The NGX App is mainly a market monitoring and information app, not an app where you directly buy and sell shares. When you see “Gainers” and “Losers,” it is showing you what has already happened in the market. It is not predicting which stock will rise or fall next. For example, if you open the appRead more
The NGX App is mainly a market monitoring and information app, not an app where you directly buy and sell shares.
When you see “Gainers” and “Losers,” it is showing you what has already happened in the market. It is not predicting which stock will rise or fall next.
For example, if you open the app and see:
ABC Plc +10%
It means ABC’s share price has increased by 10% within the period being displayed. It doesn’t mean NGX is saying the stock will rise another 10% tomorrow.
Think of it like a football scoreboard. If the scoreboard says 2-1, it is reporting what is happening in the game. It is not predicting who will score the next goal.
If you want to actually buy ABC Plc, you normally need a registered stockbroker. The broker gives you a trading platform where you can place your buy or sell order, while NGX is the marketplace where the transaction takes place.
For example:
You have ₦100,000 and want to buy a particular stock.
You check the NGX App and see the company’s current price and other market information. You then go to your stockbroker’s app, fund your account with ₦100,000, and place your order. If the order is matched, the shares are bought and recorded electronically through the market’s settlement/custody system.
Regarding your visit to the Onitsha stock exchange, those old ticket registers you saw were part of the old/manual way of documenting stock transactions. The market today is much more electronic, so simply looking at old registers without someone explaining the process won’t give you much practical knowledge.
If you are starting from zero, I would focus on understanding:
NGX → the marketplace
Stockbroker → helps you buy and sell
CSCS → keeps the electronic record of your shares
Gainers/Losers → shows recent price movements
Financial statements → help you understand the actual business
So don’t use the “Gainers” list as a buying list.
A stock can be the biggest gainer today and still fall tomorrow. Instead, use the NGX App to monitor the market, then do your own research before making an investment decision.
Yes, both can provide access to regulated investment services in Nigeria, but there is an important difference between the platform you see and the company actually licensed to provide the investment service. 1. Coronation The Coronation group has several separately regulated companies. For example,Read more
Yes, both can provide access to regulated investment services in Nigeria, but there is an important difference between the platform you see and the company actually licensed to provide the investment service.
1. Coronation
The Coronation group has several separately regulated companies.
For example, the SEC’s current register lists:
• Coronation Asset Management Limited as a Fund/Portfolio Manager, with an ACTIVE registration status.
• Coronation Securities Limited as a Broker/Dealer and Issuing House, also with an ACTIVE SEC registration.
• Coronation Merchant Bank Limited is also listed with functions including FMDQ Dealer, Issuing House and Receiving Banker.
So you should not simply ask, “Is Coronation licensed?”
Ask:
“Which Coronation company is providing the particular investment product I am buying, and under which licence?”
That is much more important.
2. InvestNaija
InvestNaija states that it is a brand of Invest Limited, associated with Chapel Hill Denham.
According to InvestNaija’s current website, Chapel Hill Denham is licensed by the SEC as a Fund/Portfolio Manager (License #506) and Broker/Dealer (License #1529), with trading access to NGX, FMDQ, AFEX and NASD. It also states that Invest MFB is regulated by the CBN and its deposits are insured by NDIC.
So again, the important thing is to understand which entity is holding/managing your money and what licence covers that particular service.
A realistic example
Suppose you have ₦1 million and want to invest it in a money-market fund through an app.
Don’t just say:
“This app looks popular, so I will send them ₦1 million.”
Instead, check:
1. Who exactly am I paying?
2. Which company manages my investment?
3. Is that company currently registered with SEC?
4. What type of SEC licence does it have?
5. Where is my money actually held?
6. Who is the fund manager and who is the trustee/custodian?
7. What happens if the investment platform itself shuts down?
8. What are the fees, risks and withdrawal conditions?
This is important because SEC registration does not mean your investment cannot lose value. It means the operator is subject to the applicable regulatory framework. The SEC itself advises investors to verify platforms and warns against unregistered investment schemes.
So, for me, the safest approach is not simply:
“Which app is popular?”
It is:
“Which regulated company is behind the app, what exactly is it licensed to do, and what investment product am I actually buying?”
Before investing a large amount such as ₦1 million, I would verify the exact legal entity on the SEC register and make sure the licence covers the service being offered.
I would generally prefer diversification, especially for a beginner. But diversification doesn't mean buying 15 or 20 different stocks just because you want to spread your money. For example, imagine you have ₦200,000. You could put the entire ₦200,000 into one company because you believe it will peRead more
I would generally prefer diversification, especially for a beginner. But diversification doesn’t mean buying 15 or 20 different stocks just because you want to spread your money.
For example, imagine you have ₦200,000.
You could put the entire ₦200,000 into one company because you believe it will perform very well.
