Earning ₦20,000 per month as a university student means your greatest advantage is time, not the amount you can invest. Even if you invest only ₦2,000–₦5,000 every month, starting early can help you build wealth over many years. Step 1: Decide how much to invest A practical approach is: ₦20,000 montRead more
Earning ₦20,000 per month as a university student means your greatest advantage is time, not the amount you can invest. Even if you invest only ₦2,000–₦5,000 every month, starting early can help you build wealth over many years.
Step 1: Decide how much to invest
A practical approach is:
₦20,000 monthly income
₦2,000–₦4,000: Invest in stocks.
₦2,000–₦4,000: Save for emergencies or business opportunities.
Use the rest for your living expenses.
Step 2: Focus on quality companies
Rather than buying many stocks, build a portfolio of a few strong businesses.
Consider companies such as:
GTCO Plc – Strong profitability and a history of paying dividends.
Zenith Bank Plc – One of Nigeria’s leading banks with consistent earnings.
Access Holdings Plc – A large financial group with long-term growth potential.
MTN Nigeria Communications Plc – Benefits from growing demand for telecom and data services.
BUA Foods Plc – Operates in an essential consumer sector.
Fidelity Bank Plc – Often attracts investors looking for both growth and dividends.
Step 3: Invest regularly
Instead of trying to predict the perfect time to buy, invest a fixed amount every month. This strategy, known as naira-cost averaging, reduces the impact of market fluctuations.
Step 4: Continue building your income
At your current income level, increasing your earnings will usually have a bigger impact on your wealth than trying to find the “perfect” stock.
For example, you could:
Learn a high-income digital skill.
Start a small online business.
Offer freelance services.
Build another side hustle alongside your investments.
As your income grows, increase the amount you invest each month.
Example portfolio
If you invest ₦4,000 each month:
40% in GTCO
30% in MTN Nigeria
30% in BUA Foods
As your monthly investment increases, you can add other quality companies or an equity mutual fund for greater diversification.
A few tips
Think in terms of 10–20 years, not a few months.
Reinvest any dividends you receive.
Avoid buying shares based solely on rumours or social media tips.
Continue learning how to read company financial statements and annual reports.
Starting with ₦20,000 a month won’t make you wealthy overnight, but combining consistent investing with steadily increasing your income can put you in a much stronger financial position over time.
What is "Jones"? When people say "Jones", they are usually referring to the Dow Jones Industrial Average (DJIA). The Dow Jones is not a company. It is a stock market index that tracks the performance of 30 large, well-known companies in the United States, such as: Apple Inc. Microsoft Corporation ThRead more
What is “Jones”?
When people say “Jones”, they are usually referring to the Dow Jones Industrial Average (DJIA).
The Dow Jones is not a company. It is a stock market index that tracks the performance of 30 large, well-known companies in the United States, such as:
Apple Inc.
Microsoft Corporation
The Coca-Cola Company
JPMorgan Chase & Co.
Think of it as a scoreboard showing how some of America’s largest companies are performing.
Similarly, Nigeria has the NGX All-Share Index (NGX ASI), which measures the overall performance of the Nigerian stock market.
This is a very important concept to understand if you want to become a successful long-term investor. What is a Blue-Chip Company? A blue-chip company is a large, financially strong, well-established company with a long history of profitability, good corporate governance, and consistent performance.Read more
This is a very important concept to understand if you want to become a successful long-term investor.
What is a Blue-Chip Company?
A blue-chip company is a large, financially strong, well-established company with a long history of profitability, good corporate governance, and consistent performance. These companies are often leaders in their industries and are more likely to pay regular dividends.
The term “blue chip” comes from poker, where blue chips traditionally have the highest value.
Examples of blue-chip companies in Nigeria
Some companies commonly regarded as blue-chip stocks on the Nigerian Exchange (NGX) include:
Dangote Cement Plc
MTN Nigeria Communications Plc
GTCO Plc
Zenith Bank Plc
Access Holdings Plc
BUA Foods Plc
Nestlé Nigeria Plc
Seplat Energy Plc
These companies are popular with long-term investors because they often combine capital appreciation with dividend payments.
What is “Jones”?
When people say “Jones”, they are usually referring to the Dow Jones Industrial Average (DJIA).
The Dow Jones is not a company. It is a stock market index that tracks the performance of 30 large, well-known companies in the United States, such as:
Apple Inc.
Microsoft Corporation
The Coca-Cola Company
JPMorgan Chase & Co.
Think of it as a scoreboard showing how some of America’s largest companies are performing.
Similarly, Nigeria has the NGX All-Share Index (NGX ASI), which measures the overall performance of the Nigerian stock market.
Are there other types of companies in the stock market?
Yes. Investors often classify companies by size, growth, and dividend characteristics.
Type
Description
Example characteristics
Blue-chip
Large, stable, established companies
Reliable dividends, lower risk
Growth
Companies expected to grow earnings rapidly
May pay little or no dividend
Dividend
Companies known for paying regular dividends
Attractive for income investors
Value
Companies whose shares appear undervalued
Potential for price appreciation
Small-cap
Smaller companies
Higher growth potential but higher risk
Mid-cap
Medium-sized companies
Balance between growth and stability
Large-cap
Very large companies
More stable, often include blue chips
Cyclical
Performance depends on the economy
Construction, automobiles, airlines
Defensive
Demand remains relatively stable during economic downturns
Consumer staples, healthcare, utilities
Which type should you buy?
