio risk. The quality of the company you buy shares in matters too. Some companies are known as ‘blue chip shares’ because they’ve historically shown long-term stability. No matter what shares you invest in, there’s never any guarantee of return, even if they’ve performed well in the past.
ETFs: ETF stands for exchange-traded fund. ETFs are investment funds made up of units, and when you invest in them you become a unitholder. The units give you a representative share of all the assets the ETF holds. Some ETFs are set up to track investment indexes, such as the top 200 stocks in the Australian stock market. Others are set up to track sectors, such as the performance of gold as a whole. While investing in ETFs may give you more diversification and reduce your risk, keep in mind it doesn’t protect from market or sector falls.
Managed funds: Managed funds can be similar to ETFs, but instead of tracking an index, they’re set up by their fund managers to adhere to a specific investing strategy. For example, at Spaceship each Spaceship Voyager Portfolio has a specific methodology it follows. The Spaceship Universe Portfolio invests in companies it believes are “Where the World is Going”, which means they’re expected to fulfil criteria set around long-term trends and the potential for growth, for example. For more information on Spaceship Voyager, including risks, check out the PDS and TMD. With managed funds, while you’re trusting your money to a professional fund manager, keep in mind it doesn’t guarantee that investment will succeed.
How to invest in ETFs and managed funds in Australia
To invest in an ETF or managed fund in Australia, you generally need a brokerage account or an investing app. (A brokerage account is an account you open with a broker, that is, a company that’s licensed to buy and sell investments on the stock exchange on your behalf.)
You can generally start investing in your chosen managed fund or ETF with a small amount of money. Sometimes you’ll need to purchase at least one unit, and at other times you’ll need to adhere to a dollar-based minimum. At Spaceship, there’s no minimum investment in the Spaceship Voyager managed funds, but there is a $10 minimum in US ETFs and Stocks at the time of writing. (Other fees and costs may apply.)
Many investors set up regular contributions, known as dollar-cost averaging, so they can stay invested regardless of what the market is doing. This is because stock markets fluctuate, and no matter what you’re invested in, you can expect periods of turbulence. Dollar-cost averaging is a method some people use to buy more units when prices are low, and fewer when they’re high, to smooth out the average cost over time. Keep in mind that it’s just one investment strategy. It doesn’t guarantee returns, and the one that’s best for you might be different.
According to ETF Database, the three largest ETFs in the world at the time of writing each track the S&P 500, which is made up of500 largest US-listed companies that meet certain criteria.
Why are there three different ETFs tracking the same thing? Good question. They’re run by different companies. They also charge different fees, have different numbers of customers, and hold different amounts of asset.
How to start investing with little money
53% of Aussies think you need between $1,000 and $25,000 if you want to start investing, according to 2025 research from Colonial First State. At Spaceship, we’ve made it so you can start investing in Spaceship Voyager managed funds with as little as $1.
That’s because when it comes to investing, the habit can matter more than the amount.
Starting small also gives you time to understand your personal circumstances and figure out your risk appetite. Some investors think they can handle volatility and high-risk investments, then feel very differently when they see the value of their investments fall. Others may invest in something slow and steady, and realise they could stand a little more risk. The benefit of investing with small amounts of money is that your exposure is limited while you find your feet.
Still other investors start by investing their spare change: automated and round-up investing apps can automatically round up your purchases and invest the difference. A common pathway we see at Spaceship is for investors to test the waters with a smaller investment and, if they see it works for them, increase the frequency or amount of their investments to contribute to a chosen goal.
Keep in mind, this is just one way of investing: different strategies work for different people.
How to get started: a step-by-step guide
Getting started with investing can be simpler than it looks. Here’s how to do it.
Work out what you’re investing for
It’s a good idea to consider:
- The type of investment that suits you best
- How long you’re planning to invest your money
- Your risk appetite
- Whether you have debts or other liabilities that might be worth clearing first.
For personal financial advice, consider speaking to a licensed professional who knows your personal circumstances, such as a financial advisor or accountant.
Choose a platform
Different investment platforms have different offerings. You may want to compare:
- Minimum investment amounts - are you comfortable with how much they’re asking for?
- Fees - do you understand what you’ll be charged, and how often?
- Your investment options - do they offer shares, ETFs, managed funds, or a mix?
- App experience - is it easy to understand? What are the app store reviews like?
In Australia, investment platforms must hold an Australian Financial Services Licence (AFSL), and they’re regulated by ASIC, which is Australia’s financial regulator. ASIC sets standards for how financial products and services are provided and how your money is handled. Spaceship’s AFSL is 501605.
