This is something I think many young Nigerians can relate to because sometimes family responsibility starts almost immediately after you begin earning. One money lesson I have learned is that helping your family should not mean destroying your own financial foundation. For example, imagine a young pRead more
This is something I think many young Nigerians can relate to because sometimes family responsibility starts almost immediately after you begin earning.
One money lesson I have learned is that helping your family should not mean destroying your own financial foundation.
For example, imagine a young person earns ₦200,000 per month. His parents need help with food, his younger sibling needs school fees, and another relative has an urgent problem. Before he knows it, the entire ₦200,000 is gone.
Then something happens to him the following month. Maybe he loses his job or doesn’t get paid on time. He has nothing saved, so he has to borrow money to survive.
At that point, he has become financially dependent while trying to support other people.
I think the better approach is to create boundaries around your income.
If I earned ₦200,000, for example, I might initially structure it something like:
₦100,000: essential personal expenses
₦30,000: family support
₦30,000: emergency savings
₦20,000: investment or long-term savings
₦20,000: skill development/personal needs
The exact numbers would depend on the person’s circumstances. If the family has a genuine emergency, the allocation may obviously change.
But the principle is important: don’t make family support an unlimited expense.
I’d also separate “needs” from “requests.”
If my mother needs money for food or medication, that’s very different from a relative asking me for money to buy something that isn’t urgent.
And sometimes the best way to support your family is not to keep giving them cash every month. It may be helping a younger sibling learn a skill, paying for something that improves their education, helping a parent start a small business, or contributing toward something that can eventually reduce their dependence on you.
For example, instead of giving a sibling ₦20,000 every month indefinitely, you might help them get the training or equipment they need to start earning ₦30,000 themselves.
That’s a different kind of support.
I also believe you should communicate honestly with your family.
You don’t have to say, “I don’t want to help.”
You can say:
“I want to support the family, but I also need to save and build myself so that I can become more useful to everyone in the future. I may not be able to meet every request, but I’ll contribute what I can consistently.”
That’s not selfish.
If you destroy your own finances trying to rescue everybody today, you may not have the capacity to help anyone tomorrow.
So for me, the balance is:
Take care of your basic needs
build an emergency fund
support your family within a realistic limit invest in your future
increase your income.
As your income grows, you can increase the amount you give.
The goal shouldn’t be to choose between “my family” and “my future.”
The goal should be to build yourself financially strong enough that, eventually, your family doesn’t have to depend on your monthly salary alone.
That, to me, is one of the most sustainable ways of helping the people you love.
I completely understand where you are coming from. And honestly, if you are currently a student without a job or regular income, I would not advise you to put pressure on yourself to start investing immediately. The first investment I would make in your position is actually knowledge and financial dRead more
I completely understand where you are coming from. And honestly, if you are currently a student without a job or regular income, I would not advise you to put pressure on yourself to start investing immediately.
The first investment I would make in your position is actually knowledge and financial discipline.
For example, if you receive ₦20,000 from your parents or someone gives you money for your upkeep, don’t think, “I must invest ₦10,000 because I want to become an investor.”
Instead, first make sure your basic needs are covered. If you can genuinely keep ₦2,000 or ₦5,000 aside without needing it for food, transport, school materials or other important expenses, then you can start with that.
Let’s say you receive ₦20,000:
• ₦12,000 for your essential needs
• ₦5,000 kept as savings/emergency money
• ₦2,000 toward learning or developing a useful skill
• ₦1,000 to begin learning and investing
The ₦1,000 may look very small, but that’s not the point. You’re building the habit.
As a student, I would also focus heavily on developing a skill that can eventually give you an income. Something like graphic design, programming, digital marketing, writing, video editing, a technical skill, tutoring, or any skill that matches your ability and has a market.
Because if you eventually learn how to earn ₦50,000, ₦100,000 or ₦200,000 a month, your ability to invest becomes much stronger.
And regarding your concern about maintaining an investment without interfering with it, that’s where you need a system.
For example, imagine you eventually start earning ₦100,000 monthly. You could decide that every time you receive money, 10% goes toward long-term investment. So ₦10,000 is invested and you mentally consider that money unavailable for everyday spending.
You can also separate your investment money from your normal spending account. That way, when you check your balance and see money available for food or transport, you’re not looking at the money you’ve already committed to your long-term goals.
But please don’t invest money that you know you’ll need next week.
If you have ₦10,000 and you need ₦8,000 for transport and food, don’t invest ₦8,000 just because you want to start early. Keep the money you need.
Starting small is completely fine.
Even ₦1,000, ₦2,000 or ₦5,000 can be the beginning, provided you’re learning what you’re doing and the money isn’t needed for your immediate survival.
I would also advise you not to jump into individual stocks, crypto or any investment simply because someone on social media says it will make you rich. First understand what you’re buying, the risks involved, how you make money from it, how you withdraw your money and whether the platform or institution is properly regulated.
Your situation as a student is actually an advantage in one way: you have time to learn.
Don’t worry about making a lot of money from investing right now. Learn the principles, start with whatever small amount you can genuinely afford, develop a valuable skill, and focus on increasing your income.
When your income eventually grows, the investment habit you’ve built will grow with it.
So if I were in your position, my order would be:
Learn
Save
Develop a skill
Earn
Invest consistently
Leave the investment alone
Repeat.
You don’t need to be rich before you start learning about investing. But you also don’t need to rush into investing before you’re financially ready.
Thank you for the question. To be honest, I think this is one of those questions that requires looking at the bigger picture, because if someone is starting with very little money and irregular income, the goal shouldn't simply be to find an investment that will give the highest return. If I were stRead more
Thank you for the question. To be honest, I think this is one of those questions that requires looking at the bigger picture, because if someone is starting with very little money and irregular income, the goal shouldn’t simply be to find an investment that will give the highest return.
If I were starting from exactly that position, and I had only ₦10,000 available, my first question would be: “What will this ₦10,000 do for my financial situation?”
I wouldn’t automatically put the whole ₦10,000 into stocks or any investment just because I want to start investing.
For example, I might divide it like this:
• ₦5,000 for emergency savings
• ₦3,000 toward learning a skill or something that can increase my income
• ₦2,000 toward a low-risk investment, mainly to start developing the habit of investing.