For someone building wealth over many years—especially if you’re investing for your children or retirement—a portfolio centred on blue-chip companies, supplemented by equity mutual funds and some fixed-income investments, is often a sensible approach. It offers a balance between long-term growth and stability.
It sounds like you're trying to write a formal complaint or request. Here's a polished version you can send to the relevant organization (for example, the NGX investor protection unit, SEC when appropriate, or another authority): Subject: Request for Assistance on Dematerialization of Share CertificRead more
It sounds like you’re trying to write a formal complaint or request. Here’s a polished version you can send to the relevant organization (for example, the NGX investor protection unit, SEC when appropriate, or another authority):
Subject: Request for Assistance on Dematerialization of Share Certificates
Dear Sir/Madam,
Subject: Request for Assistance on Dematerialization of Share Certificates
Dear Sir/Madam,
I respectfully request your assistance regarding the dematerialization of my physical share certificates for Zenith Bank Plc and Access Holdings Plc into my CSCS account.
I submitted all the required documents to my stockbroker, Chapel Hill Denham, in October last year for the processing of the dematerialization. Unfortunately, despite the time that has elapsed, the process has not been completed, and I have not received any satisfactory explanation for the delay.
I would be grateful if your organization could intervene by liaising with my stockbroker to facilitate the processing of my application or advise me on the appropriate steps to resolve this matter.
I am willing to provide copies of the submitted documents and any additional information required to assist with the investigation.
Thank you for your attention to this matter. I look forward to your prompt response and assistance.
Yours faithfully,
[Your Full Name]
[Your Phone Number]
[Your Email Address]
[CSCS Account Number, if applicable]
Before sending it, make sure you’re addressing the correct organization. If you’re referring to the Nigerian Exchange (NGX), SEC Nigeria, or another regulator, I can also help you identify the most appropriate body to escalate the complaint to if Chapel Hill Denham continues to delay the process.
The error "Unable to fetch security details" on the InvestNaija app is usually caused by one of these issues: A temporary server problem on InvestNaija's end. An expired or corrupted security certificate/token in the app. An outdated version of the app. A network issue, even if your internet appearsRead more
The error “Unable to fetch security details” on the InvestNaija app is usually caused by one of these issues:
A temporary server problem on InvestNaija’s end.
An expired or corrupted security certificate/token in the app.
An outdated version of the app.
A network issue, even if your internet appears to be working.
Scheduled maintenance by the platform.
Here are some steps you can try:
Force close the app and open it again.
Switch between mobile data and Wi-Fi.
Restart your phone.
Check the Google Play Store to see if an update is available for the InvestNaija app.
Clear the app’s cache (Settings → Apps → InvestNaija → Storage → Clear Cache). Avoid clearing data unless you know your login details.
If the issue persists, uninstall and reinstall the app.
If none of these work, it’s likely to be a problem on InvestNaija’s servers. In that case:
Wait for 30–60 minutes and try again.
Log in through the InvestNaija web portal if you need urgent access.
Contact InvestNaija customer support and include a screenshot of the error message.
Investing for your children is one of the best long-term financial decisions you can make. If your investment horizon is 10–20 years or more, an equity fund is generally an appropriate choice because it has more time to recover from short-term market fluctuations and potentially generate higher longRead more
Investing for your children is one of the best long-term financial decisions you can make. If your investment horizon is 10–20 years or more, an equity fund is generally an appropriate choice because it has more time to recover from short-term market fluctuations and potentially generate higher long-term returns.
Is the GTBank Equity Fund suitable?
Yes, if your children are still young (for example, under 10–12 years old), a GTBank Equity Fund can be a good option for long-term wealth creation. Keep in mind that equity funds can rise and fall in value from year to year, but historically they have tended to outperform lower-risk investments over long periods.
A simple portfolio by your child’s age
0–10 years: 80–100% in an Equity Fund.
11–15 years: Around 60–80% in an Equity Fund, with the rest in a Money Market or Fixed Income Fund.
16–18 years: Gradually reduce exposure to the Equity Fund and increase Money Market or Fixed Income investments to protect the money before it is needed.
This gradual shift helps reduce the risk of a market downturn just before you need the funds for education.
How to invest for your children
Typically, the process involves:
Visit a GTBank branch or the GTBank Asset Management office.
Request the Investment/Mutual Fund application form. GTBank also provides investment-related forms through its forms portal. GTBank forms page
Complete the forms with:
Your details (as the parent or guardian).
Your child’s details.
Provide the required documents, which commonly include:
Your valid means of identification.
Your child’s birth certificate.
Passport photographs (if requested).
BVN and proof of address where applicable.
Fund the investment and, if possible, set up a standing instruction or automatic monthly contribution.
My recommendation
If your goal is to build an education fund:
Invest monthly, rather than waiting until you have a large lump sum.
Leave the money invested and avoid withdrawing during temporary market declines.
Increase your monthly contribution whenever your income increases.
Review the portfolio every year and begin moving part of it into lower-risk investments about 3–5 years before your child is expected to need the money.