If that company falls by 30%, your investment could drop to about ₦140,000.
But suppose instead you spread the ₦200,000 across four quality companies from different sectors:
If one investment falls by 30% while the others remain unchanged, your total portfolio would fall by roughly ₦15,000, rather than ₦60,000 if everything was in that one stock.
That’s the main advantage of diversification: one company’s problem doesn’t necessarily destroy your entire portfolio.
However, there is another important point.
Don’t diversify into companies you don’t understand just to have many stocks. Four carefully researched companies can be better than 15 random companies.
If you have strong knowledge of one company and are comfortable with the risk, holding more of it can make sense. But for a beginner, spreading your money across quality companies and sectors can provide better protection.
A secondary listing basically means Dangote Cement will remain listed on the Nigerian Exchange (NGX), while also making its shares available to investors on the London Stock Exchange. It does NOT mean Dangote Cement is leaving Nigeria or that your existing NGX shares will automatically disappear. ThRead more
A secondary listing basically means Dangote Cement will remain listed on the Nigerian Exchange (NGX), while also making its shares available to investors on the London Stock Exchange.
It does NOT mean Dangote Cement is leaving Nigeria or that your existing NGX shares will automatically disappear.
The major reason for doing this is to give Dangote Cement access to a much larger pool of international investors and potentially more capital. The company has indicated that it wants to broaden its shareholder base, and reports have said that about 10% of the company could be sold to outside investors as part of the London exercise.
Now, will it affect the NGX share price?
It can, but it is not guaranteed that the price will immediately go up.
Imagine Dangote Cement is trading at ₦600 per share on the NGX.
Before the London listing, international investors who couldn’t easily access the NGX may have had limited exposure to the company.
After the London listing, more global investors can potentially buy Dangote Cement.
If investors like what they see and demand increases, that can create positive pressure.
For example:
₦600 → ₦650 → ₦700
But the opposite can also happen.
If the London investors think Dangote Cement is already expensive, they may not be willing to buy at a high valuation. The NGX price could therefore remain around ₦600 or even fall if existing investors sell because they were expecting a bigger price increase.
There is another important point for existing Nigerian shareholders:
The London listing does not automatically give you a free profit.
If you currently own ₦100,000 worth of Dangote Cement, your shares don’t suddenly become ₦150,000 simply because the company gets listed in London.
The potential benefit is more indirect:
More international investors → potentially more demand → better liquidity/visibility → potentially better valuation.
But the company’s actual profits still matter.
If Dangote Cement continues increasing revenue and profit, reducing debt, paying good dividends and expanding successfully, the London listing could amplify investor interest.
If the company’s fundamentals deteriorate, a London listing won’t magically save the share price.
So as a Nigerian investor, I would see the London listing as a positive development and a potential catalyst, but not a guarantee that Dangote Cement’s share price will rise.
The biggest thing to watch after the listing is not just the excitement around London. Watch earnings, dividend, valuation, foreign investor demand and the amount of shares actually available for trading.
Yes, a Money Market Fund can sometimes show a temporary decline, although it is generally considered a lower-risk investment compared with stocks. The first thing I would do is not panic and withdraw immediately. For example, imagine you invested ₦500,000 in a money market fund. You later check andRead more
Yes, a Money Market Fund can sometimes show a temporary decline, although it is generally considered a lower-risk investment compared with stocks.
The first thing I would do is not panic and withdraw immediately.
For example, imagine you invested ₦500,000 in a money market fund. You later check and see ₦495,000, showing a ₦5,000 loss.
That can happen because the fund invests in instruments such as Treasury Bills, commercial papers, fixed deposits and other short-term securities. The value of the underlying investments can fluctuate, and the fund’s valuation can also change from day to day.
Also, don’t confuse a temporary change in the displayed value with permanently losing your money.
However, I wouldn’t simply assume that every ₦5,000 drop is normal. I would first check:
• Which specific Cowrywise MMF you invested in
• The fund’s recent performance and valuation
• Whether the ₦5,000 is an actual loss or a temporary NAV/pricing movement
• Any fees or charges affecting the displayed balance
• The fund’s fact sheet and risk level
• Whether the fund manager has reported any unusual issue
For example, if I invested ₦500,000 for a 2–3 year growth goal, I wouldn’t withdraw simply because I saw ₦495,000 one day. I would look at the fund’s performance over a longer period and understand why the value changed.
But if I needed the money next month for rent, school fees or an emergency, I would reconsider whether a particular investment is appropriate for that short-term goal.
So my answer would be:
Don’t withdraw simply because you saw a ₦5,000 temporary decline. First find out exactly why it happened.
And remember, “low risk” does not mean “no risk.” Before making a withdrawal decision, check the fund’s latest report or contact Cowrywise/fund manager and ask them specifically why your account value fell by ₦5,000.