The exact percentage can change depending on the situation. If I had urgent needs or expensive debt, I would probably deal with those first.
Why would I prioritize emergency savings?
Because with irregular income, liquidity is extremely important.
Imagine I invest the entire ₦10,000 today, but tomorrow I have an unexpected transport expense, food expense, medical bill, or another urgent need. I may be forced to sell my investment or borrow money.
So before trying to maximize returns, I would first try to create a small financial cushion.
My first target might be ₦50,000, then ₦100,000, and eventually enough to cover at least one month of essential expenses. Over time, I’d work toward a larger emergency fund.
What about investing?
I would definitely start investing, but I wouldn’t rush into individual stocks as a complete beginner.
If I wanted somewhere relatively simple to begin, I would consider a regulated money-market or fixed-income mutual fund, depending on the available options, fees, liquidity and current returns.
The reason is that I wouldn’t want my first investment experience to be based on guessing which stock will rise tomorrow.
I’d rather understand what I’m buying, how it makes money, what risks are involved, how quickly I can access the money and what fees I’m paying.
As I become more knowledgeable and my emergency fund improves, I would gradually consider equities and NGX-listed companies for long-term growth.
I also wouldn’t underestimate the importance of increasing income.
This is probably the most important part for someone starting with little money.
If I have ₦20,000 and make a 10% return, I’ve made only ₦2,000.
But if I use ₦20,000 to improve a skill, buy a tool, learn something valuable, market a service or improve a small business and that eventually helps me earn an additional ₦30,000 every month, that can have a much bigger impact.
So I would constantly ask:
“Can this money help me earn more money in the future?”
That doesn’t mean every naira should go into business or education. It means I would balance financial assets with human capital.
My approach would also be different because my income is irregular.
If I earned a fixed salary, I could say:
“Every month I’ll save ₦30,000 and invest ₦20,000.”
But with irregular income, I would use percentages instead.
For example, whenever ₦100,000 comes in, I might allocate it something like:
If only ₦30,000 comes in, I apply the same principle at a smaller scale.
The important thing is that every amount of money coming in should have a purpose before I spend it.
Before investing in anything, I’d ask myself some basic questions:
1. What exactly am I investing in?
2. How does it generate returns?
3. What are the risks?
4. Can I lose part or all of my money?
5. How quickly can I withdraw it?
6. What fees or charges are involved?
7. Who regulates the institution?
8. What has historically happened to this type of investment?
9. Am I investing for the short term or long term?
10. Do I actually understand what I’m buying?
I would also avoid investing because someone says, “This stock will double,” or “This investment is guaranteed to make 30%.”
If I don’t understand the investment, I wouldn’t put my money there.
If I had to choose my first three financial moves
First: Build an emergency fund.
I’d start small. Even ₦5,000 matters. My target would gradually move from ₦50,000 to ₦100,000 and eventually several months of essential expenses.
Second: Increase my earning ability.
I’d identify one or two skills or business opportunities that could realistically increase my income. I wouldn’t try to chase every opportunity at once.
Third: Start investing small and learn continuously.
Even if I can only invest ₦2,000 or ₦5,000 initially, I’d start. Not because that amount will make me rich immediately, but because I’m building the habit and learning how financial markets work.
Over time, as my income increases, I can increase the amount I’m investing.
For me, the bigger goal would not be:
“How do I turn ₦10,000 into ₦20,000 quickly?”
It would be:
“How do I build a system that allows me to consistently save, increase my income, invest and acquire productive assets?”
Because ₦10,000 by itself won’t create financial independence.
But learning how to properly manage ₦10,000 can prepare you to properly manage ₦100,000, ₦1 million and eventually much more.
So if I were starting all over again with very little money and irregular income, I wouldn’t focus only on finding the perfect investment.
I’d focus on three things:
Protect what I have.
Increase what I can earn.
Invest what I can afford to leave untouched.
Then I’d repeat that process consistently for years.
That’s probably a slower approach than looking for quick profits, but I think it’s a much more realistic path toward genuine financial independence.
Yes, I believe the approaching 2027 general elections can have both positive and negative effects on the Nigerian stock market, depending on the stage of the election cycle, investor sentiment, government policies and the performance of individual companies. Historically, investors can become more cRead more
Yes, I believe the approaching 2027 general elections can have both positive and negative effects on the Nigerian stock market, depending on the stage of the election cycle, investor sentiment, government policies and the performance of individual companies.
Historically, investors can become more cautious before elections because of uncertainty about government policies, the naira, inflation, interest rates and the direction of the economy. This can lead to some investors reducing their exposure to equities or moving money into safer assets. Recent reports also indicate that political uncertainty is already influencing some foreign portfolio flows.
For example, imagine I own ₦1 million worth of Nigerian bank stocks and I become worried that election uncertainty could cause volatility. I might decide to sell part of my holdings and keep more money in cash or fixed-income investments. If many investors do the same thing, selling pressure can push stock prices lower.
But the opposite can also happen.
If the election process is considered credible and investors become confident about the economic policies of the incoming government, money can return to the market. Companies that benefit from government spending, infrastructure, consumer activity or economic growth could also perform well.
For an investor, I think the most important thing is not to try to predict the election result or trade every political headline.
Instead, I would learn to monitor:
1. Company fundamentals
Look at revenue, profit, debt, cash flow, dividends and earnings growth.
2. Valuation
A good company can still be a bad investment if you buy it at an unreasonable price.
3. Interest rates and inflation
These affect both companies and the attractiveness of alternative investments.
4. The naira and foreign exchange market
Currency movements can significantly affect companies that depend on imports or foreign currency.
5. Election-related policy changes
Pay attention to government budgets, taxes, subsidies, regulations and spending plans.
6. Market diversification
I wouldn’t put all my money into one sector or one company simply because I expect it to benefit from the election.
For example, instead of putting ₦500,000 into one stock because I believe it will benefit from election spending, I could spread the money across several quality companies and keep part of the portfolio in lower-risk assets.
What I would avoid
I would avoid buying a stock simply because someone says:
“This company will benefit when the election comes.”