Given the current state of Sierra Leone's financial market, I would suggest starting with investments that are already well-established and regulated rather than waiting for mutual funds to become widely available. Here's how I would rank the options for a beginner: 1. Treasury Bills (Best Place toRead more
Given the current state of Sierra Leone’s financial market, I would suggest starting with investments that are already well-established and regulated rather than waiting for mutual funds to become widely available.
Here’s how I would rank the options for a beginner:
1. Treasury Bills (Best Place to Start) ⭐⭐⭐⭐⭐
Treasury Bills are issued by the Bank of Sierra Leone and are generally considered the safest investment in the country because they are backed by the government.
Advantages:
Very low risk.
Higher returns than leaving money in a savings account.
Suitable for beginners.
Easy to understand.
If you’re investing for the first time, this is where I would begin.
2. Fixed Deposits ⭐⭐⭐⭐☆
A fixed deposit with a reputable commercial bank is another good option.
Advantages:
Guaranteed return.
Very simple.
Good for money you’ll not need for several months.
The downside is that returns may not always keep up with inflation, and your money is locked in until maturity.
3. Mutual Funds (When Available) ⭐⭐⭐⭐⭐
Once Sierra Leone has a fully operational securities regulator and licensed fund managers, mutual funds can become one of the best long-term investments because they:
Provide professional management.
Spread your money across many investments.
Reduce risk through diversification.
Since the market is still developing, there may be very few regulated mutual fund products available today.
Suggested Beginner Allocation
If you have:
Le 10,000 to invest:
70% Treasury Bills
30% Fixed Deposit
Le 50,000 or more:
60% Treasury Bills
20% Fixed Deposit
Keep 20% as cash for emergencies or future investment opportunities.
What if you want higher returns?
As Sierra Leone’s capital market develops, consider adding:
Government bonds (longer-term than Treasury Bills)
Mutual funds
Listed shares if and when the stock market expands.
Avoid high-return schemes that promise to double your money quickly—they are often scams.
Since there are few investment apps…
You can usually invest by:
Visiting the Bank of Sierra Leone or participating commercial banks for Treasury Bills.
Opening a Fixed Deposit with a licensed commercial bank.
Monitoring announcements from the central bank and the Ministry of Finance about government securities.
A simple plan for a beginner
Build an emergency fund covering 3–6 months of essential expenses.
Start buying Treasury Bills regularly (monthly or quarterly if possible).
Add Fixed Deposits for money you won’t need in the near term.
Follow developments in Sierra Leone’s financial markets. Once licensed mutual funds become available under a functioning securities regulator, consider investing part of your portfolio in them for long-term growth.
This approach emphasizes capital preservation while helping you gain investing experience. As the investment ecosystem in Sierra Leone matures, you can gradually diversify into mutual funds, government bonds, and equities.
If you are referring to the InvestNaija Paramount Equity Fund, the answer depends on whether the platform supports partial redemption. In most equity mutual funds, your profit is not kept separate from your capital. Instead, your investment is represented by units. As the unit price (NAV) increases,Read more
If you are referring to the InvestNaija Paramount Equity Fund, the answer depends on whether the platform supports partial redemption.
In most equity mutual funds, your profit is not kept separate from your capital. Instead, your investment is represented by units. As the unit price (NAV) increases, the value of all your units increases. When you redeem, you sell some of those units, either partially or completely.
For example:
You invested ₦100,000.
The fund has grown to ₦125,000.
Your profit is ₦25,000.
You cannot technically withdraw “only the profit.” Instead, you would request a partial redemption of ₦25,000 worth of units. After redemption, the remaining value of your investment will be about ₦100,000, although the exact capital represented by the remaining units depends on the fund’s current unit price.
If the InvestNaija app allows partial redemption:
Open the Paramount Equity Fund.
Tap Redeem or Withdraw.
Choose Partial Redemption.
Enter the amount you want to redeem (for
A Bond Fund in Nigeria is a type of mutual fund that pools money from many investors and invests primarily in bonds rather than individual stocks. The fund is managed by professional fund managers, who decide which bonds to buy and sell. The bonds held by a Nigerian bond fund may include: Federal GoRead more
A Bond Fund in Nigeria is a type of mutual fund that pools money from many investors and invests primarily in bonds rather than individual stocks. The fund is managed by professional fund managers, who decide which bonds to buy and sell.
The bonds held by a Nigerian bond fund may include:
Federal Government of Nigeria (FGN) Bonds
State government bonds
Corporate bonds issued by companies
Occasionally, other fixed-income securities
How a Bond Fund Works
Imagine 1,000 investors each contribute money to a bond fund.
For example:
You invest ₦100,000.
Another investor contributes ₦500,000.
Others invest different amounts.
The fund manager combines all these contributions into one large investment pool and purchases a diversified portfolio of bonds.
Instead of owning one bond directly, you own units of the fund, and each unit represents a proportional share of all the bonds the fund holds.
How You Earn Money
You can earn returns from a bond fund in two main ways:
1. Interest Income
The bonds in the fund pay interest (coupon payments). The fund collects this income and may:
distribute it to investors as periodic income, or
reinvest it, depending on the fund’s policy.