It depends on the platform and the specific IPO process, but normally, if you subscribe through your stockbroker, the money is paid through the broker's designated subscription process. For example, let's say you have: ₦200,000 in your bank account ₦50,000 available as cash in your brokerage accountRead more
It depends on the platform and the specific IPO process, but normally, if you subscribe through your stockbroker, the money is paid through the broker’s designated subscription process.
For example, let’s say you have:
₦200,000 in your bank account
₦50,000 available as cash in your brokerage account
You want to subscribe ₦30,000 to an IPO.
If your broker requires you to fund your brokerage account first, the ₦30,000 will come from the ₦50,000 available balance with the broker, leaving ₦20,000.
But some IPO platforms may instruct investors to make payment directly from their bank account through a designated payment channel. So you shouldn’t assume every IPO works exactly the same way.
Also, an IPO subscription is different from simply buying an already-listed share on the NGX. Read the IPO offer document and follow the payment instructions provided by the issuing company, registrar or your broker.
A simple rule is:
Before confirming the subscription, check where the payment is coming from and whether the money is being held pending allotment.
I think you're right that net worth is one of the clearest ways to measure financial wealth, but I wouldn't say they are exactly the same thing. Net worth is a number. Wealth is broader. Net worth is calculated as: Total Assets − Total Liabilities = Net Worth For example, imagine someone owns: - A hRead more
I think you’re right that net worth is one of the clearest ways to measure financial wealth, but I wouldn’t say they are exactly the same thing.
Net worth is a number. Wealth is broader.
Net worth is calculated as:
Total Assets − Total Liabilities = Net Worth
For example, imagine someone owns:
– A house worth ₦30 million
– Land worth ₦10 million
– Investments worth ₦5 million
– Savings of ₦5 million
Total assets = ₦50 million
But the person still owes:
– Mortgage/loan = ₦15 million
So their net worth is:
₦50m − ₦15m = ₦35 million.
Now, when we talk about wealth, we’re looking beyond just that ₦35 million. We can consider the person’s ability to generate income, the quality of their assets, financial security, business ownership, knowledge, relationships and even the freedom those resources give them.
For example, Person A may have a ₦50 million house but ₦45 million in debt and struggles every month to pay bills.
Person B may have ₦20 million in investments, a profitable business, no debt and enough passive income to cover their living expenses.
Person A may have the bigger net worth on paper, but Person B could arguably have greater financial freedom and stronger sustainable wealth.
So I would put it this way:
Net worth tells you what you have after subtracting what you owe.
Wealth is the broader picture of the resources you own, the income they can generate, your financial security and your ability to maintain and grow those resources over time.
In short, net worth is a measurement of wealth, while wealth is the bigger picture.
You can potentially buy Dangote Refinery shares cheaper after the IPO, but there is no guarantee that they will become cheaper. Think of it this way: If the IPO price is ₦525 per share and I buy 1,000 shares: 1,000 × ₦525 = ₦525,000 After the shares begin trading on the secondary market, three thingRead more
You can potentially buy Dangote Refinery shares cheaper after the IPO, but there is no guarantee that they will become cheaper.
Think of it this way:
If the IPO price is ₦525 per share and I buy 1,000 shares:
1,000 × ₦525 = ₦525,000
After the shares begin trading on the secondary market, three things can happen.
Scenario 1: The price rises
Strong demand pushes the share to ₦650.
My 1,000 shares are now worth ₦650,000.
In this situation, buying during the IPO at ₦525 was cheaper.
Scenario 2: The price falls
Investors become concerned about the company’s valuation, profits, crude supply, or future performance, and the share falls to ₦450.
Now I could buy 1,000 shares for:
1,000 × ₦450 = ₦450,000
That’s ₦75,000 cheaper than the IPO price.
Scenario 3: The price stays around the IPO price
It could trade around ₦500–₦550 depending on demand and market conditions.
So which is better?
I wouldn’t automatically assume the IPO is cheaper. The IPO gives you the opportunity to buy at the offer price, but after listing, the market determines the price based on supply, demand and investors’ expectations.
For example, if I believe Dangote Refinery is worth investing in for the long term, I could buy some during the IPO rather than waiting and hoping for a lower price.
But if I believe the IPO valuation is too high, I could wait until after listing and see whether the market gives me a better entry point.
The important lesson is:
₦525 is the IPO price, not a price floor. The share can trade above or below ₦525 after listing.
So don’t buy simply because it is “Dangote.” Look at the company’s valuation, profitability, debt, cash flow, expansion plans and the risks surrounding the refinery before deciding how much you are willing to invest.
Good question. You are actually connecting two things that can be related, but the relationship is not direct. Think of GDP as a measure of how much economic activity is happening in the country. If Nigeria's GDP is growing, it generally means businesses are producing more goods and services, peopleRead more
Good question. You are actually connecting two things that can be related, but the relationship is not direct.
