I want to know about investment in stocks and shares?

ive been doing my online banking with nat west a high street bank for a while now and have always noticed that it says that i can open a stocks and shares builder account is it possible to invest small amounts like 拢10 and under with listed companys like tesco and bp and also bt.. and if i was to do so is it possible i could make a little from doing it as i dont have a clue about it but would like to try and make a little cash elsewhere aswell as my full time job
please help because im clueless at investment

You can do it cheaper at Halifax through their SHAREBUILDER scheme (拢1.50 to buy shares, 拢5 to sell.... and it also allows you to buy in fractions of shares you can't quite afford instead of whole ones) http://www.halifax.co.uk/sharedealing/sh...
It also means that you only really need to invest 拢20 - 拢120(ish) on shares to get enough shares to break even quickly + be able to sell them again without the commission fee cancelling out any profit, instead of around 拢500 - 拢1000 like you would with services charging 拢10 commission.

As for learning how to invest in Stocks & Shares, these are the sites I can't recommend highly enough:
Motley Fool UK Investment section:
http://www.fool.co.uk/investments/invest...

Article in this section that'll explain everything you need to know to get started:
http://www.fool.co.uk/school/2006/sch060...

Investing terms explained:
http://www.fool.co.uk/specials/2005/spec...
http://www.investopedia.com

An online fantasy stockmarket game that'll help you practise before coughing up any real money:
http://www.bullbearings.co.uk

Additional reading:
http://www.fool.com/investing.htm (original US version of The Motley Fool Investment section)
http://www.everyinvestor.co.uk
http://quote.fool.co.uk (UK stock quotes for doing your research)
http://beginnersinvest.about.com/cs/warr...

You can invest small amounts in the markets but the costs involved in doing so make it fairly pointless.

The best thing to do is open something called a spread betting account. With some of these you can place small bets on stocks and if the shareprice goes the way you predicted you can take the profits and re-invest.


The one spreadbetting firm that allows very small bets is
www.finspreads.com

Try this group to start your investing/trading ideas with a low risk 10 or 20 pounds.

Also go to a stock market traders website such as
WWW.ADVFN.COM
there you will fnd information about specific stocks and courses you can go on once you feel that market trading/investing is something you can do.

拢10 purchases of shares in listed companies isn't feasible.

The minimum cost of purchase through even the cheapest online broker is around 拢10. Then something similar again when you want to sell your shares.

So immediately you would need your 拢10 investment to grow in to 拢30 (300% profit/growth) just to just get your money back !!!!

You really have to make slightly bigger investments to make it more feasible. 拢250+ imo.

This is not financial advice.. if in doubt seek professional financial advice. Also keep in mind this simple rule... buy low / sell high.

DO NOT OPEN A SPREAD BETTING ACCOUNT !!!

Not only is it high risk but you can LOOSE YOUR SHIRT.

Spread Betting is for people who have put maximum into their pension, maximum into ISA's and are gains close to the capital Gain limit - have THOUSANDS to spare and are prepared to LOOSE THE LOT and then some (in spread betting you can loose ten or a hundred times your 'bet'.)

As other have mentioned, the charges make direct investment of small amounts pointless - however I believe the Halifax scheme is more like a Savings account - you CAN put in small amounts because the charges effectively zero.

I would say go for it - right now the markets are falling so it's a good idea to get in whist the shares are cheap (be prepared to see the value drop for the next few months)

If you are not happy to watch the value go down before it goes up again, I suggest you open a Cash ISA. You can make monthly contributions up to about 拢500 per month into this - you get a good rate of interest and do not have to pay any Tax.

It's a minefield, if you don't know what you are doing. Get a basic insight from the website below. Unit, or Investment Trusts are less volatile, as your investment is spread amongst many companies, and is managed by professionals.