Can't think of a good Christmas present? Investments could be the answer

Don't know what present to give this Christmas? Photo / File

Shoppers stuck for Christmas ideas for loved ones could consider a gift that keeps on giving, in investment returns.

Canstar fintech expert Josh Callaghan suggested a small investment of $100 or less into one of the many small financial technology companies popping up could be a great Christmas present for a friend or family member, news.com.au reports.

"People often think investing is complicated and expensive but the fintech revolution has given us a few options to get started for under $100, making them an ideal gift for Christmas," Mr Callaghan said.

He offered four ideas as examples to get started.

1. Stake: Gift cards for US stocks

Stake offers the chance for Australians to invest in US companies, like Tesla or Facebook, via gift cards.

Stake has taken off ahead of Christmas, reporting a 91 per cent increase in daily sales from October to November and more than 1000 per cent again so far in December.

"It's a great way to help friends and family take the first step into investing or add to their existing investments," Mr Callaghan said.

2. BrickX: Small shares in individual investment properties

BrickX buys Australian properties and then sells portions to investors, who can leverage into the capital growth or rental return for less than $100.

"If you know someone who is finding it difficult to get a slice of the property market pie, (BrickX) might be a good way to get them started."

3. ETF: A small stake in many companies

Exchange Traded Funds (ETF) provide investors with a small ownership in many companies through a single investment.

"Buying $100 of an ETF will actually give you a micro holding in potentially hundreds of companies," Mr Callaghan said. "For example, investing in an ASX200 ETF means your $100 is invested in the top 200 companies on the Australian market."

4. Cryptocurrencies: Different kind of money

Bitcoin is all the rage at the moment, but there are also hundreds of other options for investors.

"Bitcoin, Ether and others have had a wild ride over the past few years as speculators have entered and exited the market," Mr Callaghan said.

"Most people are buying them on the back of speculation that their meteoric rise in value will continue."

Investments as gifts, and the services you buy them through, should be approached cautiously and with due diligence, according to Matt Heine, joint managing director, Netwealth.

"If investing through a fintech, such as a low cost broker or "robo -service" it is important to make sure they have been going for a little while, have the appropriate licence and you can also check for user reviews on the site and on Google," Mr Heine said.

"It is also important to understand how they actually make money and the fees involved."