Economy
How to Invest in Stocks in Nigeria: Guide for Beginners

One of the most efficient and successful ways of building wealth over a long period of time is through investing in stocks.
All the most successful people have dedicated themselves to investing. One of the prime examples of stock investors is Warren Buffet.
Investing in stock allows you to invest your money in a company and reap the benefits of the company’s growth through the years.
The biggest misconception that exists or existed is that there’s a barrier to entry due to large funds being involved in the stock market. But it’s not at all true. With the technology and facilities that exist today, you can invest as little as N500 to start.
As an investor who is looking to invest in stocks, you need to start by depositing money into an online investment account. From there onwards, you can find yourself a suitable investment broker and start investing in stocks.
How do you invest in stocks?
You always hear some of your friends say that they have started investing in stocks, but you are unaware of how to do it? Or what is it all about?
In this guide, we will help you clearly understand all the steps and procedures needed to start investing in stocks or trading them.
- Choose how you want to invest
There are so many different ways to start investing in stocks, but the first and foremost question you need to answer is that whether you need help with your investments or whether you are aware of what you are doing and you know which stocks to buy.
If you are someone who knows what stocks they want to buy, then it is best that you start off by opening an individual account with a stockbroker and start investing in stocks as per your investment strategy.
If you are someone who needs help with your investments, then it’s ideal to invest in mutual funds or ETFs. Mutual funds are managed by qualified professionals and there are many funds with different investment strategies. Some invest in gold, some in equities etc. and you can choose one based on which markets you want to invest in. Mutual funds are usually safe since they are regulated and managed by professionals.
With a mutual fund, you don’t need to do any research on your own. There is someone who is willing to do all the work for you for a small fee. Everything is taken care of and you needn’t do much apart from providing funds for investments.
- Create your investment plan
Before you begin investing in stocks, the question you will need to ask yourself is why are you interested to invest? Is it because you want to make quick money? Or you want to have a secure source of income for the long term?
As an investor, you need to decide whether you are looking at short term or long-term gains. There’s no doubt that you can make money with short term as well as long-term investing but long-term investing mitigates risks like short-term market volatility and gives you a more secure investment.
Let me explain short-term and long-term through an example. Due to COVID-19, the markets fell by as high as 40 per cent, but within a few months, the market recovered and has since then recovered all the losses.
So, if you were a short-term investor buying a stock, you would likely have lost a lot of money due to market crash had you not held on until the market regained. But if you were a long-term investor, these market conditions wouldn’t have affected your investments a lot.
Long term investors generally focus on value investing and select companies they want to invest in for many years. While short-term investors focus on trading and making money from market movements.
So, set your goals accordingly, don’t expect your money to double over a day or a week, the prices of stocks gradually increase and your wealth gets accumulated over years. This is why you need to be patient and allow market forces to react and drive your prices up. If you have chosen a good company to invest in, then you can be certain that the prices will go up in a few years.
Use a savings and investment compound calculator tool to manage your goals, plan your investments and decide how much you want to save or gain in 10 years.
If you made a small investment as little as 38,12,500 Naira in S&P 500 Index 30-40 years ago, then would have been a millionaire today. This is what the stock market can do for you.
Here’s an example for you that gives you a rough idea about how much you can earn with a small investment over a long period of time:
If you start with N38,050.00 in a savings account earning a 7 per cent interest rate, compounded monthly, and make N3,805.00 deposits on a monthly basis.
After 10 years, your savings account will have grown to N738,897.07 of which N494,650.00 is the total of your beginning balance plus deposits, and N244,247.07 is the total interest earnings.
- Open a trading account
If you are looking to invest in local companies, you can check the Nigerian Exchange (NGX) Limited and choose a stockbroker that will allow you to invest in NGX.
But if you want to invest in international companies that are not listed on the NGX but listed somewhere like New York Stock Exchange (NYSE), then you can choose an online trading platform such as Bamboo, Chaka, Weath.ng etc.
