I think that $1,000 can be enough to change your money mindset forever.

There are things holding a lot of people back. Maybe they don’t have the money confidence to start on the right path.

I believe it’s wrong to believe that you need some large amount of money to make a huge difference. Sometimes it’s more about a mental shift than requiring a $100,000 share portfolio to feel good.

$1,000 to help your money confidence

Before the coronavirus hit, many Aussies didn’t have $1,000 to be able to cover an emergency expense with its savings.  

Having money in the bank may not strike plenty of people as a necessary thing. Why have cash sitting there for emergencies if you’ve never had to experience living through an emergency? The problem is that emergencies don’t tell you in advance when they’re going to happen.

Having $1,000 always sitting there in a (high interest) bank account can give you a lot of confidence with your money. You’re able to ride through a problem if it occurs. Obviously having more savings would be even better, but one step at a time. You are freer to make the best decisions for your life. 

There are plenty of banks offering savings accounts like Commonwealth Bank of Australia (ASX: CBA), Westpac Banking Corp (ASX: WBC), Australia and New Zealand Banking Group (ASX: ANZ), National Australia Bank Ltd (ASX: NAB) and Bendigo and Adelaide Bank Ltd (ASX: BEN).

$1,000 to get your financial ball rolling

You don’t need $10,000 or $50,000 of money to start investing in shares. You can start building your share portfolio with just $1,000, or even $500. Share brokerage fees are so cheap these days.

Compound interest from shares can make you 10% a year whether you portfolio balance is $1,000 or $1 million.

You don’t need a huge deposit to start investing. You can build your money by investing a small amount now and invest more when things are safer and conditions are closer to normal.

What shares could be a good place to start? I think shares like Future Generation Global Invstmnt Co Ltd (ASX: FGG) and iShares S&P 500 ETF (ASX: IVV) could be very good long-term investments.

More reading

• Where to invest $1,000 in ASX ETFs today
• 3 ASX shares that I’d invest $1,000 into EVERY month
• Is Afterpay an ASX blue chip of tomorrow?
• 2 ASX 200 dividend shares to buy for income in 2021
• ASX 200 down 0.2%: Afterpay hits a record high, Aristocrat Leisure update disappoints

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post How $1,000 can be enough to change your money mindset appeared first on Motley Fool Australia.

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ASX 200 healthcare shares have had a rollercoaster ride in 2020. While the S&P/ASX 200 Index (ASX: XJO) is down 18.36% this year, the nature of the coronavirus pandemic has meant investors are snapping up healthcare companies like there’s no tomorrow.

Here are a couple of my top healthcare shares to buy for a good price today!

2 ASX 200 healthcare shares to buy today

I like the look of CSL Limited (ASX: CSL) shares right now. The biotech giant’s share price closed at $290.93 on Friday and boasts a $132 billion market capitalisation.

On the surface, that may seem expensive. However, I think we’ve seen some strong support for CSL shares at the $300 per share mark. Given the group’s size and demand for its products, the ASX 200 healthcare share could be in the buy zone.

Despite climbing higher in 2020, the CSL share price is down 11% since early April. That could mean now is a good time to buy in and hold a blue-chip share for the long-term.

Other than CSL, I think Polynovo Ltd (ASX: PNV) shares could be in the buy zone. Polynovo develops and manufactures polymers to assist with the treatment of burns and its share price has been flying in recent years.

In fact, the ASX 200 healthcare share is up more than 100% since 23 March and more than 3,300% in the last 5 years. 

Those are some strong growth numbers and there could be more on the way. The Aussie biotech group is going from strength to strength and posted record US quarterly sales in the March quarter.

The group’s NovoSorb Biodegradable Temporising Matrix (BTM) product has had success in a number of countries and received widespread praise from the medical community.

There’s still further market share for Polynovo to capture and a strong research and development pipeline could drive further growth for the ASX 200 healthcare share.

Foolish takeaway

ASX 200 healthcare shares could be good buy options in the COVID-19 environment. There are strong dividend and growth shares for savvy investors but you just have to know where to look…

More reading

• Have $500 to invest? Then buy these 5 ASX 200 shares immediately
• What to watch on the ASX 200 next week
• How to tidy up your super in just 10 minutes this weekend
• These were the worst performing ASX 200 shares last week
• Where to invest $1,000 in ASX ETFs today

Ken Hall has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of CSL Ltd. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post Got $2,000? Here are 2 ASX 200 healthcare shares to buy today appeared first on Motley Fool Australia.

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Is it possible to get an ASX dividend share with a yield of more than 10% that isn’t a value trap?

Well, that’s the question we’ll be looking at today. When an ASX dividend share offers to pay you back your invested money in just dividends in 10 years or less, alarm bells might be ringing. After all, Westpac Banking Corp (ASX: WBC) technically still has a raw trailing dividend yield of 11.59% – yet no one believes that the ASX bank will pull that out of its hat in 2020, given it’s already ‘deferred’ its interim dividend payments.

But here are 2 ASX shares that I think can offer investors a yield of more than 10% this year!

Fortescue Metals Group Limited (ASX: FMG)

Fortescue shares have been on an absolute tear recently – even making a new all-time high of $14 just this week. Why? Well, because the price of iron ore – Fortescue’s raison d’être – has exploded this week, climbing very close to US$100 a tonne. Production shutdowns in the Brazilian mining industry (which is another massive exporter of iron ore) have resulted in a supply squeeze for iron. Since Fortescue has an extraction cost per tonne between US$12 and US$14, the company is a cash-printing machine at these levels.

That means it should be well placed to reward shareholders handsomely this year with dividend payments. Fortescue has a trialling dividend yield of 7.36% – or 10.51% grossed-up with full franking. If iron ore continues to stay at the current price, this yield might even go higher for Fortescue shareholders. 

WAM Research Limited (ASX: WAX)

WAM Research is another dividend powerhouse, but this share is actually a listed investment company (LIC) specialising in small- to mid-cap ASX growth shares. Some of its current holdings include TPG Telecom Ltd (ASX: TPM), Aristocrat Leisure Limited (ASX: ALL) and REA Group Limited (ASX: REA).

This LIC has been a stellar performer over the last decade, returning an average of 13.4% per annum since 2010. A fair chunk of these returns have hailed from dividend payments, with WAM Research increasing its dividend every year since 2008. 

On current prices, WAM Research shares are offering a raw dividend yield of 7.3% – which grosses-up to 10.43% with full franking credits. If you’re worried that this yield is unsustainable, consider this. WAM Research’s last interim dividend payment was 4.9 cents per share. The company had over 26 cents per share in its profit reserve at the end of last month, meaning this dividend looks well-covered for at least the next 2 years.

Foolish takeaway

Normally, when a company boasts a dividend yield of more than 10%, it’s a sign to run for the hills. But I think these 2 ASX dividend shares are exceptions to this rule and have the potential to be valuable income shares to hold in 2020 and beyond. 

More reading

• Top brokers name 3 ASX shares to sell next week
• How to make a $50,000 passive income with ASX shares
• ASX 200 drops 1% on Friday
• My 3 best ASX dividend shares to buy right now
• ASX 200 drops 0.4%, Chinese threat to Australian iron

Motley Fool contributor Sebastian Bowen owns shares of WAM Research Limited. The Motley Fool Australia has recommended REA Group Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post Here are 2 ASX dividend shares with yields over 10% appeared first on Motley Fool Australia.

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