2. Capital Appreciation
If market interest rates fall, the market value of many existing bonds rises. This can increase the fund’s Net Asset Value (NAV), meaning your investment may become more valuable.
Likewise, if interest rates rise, the value of existing bonds often falls, and the fund’s NAV may decline.
Example
Suppose you invest ₦1,000,000 in a bond fund.
Over one year:
The bonds earn interest.
The fund manager deducts management fees.
If the fund earns a net return of 15%, your investment grows to about ₦1,150,000.
If the fund instead returns 10%, your investment would be about ₦1,100,000.
Returns are not guaranteed and depend on market conditions and the bonds held.
Bond Fund vs Buying an FGN Bond Yourself
Bond Fund
Individual FGN Bond
Invests in many bonds
You own a specific bond
Professionally managed
You manage your own investment
Diversified portfolio
Less diversified unless you buy multiple bonds
Unit price changes daily
Bond price changes, but maturity value is fixed if held to maturity
No fixed maturity date
Has a specific maturity date
Advantages
Professional management.
Diversification across many bonds.
Lower minimum investment than buying many bonds individually.
Generally lower risk than equity funds.
Can provide regular income and capital preservation over the medium to long term.
Risks
Returns are not guaranteed.
Rising interest rates can reduce the fund’s value.
Management fees reduce returns.
Corporate bonds carry some credit risk, although government bonds generally have lower default risk.
Is a Bond Fund Better Than a Money Market Mutual Fund?
Not necessarily—they serve different purposes.
Feature
Bond Fund
Money Market Mutual Fund
Risk
Moderate
Low
Return potential
Usually higher over longer periods
Usually lower but more stable
Price fluctuations
Yes
Usually minimal
Best for
Medium- to long-term investing
Short-term savings and liquidity
For an investment horizon of 5 years or more, a bond fund may offer higher long-term return potential than a money market fund, though with greater short-term fluctuations.
Since we’ve discussed your long-term wealth goals before, one approach could be to use:
20% in a Money Market Mutual Fund for liquidity,
20–30% in a Bond Fund for medium-term stability,
and the remainder in dividend stocks and equity funds for long-term growth.
This combines stability with higher growth potential while keeping overall risk more balanced.
What you observed is a real market phenomenon, and your explanation to him was on the right track. Let's use BUA Cement as the example. What happened? When your friend placed a sell order, he was saying: "I want to sell my shares." For the trade to happen, someone else must be willing to buy those sRead more
What you observed is a real market phenomenon, and your explanation to him was on the right track.
Let’s use BUA Cement as the example.
What happened?
When your friend placed a sell order, he was saying:
“I want to sell my shares.”
For the trade to happen, someone else must be willing to buy those shares.
If the order book shows only offers (sell orders) and no bids (buy orders), it means:
Many investors want to sell.
No buyers are currently willing to buy at the available prices.
Without a matching buyer, the order remains “Executing” or “Open” until:
a buyer enters the market,
the seller changes the asking price, or
the order expires or is cancelled.
Why would there be no bids?
Several reasons can lead to this:
1. Investors think the price is too high. If sellers are asking ₦100 per share but buyers only want to pay ₦90, no trade occurs.
2. Weak market sentiment. Investors may be waiting for earnings, dividend announcements, or broader market news before buying.
3. Low liquidity. Some stocks don’t trade frequently. Even large companies can occasionally experience periods with few or no active buyers.
4. One-sided order book. Sometimes many shareholders decide to sell at the same time, but buyers are waiting at lower prices rather than bidding at current levels.
Why didn’t cancelling and placing the order again help?
Because the problem wasn’t his order—it was the market.
Imagine selling a car:
If you advertise it at ₦5 million and nobody wants to pay that amount, removing the advert and posting it again at the same price won’t attract buyers.
Either a buyer appears or you reduce your asking price.
The stock market works similarly.
What if he reduced his price?
Suppose the order book looked like this:
Offers (Sellers):
₦100.00 – 500,000 shares
Bids (Buyers):
₦97.00 – 300,000 shares
If he insists on selling at ₦100, he may wait.
If he is willing to sell at ₦97, his shares could be matched immediately (assuming the exchange’s order-matching rules and available bid volume).
Does this mean BUA Cement is a scam?
No.
It simply means that, at that moment, demand was lower than supply at the quoted prices.
This happens on stock exchanges worldwide, including the Nigerian market.
A lesson for investors
Before placing an order, it’s useful to check:
the order book,
bid volume,
offer volume,
recent trades.
This helps you see whether there are active buyers and sellers and at what prices.
Since you’ve been investing in Nigerian stocks for some time, I can also explain why some NGX stocks (including BUA Cement on certain days) can appear to have “only sellers and no buyers” even though the company itself is fundamentally strong. That involves market makers, price limits, investor psychology, and liquidity, and it often surprises even experienced investors.
Which Nigerian Stocks Are Best for a University Student Earning ₦20,000 Monthly?
Earning ₦20,000 per month as a university student means your greatest advantage is time, not the amount you can invest. Even if you invest only ₦2,000–₦5,000 every month, starting early can help you build wealth over many years. Step 1: Decide how much to invest A practical approach is: ₦20,000 montRead more
Earning ₦20,000 per month as a university student means your greatest advantage is time, not the amount you can invest. Even if you invest only ₦2,000–₦5,000 every month, starting early can help you build wealth over many years.
