Do low income individuals invest in the financial markets

My parents are aged pensioners who earn less than $30 000 a year between them, but they own shares. They've always taken an interest in the sharemarket. They might not have as big a portfolio as more wealthy people, but they still have a go.

We're Australians, if that is relevant.

Best wishes

Sure.
Many do so indirectly via company or state pension plans but many also do it directly.
For low income earners, the tax breaks given by governments often result in a proportionally more useful freeing up of cash than the very rich (middle income earners usually benefit from these breaks the most though).
Most countries have these sorts of schemes - UK (ISA), US (IRA), Canada (RRSP), etc.
Someone who does not earn a lot but wants to ''climb up'' the financial ladder is well advised to put 10% (or more) of income into such a scheme, especially when they r young.

There is no minimum for people to invest but obviously there r many factors that affect when, where & how much (e.g. minimum deposits, maximum benefit levels, personal needs, etc)

Those with any sense (in UK) put at least 10% of their income into their Pension Plan (and get Tax relief on it) ..

However if u MUST do it yourself .

Your gross (or net) earnings r irrelevant .. it is disposable income that counts .. many high earners (over $100,000) r up to their ears in debt (credit cards, car loans, mortgage) & have no money left over to invest .. if u live with ur parents & have minimal outgoings u may well have $10,00 a year to invest ..

In UK u will be charged Stamp Duty & Commission every time u buy (and Commission when u sell) .. typically this means u should invest in 'lumps' of at least £1,000 at a time (otherwise all the costs eat into ur profits too much) = & u should aim to hold 10 to 20 different company shares (ideally within an ISA wrapper)

If u have only small amounts of money, then u should consider things like Halifax Share Builder .

Good question. I wish I could help you out but I know nothing about investing in finanical markets. Good luck. Sorry I wasn'r able to help you out.

nope. they contribute directly to profits, but not as owners.