How to Start Investing with Just $100 in 2025

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Introduction

Person using investing app to buy fractional shares with $100

In 2025, investing is no longer just for the wealthy. Thanks to fintech apps, fractional shares, and micro-investing platforms, anyone can start building wealth—even with just $100. If you’re new to investing, this guide will show you how to make your first small investment count.

1. Use Fractional Share Platforms

Apps like Robinhood, Fidelity, and Charles Schwab now allow investors to buy fractions of stocks, meaning you can own a slice of Apple or Tesla with just $5. According to a March 2025 report by CNBC, over 65% of Gen Z investors began with less than $250. Fractional investing breaks down the biggest barrier: the price of entry.

2. Try ETFs for Instant Diversification

Exchange-traded funds (ETFs) like SPY or VTI allow you to invest in hundreds of companies at once. With just $100, you can buy a fraction of an ETF and instantly diversify across industries and sectors.

3. Consider High-Yield Savings as a Pre-Investment Step

If you’re not ready to invest in the market, consider placing your $100 in a high-yield savings account. With rates over 4.5% APY (as of May 2025 per Bankrate), your money can grow with zero market risk while you continue learning.

4. Automate Micro-Investing

Apps like Acorns and Stash round up your spare change and invest it automatically. With as little as $5 per week, you can build a portfolio over time. These platforms often include educational resources, making them ideal for beginners.

5. Avoid Common Pitfalls

  • Don’t chase meme stocks or crypto hype without research
  • Avoid high-fee platforms or advisory services
  • Always reinvest dividends if possible

Final Thoughts

Concept illustration of micro-investing spare change with mobile apps

$100 won’t make you rich overnight—but it will get you started. In 2025, access and technology have lowered the barrier for everyone. The key is to start, learn as you go, and stay consistent. Even small steps can lead to big financial outcomes over time.

Published by financewisedaily

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