I would also avoid panic-selling every time there is negative political news.
Most importantly, I would avoid using borrowed money to speculate on election-related market movements. Elections can produce very unpredictable price movements.
For me, the best approach would be:
Study the company
understand the political and economic environment
diversify
invest gradually
keep some liquidity
avoid emotional decisions.
The election itself is not necessarily the biggest risk. The bigger risk is making an investment decision based on an assumption about what will happen politically without considering the underlying business.
In fact, periods of uncertainty can sometimes create opportunities because good companies may temporarily become cheaper. The key is being able to distinguish between a temporary fall caused by sentiment and a permanent deterioration in the company’s fundamentals.
So I would prepare for volatility, but I wouldn’t automatically stay out of the NGX simply because an election is approaching.
A static share price does not necessarily mean that the company is doing badly, and it also doesn't automatically mean that it is a good time to buy. When a share price stays around the same level for a long period, it usually means there is a balance between buyers and sellers. Buyers are not williRead more
A static share price does not necessarily mean that the company is doing badly, and it also doesn’t automatically mean that it is a good time to buy.
When a share price stays around the same level for a long period, it usually means there is a balance between buyers and sellers. Buyers are not willing to push the price much higher, while sellers are also not willing to accept much lower prices.
For example, imagine a company is trading around ₦100 for several weeks:
– Buyers are mostly willing to buy around ₦98–₦100.
– Sellers are mostly willing to sell around ₦100–₦102.
– Neither side is strong enough to move the price significantly.
For a new investor, this can actually be an interesting period to study the company, but I wouldn’t buy simply because the price is static.
I would first ask:
Why is the price static?
If the company’s profits, revenue, cash flow and dividends are growing while the share price remains around the same level, the stock could potentially become more attractive because the underlying business is improving without the price following it.
For example, if Company A was ₦100 last year and remains ₦100 today, but its earnings have increased significantly, the stock may be cheaper relative to its earnings than it was a year ago.
On the other hand, if the price is static because there is very little trading activity or investors have lost interest in the company, that’s a different situation. Low liquidity can also make it difficult to buy or sell large quantities without affecting the price.
There’s also the issue of dividends. A stock doesn’t have to rise dramatically for an investor to make money. If you buy at ₦100 and the company pays ₦10 in dividends over the year while the share price remains around ₦100, you’ve still received a return from the investment, before considering taxes and fees.
So, regarding stocks like TotalEnergies, Dangote Cement, NCR and others, I wouldn’t use the fact that their prices are currently static as the reason to buy or wait.
I’d look at each company individually:
Business performance
Earnings
Valuation
Dividend Debt
Cash flow
Trading volume
Then share price.
In my opinion, a static price can sometimes be an opportunity, sometimes a warning, and sometimes simply a period where the market is waiting for new information.
The key question isn’t “Has the price moved?”
It’s “Has the value of the business changed while the price has remained the same?”
That’s what I would focus on before making a decision.
You can know when an NGX-listed company is at risk of being delisted by paying attention to official NGX announcements and the company's regulatory filings. Some warning signs include prolonged suspension of trading, failure to meet NGX listing requirements, inability to file financial statements onRead more
You can know when an NGX-listed company is at risk of being delisted by paying attention to official NGX announcements and the company’s regulatory filings.
Some warning signs include prolonged suspension of trading, failure to meet NGX listing requirements, inability to file financial statements on time, insolvency or financial distress, and announcements about voluntary or compulsory delisting.
For example, if you own 10,000 shares of Company A and NGX announces that the company will be delisted, you should not wait until the final day. First, check the reason for the delisting and the terms of the process.
If it is a voluntary delisting, there may be an exit offer or other arrangement through which existing shareholders can sell their shares, depending on the terms approved by the regulators.
If it is a compulsory delisting, the situation can be more complicated. You may no longer be able to sell the shares normally through the NGX trading platform after the delisting takes effect. However, the shares don’t necessarily just disappear. Your rights as a shareholder depend on the reason for the delisting and the company’s restructuring or liquidation process.
For example, if someone bought 10,000 shares at ₦20, that is ₦200,000 invested. If the company is later delisted because of serious financial problems, the shareholder could potentially suffer a significant loss. In a liquidation, shareholders are generally among the last parties to receive anything after creditors and other obligations have been settled.
So, before buying a stock, I think it is important to monitor not only the share price but also the company’s financial statements, regulatory announcements and NGX notices.
And if a delisting announcement has already been made, the best thing is to contact the stockbroker holding the shares and ask specifically what options are available before the effective delisting date.
In simple terms:
Don’t wait until you want to sell before checking the company’s status. Monitor the company and NGX announcements regularly.
The Nigerian Stock Exchange was not founded by just one person. It was established in 1960 as the Lagos Stock Exchange by seven original subscribers, including Chief Akintola Williams, Theophilus Doherty, Odumegwu Ojukwu, Shehu Bukar, C.T. Bowring, John Holt Nigeria Ltd., and Investment Company of NRead more
The Nigerian Stock Exchange was not founded by just one person. It was established in 1960 as the Lagos Stock Exchange by seven original subscribers, including Chief Akintola Williams, Theophilus Doherty, Odumegwu Ojukwu, Shehu Bukar, C.T. Bowring, John Holt Nigeria Ltd., and Investment Company of Nigeria Ltd. (ICON).
However, Chief Akintola Williams is particularly recognised as one of the founding fathers of the Nigerian Stock Exchange because of his major role in establishing the market.
The exchange was later renamed the Nigerian Stock Exchange in 1977. In 2021, it was demutualised and reorganised, leading to the creation of Nigerian Exchange Group Plc (NGX Group), while Nigerian Exchange Limited became the operating exchange.
In my view, the continuous decline in Nigerian stocks at the moment appears to be driven by a combination of profit-taking, market correction after the strong rally earlier in the year, valuation concerns, and general investor uncertainty. Many investors who bought at lower prices may be taking profRead more
In my view, the continuous decline in Nigerian stocks at the moment appears to be driven by a combination of profit-taking, market correction after the strong rally earlier in the year, valuation concerns, and general investor uncertainty.