Think of GDP as a measure of how much economic activity is happening in the country.
If Nigeria’s GDP is growing, it generally means businesses are producing more goods and services, people are spending more, and economic activity is expanding.
For example, imagine a Nigerian company that sells food products.
Last year, it made ₦10 billion in revenue and ₦1 billion profit.
If the economy improves, consumers have more purchasing power and business activity increases, the company might grow its revenue to ₦12 billion and profit to ₦1.5 billion.
If investors believe the company’s future profits will continue growing, they may be willing to pay more for its shares.
That’s one way GDP growth can eventually benefit equity investors.
Now let’s look at your money-market fund example.
GDP growth can influence the broader economy, but your money-market fund’s return is more directly connected to interest rates and the yields available on short-term instruments such as Treasury Bills and other fixed-income securities.
So if you see a money-market fund’s return around 16%, don’t assume it is simply because GDP increased. The fund manager may be earning higher yields from the instruments in the fund.
For example:
If you invest ₦1 million in a money-market fund and the fund earns an annualised 16%, that would be roughly ₦160,000 over a full year, before considering fees, taxes, compounding and changes in the fund’s actual yield.
For an equity fund, the relationship can be different.
Imagine you invest ₦1 million in an equity fund that holds shares of 20 Nigerian companies.
If the Nigerian economy improves, some of those companies may record higher sales and profits. Investors may become more confident, demand for shares may increase, and the value of the equity fund could rise.
But GDP growth does not guarantee this.
A company can still perform badly even when the economy is growing.
But there are other factors involved, especially inflation, interest rates, exchange rates, company profits and investor sentiment.
Nigeria’s recent economic data actually gives a good example of why you need to look beyond GDP alone. The IMF says Nigeria’s reforms have improved macroeconomic stability, while inflation has been on a declining trend but remains a significant factor.
So if your mentor says, “Nigeria’s GDP has increased, do you know what happens to your investment?”, I wouldn’t interpret that as “GDP increased, therefore my investment must increase.”
I’d interpret it as:
“A growing economy can create a better environment for businesses and investments, but I still need to understand what I actually own and what is driving its return.”
Both options can make sense, but they serve different purposes. If I have ₦1 million and a fintech is offering 19.6% interest, the first thing I would ask is: Is that 19.6% guaranteed, for how long, and what exactly am I investing in? I would also verify that the platform/operator is properly regulaRead more
Both options can make sense, but they serve different purposes.
If I have ₦1 million and a fintech is offering 19.6% interest, the first thing I would ask is: Is that 19.6% guaranteed, for how long, and what exactly am I investing in? I would also verify that the platform/operator is properly regulated. The SEC provides an official register for checking investment operators in Nigeria.
For a simple illustration, if the 19.6% rate were genuinely available for a full year:
₦1,000,000 × 19.6% = ₦196,000
So you could have about ₦1.196 million after one year, before any applicable fees or taxes.
Now compare that with GTCO shares.
If you invest ₦1 million in GTCO and the share price increases by 20%, your shares could be worth approximately ₦1.2 million, excluding dividends and costs.
But if the share price falls by 20%, your ₦1 million could become approximately ₦800,000.
That’s the major difference:
19.6% fixed return: more predictable, assuming the rate and product terms are genuine and maintained.
GTCO shares: potentially higher long-term growth, plus dividends, but the value can rise or fall.
For someone who is just starting their financial journey, I personally wouldn’t put the entire ₦1 million into one stock simply because GTCO is a strong company.
Also remember that 19.6% is a nominal return. If inflation remains high, your money can still lose purchasing power even though the account balance is increasing. The CBN publishes current inflation and money-market indicators, so these should be considered when evaluating fixed-income returns.
So I wouldn’t ask, “GTCO or 19.6%?”
I’d ask:
“How much of my ₦1 million can I afford to expose to market risk, and how much do I need to protect?”
For a beginner, protecting the foundation while gradually learning about stocks may be more sensible than putting everything into one company.
Does the NGX App Allow Investors to Buy and Sell Stocks in Nigeria?
The NGX App is mainly a market monitoring and information app, not an app where you directly buy and sell shares. When you see “Gainers” and “Losers,” it is showing you what has already happened in the market. It is not predicting which stock will rise or fall next. For example, if you open the appRead more
The NGX App is mainly a market monitoring and information app, not an app where you directly buy and sell shares.
When you see “Gainers” and “Losers,” it is showing you what has already happened in the market. It is not predicting which stock will rise or fall next.
For example, if you open the app and see:
ABC Plc +10%
It means ABC’s share price has increased by 10% within the period being displayed. It doesn’t mean NGX is saying the stock will rise another 10% tomorrow.
Think of it like a football scoreboard. If the scoreboard says 2-1, it is reporting what is happening in the game. It is not predicting who will score the next goal.
