How much money do you need to start investing in Singapore?

Some people say you need thousands of dollars before you can start investing. Others believe you should wait until you feel “financially stable”. Then there’s the opposite view, where people encourage just starting, even if it’s with a small amount.

But what’s actually true? And what works best for you?

The reality is, there isn’t a single number that applies to everyone. It depends on your financial situation, your goals and how you approach investing.

Let's break down how much you really need to get started in Singapore, and how you can begin even if you’re starting small.

Why you don’t need a large amount to start investing

The idea that investing requires a large upfront sum is one of the biggest misconceptions.

In reality, the barrier to entry has dropped significantly over the years. You’re no longer limited by high minimums or needing thousands upfront. In fact, you can own a fraction of Apple, Tesla or even Nvidia for just $1 through fractional shares, something that IG Markets offers for US shares. 

Starting with a smaller amount can also actually work in your favour: it gives you room to learn. You get to understand how markets move, how you react to ups and downs and what kind of investor you are, without putting too much at stake.

If anything, starting small removes pressure. And that’s usually what helps people stay consistent.

Minimum investment amounts in Singapore

At this point, the natural question becomes: how much do you actually need to start?

As mentioned, the answer isn’t a single number. It depends on what you’re investing in and how those investments are structured.

For example:

• Stocks listed on the SGX are typically bought in board lots of 100 shares, which can require a few hundred to several thousand dollars depending on the stock price. For example, DBS is currently trading at $57.22 (as of 9 Apr), so a user would need a minimum investment of $5,722 to invest in DBS. 

• ETFs can vary, with some priced under $100 per unit while others cost more.

• Certain platforms or products may allow you to start with smaller amounts, depending on how they are structured.

Because of this, the “minimum amount” isn’t fixed. It’s shaped by the product and platform you choose.

This is also why investing can feel out of reach at first, not because you need a large sum, but because some options naturally require more capital than others. 

How fractional investing lowers the barriers

So what if you don’t want to wait until you can afford full shares?

This is where fractional investing comes in. Instead of buying one full share, you can buy a portion of it.

For example, if a stock is priced at US$200, you don’t need the full amount. You could start with US$50 and still gain exposure to that company.

This makes a big difference, especially for US-listed stocks, where prices can be higher. 

Some platforms, including IG Markets, offer fractional shares for US stocks. This gives you the flexibility to start with a smaller amount (as little as $1!) while still accessing global companies.

In practical terms, this lowers the capital required to begin and makes it easier to build a diversified portfolio over time.

What beginners should invest with: spare money vs emergency fund

Once you have a clearer idea of how much you can start with, the next question is: what money should you actually use?

A simple way to think about it is to separate your money into two categories. 

Short-term money refers to money that you’ll need within the next one to three years. This could include your emergency fund for unexpected situations, down payment for a home you’re buying next year or wedding expenses.

Long-term money refers to money you don’t need for at least the next five years. This could include retirement savings or funds you’re setting aside for future goals. 

If you’re just starting out, using spare money (your long-term funds) after covering your essentials is usually the more comfortable approach. It means you’re less likely to panic if markets move against you in the short term.

How to plan your first small investment

Once you’ve set aside the right pool of money, the next step is figuring out how to start. This is where most people start to hesitate again.

You don’t need a perfect strategy to begin; you just need something simple and realistic.

You could start by:

• Setting aside an amount you’re comfortable with, for example $500 or $1,000 

• Deciding if you want to invest it all at once or gradually over time

• Choosing investments that match your comfort level

Some people prefer investing a fixed amount every month. It keeps things consistent and removes the pressure of trying to figure out the “best” time to enter.

Over time, you can always increase the amount as your income or confidence grows. 

How starting small compounds over time

Starting small doesn’t mean staying small.

When you invest consistently, your returns can start generating returns of their own. And over time, that effect builds.

Someone who starts earlier, even with smaller amounts, may end up ahead of someone who waits to invest a larger sum later.

It’s less about making a big move once, and more about staying in the game long enough for it to add up. 

Start your financial journey with IG Markets

You don’t need a large sum to start investing in Singapore. Starting with a smaller, manageable amount can help you build confidence and consistency over time.

With options like fractional investing making markets more accessible, it’s possible to begin with what you have and grow from there.

If you’re looking to get started, IG Markets currently offers a welcome bonus of up to $258 when you fund your account with $500 and make your first trade. Furthermore, you can enjoy $0 commissions and $0 platform fees across all markets, so you’ll get to keep more of what you earn. These can all provide an additional boost as you begin your investing journey. 

Sometimes, starting is all you need to do.