Many investors who bought at lower prices may be taking profits, while others are becoming more cautious about stocks that have experienced significant price increases. There are also broader factors such as interest-rate expectations, economic conditions, election-related uncertainty, and investors repositioning their portfolios for other opportunities.
However, I don’t think a falling NGX automatically means that the underlying companies are becoming weaker. I believe investors should look at individual companies rather than the index alone.
For example, if a company’s share price falls by 15% but its earnings, cash flow, balance sheet and long-term business outlook remain strong, the decline could potentially create an attractive entry point. On the other hand, if the company’s fundamentals are deteriorating along with the share price, the decline may be justified.
So, rather than simply asking why the NGX is falling, I think the more important question is: which stocks are declining because of temporary market sentiment, and which ones are declining because their underlying fundamentals have weakened?
That distinction, in my opinion, is what investors should focus on during a market correction.
Yes, you can understand a stock order book by looking at the buyers and sellers around the current market price. For example, if a stock is trading around ₦10: Buyers (Bids) ₦9.90 → 5,000 shares ₦9.80 → 8,000 shares ₦9.70 → 15,000 shares Sellers (Offers/Asks) ₦10.00 → 2,000 shares ₦10.10 → 4,000 shaRead more
Yes, you can understand a stock order book by looking at the buyers and sellers around the current market price.
The left side shows what buyers are willing to pay, while the right side shows what sellers are willing to accept.
So, if I want to buy 1,000 shares, the lowest available selling price is ₦10.00. If there are only 500 shares available at ₦10.00, the remaining 500 may have to be bought at the next available price, depending on the order type.
I would also look at the spread, the quantity of shares waiting to be bought or sold, and the actual trades taking place. A large number of shares on the buy side can show buying interest, while a large number on the sell side can indicate selling pressure. But I wouldn’t use the order book alone to decide whether to buy.
For a proper investment decision, I would combine the order book with the company’s financial performance, valuation, dividend history, debt, profitability, trading volume and overall price trend.
In simple terms, the order book helps answer:
Who wants to buy?
Who wants to sell?
At what price?
And how many shares are available?
But it should be used as part of the analysis, not as the only reason to buy a stock.
One important warning
Don’t treat a large buy wall or sell wall as a guaranteed signal.
For example:
BUY: 500,000 shares at ₦10
looks very bullish.
But that order can disappear.
Someone may have placed it and cancelled it later. So an order book is best used as one piece of information, not as the reason to buy a company.
For long-term investing on the NGX, I’d put fundamentals and valuation ahead of the order book. The order book is more useful for deciding how and when to enter than for deciding whether the company is worth owning.
Building wealth for yourself and your children is not about finding one investment that will make you rich quickly. It is about building a system where money is earned, saved, invested, protected, and passed on. For example, imagine someone earns ₦300,000 every month. Instead of spending the whole ₦Read more
Building wealth for yourself and your children is not about finding one investment that will make you rich quickly. It is about building a system where money is earned, saved, invested, protected, and passed on.
For example, imagine someone earns ₦300,000 every month.
Instead of spending the whole ₦300,000, they could create a simple plan:
– ₦180,000 for living expenses
– ₦30,000 for emergency savings
– ₦50,000 for investments
– ₦20,000 for improving their skills or business
– ₦20,000 for their children’s future
The exact amounts can change depending on income and responsibilities. The important thing is to make investing a regular habit.
Where can the investment money go?
1. Treasury Bills and government securities
These can be useful for the safer part of a portfolio. They are generally more suitable when the priority is capital preservation rather than very high growth.
2. Money Market Funds
A regulated money market fund can be useful for money that should remain relatively accessible while earning returns. Before investing, check that the fund manager is properly regulated and understand the fees and withdrawal terms.
3. Mutual funds or diversified equity funds
For money that can remain invested for several years, a diversified fund can provide exposure to businesses and the wider economy. The value can fall as well as rise, so this is not the place for money needed next month.
4. Property or land
As income grows, part of the long-term wealth plan can go toward property or land in locations with genuine demand. However, proper title and legal due diligence are extremely important.
5. A profitable business
Sometimes the best investment is increasing your ability to earn. For example, ₦200,000 used to buy equipment, learn a valuable skill, or expand a small profitable business may generate more income than simply leaving the money in a savings account.
Example for a child
Suppose a parent invests ₦20,000 every month for a child from age 5 until age 18.
That is:
₦20,000 × 12 × 13 = ₦3,120,000
That is the parent’s total contribution alone, before considering any investment returns.
If the money is invested and earns returns over those years, the final amount could be higher. The actual result will depend on the investment and its performance, and returns are never guaranteed.
The same principle can be used for several children.
A simple family wealth structure
Think of it as five boxes:
BOX 1: Emergency fund
Money for unexpected problems.
BOX 2: Safe investments
Treasury Bills, money market funds and similar lower-risk options.
BOX 3: Growth investments
Diversified equity funds or other suitable long-term investments.
BOX 4: Income-producing assets
Business, property or other assets that can generate income.
BOX 5: Children’s future
A separate investment account or portfolio specifically for education and long-term needs.
And one more thing is important: don’t put all the family’s money into one investment.
If someone promises to double your money quickly with “no risk”, be very careful. Wealth is usually built rather quietly: consistent saving, sensible investing, increasing income, owning assets, and giving those assets enough time to grow.
The real goal is not just to leave children money.
The goal is to leave them assets, financial knowledge, opportunities, and a system that allows the wealth to continue growing after you are gone.
How can a young person support their family financially without destroying their own financial future?
This is something I think many young Nigerians can relate to because sometimes family responsibility starts almost immediately after you begin earning. One money lesson I have learned is that helping your family should not mean destroying your own financial foundation. For example, imagine a young pRead more
This is something I think many young Nigerians can relate to because sometimes family responsibility starts almost immediately after you begin earning.
One money lesson I have learned is that helping your family should not mean destroying your own financial foundation.
For example, imagine a young person earns ₦200,000 per month. His parents need help with food, his younger sibling needs school fees, and another relative has an urgent problem. Before he knows it, the entire ₦200,000 is gone.
Then something happens to him the following month. Maybe he loses his job or doesn’t get paid on time. He has nothing saved, so he has to borrow money to survive.