If you are only looking to trade securities i.e., buy or short sell them for the short term, then you can also trade stock CFDs via a Tier-1 licensed forex broker or you can trade stock options via an international broker that accepts Nigerian clients.
As per research by Forex Brokers SA, there are no locally regulated CFD brokers in Nigeria but there are 40+ FSCA regulated South African derivative brokers that accept traders from Nigeria. These brokers offer NASDAQ, American and European stock CFDs.
There are several online platforms in Nigeria that allow you to invest in stocks all around the world, so choose a platform that allows you to invest in a wide variety of stocks and other commodities.
For new investors who are not aware of how the market functions or you are not familiar with the investment process, its highly advisable that you open your account through a Mutual Fund advisor so they can assist you with the entire process and you also will be able to learn and adapt quickly.
Every online platform or stockbroker requires you to complete KYC before you start trading as it’s mandatory. You would normally be asked for your BVN number, ID proof and address proof.
Make sure you provide the correct details and original documents for verification. If there is an error in KYC documents, then there are high chances that you will not be allowed to open your account or likely face issues during withdrawals.
- Decide which stocks do you want to buy
Once you have opened your trading account; you can view all the stocks available on the platform or what the stockbroker offers.
Experienced investors diversify their investments into different stocks and other asset classes like metals, commodities since it is more secure and helps you build a diverse portfolio.
So, avoid investing in just one company, look around the platform and view what other options you might have.
A word of advice to new investors is that don’t invest in every stock you see; you need to understand what the company does and what their business is. After you understand everything about a company and how it is doing, you can further decide to invest in it.
If you are considering investing in a particular company, then you might want to calculate their intrinsic value, which would include analysing the margin of safety, EPS, book value, cash flow and earnings before interest, taxes, depreciation, and amortization (EBITDA).
Once you are aware of all these things, then it will help you make an informed decision.
- Make a budget
The budget is entirely dependent on your lifestyle.
First list all your expenses and take away money for your rent, utilities and groceries and keep it away. The next is to list all your debts and liabilities such as loan repayment, EMI etc.
Once you know what you need for your necessities and liabilities, you will know how much you can spare every month. After this, it will be easy for you to see how much you can invest every month.
One of the biggest mistakes that new investors make is that they will not be able to invest regularly due to other commitments.
So, if you are planning to start investing then make sure that you are regular with your investments. If you make a plan that you will invest N50,000 (approx. $100) every month, no matter what then make sure you do it.
If you feel that there may be an emergency, then save a small amount of money from your income every month so that you can use that fund for emergencies. This way, you needn’t take money from your investments.
If you ensure that a minimum of 40 per cent of your income goes into investments then in 10 years’ time you will definitely start reaping the rewards for years of investment. So, make sure you can invest as much as you can after covering your expenses and liabilities.
There’s a famous saying that if you can’t buy something twice then you can’t afford it. Try cutting down all your expensive wants so you can invest and grow your investments.
A good place for investors with low funds is Exchange Traded Funds (ETF) since the minimum investment requirements are very low.
Warren Buffett once said in his investor letter “The goal of the non-professional should not be to pick winners — neither he nor his “helpers” can do that — but should rather be to own a cross-section of businesses that in the aggregate are bound to do well. A low-cost S&P 500 index fund will achieve this goal.”
- Diversify and manage your portfolio
You can only fully gain from stock market investments over a period of time. Building a diverse portfolio enables you to park your money into more than a single asset class. This is not only safer but it’s less risky than investing all your money into one stock.
If in case the stock that you are invested in crashes, then you lose your entire investment. So, it’s always better to invest in more than one stock. Non-professionals should invest in blue-chip stocks only, or the index fund.
If you are finding it hard to diversify your investments, then invest in a Mutual Fund. Even if you are investing in a mutual fund, then you also need to be absolutely sure about all the costs, fees, expected returns and risks involved with that too.
Another big advantage of building a diverse portfolio is that it will help you fight market volatility without suffering major losses. Since your investments are tied into different stocks, assets, it will lower the risks that come with markets.
You should look at stock market investing as a long-term process rather than checking daily returns and let your investments handle themselves. You should just wait for your investments to mature.