See lessStep 1: Decide how much to invest
A practical approach is:
₦20,000 monthly income
₦2,000–₦4,000: Invest in stocks.
₦2,000–₦4,000: Save for emergencies or business opportunities.
Use the rest for your living expenses.
Step 2: Focus on quality companies
Rather than buying many stocks, build a portfolio of a few strong businesses.
Consider companies such as:
GTCO Plc – Strong profitability and a history of paying dividends.
Zenith Bank Plc – One of Nigeria’s leading banks with consistent earnings.
Access Holdings Plc – A large financial group with long-term growth potential.
MTN Nigeria Communications Plc – Benefits from growing demand for telecom and data services.
BUA Foods Plc – Operates in an essential consumer sector.
Fidelity Bank Plc – Often attracts investors looking for both growth and dividends.
Step 3: Invest regularly
Instead of trying to predict the perfect time to buy, invest a fixed amount every month. This strategy, known as naira-cost averaging, reduces the impact of market fluctuations.
Step 4: Continue building your income
At your current income level, increasing your earnings will usually have a bigger impact on your wealth than trying to find the “perfect” stock.
For example, you could:
Learn a high-income digital skill.
Start a small online business.
Offer freelance services.
Build another side hustle alongside your investments.
As your income grows, increase the amount you invest each month.
Example portfolio
If you invest ₦4,000 each month:
40% in GTCO
30% in MTN Nigeria
30% in BUA Foods
As your monthly investment increases, you can add other quality companies or an equity mutual fund for greater diversification.
A few tips
Think in terms of 10–20 years, not a few months.
Reinvest any dividends you receive.
Avoid buying shares based solely on rumours or social media tips.
Continue learning how to read company financial statements and annual reports.
Starting with ₦20,000 a month won’t make you wealthy overnight, but combining consistent investing with steadily increasing your income can put you in a much stronger financial position over time.
What Is a Blue-Chip Company in the Nigerian Stock Market?
What is "Jones"? When people say "Jones", they are usually referring to the Dow Jones Industrial Average (DJIA). The Dow Jones is not a company. It is a stock market index that tracks the performance of 30 large, well-known companies in the United States, such as: Apple Inc. Microsoft Corporation ThRead more
What is “Jones”?
See lessWhen people say “Jones”, they are usually referring to the Dow Jones Industrial Average (DJIA).
The Dow Jones is not a company. It is a stock market index that tracks the performance of 30 large, well-known companies in the United States, such as:
Apple Inc.
Microsoft Corporation
The Coca-Cola Company
JPMorgan Chase & Co.
Think of it as a scoreboard showing how some of America’s largest companies are performing.
Similarly, Nigeria has the NGX All-Share Index (NGX ASI), which measures the overall performance of the Nigerian stock market.
What Is a Blue-Chip Company in the Nigerian Stock Market?
This is a very important concept to understand if you want to become a successful long-term investor. What is a Blue-Chip Company? A blue-chip company is a large, financially strong, well-established company with a long history of profitability, good corporate governance, and consistent performance.Read more
This is a very important concept to understand if you want to become a successful long-term investor.
See lessWhat is a Blue-Chip Company?
A blue-chip company is a large, financially strong, well-established company with a long history of profitability, good corporate governance, and consistent performance. These companies are often leaders in their industries and are more likely to pay regular dividends.
The term “blue chip” comes from poker, where blue chips traditionally have the highest value.
Examples of blue-chip companies in Nigeria
Some companies commonly regarded as blue-chip stocks on the Nigerian Exchange (NGX) include:
Dangote Cement Plc
MTN Nigeria Communications Plc
GTCO Plc
Zenith Bank Plc
Access Holdings Plc
BUA Foods Plc
Nestlé Nigeria Plc
Seplat Energy Plc
These companies are popular with long-term investors because they often combine capital appreciation with dividend payments.
What is “Jones”?
When people say “Jones”, they are usually referring to the Dow Jones Industrial Average (DJIA).
The Dow Jones is not a company. It is a stock market index that tracks the performance of 30 large, well-known companies in the United States, such as:
Apple Inc.
Microsoft Corporation
The Coca-Cola Company
JPMorgan Chase & Co.
Think of it as a scoreboard showing how some of America’s largest companies are performing.
Similarly, Nigeria has the NGX All-Share Index (NGX ASI), which measures the overall performance of the Nigerian stock market.
Are there other types of companies in the stock market?
Yes. Investors often classify companies by size, growth, and dividend characteristics.
Type
Description
Example characteristics
Blue-chip
Large, stable, established companies
Reliable dividends, lower risk
Growth
Companies expected to grow earnings rapidly
May pay little or no dividend
Dividend
Companies known for paying regular dividends
Attractive for income investors
Value
Companies whose shares appear undervalued
Potential for price appreciation
Small-cap
Smaller companies
Higher growth potential but higher risk
Mid-cap
Medium-sized companies
Balance between growth and stability
Large-cap
Very large companies
More stable, often include blue chips
Cyclical
Performance depends on the economy
Construction, automobiles, airlines
Defensive
Demand remains relatively stable during economic downturns
Consumer staples, healthcare, utilities
Which type should you buy?