At that point, he has become financially dependent while trying to support other people.
I think the better approach is to create boundaries around your income.
If I earned ₦200,000, for example, I might initially structure it something like:
₦100,000: essential personal expenses
₦30,000: family support
₦30,000: emergency savings
₦20,000: investment or long-term savings
₦20,000: skill development/personal needs
The exact numbers would depend on the person’s circumstances. If the family has a genuine emergency, the allocation may obviously change.
But the principle is important: don’t make family support an unlimited expense.
I’d also separate “needs” from “requests.”
If my mother needs money for food or medication, that’s very different from a relative asking me for money to buy something that isn’t urgent.
And sometimes the best way to support your family is not to keep giving them cash every month. It may be helping a younger sibling learn a skill, paying for something that improves their education, helping a parent start a small business, or contributing toward something that can eventually reduce their dependence on you.
For example, instead of giving a sibling ₦20,000 every month indefinitely, you might help them get the training or equipment they need to start earning ₦30,000 themselves.
That’s a different kind of support.
I also believe you should communicate honestly with your family.
You don’t have to say, “I don’t want to help.”
You can say:
“I want to support the family, but I also need to save and build myself so that I can become more useful to everyone in the future. I may not be able to meet every request, but I’ll contribute what I can consistently.”
That’s not selfish.
If you destroy your own finances trying to rescue everybody today, you may not have the capacity to help anyone tomorrow.
So for me, the balance is:
Take care of your basic needs
build an emergency fund
support your family within a realistic limit invest in your future
increase your income.
As your income grows, you can increase the amount you give.
The goal shouldn’t be to choose between “my family” and “my future.”
The goal should be to build yourself financially strong enough that, eventually, your family doesn’t have to depend on your monthly salary alone.
That, to me, is one of the most sustainable ways of helping the people you love.
See lessHow Can a Student Start and Maintain an Investment in Nigeria Without a Job?
I completely understand where you are coming from. And honestly, if you are currently a student without a job or regular income, I would not advise you to put pressure on yourself to start investing immediately. The first investment I would make in your position is actually knowledge and financial dRead more
I completely understand where you are coming from. And honestly, if you are currently a student without a job or regular income, I would not advise you to put pressure on yourself to start investing immediately.
The first investment I would make in your position is actually knowledge and financial discipline.
For example, if you receive ₦20,000 from your parents or someone gives you money for your upkeep, don’t think, “I must invest ₦10,000 because I want to become an investor.”
Instead, first make sure your basic needs are covered. If you can genuinely keep ₦2,000 or ₦5,000 aside without needing it for food, transport, school materials or other important expenses, then you can start with that.
Let’s say you receive ₦20,000:
• ₦12,000 for your essential needs
• ₦5,000 kept as savings/emergency money
• ₦2,000 toward learning or developing a useful skill
• ₦1,000 to begin learning and investing
The ₦1,000 may look very small, but that’s not the point. You’re building the habit.
As a student, I would also focus heavily on developing a skill that can eventually give you an income. Something like graphic design, programming, digital marketing, writing, video editing, a technical skill, tutoring, or any skill that matches your ability and has a market.
Because if you eventually learn how to earn ₦50,000, ₦100,000 or ₦200,000 a month, your ability to invest becomes much stronger.
And regarding your concern about maintaining an investment without interfering with it, that’s where you need a system.
For example, imagine you eventually start earning ₦100,000 monthly. You could decide that every time you receive money, 10% goes toward long-term investment. So ₦10,000 is invested and you mentally consider that money unavailable for everyday spending.
You can also separate your investment money from your normal spending account. That way, when you check your balance and see money available for food or transport, you’re not looking at the money you’ve already committed to your long-term goals.
But please don’t invest money that you know you’ll need next week.
If you have ₦10,000 and you need ₦8,000 for transport and food, don’t invest ₦8,000 just because you want to start early. Keep the money you need.
Starting small is completely fine.
Even ₦1,000, ₦2,000 or ₦5,000 can be the beginning, provided you’re learning what you’re doing and the money isn’t needed for your immediate survival.
I would also advise you not to jump into individual stocks, crypto or any investment simply because someone on social media says it will make you rich. First understand what you’re buying, the risks involved, how you make money from it, how you withdraw your money and whether the platform or institution is properly regulated.
Your situation as a student is actually an advantage in one way: you have time to learn.
Don’t worry about making a lot of money from investing right now. Learn the principles, start with whatever small amount you can genuinely afford, develop a valuable skill, and focus on increasing your income.
When your income eventually grows, the investment habit you’ve built will grow with it.
So if I were in your position, my order would be:
Learn
Save
Develop a skill
Earn
Invest consistently
Leave the investment alone
Repeat.
You don’t need to be rich before you start learning about investing. But you also don’t need to rush into investing before you’re financially ready.
See lessIf You Were in My Position, What Would You Do With Your Next ₦10,000?
Thank you for the question. To be honest, I think this is one of those questions that requires looking at the bigger picture, because if someone is starting with very little money and irregular income, the goal shouldn't simply be to find an investment that will give the highest return. If I were stRead more
Thank you for the question. To be honest, I think this is one of those questions that requires looking at the bigger picture, because if someone is starting with very little money and irregular income, the goal shouldn’t simply be to find an investment that will give the highest return.
If I were starting from exactly that position, and I had only ₦10,000 available, my first question would be: “What will this ₦10,000 do for my financial situation?”
I wouldn’t automatically put the whole ₦10,000 into stocks or any investment just because I want to start investing.
For example, I might divide it like this:
• ₦5,000 for emergency savings
• ₦3,000 toward learning a skill or something that can increase my income
• ₦2,000 toward a low-risk investment, mainly to start developing the habit of investing.
The exact percentage can change depending on the situation. If I had urgent needs or expensive debt, I would probably deal with those first.
Why would I prioritize emergency savings?
Because with irregular income, liquidity is extremely important.
Imagine I invest the entire ₦10,000 today, but tomorrow I have an unexpected transport expense, food expense, medical bill, or another urgent need. I may be forced to sell my investment or borrow money.
So before trying to maximize returns, I would first try to create a small financial cushion.