If you want to actually buy ABC Plc, you normally need a registered stockbroker. The broker gives you a trading platform where you can place your buy or sell order, while NGX is the marketplace where the transaction takes place.
For example:
You have ₦100,000 and want to buy a particular stock.
You check the NGX App and see the company’s current price and other market information. You then go to your stockbroker’s app, fund your account with ₦100,000, and place your order. If the order is matched, the shares are bought and recorded electronically through the market’s settlement/custody system.
Regarding your visit to the Onitsha stock exchange, those old ticket registers you saw were part of the old/manual way of documenting stock transactions. The market today is much more electronic, so simply looking at old registers without someone explaining the process won’t give you much practical knowledge.
If you are starting from zero, I would focus on understanding:
NGX → the marketplace
Stockbroker → helps you buy and sell
CSCS → keeps the electronic record of your shares
Gainers/Losers → shows recent price movements
Financial statements → help you understand the actual business
So don’t use the “Gainers” list as a buying list.
A stock can be the biggest gainer today and still fall tomorrow. Instead, use the NGX App to monitor the market, then do your own research before making an investment decision.
See lessIs InvestNaija Licensed by the SEC to Offer Investment Services in Nigeria?
Yes, both can provide access to regulated investment services in Nigeria, but there is an important difference between the platform you see and the company actually licensed to provide the investment service. 1. Coronation The Coronation group has several separately regulated companies. For example,Read more
Yes, both can provide access to regulated investment services in Nigeria, but there is an important difference between the platform you see and the company actually licensed to provide the investment service.
1. Coronation
The Coronation group has several separately regulated companies.
For example, the SEC’s current register lists:
• Coronation Asset Management Limited as a Fund/Portfolio Manager, with an ACTIVE registration status.
• Coronation Securities Limited as a Broker/Dealer and Issuing House, also with an ACTIVE SEC registration.
• Coronation Merchant Bank Limited is also listed with functions including FMDQ Dealer, Issuing House and Receiving Banker.
So you should not simply ask, “Is Coronation licensed?”
Ask:
“Which Coronation company is providing the particular investment product I am buying, and under which licence?”
That is much more important.
2. InvestNaija
InvestNaija states that it is a brand of Invest Limited, associated with Chapel Hill Denham.
According to InvestNaija’s current website, Chapel Hill Denham is licensed by the SEC as a Fund/Portfolio Manager (License #506) and Broker/Dealer (License #1529), with trading access to NGX, FMDQ, AFEX and NASD. It also states that Invest MFB is regulated by the CBN and its deposits are insured by NDIC.
So again, the important thing is to understand which entity is holding/managing your money and what licence covers that particular service.
A realistic example
Suppose you have ₦1 million and want to invest it in a money-market fund through an app.
Don’t just say:
“This app looks popular, so I will send them ₦1 million.”
Instead, check:
1. Who exactly am I paying?
2. Which company manages my investment?
3. Is that company currently registered with SEC?
4. What type of SEC licence does it have?
5. Where is my money actually held?
6. Who is the fund manager and who is the trustee/custodian?
7. What happens if the investment platform itself shuts down?
8. What are the fees, risks and withdrawal conditions?
This is important because SEC registration does not mean your investment cannot lose value. It means the operator is subject to the applicable regulatory framework. The SEC itself advises investors to verify platforms and warns against unregistered investment schemes.
So, for me, the safest approach is not simply:
“Which app is popular?”
It is:
“Which regulated company is behind the app, what exactly is it licensed to do, and what investment product am I actually buying?”
Before investing a large amount such as ₦1 million, I would verify the exact legal entity on the SEC register and make sure the licence covers the service being offered.
See lessIs Portfolio Diversification Better Than Investing More Money in One Nigerian Stock?
I would generally prefer diversification, especially for a beginner. But diversification doesn't mean buying 15 or 20 different stocks just because you want to spread your money. For example, imagine you have ₦200,000. You could put the entire ₦200,000 into one company because you believe it will peRead more
I would generally prefer diversification, especially for a beginner. But diversification doesn’t mean buying 15 or 20 different stocks just because you want to spread your money.
For example, imagine you have ₦200,000.
You could put the entire ₦200,000 into one company because you believe it will perform very well.
If that company falls by 30%, your investment could drop to about ₦140,000.
But suppose instead you spread the ₦200,000 across four quality companies from different sectors:
₦50,000 → Banking
₦50,000 → Consumer goods
₦50,000 → Industrial/manufacturing
₦50,000 → Energy
If one investment falls by 30% while the others remain unchanged, your total portfolio would fall by roughly ₦15,000, rather than ₦60,000 if everything was in that one stock.
That’s the main advantage of diversification: one company’s problem doesn’t necessarily destroy your entire portfolio.
