How can you invest as a student? A few interesting tips to start trading as a student in college!

Studying is hard work. But besides that hard work, you also just want to have a nice life. Doing a beer with friends, enjoying a summer full of festivals and occasionally a pair of new sneakers to go with that stylish outfit: it’s all part of being a student. One of the most important choices you need to make when starting out your finance career in school, is to choose one of the best CFD trading brokers in France or any other country in Europe.

  • However, there is little money for it, as the study costs already absorb a lot of your budget. That side job in the hospitality industry simply doesn’t pay enough to finance the tuition fees, the study books and all those fun things. Online investing is then a smart alternative.

Every student can start investing

Investing is often associated with people who have built up a lot of capital during their lives. The chance that you, as a student, fall into that category is small. Most likely you don’t have tens of thousands of euros at your disposal that you can use for your investments. Fortunately, you don’t have to! With a deposit of ‘just’ 100 euros you can start trading with many online brokers.

As a student you really benefit from the fact that investing has become more and more accessible over the past decades

So you don’t have to bring in huge capital and moreover, you don’t have to report to a bank or other intermediary. You can invest all by yourself at an online broker. As a result, the threshold to start trading has become much lower. Every student can start investing. Also nice: you don’t have to wait years before your investments deliver something. Online brokers have an average duration of a few hours. This means that you can keep up with the price increases of that one day. That can be very profitable, but you still run a risk. And precisely because you have little capital, you need to avoid loss-making investments as much as possible. So you need to know very well what you are doing before you actually start investing online.

Increase profits with the help of leverage

At many online brokers you can already invest with an initial failure of 100 euros. Please note, because there may be differences per deposit method. So read carefully what the exact limits are at the broker you choose. With the amount you deposit, you do not have to buy real shares, gold bars or barrels of oil. With online brokers you focus purely on the price of the underlying product. We’re talking about CFD trading. Because you do not own the shares or gold bars yourself, you can quickly buy and sell via the online broker’s platform. This is quite different from the many years of investment that traditional traders are often stuck with. Are you an Italian trader? Then make sure to check out this website C-TradeAlert.IT that talks about the migliori brokers at Italia.

CFDs have another big advantage

And that is an advantage that especially people with a somewhat smaller budget benefit from. When trading CFDs, you can make use of leverage to achieve greater returns. For example, if you invest in commodities, you can trade with leverage of up to 1:20. This means nothing more than a twenty-fold increase in your investment. An investment of 100 euro changes into an investment of 2,000 euro. We don’t need to tell you that this higher deposit contributes significantly to the potential profit amount. However, there is a downside to investing using leverage, because you have to be very careful not to take too much risk. It is important that you handle your investments wisely, especially because as a student you have little buffer to absorb possible losses.

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