So you’re ready to invest your first $2,000 in ASX shares. Above all else, congratulations! In my opinion, far fewer Australians invest than they should. And in this low interest rate world we all live in, I think it’s more important than ever to do so.

But investing isn’t easy – it can even be likened to walking through a minefield. There are tricks and traps everywhere. That’s why most successful investors today got to where they are by learning how to avoid these mines. And perhaps by getting blown up once or twice along the way!

So with that sobering thought in mind, here are 3 things I think all investors should do before investing their first $2,000 into ASX shares.

1) Find a broker

Before you buy ASX shares, you’ll need a broker. In the past, brokers used to be someone you would call up and pay a commission to for buying shares on your behalf. Today, most brokers are more akin to the ‘eBay’ of stocks. That is, they represent an online marketplace where you can buy and sell shares.

Of course, they all still charge for the privilege, so finding one that suits your needs is important. The brokerages offered by the Big Four banks are always a good place to start. This includes something like Commonwealth Bank of Australia’s (ASX: CBA) CommSec or National Australia Bank Ltd.’s (ASX: NAB) nabtrade.

2) Work out a strategy

Investing can be a tight line to walk. You need to find enough money to invest without worrying about whether or not you’ll unexpectedly need the money within at least the next 5 years. It’s pretty awful if you’re forced to sell your shares in the middle of a market crash because your income changes or you prang your car.

So, before you start investing your first $2,000, you’ll need to work out how much you can afford to invest. This includes making sure you still have enough cash around to meet any future needs – whether they be expected or unexpected.

3) Find the right ASX shares to invest in

Many first-time investors start off by trying their hand at highly speculative shares. These might include biotech companies or small-cap miners. Not only will these investments probably not turn out well for a beginner, but they may also result in the unfortunate side-effect of putting a new investor off shares altogether. That’s why I think most new investors should start simply with something like a market-tracking index fund or a managed trust.

The Vanguard Australian Shares Index ETF (ASX: VAS) is always a solid choice. Or you could go for more internationally-focused funds like the iShares Global 100 ETF (ASX: IOO) or Magellan Global Trust (ASX: MGG).

These kinds of investments won’t make you rich overnight – but then again, most solid investments don’t aim to.

More reading

• 2 ASX growth shares I’d buy before Afterpay shares
• ASX 200 down 0.35%: UBS upgrades NAB and Westpac, Qantas soars again
• Why Kogan, NAB, Qantas, & Sydney Airport shares are racing higher
• Is today’s BHP, NAB or Afterpay share price a good investment?
• Why today might be a good day to buy NAB and Westpac shares

The post Ready to invest your first $2,000 in ASX shares? Do these 3 things first appeared first on Motley Fool Australia.

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It’s been an up and down year so far for the ASX real estate investment trusts (REITs) in 2020.

While the S&P/ASX 200 Index (ASX: XJO) is down 11.05% this year, many Aussie real estate shares have struggled.

Despite the volatility, I think there are still some good buying opportunities at current prices. Here are a couple of my favourites to check out today.

2 ASX REITs to buy with $1,000 today

I think it’s hard to ignore National Storage REIT (ASX: NSR) right now. 

National Storage specialises in self-storage units and business could be set to boom. Shares in the ASX REIT are trading at $1.84 per share – exactly where they started the year.

That’s despite a failed $1.9 billion takeover bid by a couple of private equity groups earlier this year. 

However, the current economic environment could be good for National Storage. People may be looking to downsize and lower their rental or mortgage payments as COVID-19 continues to hit the economy hard.

There could also be more relocations, as people adjust to a new remote working setup. That’s good news for self-storage facilities, as it could likely result in people looking to store some of their belongings for the time being.

Another ASX REIT that could be worth watching is Mirvac Group (ASX: MGR).

Mirvac is a diversified property developer with interests in residential, commercial and industrial real estate.

Many people have been expecting a large property crash in 2020. However, interest rates are at record lows and many Aussies are still desperate to buy.

Add in the re-opening of Aussie retail stores and offices around the country and in my opinion this ASX REIT may outperform in 2020.

Of course, nothing is certain right now. The Mirvac share price has fallen 23.52%, year to date, so investors don’t look to be convinced that earnings will be strong in August.

Foolish takeaway

These are just a couple of the ASX REITs I’ve got my eye on in 2020. REITs can provide consistent portfolio income and could be a good income option for long-term buyers.

More reading

• We’re in recession. What does that mean for investors?
• ASX 200 down 0.35%: UBS upgrades NAB and Westpac, Qantas soars again
• 3 of the best ASX 200 tech shares for your watchlist
• The Kogan share price is surging higher following another positive business update
• Is the Westpac share price too high?

Motley Fool contributor Ken Hall 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.

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