However, there is another important point.
Don’t diversify into companies you don’t understand just to have many stocks. Four carefully researched companies can be better than 15 random companies.
If you have strong knowledge of one company and are comfortable with the risk, holding more of it can make sense. But for a beginner, spreading your money across quality companies and sectors can provide better protection.
So my approach would be:
Learn → Select quality companies → Diversify → Invest consistently → Review periodically.
The goal isn’t to own the largest number of shares. The goal is to build a portfolio that can survive when one investment doesn’t perform as expected.
See lessIs dangote cement preparing for a secondary listing on the London stock exchange?
A secondary listing basically means Dangote Cement will remain listed on the Nigerian Exchange (NGX), while also making its shares available to investors on the London Stock Exchange. It does NOT mean Dangote Cement is leaving Nigeria or that your existing NGX shares will automatically disappear. ThRead more
A secondary listing basically means Dangote Cement will remain listed on the Nigerian Exchange (NGX), while also making its shares available to investors on the London Stock Exchange.
It does NOT mean Dangote Cement is leaving Nigeria or that your existing NGX shares will automatically disappear.
The major reason for doing this is to give Dangote Cement access to a much larger pool of international investors and potentially more capital. The company has indicated that it wants to broaden its shareholder base, and reports have said that about 10% of the company could be sold to outside investors as part of the London exercise.
Now, will it affect the NGX share price?
It can, but it is not guaranteed that the price will immediately go up.
Imagine Dangote Cement is trading at ₦600 per share on the NGX.
Before the London listing, international investors who couldn’t easily access the NGX may have had limited exposure to the company.
After the London listing, more global investors can potentially buy Dangote Cement.
If investors like what they see and demand increases, that can create positive pressure.
For example:
₦600 → ₦650 → ₦700
But the opposite can also happen.
If the London investors think Dangote Cement is already expensive, they may not be willing to buy at a high valuation. The NGX price could therefore remain around ₦600 or even fall if existing investors sell because they were expecting a bigger price increase.
There is another important point for existing Nigerian shareholders:
The London listing does not automatically give you a free profit.
If you currently own ₦100,000 worth of Dangote Cement, your shares don’t suddenly become ₦150,000 simply because the company gets listed in London.
The potential benefit is more indirect:
More international investors → potentially more demand → better liquidity/visibility → potentially better valuation.
But the company’s actual profits still matter.
If Dangote Cement continues increasing revenue and profit, reducing debt, paying good dividends and expanding successfully, the London listing could amplify investor interest.
If the company’s fundamentals deteriorate, a London listing won’t magically save the share price.
So as a Nigerian investor, I would see the London listing as a positive development and a potential catalyst, but not a guarantee that Dangote Cement’s share price will rise.
The biggest thing to watch after the listing is not just the excitement around London. Watch earnings, dividend, valuation, foreign investor demand and the amount of shares actually available for trading.
See lessCan a Money Market Fund Lose Money in Nigeria?
Yes, a Money Market Fund can sometimes show a temporary decline, although it is generally considered a lower-risk investment compared with stocks. The first thing I would do is not panic and withdraw immediately. For example, imagine you invested ₦500,000 in a money market fund. You later check andRead more
Yes, a Money Market Fund can sometimes show a temporary decline, although it is generally considered a lower-risk investment compared with stocks.
The first thing I would do is not panic and withdraw immediately.
For example, imagine you invested ₦500,000 in a money market fund. You later check and see ₦495,000, showing a ₦5,000 loss.
That can happen because the fund invests in instruments such as Treasury Bills, commercial papers, fixed deposits and other short-term securities. The value of the underlying investments can fluctuate, and the fund’s valuation can also change from day to day.
Also, don’t confuse a temporary change in the displayed value with permanently losing your money.
However, I wouldn’t simply assume that every ₦5,000 drop is normal. I would first check:
• Which specific Cowrywise MMF you invested in
• The fund’s recent performance and valuation
• Whether the ₦5,000 is an actual loss or a temporary NAV/pricing movement
• Any fees or charges affecting the displayed balance
• The fund’s fact sheet and risk level
• Whether the fund manager has reported any unusual issue
For example, if I invested ₦500,000 for a 2–3 year growth goal, I wouldn’t withdraw simply because I saw ₦495,000 one day. I would look at the fund’s performance over a longer period and understand why the value changed.
But if I needed the money next month for rent, school fees or an emergency, I would reconsider whether a particular investment is appropriate for that short-term goal.
So my answer would be:
Don’t withdraw simply because you saw a ₦5,000 temporary decline. First find out exactly why it happened.
And remember, “low risk” does not mean “no risk.” Before making a withdrawal decision, check the fund’s latest report or contact Cowrywise/fund manager and ask them specifically why your account value fell by ₦5,000.
See lessDoes My Broker Deduct IPO Subscription Funds From My Brokerage Account?