My first target might be ₦50,000, then ₦100,000, and eventually enough to cover at least one month of essential expenses. Over time, I’d work toward a larger emergency fund.
What about investing?
I would definitely start investing, but I wouldn’t rush into individual stocks as a complete beginner.
I’d first learn the difference between:
• Savings accounts
• Money-market mutual funds
• Treasury bills
• Government bonds
• Mutual funds
• Individual stocks
• NGX-listed companies
If I wanted somewhere relatively simple to begin, I would consider a regulated money-market or fixed-income mutual fund, depending on the available options, fees, liquidity and current returns.
The reason is that I wouldn’t want my first investment experience to be based on guessing which stock will rise tomorrow.
I’d rather understand what I’m buying, how it makes money, what risks are involved, how quickly I can access the money and what fees I’m paying.
As I become more knowledgeable and my emergency fund improves, I would gradually consider equities and NGX-listed companies for long-term growth.
I also wouldn’t underestimate the importance of increasing income.
This is probably the most important part for someone starting with little money.
If I have ₦20,000 and make a 10% return, I’ve made only ₦2,000.
But if I use ₦20,000 to improve a skill, buy a tool, learn something valuable, market a service or improve a small business and that eventually helps me earn an additional ₦30,000 every month, that can have a much bigger impact.
So I would constantly ask:
“Can this money help me earn more money in the future?”
That doesn’t mean every naira should go into business or education. It means I would balance financial assets with human capital.
My approach would also be different because my income is irregular.
If I earned a fixed salary, I could say:
“Every month I’ll save ₦30,000 and invest ₦20,000.”
But with irregular income, I would use percentages instead.
For example, whenever ₦100,000 comes in, I might allocate it something like:
₦50,000 → essential expenses
₦20,000 → emergency savings
₦15,000 → business/skill/income improvement
₦10,000 → long-term investment
₦5,000 → personal/flexible spending
If only ₦30,000 comes in, I apply the same principle at a smaller scale.
The important thing is that every amount of money coming in should have a purpose before I spend it.
Before investing in anything, I’d ask myself some basic questions:
1. What exactly am I investing in?
2. How does it generate returns?
3. What are the risks?
4. Can I lose part or all of my money?
5. How quickly can I withdraw it?
6. What fees or charges are involved?
7. Who regulates the institution?
8. What has historically happened to this type of investment?
9. Am I investing for the short term or long term?
10. Do I actually understand what I’m buying?
I would also avoid investing because someone says, “This stock will double,” or “This investment is guaranteed to make 30%.”
If I don’t understand the investment, I wouldn’t put my money there.
If I had to choose my first three financial moves
First: Build an emergency fund.
I’d start small. Even ₦5,000 matters. My target would gradually move from ₦50,000 to ₦100,000 and eventually several months of essential expenses.
Second: Increase my earning ability.
I’d identify one or two skills or business opportunities that could realistically increase my income. I wouldn’t try to chase every opportunity at once.
Third: Start investing small and learn continuously.
Even if I can only invest ₦2,000 or ₦5,000 initially, I’d start. Not because that amount will make me rich immediately, but because I’m building the habit and learning how financial markets work.
Over time, as my income increases, I can increase the amount I’m investing.
For me, the bigger goal would not be:
“How do I turn ₦10,000 into ₦20,000 quickly?”
It would be:
“How do I build a system that allows me to consistently save, increase my income, invest and acquire productive assets?”
Because ₦10,000 by itself won’t create financial independence.
But learning how to properly manage ₦10,000 can prepare you to properly manage ₦100,000, ₦1 million and eventually much more.
So if I were starting all over again with very little money and irregular income, I wouldn’t focus only on finding the perfect investment.
I’d focus on three things:
Protect what I have.
Increase what I can earn.
Invest what I can afford to leave untouched.
Then I’d repeat that process consistently for years.
That’s probably a slower approach than looking for quick profits, but I think it’s a much more realistic path toward genuine financial independence.
See lessShould I Buy, Hold, or Sell Nigerian Stocks as the 2027 Elections Approach?
Yes, I believe the approaching 2027 general elections can have both positive and negative effects on the Nigerian stock market, depending on the stage of the election cycle, investor sentiment, government policies and the performance of individual companies. Historically, investors can become more cRead more
Yes, I believe the approaching 2027 general elections can have both positive and negative effects on the Nigerian stock market, depending on the stage of the election cycle, investor sentiment, government policies and the performance of individual companies.
Historically, investors can become more cautious before elections because of uncertainty about government policies, the naira, inflation, interest rates and the direction of the economy. This can lead to some investors reducing their exposure to equities or moving money into safer assets. Recent reports also indicate that political uncertainty is already influencing some foreign portfolio flows.
For example, imagine I own ₦1 million worth of Nigerian bank stocks and I become worried that election uncertainty could cause volatility. I might decide to sell part of my holdings and keep more money in cash or fixed-income investments. If many investors do the same thing, selling pressure can push stock prices lower.
But the opposite can also happen.
If the election process is considered credible and investors become confident about the economic policies of the incoming government, money can return to the market. Companies that benefit from government spending, infrastructure, consumer activity or economic growth could also perform well.
For an investor, I think the most important thing is not to try to predict the election result or trade every political headline.
Instead, I would learn to monitor:
1. Company fundamentals
Look at revenue, profit, debt, cash flow, dividends and earnings growth.
2. Valuation
A good company can still be a bad investment if you buy it at an unreasonable price.
3. Interest rates and inflation
These affect both companies and the attractiveness of alternative investments.
4. The naira and foreign exchange market
Currency movements can significantly affect companies that depend on imports or foreign currency.
5. Election-related policy changes
Pay attention to government budgets, taxes, subsidies, regulations and spending plans.
6. Market diversification
I wouldn’t put all my money into one sector or one company simply because I expect it to benefit from the election.
For example, instead of putting ₦500,000 into one stock because I believe it will benefit from election spending, I could spread the money across several quality companies and keep part of the portfolio in lower-risk assets.
What I would avoid
I would avoid buying a stock simply because someone says:
“This company will benefit when the election comes.”
I would also avoid panic-selling every time there is negative political news.
