Starting investing in 2026 doesn’t have to be confusing, but many people feel overwhelmed by jargon, platforms, and conflicting advice. In this Sharemarket 101 guide, we break down how to start investing in 2026 by focusing on the fundamentals that actually matter before you buy your first share.
Before You Start Investing in 2026: Get the Foundations Right
Before you start investing in 2026, the most important step is making sure your financial foundations are in place. Shares are higher-risk investments, and jumping in too early can work against you.
Key foundations discussed in the episode include:
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Paying down high-interest debt, particularly mortgages, credit cards, or personal loans.
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Comparing realistic long-term share returns against long-term mortgage interest rates.
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Understanding that once fees, tax, and inflation are applied, returns can be lower than expected.
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Having a proper emergency fund in cash – shares are not an emergency fund.
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Maintaining a stable budget so market ups and downs don’t force emotional decisions.
Without these basics sorted, investing can create stress instead of long-term progress.
What a Share Actually Is (And Why It Matters)
To start investing in 2026, it’s essential to understand what a share actually represents. A share is simply a small slice of ownership in a company. By owning shares, you own part of that business and are entitled to a portion of its profits and, in many cases, voting rights.
Public companies differ from private companies because they are listed on stock exchanges and must meet specific reporting and governance requirements. While shares can feel abstract compared to property, they represent real businesses selling real products and services with the goal of making a profit.
Stripping away the jargon reveals that investing in shares is fundamentally simple – it’s about backing businesses over the long term.
How to Start Investing in 2026 Without Overcomplicating It
Once your foundations are in place, starting investing in 2026 comes down to choosing the right structure rather than chasing individual stocks.
The episode outlines several broad options:
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DIY platforms, which allow full control but increase the risk of poor decision-making.
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Passive, low-cost funds, which track market benchmarks and provide broad diversification.
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Active fund managers, who charge higher fees with the goal of outperforming the market over time.
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Advisory portfolios, typically used when investment balances grow larger and require bespoke structuring.
A key message is to avoid picking individual stocks. With limited time and information, most investors are unlikely to outperform the market consistently. Diversified funds reduce risk and remove emotional decision-making.
Understanding Risk and What Actually Happens to Your Money
A common fear when starting out is whether your money can disappear if a platform fails. James explains that investment funds are held separately in custody, meaning your money is not sitting in the provider’s operating accounts.
Real risk comes from:
Investing works best when contributions are automated and held through market ups and downs rather than constantly adjusted.
Key Takeaways
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Start investing in 2026 only after debt, budgeting, and emergency funds are in place
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Shares represent ownership in real businesses, not abstract products
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Diversification matters more than picking “good” companies
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Long-term returns are more realistic than short-term spikes
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Automating investments helps remove emotion and inconsistency
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Market drops can be opportunities, not failures, when investing long term
Next steps:
If you want help building an investment strategy that fits your wider financial picture, talk to the Lighthouse Financial team about how investing can work alongside your goals.
If you’d like to watch more, check out these other episodes below.
For a no obligation discussion to see how we can help you on the path to wealth, please contact us.
Disclaimer:
The information in this article is general information only, is provided free of charge and does not constitute professional advice. We try to keep the information up to date. However, to the fullest extent permitted by law, we disclaim all warranties, express or implied, in relation to this article – including (without limitation) warranties as to accuracy, completeness and fitness for any particular purpose. Please seek independent advice before acting on any information in this article.