It depends on the platform and the specific IPO process, but normally, if you subscribe through your stockbroker, the money is paid through the broker's designated subscription process. For example, let's say you have: ₦200,000 in your bank account ₦50,000 available as cash in your brokerage accountRead more
It depends on the platform and the specific IPO process, but normally, if you subscribe through your stockbroker, the money is paid through the broker’s designated subscription process.
For example, let’s say you have:
₦200,000 in your bank account
₦50,000 available as cash in your brokerage account
You want to subscribe ₦30,000 to an IPO.
If your broker requires you to fund your brokerage account first, the ₦30,000 will come from the ₦50,000 available balance with the broker, leaving ₦20,000.
But some IPO platforms may instruct investors to make payment directly from their bank account through a designated payment channel. So you shouldn’t assume every IPO works exactly the same way.
Also, an IPO subscription is different from simply buying an already-listed share on the NGX. Read the IPO offer document and follow the payment instructions provided by the issuing company, registrar or your broker.
A simple rule is:
Before confirming the subscription, check where the payment is coming from and whether the money is being held pending allotment.
See lessHow Is Net Worth Different From the Overall Wealth a Person Has?
I think you're right that net worth is one of the clearest ways to measure financial wealth, but I wouldn't say they are exactly the same thing. Net worth is a number. Wealth is broader. Net worth is calculated as: Total Assets − Total Liabilities = Net Worth For example, imagine someone owns: - A hRead more
I think you’re right that net worth is one of the clearest ways to measure financial wealth, but I wouldn’t say they are exactly the same thing.
Net worth is a number. Wealth is broader.
Net worth is calculated as:
Total Assets − Total Liabilities = Net Worth
For example, imagine someone owns:
– A house worth ₦30 million
– Land worth ₦10 million
– Investments worth ₦5 million
– Savings of ₦5 million
Total assets = ₦50 million
But the person still owes:
– Mortgage/loan = ₦15 million
So their net worth is:
₦50m − ₦15m = ₦35 million.
Now, when we talk about wealth, we’re looking beyond just that ₦35 million. We can consider the person’s ability to generate income, the quality of their assets, financial security, business ownership, knowledge, relationships and even the freedom those resources give them.
For example, Person A may have a ₦50 million house but ₦45 million in debt and struggles every month to pay bills.
Person B may have ₦20 million in investments, a profitable business, no debt and enough passive income to cover their living expenses.
Person A may have the bigger net worth on paper, but Person B could arguably have greater financial freedom and stronger sustainable wealth.
So I would put it this way:
Net worth tells you what you have after subtracting what you owe.
Wealth is the broader picture of the resources you own, the income they can generate, your financial security and your ability to maintain and grow those resources over time.
In short, net worth is a measurement of wealth, while wealth is the bigger picture.
See lessCan Dangote Refinery Shares Fall Below the IPO Price After Listing?
You can potentially buy Dangote Refinery shares cheaper after the IPO, but there is no guarantee that they will become cheaper. Think of it this way: If the IPO price is ₦525 per share and I buy 1,000 shares: 1,000 × ₦525 = ₦525,000 After the shares begin trading on the secondary market, three thingRead more
You can potentially buy Dangote Refinery shares cheaper after the IPO, but there is no guarantee that they will become cheaper.
Think of it this way:
If the IPO price is ₦525 per share and I buy 1,000 shares:
1,000 × ₦525 = ₦525,000
After the shares begin trading on the secondary market, three things can happen.
Scenario 1: The price rises
Strong demand pushes the share to ₦650.
My 1,000 shares are now worth ₦650,000.
In this situation, buying during the IPO at ₦525 was cheaper.
Scenario 2: The price falls
Investors become concerned about the company’s valuation, profits, crude supply, or future performance, and the share falls to ₦450.
Now I could buy 1,000 shares for:
1,000 × ₦450 = ₦450,000
That’s ₦75,000 cheaper than the IPO price.
Scenario 3: The price stays around the IPO price
It could trade around ₦500–₦550 depending on demand and market conditions.
So which is better?
I wouldn’t automatically assume the IPO is cheaper. The IPO gives you the opportunity to buy at the offer price, but after listing, the market determines the price based on supply, demand and investors’ expectations.
For example, if I believe Dangote Refinery is worth investing in for the long term, I could buy some during the IPO rather than waiting and hoping for a lower price.
But if I believe the IPO valuation is too high, I could wait until after listing and see whether the market gives me a better entry point.
The important lesson is:
₦525 is the IPO price, not a price floor. The share can trade above or below ₦525 after listing.
So don’t buy simply because it is “Dangote.” Look at the company’s valuation, profitability, debt, cash flow, expansion plans and the risks surrounding the refinery before deciding how much you are willing to invest.