Most importantly, I would avoid using borrowed money to speculate on election-related market movements. Elections can produce very unpredictable price movements.
For me, the best approach would be:
Study the company
understand the political and economic environment
diversify
invest gradually
keep some liquidity
avoid emotional decisions.
The election itself is not necessarily the biggest risk. The bigger risk is making an investment decision based on an assumption about what will happen politically without considering the underlying business.
In fact, periods of uncertainty can sometimes create opportunities because good companies may temporarily become cheaper. The key is being able to distinguish between a temporary fall caused by sentiment and a permanent deterioration in the company’s fundamentals.
So I would prepare for volatility, but I wouldn’t automatically stay out of the NGX simply because an election is approaching.
See lessWhat Does It Mean When a Share Price Remains Static on the Nigerian Stock Market?
A static share price does not necessarily mean that the company is doing badly, and it also doesn't automatically mean that it is a good time to buy. When a share price stays around the same level for a long period, it usually means there is a balance between buyers and sellers. Buyers are not williRead more
A static share price does not necessarily mean that the company is doing badly, and it also doesn’t automatically mean that it is a good time to buy.
When a share price stays around the same level for a long period, it usually means there is a balance between buyers and sellers. Buyers are not willing to push the price much higher, while sellers are also not willing to accept much lower prices.
For example, imagine a company is trading around ₦100 for several weeks:
– Buyers are mostly willing to buy around ₦98–₦100.
– Sellers are mostly willing to sell around ₦100–₦102.
– Neither side is strong enough to move the price significantly.
For a new investor, this can actually be an interesting period to study the company, but I wouldn’t buy simply because the price is static.
I would first ask:
Why is the price static?
If the company’s profits, revenue, cash flow and dividends are growing while the share price remains around the same level, the stock could potentially become more attractive because the underlying business is improving without the price following it.
For example, if Company A was ₦100 last year and remains ₦100 today, but its earnings have increased significantly, the stock may be cheaper relative to its earnings than it was a year ago.
On the other hand, if the price is static because there is very little trading activity or investors have lost interest in the company, that’s a different situation. Low liquidity can also make it difficult to buy or sell large quantities without affecting the price.
There’s also the issue of dividends. A stock doesn’t have to rise dramatically for an investor to make money. If you buy at ₦100 and the company pays ₦10 in dividends over the year while the share price remains around ₦100, you’ve still received a return from the investment, before considering taxes and fees.
So, regarding stocks like TotalEnergies, Dangote Cement, NCR and others, I wouldn’t use the fact that their prices are currently static as the reason to buy or wait.
I’d look at each company individually:
Business performance
Earnings
Valuation
Dividend Debt
Cash flow
Trading volume
Then share price.
In my opinion, a static price can sometimes be an opportunity, sometimes a warning, and sometimes simply a period where the market is waiting for new information.
The key question isn’t “Has the price moved?”
It’s “Has the value of the business changed while the price has remained the same?”
That’s what I would focus on before making a decision.
See lessHow do I know a company that’s about to be delisted on NGX?
You can know when an NGX-listed company is at risk of being delisted by paying attention to official NGX announcements and the company's regulatory filings. Some warning signs include prolonged suspension of trading, failure to meet NGX listing requirements, inability to file financial statements onRead more
You can know when an NGX-listed company is at risk of being delisted by paying attention to official NGX announcements and the company’s regulatory filings.
Some warning signs include prolonged suspension of trading, failure to meet NGX listing requirements, inability to file financial statements on time, insolvency or financial distress, and announcements about voluntary or compulsory delisting.
For example, if you own 10,000 shares of Company A and NGX announces that the company will be delisted, you should not wait until the final day. First, check the reason for the delisting and the terms of the process.
If it is a voluntary delisting, there may be an exit offer or other arrangement through which existing shareholders can sell their shares, depending on the terms approved by the regulators.
If it is a compulsory delisting, the situation can be more complicated. You may no longer be able to sell the shares normally through the NGX trading platform after the delisting takes effect. However, the shares don’t necessarily just disappear. Your rights as a shareholder depend on the reason for the delisting and the company’s restructuring or liquidation process.
For example, if someone bought 10,000 shares at ₦20, that is ₦200,000 invested. If the company is later delisted because of serious financial problems, the shareholder could potentially suffer a significant loss. In a liquidation, shareholders are generally among the last parties to receive anything after creditors and other obligations have been settled.
So, before buying a stock, I think it is important to monitor not only the share price but also the company’s financial statements, regulatory announcements and NGX notices.
And if a delisting announcement has already been made, the best thing is to contact the stockbroker holding the shares and ask specifically what options are available before the effective delisting date.
In simple terms:
Don’t wait until you want to sell before checking the company’s status. Monitor the company and NGX announcements regularly.
See lessWho Founded the Nigerian Stock Exchange That Later Became NGX Group?
The Nigerian Stock Exchange was not founded by just one person. It was established in 1960 as the Lagos Stock Exchange by seven original subscribers, including Chief Akintola Williams, Theophilus Doherty, Odumegwu Ojukwu, Shehu Bukar, C.T. Bowring, John Holt Nigeria Ltd., and Investment Company of NRead more
The Nigerian Stock Exchange was not founded by just one person. It was established in 1960 as the Lagos Stock Exchange by seven original subscribers, including Chief Akintola Williams, Theophilus Doherty, Odumegwu Ojukwu, Shehu Bukar, C.T. Bowring, John Holt Nigeria Ltd., and Investment Company of Nigeria Ltd. (ICON).
However, Chief Akintola Williams is particularly recognised as one of the founding fathers of the Nigerian Stock Exchange because of his major role in establishing the market.
The exchange was later renamed the Nigerian Stock Exchange in 1977. In 2021, it was demutualised and reorganised, leading to the creation of Nigerian Exchange Group Plc (NGX Group), while Nigerian Exchange Limited became the operating exchange.
See lessWhat Is Causing the Continuous Decline in Nigerian Stocks and the NGX?
In my view, the continuous decline in Nigerian stocks at the moment appears to be driven by a combination of profit-taking, market correction after the strong rally earlier in the year, valuation concerns, and general investor uncertainty. Many investors who bought at lower prices may be taking profRead more
In my view, the continuous decline in Nigerian stocks at the moment appears to be driven by a combination of profit-taking, market correction after the strong rally earlier in the year, valuation concerns, and general investor uncertainty.