Conclusion
Investing in stocks is a good way to building long term wealth but it requires you to be patient and regular with your investments. If you are looking for short term gains then stock market investments aren’t the best option for you.
If you are regular with your investments, it can almost be assured that a good portfolio might even allow you to retire early.
Also, be fully aware of the risks, and don’t invest money that you cannot afford to lose. Do your full research & invest wisely.
Economy
BoI, NLNG Launch Single Digit Interest Micro-Credit Scheme for MSMEs

By Adedapo Adesanya
The Nigeria LNG Limited and the Bank of Industry (BoI) have launched a Micro, Small and Medium Enterprises (MSMEs) finance scheme with a model that slashes loan interest rates to 9 per cent.
The initiative was piloted in Rivers State to stimulate grassroots economic growth and offer a lifeline for entrepreneurs navigating the current high-cost financial landscape.
The initiative is aimed at providing affordable credit and capacity-building to small businesses and vendors across NLNG’s host communities and Gas Transmission System areas.
Speaking at its relaunch in Port Harcourt, NLNG’s General Manager, External Relations and Sustainable Development, Mrs Sophia Horsfall, said it is a “transformative economic intervention” tailored to reduce poverty and drive sustainable development.
“More than just a micro-credit finance scheme—we ignite new possibilities for grassroots entrepreneurs and small businesses After years of funding and empowering local enterprises, we took a strategic pause to reassess and enhance our impact. This partnership with the Bank of Industry is a bold new step to drive real economic growth in Rivers State and beyond,” she averred.
Mrs Horsfall noted that rising commercial loan interest rates had necessitated NLNG’s intervention with a subsidized model.
“We have introduced a buffer that allows beneficiaries to access loans at a reduced interest rate of 9 per cent. It is not just about financing—it’s about transformation, empowerment, and long-term impact. As we take this bold step forward, we do so with pride, knowing that today, we are shaping a stronger, more sustainable future for all,” she noted.
Under the model, NLNG provides a seed fund matched by BOI, creating a robust pool to support micro-enterprises and local contractors.
The scheme is fully digitalised, with an online portal developed to streamline loan applications and disbursements, ensuring transparency and efficiency.
Representing the Managing Director of BOI, Mr Olasupo Olusi, the Executive Director for MSMEs, Mr Omar Shekarau, said the partnership aligns with the bank’s 2025–2027 corporate strategy, which targets inclusive and sustainable development across six key pillars: youth and skills, gender, digital, MSMEs, climate finance, and infrastructure.
“This partnership also reflects BOI’s reinforced focus. To ensure efficiency and transparency, BOI has deployed a cutting-edge end-to-end loan management platform, the BOI Fund Partner Solution, which allows fund partners real-time access to the performance of their fund.”
He added that BOI remains committed to making long-term, affordable financing available to Nigerian MSMEs while transforming the industrial landscape through strategic partnerships.
“Through this strategic collaboration with BOI, NLNG reinforces its commitment to fostering economic development, empowering local businesses, and sustaining long-term growth within its host communities,” he added.
The reintroduction of the scheme is being hailed as a major boost for small business owners grappling with limited access to credit facilities amidst Nigeria’s tough economic climate.
Economy
Nigeria Raises 182-Day Treasury Bills Rate to 19.50%

By Dipo Olowookere
The stop rates for the 91-day and 182-day treasury bills were raised by the Central Bank of Nigeria (CBN) on Wednesday, while that of the 364-day tenor was left unchanged as appetite for the long maturity slows.
Details of the exercise showed that the Central Bank of Nigeria (CBN), which sold the debt instrument through a primary market auction (PMA) for the Debt Management Office (DMO), jacked the rate for the three-month bill higher by 0.50 per cent and pushed the six-month paper higher by 1.00 per cent.
Business Post reports that the stop rate for the short-date instrument cleared yesterday at 18.50 per cent, the half-year note cleared at 19.50 per cent, and the one-year bill remained at 19.63 per cent.