For someone building wealth over many years—especially if you’re investing for your children or retirement—a portfolio centred on blue-chip companies, supplemented by equity mutual funds and some fixed-income investments, is often a sensible approach. It offers a balance between long-term growth and stability.
How Can I Resolve Delays in Dematerializing My Zenith Bank and Access Holdings Share Certificates in Nigeria?
It sounds like you're trying to write a formal complaint or request. Here's a polished version you can send to the relevant organization (for example, the NGX investor protection unit, SEC when appropriate, or another authority): Subject: Request for Assistance on Dematerialization of Share CertificRead more
It sounds like you’re trying to write a formal complaint or request. Here’s a polished version you can send to the relevant organization (for example, the NGX investor protection unit, SEC when appropriate, or another authority):
Subject: Request for Assistance on Dematerialization of Share Certificates
Dear Sir/Madam,
Subject: Request for Assistance on Dematerialization of Share Certificates
Dear Sir/Madam,
I respectfully request your assistance regarding the dematerialization of my physical share certificates for Zenith Bank Plc and Access Holdings Plc into my CSCS account.
I submitted all the required documents to my stockbroker, Chapel Hill Denham, in October last year for the processing of the dematerialization. Unfortunately, despite the time that has elapsed, the process has not been completed, and I have not received any satisfactory explanation for the delay.
I would be grateful if your organization could intervene by liaising with my stockbroker to facilitate the processing of my application or advise me on the appropriate steps to resolve this matter.
I am willing to provide copies of the submitted documents and any additional information required to assist with the investigation.
Thank you for your attention to this matter. I look forward to your prompt response and assistance.
Yours faithfully,
[Your Full Name]
[Your Phone Number]
[Your Email Address]
[CSCS Account Number, if applicable]
Before sending it, make sure you’re addressing the correct organization. If you’re referring to the Nigerian Exchange (NGX), SEC Nigeria, or another regulator, I can also help you identify the most appropriate body to escalate the complaint to if Chapel Hill Denham continues to delay the process.
See lessWhy Is My InvestNaija App Showing "Unable to Fetch Security Details" in Nigeria?
The error "Unable to fetch security details" on the InvestNaija app is usually caused by one of these issues: A temporary server problem on InvestNaija's end. An expired or corrupted security certificate/token in the app. An outdated version of the app. A network issue, even if your internet appearsRead more
The error “Unable to fetch security details” on the InvestNaija app is usually caused by one of these issues:
See lessA temporary server problem on InvestNaija’s end.
An expired or corrupted security certificate/token in the app.
An outdated version of the app.
A network issue, even if your internet appears to be working.
Scheduled maintenance by the platform.
Here are some steps you can try:
Force close the app and open it again.
Switch between mobile data and Wi-Fi.
Restart your phone.
Check the Google Play Store to see if an update is available for the InvestNaija app.
Clear the app’s cache (Settings → Apps → InvestNaija → Storage → Clear Cache). Avoid clearing data unless you know your login details.
If the issue persists, uninstall and reinstall the app.
If none of these work, it’s likely to be a problem on InvestNaija’s servers. In that case:
Wait for 30–60 minutes and try again.
Log in through the InvestNaija web portal if you need urgent access.
Contact InvestNaija customer support and include a screenshot of the error message.
How Can I Invest for My Children Through GTCO Equity Funds in Nigeria?
Investing for your children is one of the best long-term financial decisions you can make. If your investment horizon is 10–20 years or more, an equity fund is generally an appropriate choice because it has more time to recover from short-term market fluctuations and potentially generate higher longRead more
Investing for your children is one of the best long-term financial decisions you can make. If your investment horizon is 10–20 years or more, an equity fund is generally an appropriate choice because it has more time to recover from short-term market fluctuations and potentially generate higher long-term returns.
See lessIs the GTBank Equity Fund suitable?
Yes, if your children are still young (for example, under 10–12 years old), a GTBank Equity Fund can be a good option for long-term wealth creation. Keep in mind that equity funds can rise and fall in value from year to year, but historically they have tended to outperform lower-risk investments over long periods.
A simple portfolio by your child’s age
0–10 years: 80–100% in an Equity Fund.
11–15 years: Around 60–80% in an Equity Fund, with the rest in a Money Market or Fixed Income Fund.
16–18 years: Gradually reduce exposure to the Equity Fund and increase Money Market or Fixed Income investments to protect the money before it is needed.
This gradual shift helps reduce the risk of a market downturn just before you need the funds for education.
How to invest for your children
Typically, the process involves:
Visit a GTBank branch or the GTBank Asset Management office.
Request the Investment/Mutual Fund application form. GTBank also provides investment-related forms through its forms portal. GTBank forms page
Complete the forms with:
Your details (as the parent or guardian).
Your child’s details.
Provide the required documents, which commonly include:
Your valid means of identification.
Your child’s birth certificate.
Passport photographs (if requested).
BVN and proof of address where applicable.
Fund the investment and, if possible, set up a standing instruction or automatic monthly contribution.
My recommendation
If your goal is to build an education fund:
Invest monthly, rather than waiting until you have a large lump sum.
Leave the money invested and avoid withdrawing during temporary market declines.
Increase your monthly contribution whenever your income increases.