See lessHow Does Nigeria’s GDP Growth Affect Investments and Wealth Creation?
Good question. You are actually connecting two things that can be related, but the relationship is not direct. Think of GDP as a measure of how much economic activity is happening in the country. If Nigeria's GDP is growing, it generally means businesses are producing more goods and services, peopleRead more
Good question. You are actually connecting two things that can be related, but the relationship is not direct.
Think of GDP as a measure of how much economic activity is happening in the country.
If Nigeria’s GDP is growing, it generally means businesses are producing more goods and services, people are spending more, and economic activity is expanding.
For example, imagine a Nigerian company that sells food products.
Last year, it made ₦10 billion in revenue and ₦1 billion profit.
If the economy improves, consumers have more purchasing power and business activity increases, the company might grow its revenue to ₦12 billion and profit to ₦1.5 billion.
If investors believe the company’s future profits will continue growing, they may be willing to pay more for its shares.
That’s one way GDP growth can eventually benefit equity investors.
Now let’s look at your money-market fund example.
GDP growth can influence the broader economy, but your money-market fund’s return is more directly connected to interest rates and the yields available on short-term instruments such as Treasury Bills and other fixed-income securities.
So if you see a money-market fund’s return around 16%, don’t assume it is simply because GDP increased. The fund manager may be earning higher yields from the instruments in the fund.
For example:
If you invest ₦1 million in a money-market fund and the fund earns an annualised 16%, that would be roughly ₦160,000 over a full year, before considering fees, taxes, compounding and changes in the fund’s actual yield.
For an equity fund, the relationship can be different.
Imagine you invest ₦1 million in an equity fund that holds shares of 20 Nigerian companies.
If the Nigerian economy improves, some of those companies may record higher sales and profits. Investors may become more confident, demand for shares may increase, and the value of the equity fund could rise.
But GDP growth does not guarantee this.
A company can still perform badly even when the economy is growing.
That’s why I would think about it like this:
GDP growth → stronger economic activity → potentially higher business revenue/profits → potentially better investor confidence → potentially higher asset prices.
But there are other factors involved, especially inflation, interest rates, exchange rates, company profits and investor sentiment.
Nigeria’s recent economic data actually gives a good example of why you need to look beyond GDP alone. The IMF says Nigeria’s reforms have improved macroeconomic stability, while inflation has been on a declining trend but remains a significant factor.
So if your mentor says, “Nigeria’s GDP has increased, do you know what happens to your investment?”, I wouldn’t interpret that as “GDP increased, therefore my investment must increase.”
I’d interpret it as:
“A growing economy can create a better environment for businesses and investments, but I still need to understand what I actually own and what is driving its return.”
That’s the important lesson for an investor.
See lessIs It Better to Invest ₦1 Million in GTCO Stock or Earn 19.6% Interest?
Both options can make sense, but they serve different purposes. If I have ₦1 million and a fintech is offering 19.6% interest, the first thing I would ask is: Is that 19.6% guaranteed, for how long, and what exactly am I investing in? I would also verify that the platform/operator is properly regulaRead more
Both options can make sense, but they serve different purposes.
If I have ₦1 million and a fintech is offering 19.6% interest, the first thing I would ask is: Is that 19.6% guaranteed, for how long, and what exactly am I investing in? I would also verify that the platform/operator is properly regulated. The SEC provides an official register for checking investment operators in Nigeria.
For a simple illustration, if the 19.6% rate were genuinely available for a full year:
₦1,000,000 × 19.6% = ₦196,000
So you could have about ₦1.196 million after one year, before any applicable fees or taxes.
Now compare that with GTCO shares.
If you invest ₦1 million in GTCO and the share price increases by 20%, your shares could be worth approximately ₦1.2 million, excluding dividends and costs.
But if the share price falls by 20%, your ₦1 million could become approximately ₦800,000.
That’s the major difference:
19.6% fixed return: more predictable, assuming the rate and product terms are genuine and maintained.
GTCO shares: potentially higher long-term growth, plus dividends, but the value can rise or fall.
For someone who is just starting their financial journey, I personally wouldn’t put the entire ₦1 million into one stock simply because GTCO is a strong company.
A more balanced example could be:
₦500,000 → fixed-income/money-market investment
₦300,000 → diversified Nigerian equities
₦200,000 → emergency fund/cash reserve
Then continue investing from future salaries.
Also remember that 19.6% is a nominal return. If inflation remains high, your money can still lose purchasing power even though the account balance is increasing. The CBN publishes current inflation and money-market indicators, so these should be considered when evaluating fixed-income returns.
So I wouldn’t ask, “GTCO or 19.6%?”
I’d ask:
“How much of my ₦1 million can I afford to expose to market risk, and how much do I need to protect?”
For a beginner, protecting the foundation while gradually learning about stocks may be more sensible than putting everything into one company.
See less