Your first A$500 share order, start to finish

Follow one small ASX buy from tapping buy to the shares being registered, and see what each step costs. Free lesson 10 of 13 in Tickfloor's course, no card needed.

The A$500 minimum and why it exists

A new holding in a stock or ETF must be at least A$500 when you buy it. This is called a minimum marketable parcel. If you already hold a stock, a top-up can be smaller than A$500. But your first parcel in any stock or ETF has to hit A$500.

ASX sets the rule so tiny holdings are not left stranded, worth so little that selling them barely covers the cost of the trade. It also happens to keep brokerage sensible: on A$100 with A$5 brokerage, you pay 5% just to get in. On A$500 with the same A$5 fee, that is 1% in, 1% out.

General information only. It doesn't consider your objectives, finances or needs.

Open the full interactive lesson (14 minutes), or see the whole free course.

More free lessons: Percentages, basis points, and why +10% then −10% is not zero, Indexes, bull markets and bear markets, Liquidity: why some things cost more to trade.