Review the portfolio every year and begin moving part of it into lower-risk investments about 3–5 years before your child is expected to need the money.
Sierra Leonean wanting to invest in Mutual funds in Sierra Leone. What would you recommend?
Given the current state of Sierra Leone's financial market, I would suggest starting with investments that are already well-established and regulated rather than waiting for mutual funds to become widely available. Here's how I would rank the options for a beginner: 1. Treasury Bills (Best Place toRead more
Given the current state of Sierra Leone’s financial market, I would suggest starting with investments that are already well-established and regulated rather than waiting for mutual funds to become widely available.
See lessHere’s how I would rank the options for a beginner:
1. Treasury Bills (Best Place to Start) ⭐⭐⭐⭐⭐
Treasury Bills are issued by the Bank of Sierra Leone and are generally considered the safest investment in the country because they are backed by the government.
Advantages:
Very low risk.
Higher returns than leaving money in a savings account.
Suitable for beginners.
Easy to understand.
If you’re investing for the first time, this is where I would begin.
2. Fixed Deposits ⭐⭐⭐⭐☆
A fixed deposit with a reputable commercial bank is another good option.
Advantages:
Guaranteed return.
Very simple.
Good for money you’ll not need for several months.
The downside is that returns may not always keep up with inflation, and your money is locked in until maturity.
3. Mutual Funds (When Available) ⭐⭐⭐⭐⭐
Once Sierra Leone has a fully operational securities regulator and licensed fund managers, mutual funds can become one of the best long-term investments because they:
Provide professional management.
Spread your money across many investments.
Reduce risk through diversification.
Since the market is still developing, there may be very few regulated mutual fund products available today.
Suggested Beginner Allocation
If you have:
Le 10,000 to invest:
70% Treasury Bills
30% Fixed Deposit
Le 50,000 or more:
60% Treasury Bills
20% Fixed Deposit
Keep 20% as cash for emergencies or future investment opportunities.
What if you want higher returns?
As Sierra Leone’s capital market develops, consider adding:
Government bonds (longer-term than Treasury Bills)
Mutual funds
Listed shares if and when the stock market expands.
Avoid high-return schemes that promise to double your money quickly—they are often scams.
Since there are few investment apps…
You can usually invest by:
Visiting the Bank of Sierra Leone or participating commercial banks for Treasury Bills.
Opening a Fixed Deposit with a licensed commercial bank.
Monitoring announcements from the central bank and the Ministry of Finance about government securities.
A simple plan for a beginner
Build an emergency fund covering 3–6 months of essential expenses.
Start buying Treasury Bills regularly (monthly or quarterly if possible).
Add Fixed Deposits for money you won’t need in the near term.
Follow developments in Sierra Leone’s financial markets. Once licensed mutual funds become available under a functioning securities regulator, consider investing part of your portfolio in them for long-term growth.
This approach emphasizes capital preservation while helping you gain investing experience. As the investment ecosystem in Sierra Leone matures, you can gradually diversify into mutual funds, government bonds, and equities.
How can I withdraw only my profits from the InvestNaija Paramount Equity Fund without touching my capital?
If you are referring to the InvestNaija Paramount Equity Fund, the answer depends on whether the platform supports partial redemption. In most equity mutual funds, your profit is not kept separate from your capital. Instead, your investment is represented by units. As the unit price (NAV) increases,Read more
If you are referring to the InvestNaija Paramount Equity Fund, the answer depends on whether the platform supports partial redemption.
See lessIn most equity mutual funds, your profit is not kept separate from your capital. Instead, your investment is represented by units. As the unit price (NAV) increases, the value of all your units increases. When you redeem, you sell some of those units, either partially or completely.
For example:
You invested ₦100,000.
The fund has grown to ₦125,000.
Your profit is ₦25,000.
You cannot technically withdraw “only the profit.” Instead, you would request a partial redemption of ₦25,000 worth of units. After redemption, the remaining value of your investment will be about ₦100,000, although the exact capital represented by the remaining units depends on the fund’s current unit price.
If the InvestNaija app allows partial redemption:
Open the Paramount Equity Fund.
Tap Redeem or Withdraw.
Choose Partial Redemption.
Enter the amount you want to redeem (for
How Do Bond Funds Work in Nigeria?
A Bond Fund in Nigeria is a type of mutual fund that pools money from many investors and invests primarily in bonds rather than individual stocks. The fund is managed by professional fund managers, who decide which bonds to buy and sell. The bonds held by a Nigerian bond fund may include: Federal GoRead more
A Bond Fund in Nigeria is a type of mutual fund that pools money from many investors and invests primarily in bonds rather than individual stocks. The fund is managed by professional fund managers, who decide which bonds to buy and sell.
See lessThe bonds held by a Nigerian bond fund may include:
Federal Government of Nigeria (FGN) Bonds
State government bonds
Corporate bonds issued by companies
Occasionally, other fixed-income securities
How a Bond Fund Works
Imagine 1,000 investors each contribute money to a bond fund.
For example:
You invest ₦100,000.
Another investor contributes ₦500,000.
Others invest different amounts.
The fund manager combines all these contributions into one large investment pool and purchases a diversified portfolio of bonds.
Instead of owning one bond directly, you own units of the fund, and each unit represents a proportional share of all the bonds the fund holds.