Many investors who bought at lower prices may be taking profits, while others are becoming more cautious about stocks that have experienced significant price increases. There are also broader factors such as interest-rate expectations, economic conditions, election-related uncertainty, and investors repositioning their portfolios for other opportunities.
However, I don’t think a falling NGX automatically means that the underlying companies are becoming weaker. I believe investors should look at individual companies rather than the index alone.
For example, if a company’s share price falls by 15% but its earnings, cash flow, balance sheet and long-term business outlook remain strong, the decline could potentially create an attractive entry point. On the other hand, if the company’s fundamentals are deteriorating along with the share price, the decline may be justified.
So, rather than simply asking why the NGX is falling, I think the more important question is: which stocks are declining because of temporary market sentiment, and which ones are declining because their underlying fundamentals have weakened?
That distinction, in my opinion, is what investors should focus on during a market correction.
See lessHow Can I Read and Understand a Stock Order Book Before Buying Shares on the NGX?
Yes, you can understand a stock order book by looking at the buyers and sellers around the current market price. For example, if a stock is trading around ₦10: Buyers (Bids) ₦9.90 → 5,000 shares ₦9.80 → 8,000 shares ₦9.70 → 15,000 shares Sellers (Offers/Asks) ₦10.00 → 2,000 shares ₦10.10 → 4,000 shaRead more
Yes, you can understand a stock order book by looking at the buyers and sellers around the current market price.
For example, if a stock is trading around ₦10:
Buyers (Bids)
₦9.90 → 5,000 shares
₦9.80 → 8,000 shares
₦9.70 → 15,000 shares
Sellers (Offers/Asks)
₦10.00 → 2,000 shares
₦10.10 → 4,000 shares
₦10.20 → 7,000 shares
The left side shows what buyers are willing to pay, while the right side shows what sellers are willing to accept.
So, if I want to buy 1,000 shares, the lowest available selling price is ₦10.00. If there are only 500 shares available at ₦10.00, the remaining 500 may have to be bought at the next available price, depending on the order type.
I would also look at the spread, the quantity of shares waiting to be bought or sold, and the actual trades taking place. A large number of shares on the buy side can show buying interest, while a large number on the sell side can indicate selling pressure. But I wouldn’t use the order book alone to decide whether to buy.
For a proper investment decision, I would combine the order book with the company’s financial performance, valuation, dividend history, debt, profitability, trading volume and overall price trend.
In simple terms, the order book helps answer:
Who wants to buy?
Who wants to sell?
At what price?
And how many shares are available?
But it should be used as part of the analysis, not as the only reason to buy a stock.
One important warning
See lessDon’t treat a large buy wall or sell wall as a guaranteed signal.
For example:
BUY: 500,000 shares at ₦10
looks very bullish.
But that order can disappear.
Someone may have placed it and cancelled it later. So an order book is best used as one piece of information, not as the reason to buy a company.
For long-term investing on the NGX, I’d put fundamentals and valuation ahead of the order book. The order book is more useful for deciding how and when to enter than for deciding whether the company is worth owning.
How Can You Build Wealth for Yourself and Your Children in Nigeria?
Building wealth for yourself and your children is not about finding one investment that will make you rich quickly. It is about building a system where money is earned, saved, invested, protected, and passed on. For example, imagine someone earns ₦300,000 every month. Instead of spending the whole ₦Read more
Building wealth for yourself and your children is not about finding one investment that will make you rich quickly. It is about building a system where money is earned, saved, invested, protected, and passed on.
For example, imagine someone earns ₦300,000 every month.
Instead of spending the whole ₦300,000, they could create a simple plan:
– ₦180,000 for living expenses
– ₦30,000 for emergency savings
– ₦50,000 for investments
– ₦20,000 for improving their skills or business
– ₦20,000 for their children’s future
The exact amounts can change depending on income and responsibilities. The important thing is to make investing a regular habit.
Where can the investment money go?
1. Treasury Bills and government securities
These can be useful for the safer part of a portfolio. They are generally more suitable when the priority is capital preservation rather than very high growth.
2. Money Market Funds
A regulated money market fund can be useful for money that should remain relatively accessible while earning returns. Before investing, check that the fund manager is properly regulated and understand the fees and withdrawal terms.
3. Mutual funds or diversified equity funds
For money that can remain invested for several years, a diversified fund can provide exposure to businesses and the wider economy. The value can fall as well as rise, so this is not the place for money needed next month.
4. Property or land
As income grows, part of the long-term wealth plan can go toward property or land in locations with genuine demand. However, proper title and legal due diligence are extremely important.
5. A profitable business
Sometimes the best investment is increasing your ability to earn. For example, ₦200,000 used to buy equipment, learn a valuable skill, or expand a small profitable business may generate more income than simply leaving the money in a savings account.
Example for a child
Suppose a parent invests ₦20,000 every month for a child from age 5 until age 18.
That is:
₦20,000 × 12 × 13 = ₦3,120,000
That is the parent’s total contribution alone, before considering any investment returns.
If the money is invested and earns returns over those years, the final amount could be higher. The actual result will depend on the investment and its performance, and returns are never guaranteed.
The same principle can be used for several children.
A simple family wealth structure
Think of it as five boxes:
BOX 1: Emergency fund
Money for unexpected problems.
BOX 2: Safe investments
Treasury Bills, money market funds and similar lower-risk options.
BOX 3: Growth investments
Diversified equity funds or other suitable long-term investments.
BOX 4: Income-producing assets
Business, property or other assets that can generate income.
BOX 5: Children’s future
A separate investment account or portfolio specifically for education and long-term needs.
And one more thing is important: don’t put all the family’s money into one investment.
If someone promises to double your money quickly with “no risk”, be very careful. Wealth is usually built rather quietly: consistent saving, sensible investing, increasing income, owning assets, and giving those assets enough time to grow.
The real goal is not just to leave children money.
The goal is to leave them assets, financial knowledge, opportunities, and a system that allows the wealth to continue growing after you are gone.
See less