Easy Ways to Invest your Money as a Youth
(1). Nigerian Stock Exchange
The Nigerian Stock Exchange is a place to consider when searching for where to put some money. Make stocks part of your portfolio.
A stock is a unit of the share of a company that is traded on the floor of the Nigerian Stock Exchange (NSE). It is also often referred to as a share. Every company has shares which the owners lay claim to. When you go to register a company at the Corporate Affairs Commission (CAC) you typically say your authorised share capital is N1m made up of 1m ordinary shares of N1 each.
This means your initial capital at the start of your company is N1million represented by those shares. Whilst the value of your capital may increase over time, your shares remain the same till you decide to increase it again and register the same with the CAC. When the shares are listed on the floor of the NSE they are tradable as stocks meaning people can buy or sell them.
Divide your investments into long term investments and speculative investments when trading on the NSE.
The better you are at understanding a company’s annual report, market conditions and growth trajectory; the better you will be at trading.
(2). Treasury Bills
Depository Bills are momentary obligation instruments gave by the Federal Government through the Central Bank to give transient subsidizing to the legislature. They are ordinarily, the most fluid currency advertise protections and are supported by the assurance of the Federal Government.
They are normally given for tenors of 91 days, 182 days and 364 days at the essential market closeout held fortnightly by the Central Bank of Nigeria. The loan fee (stop rate) at the closeout isn’t fixed yet changes dependent on request and sum offered by the pinnacle bank.
You don’t cover charge on depository tabs and yield is ordinarily higher when contrasted with fixed store. In any case, they are more diligently to dispose of than fixed store in the event that you need the cash back before the development time frame.
(3). Fixed Deposits
A fixed deposit is a type of short-term financial investment sold by banks to its depositors. A depositor invests in a fixed deposit when he deposits his money with a bank in exchange for interest for a predetermined period.
Fixed deposits can often be for one month, three months, six months and one year. In return for fixing your money with the bank for a fixed period, the interest paid on fixed deposits is always higher than the interest that the bank pays on a regular deposit. Fixed deposits can be done in naira or dollars, unlike treasury bills.
Fixed deposits are also available from your bank. Make sure you shop around as rates can differ drastically from one bank to another.
Minimum investment the amount for FD and T-bills is usually about N50K to N500K depending on where you are buying from.
Eurobonds are dollar-denominated longer-term investments with maturity periods of about five years. Interest rates are generally higher than fixed deposits offered by the banks.
(5).Money Market Funds
A Money Market Fund (MMF) is an open-ended fund that provides financial help and a steady stream of income by investing in high quality, short term Money Market Instruments. These include bankers’ acceptances, certificates of deposits, commercial papers, and collateralised repurchase agreements. You can also invest in government securities. These include Treasury bills.
Building up a propensity for sparing and contributing is significant. In the event that you don’t win a lot and you can scarcely take care of your tabs, setting aside cash may appear to be absurd. Be that as it may, everybody needs to begin some place! On the off chance that you take a stab at sparing, your budgetary circumstance is probably going to improve after some time
(6) Join Ibtforum : invest your money as little as 1500naira on IBTforum and you have an opportunity to start making money daily and monthly to support yourself as a youth.
(7) Join EDUCATENAIJA : Invest as little as 2000 naira and you have opportunity to learn new things as a student and also to make money