How You Earn Money
You can earn returns from a bond fund in two main ways:
1. Interest Income
The bonds in the fund pay interest (coupon payments). The fund collects this income and may:
distribute it to investors as periodic income, or
reinvest it, depending on the fund’s policy.
2. Capital Appreciation
If market interest rates fall, the market value of many existing bonds rises. This can increase the fund’s Net Asset Value (NAV), meaning your investment may become more valuable.
Likewise, if interest rates rise, the value of existing bonds often falls, and the fund’s NAV may decline.
Example
Suppose you invest ₦1,000,000 in a bond fund.
Over one year:
The bonds earn interest.
The fund manager deducts management fees.
If the fund earns a net return of 15%, your investment grows to about ₦1,150,000.
If the fund instead returns 10%, your investment would be about ₦1,100,000.
Returns are not guaranteed and depend on market conditions and the bonds held.
Bond Fund vs Buying an FGN Bond Yourself
Bond Fund
Individual FGN Bond
Invests in many bonds
You own a specific bond
Professionally managed
You manage your own investment
Diversified portfolio
Less diversified unless you buy multiple bonds
Unit price changes daily
Bond price changes, but maturity value is fixed if held to maturity
No fixed maturity date
Has a specific maturity date
Advantages
Professional management.
Diversification across many bonds.
Lower minimum investment than buying many bonds individually.
Generally lower risk than equity funds.
Can provide regular income and capital preservation over the medium to long term.
Risks
Returns are not guaranteed.
Rising interest rates can reduce the fund’s value.
Management fees reduce returns.
Corporate bonds carry some credit risk, although government bonds generally have lower default risk.
Is a Bond Fund Better Than a Money Market Mutual Fund?
Not necessarily—they serve different purposes.
Feature
Bond Fund
Money Market Mutual Fund
Risk
Moderate
Low
Return potential
Usually higher over longer periods
Usually lower but more stable
Price fluctuations
Yes
Usually minimal
Best for
Medium- to long-term investing
Short-term savings and liquidity
For an investment horizon of 5 years or more, a bond fund may offer higher long-term return potential than a money market fund, though with greater short-term fluctuations.
Since we’ve discussed your long-term wealth goals before, one approach could be to use:
20% in a Money Market Mutual Fund for liquidity,
20–30% in a Bond Fund for medium-term stability,
and the remainder in dividend stocks and equity funds for long-term growth.
This combines stability with higher growth potential while keeping overall risk more balanced.
Why Is My Sell Order for BUA Cement Shares Still Showing as "Executing" on the NGX?
What you observed is a real market phenomenon, and your explanation to him was on the right track. Let's use BUA Cement as the example. What happened? When your friend placed a sell order, he was saying: "I want to sell my shares." For the trade to happen, someone else must be willing to buy those sRead more
What you observed is a real market phenomenon, and your explanation to him was on the right track.
See lessLet’s use BUA Cement as the example.
What happened?
When your friend placed a sell order, he was saying:
“I want to sell my shares.”
For the trade to happen, someone else must be willing to buy those shares.
If the order book shows only offers (sell orders) and no bids (buy orders), it means:
Many investors want to sell.
No buyers are currently willing to buy at the available prices.
Without a matching buyer, the order remains “Executing” or “Open” until:
a buyer enters the market,
the seller changes the asking price, or
the order expires or is cancelled.
Why would there be no bids?
Several reasons can lead to this:
1. Investors think the price is too high. If sellers are asking ₦100 per share but buyers only want to pay ₦90, no trade occurs.
2. Weak market sentiment. Investors may be waiting for earnings, dividend announcements, or broader market news before buying.
3. Low liquidity. Some stocks don’t trade frequently. Even large companies can occasionally experience periods with few or no active buyers.
4. One-sided order book. Sometimes many shareholders decide to sell at the same time, but buyers are waiting at lower prices rather than bidding at current levels.
Why didn’t cancelling and placing the order again help?
Because the problem wasn’t his order—it was the market.
Imagine selling a car:
If you advertise it at ₦5 million and nobody wants to pay that amount, removing the advert and posting it again at the same price won’t attract buyers.
Either a buyer appears or you reduce your asking price.
The stock market works similarly.
What if he reduced his price?
Suppose the order book looked like this:
Offers (Sellers):
₦100.00 – 500,000 shares
Bids (Buyers):
₦97.00 – 300,000 shares
If he insists on selling at ₦100, he may wait.
If he is willing to sell at ₦97, his shares could be matched immediately (assuming the exchange’s order-matching rules and available bid volume).
Does this mean BUA Cement is a scam?
No.
It simply means that, at that moment, demand was lower than supply at the quoted prices.
This happens on stock exchanges worldwide, including the Nigerian market.
A lesson for investors
Before placing an order, it’s useful to check:
the order book,
bid volume,
offer volume,
recent trades.
This helps you see whether there are active buyers and sellers and at what prices.
Since you’ve been investing in Nigerian stocks for some time, I can also explain why some NGX stocks (including BUA Cement on certain days) can appear to have “only sellers and no buyers” even though the company itself is fundamentally strong. That involves market makers, price limits, investor psychology, and liquidity, and it often surprises even experienced investors.