That being said, there is no reason those people living on modest incomes can’t invest in the stock market as well. Even without hundreds of thousands of dollars to spend building a portfolio there is still money to be made. One popular investment for stock players the world over is gold. Those on limited budgets can also benefit from modest investments in this precious metal. Since gold is currently trading at 1600 dollars per ounce, this precious metal is not too expensive for the common man to invest in.

Gold is a popular investment for people of all budgets due to the fact that it is almost guaranteed to go up in price over time. While the returns may be modest, many investors view gold’s main benefit as being a hedge against inflation. Having a portion of one’s stock portfolio in gold is a good safeguard to protect an initial investment. There are also those who actively trade gold in order to turn a profit. This is very common, but those who earn the most trading gold are the one’s who also follow the precious metal trends in the market very closely. Even a modest initial investment for those on limited budgets can result in great returns down the line. So any common person with even a bit of disposable cash shouldn’t be intimidated to invest.

Professionals recommend first-time investors come up with a budget and stick to it no matter what. This is great for those with less cash to play around with. For example, those without much money may want to come up with an initial budget of 500 or 1000 dollars. After investing this principal sum in gold the investor can then wait for market returns without spending any more money. While there are risks involved in any investment, gold is likely to increase in value over time. The profit from the initial investment can then be funneled into other stocks, helping the investor to build his or her portfolio.