The central bank was at the market with N50.00 billion worth of the 91-day treasury bills but received subscriptions valued at N114.30 billion, and allotted N111.81 billion.
It also auctioned N100.00 billion worth of the 182-day instrument during the session, but got bids valued at N107.09 billion and allotted N105.79 billion.
Like in the previous sessions, the 364-day bill was oversubscribed by investors, though the level was not like in the past. The apex bank offered to sell N650.00 billion worth of the paper to the market participants, but received offers valued at N905.56 billion and allotted N206.98 billion.
From the analysis, the CBN offered investors treasury bills worth N800 billion across the three maturities, but got bids valued at N1.127 trillion and allotted N424.58 billion.
Economy
MTN Plans Second Public Offer in Nigeria

By Adedapo Adesanya
African telecommunications giant, MTN Group, has announced plans to reduce its shareholding in MTN Nigeria through a public offer as it foresees the return of the Nigerian subsidiary to profitability this year.
The group aims to cut its stake from 76 per cent to 65 per cent in line with its longstanding commitment to deepen local ownership.
According to South African tech publication ITWeb, this was disclosed by Mr Ralph Mupita, MTN Group president, during an editors’ roundtable meeting on Tuesday.
“The only localisation we have as MTN Group is we have potentially a sell-down in Nigeria at some point in time, approximately 11 per cent.
“This is something we have said long ago, that over time we would want more Nigerians owning the company, and we are prepared to sell down to 65 per cent. We are at around 76 per cent,” he said.
The offer would mark MTN’s second major retail public offering in Nigeria, following its 2021 sale of 575 million MTN Nigeria shares to local investors.
The offer was oversubscribed, resulting in the allocation of 661.25 million shares, including a 15 per cent greenshoe option.
This reduced MTN’s stake in its Nigerian unit to 75.6 per cent from 78.8 per cent.
More than 126,000 investors participated in that round, including retail and institutional investors such as Nigerian pension funds representing approximately 6.5 million contributors.
At the time in 2022, MTN Group announced plans to further reduce its stake to approximately 65 per cent from 75.6 per cent.
Mr Mupita confirmed that the Group would only proceed with a new offer once MTN Nigeria resolves its negative equity position and resumes dividend payments.
Despite reporting revenue of N3.36 trillion in 2024, a 36.03 per cent rise from N2.47 trillion in 2023, it posted a loss after tax of N400.44 billion, a 192.25 per cent rise from N137.02 billion in 2023.,
This negative performance was driven by macroeconomic headwinds, including record inflation and a steep devaluation of the Naira, which raised operating costs and wiped out investor value.
As a result, MTN Nigeria lost its position to MTN South Africa as the group’s largest revenue contributor.
However, the Group is projecting a rebound in 2025, citing key drivers such as recent tariff adjustments, operational restructuring, and improving macroeconomic indicators in Nigeria.
Speaking at the roundtable, Mr Mupita highlighted that the Group is anticipating a V-shaped recovery in Nigeria’s service revenue.
He pointed to the recent structural reforms, such as the removal of fuel subsidies, the naira stabilisation, and improved Dollar availability.
“The continued normalisation of these factors, particularly naira stability, should have positive impacts on consumer spending power and our business operations,” Mr Mupita noted in the Group’s financial statement for 2024 recently.
-
Feature/OPED5 years ago
Davos was Different this year
-
Travel/Tourism9 years ago
Lagos Seals Western Lodge Hotel In Ikorodu
-
Showbiz2 years ago
Estranged Lover Releases Videos of Empress Njamah Bathing
-
Banking7 years ago
Sort Codes of GTBank Branches in Nigeria
-
Economy2 years ago
Subsidy Removal: CNG at N130 Per Litre Cheaper Than Petrol—IPMAN
-
Banking2 years ago
First Bank Announces Planned Downtime
-
Sports2 years ago
Highest Paid Nigerian Footballer – How Much Do Nigerian Footballers Earn
-
Technology4 years ago
How To Link Your MTN, Airtel, Glo, 9mobile Lines to NIN