Set up your account
Once you’ve chosen your platform, you’ll need to set up your account. This process will vary depending on which platform you choose, but you’ll generally need to verify your identity, so you may need to have some identification documents on hand.
Make your first investment
Once you’re comfortable, you may choose to make an investment. You can start with an amount you feel comfortable with, and it’s okay to start small and get a feel for things, or to change your mind. Keep in mind that the value of your investment is likely to go up and down, and how you feel when it does is a good hint for the type of risk tolerance you have.
Consider setting up regular contributions or auto-investments
If you decide it’s right for you, consider setting up regular investments or automating your investing in a different way. You can generally start, pause, or change your investing — check the relevant PDS for details on how withdrawals and changes work for your chosen product.
One of the most important skills when it comes to investing is keeping cool under pressure, which means managing feelings of FOMO when the price rises, and managing feelings of panic when it falls. Regular contributions and auto investments can be a way of trying out investing and seeing what kind of investor you are.
Keep in mind, investing comes with risk, and returns aren’t guaranteed. There’s always a chance you’ll lose your money, which is why it’s important to be thoughtful about how you invest it.
Monitor your investments
Check in on your investments, or your potential investments, at a frequency that works for you. It can be tempting to check your portfolio each time you unlock your phone - but if you’re investing for the long term, this might not be the best way to stay the course, especially when markets get choppy.
Similarly, if you don’t check in enough, you might miss opportunities to buy or sell your investments that you would’ve taken.
If you find yourself checking constantly and feeling anxious about your investment balance, it might be worth considering how much risk you’re comfortable with.
Best investment apps for beginners in Australia
Not sure where to start investing? Here’s how the main options compare. (Features are based on publicly available information at the time of writing, 23 June 2026. Check each platform's website for the most current details.)
| Spaceship Voyager | Raiz | CommSec Pocket | |
|---|---|---|---|
| Minimum investment | No minimum | $5 | $50 |
| What you're investing in | Five managed fund portfolios (Universe, Earth, Origin, Galaxy, Explorer), each with a different investment focus and risk profile. Spare change and round-up investing available. | Diversified ETF portfolios ranging from Conservative to Aggressive, plus socially responsible, Bitcoin, and property options. Built around spare change and round-up investing. | Choice of 10 ETFs |
| Fees | $3/month + management fee of 0.15%–0.50% p.a. | From $2.50/month (Lite) or $5.50/month (Regular); 0.275% p.a. on balances above $26,000 | $2 per trade up to $1,000; 0.20% above* |
*ETF providers charge their own management fees, which are deducted from the unit price and vary depending on the ETF you choose.
This comparison is general in nature and is not a recommendation of any particular platform.
How to start investing with Spaceship Voyager, if you want to
If you’ve decided investing in a Spaceship Voyager portfolio is the right move for you, the first step could be to decide which Spaceship Voyager portfolio is the right choice for you.
Spaceship Voyager has a range of five managed funds, each with different objectives, risk profiles, and asset allocations.
They’re available through the Spaceship app and website, where you can also access US investing and superannuation features.
Check out the PDS and TMD to make sure you understand your investment, including the risks.
Ready to get started?
Frequently asked questions
How much money do I need to start investing in Australia?
It depends on the platform you choose. Some require a minimum investment of $50, others as little as $5, and some — like options on the Spaceship Voyager app — have no minimum at all. The amount you start with matters less than developing a consistent habit of investing over time.
How do I invest in ETFs in Australia?
You'll need a brokerage account or an investing app that gives you access to ETFs. Once your account is set up and your identity is verified, you can start investing. Some platforms also offer managed funds, which work similarly to ETFs but are run by a fund manager rather than tracking an index.
What is the difference between shares, ETFs, and managed funds?
Shares give you ownership in one company. ETFs are a basket of many investments bundled together, often tracking an index. Managed funds are similar to ETFs but follow a specific investing strategy set by the fund manager, rather than tracking an index. Each has different risk profiles, fees, and recommended holding periods.
Is investing risky?
Yes — all investing involves some risk, including the risk of losing money. The level of risk depends on what you invest in, how long you invest for, and how diversified your portfolio is. It's worth understanding the risks of any investment before you start. You can find more information in the relevant PDS and TMD.
What is dollar-cost averaging?
Dollar-cost averaging is when you invest a set amount regularly — say, weekly or fortnightly — regardless of what the market is doing. It means you buy more units when prices are low and fewer when they're high, which can smooth out your average cost over time. It's one investment strategy, but not the only one.
Do I need a financial adviser to start investing?
You don't need one to get started, but a licensed financial adviser or accountant can give you personalised advice based on your specific circumstances. The information on this page is general in nature and doesn't take into account your personal situation.
