Economy
Major Steps a Retail Investor Must Take to be Successful Consistently
Retail investors are amateur, individual investors who use brokerage firms or their own funds to make investments.
When it comes to investing, retail investors need to be aware of a few things. They must do due diligence and test the waters before committing because the majority of them lack the experience and information needed for investment. The following investing advice can assist you as a retail investor in making wise decisions and maximizing your investment.
Set a financial objective
Like piloting a ship without radar, investing without a financial objective is foolish. Financial objectives provide the framework for your investments and aid in determining the types of investments you should make to meet them. Depending on your objectives and the sum required to reach them, you must invest.
Short-term
The time frame for short-term objectives is between six months and a year. These objectives can include planning a trip or putting together an emergency fund. You can think about making an investment in liquid funds or bank fixed deposits to help you achieve short-term objectives.
Medium-term
Approximately three to five years are needed to accomplish medium-term objectives. These objectives can include saving money for a down payment on a home. You could invest in aggressive hybrid funds for medium-term objectives.
Long-term
Long-term objectives are at least 15 to 20 years distant. These objectives include retirement, children’s further education, and other things. You can invest in pure equity funds to achieve long-term objectives as they have the potential to outperform inflation over time.
Use a reputable investment broker
One of the most important factors to consider when choosing a broker is the regulation or licensing that they possess. Make sure the organization you are working with is approved and regulated by a government body. If they are, you won’t have any trouble opening an account with them.
On the other hand, before using the broker’s license, you should make sure it is real and in good standing. In other words, if the license is current and you’re working with a registered broker, you won’t have any problems trading the financial markets.
Start Little
Starting small and spreading out your assets is advised for regular investors. This is especially true if this is your first time making an equity investment. A volatile asset class is equities. If you start out losing a lot of money, investing becomes a painful process.
It is preferable to begin with systematic investment strategies if this is your first time using mutual funds to invest in stocks. This assists you in maintaining your investment throughout market cycles, building up more units during bear markets, and developing disciplined saving habits. Long-term investment commitment reduces volatility’s magnitude.
Be patient
On the other hand, it’s crucial to avoid losing interest in your assets too soon. Because of this, you can pass up fantastic opportunities because you think it’s too late or get impatient waiting for the stock to move.
Long-term returns can be improved by taking a more cautious and methodical approach to constructing your portfolio. However, expecting a portfolio to do a task for which it is not equipped will only lead to disappointment. Keep in mind reasonable expectations for the expansion of your portfolio and future rewards.
Tame your emotions
Emotions have no role in financial decisions. In the long run, investing objectively can increase your wealth and screen out underperformers from your portfolio. Most retail investors let their emotions influence their decisions, which they later regret. Greed takes precedence during a bull market, and most investors end up investing at exorbitant values.
On the other hand, when the market is in a bear phase, many investors panic and flee. Both actions are not desirable. When you give in to your emotions, reason becomes secondary. When you tend to invest emotionally, you lose sight of the big picture.
Avoid following the crowd
Herd mentality is rather typical. Those impacted unquestioningly copy the investments made by others. The outcomes might be severe. Keep in mind that there is no one-size-fits-all strategy for investments. Financial objectives, risk tolerance, and cash flow are all unique to each person. Because of this, what works for someone else might not work for you. You don’t have to chase after the stock or fund that everyone else is. Be sure to consider your goals and financial situation before making a call. You may avoid herd mentality by using logic and discipline.
To sum up
Being in control of your investments can be achieved by avoiding these blunders. They also guarantee that you are on the road to financial freedom and assist you in navigating difficult situations with ease.
By Aduragbemi Omiyale
One of the paint makers in Nigeria, Premier Paints Plc, is currently in talks with a new investor, Xenergi Limited, for the purchase of 51 per cent stake in the company.
Xenergi Limited intends to acquire shares of Clover Global Resources Limited and TGHL Capital Limited in the organisation.
Business Post gathered that the new investor will buy 39.02 per cent from Clover Global Resources Limited and 15.20 per cent from TGHL Capital Limited.
The deal, according to a regulatory notice issued on Tuesday on the Nigerian Exchange (NGX) Limited, will involve about 63 million shares of Premier Paints.
At the current share price of the paint producer, this should be about N630 million as it closed at N10.00 per unit on NGX on December 16, 2025.
“Subject to obtaining required regulatory approvals, the transaction is expected to close before January 31, 2026.
“The company will continue to inform the public of the progress of the transaction,” the disclosure signed by the company secretary, Alozie Nwokoro, said.
By Adedapo Adesanya
The Naira was flat against the US Dollar in the Nigerian Autonomous Foreign Exchange Market (NAFEX) on Tuesday, December 16, retaining the previous closing value of N1,451.82/$1.
In the same vein, the local currency saw no movement against the Pound Sterling and the Euro in the spot market during the session at N1,943.98/£1 and N1,705.74/€1, respectively.
Also, the Nigerian Naira remained unchanged in the black market yesterday at N1,475/$1 and was N1,460/$1 at the GTBank forex counter.
The Central Bank of Nigeria (CBN) has strengthened US Dollar supply with $250 million to authorised dealer banks at the official window cumulatively as foreign portfolio investors, exporters and non-bank corporate supply dripped.
The spread between official and other non-regulated markets decreased to N30.59$/1 from N44.57/$1, from the previous week, research subsidiary of Coronation Merchant Bank Limited said in a report.
FX analysts said foreign exchange inflows through the Nigerian Foreign Exchange Market decreased to $716.3 million from $844.70 million in the previous week , a 15 per cent drop in a week.
Foreign portfolio investors accounted for the highest share of inflows at 32.98 per cent, followed by exporters at 30.84 per cent, the CBN (17.36 per cent), Non-bank Corporates (16.94 per cent), others (0.72 per cent) and Individuals (0.63 per cent).
On Monday, Nigeria’s headline inflation rate eased to 14.45 per cent in November 2025, down from 16.05 per cent recorded in October, according to the latest Consumer Price Index (CPI) report released by the National Bureau of Statistics (NBS), representing a decrease of 1.6 percentage points month-on-month and marks a significant moderation compared to the same period last year.
As for the cryptocurrency market, there was some recoveries after overall capitalization falling below $3 trillion for the third time in a month. Large-cap assets, particularly those with Exchange Traded Fund (ETF) exposure, are experiencing selling pressure as institutional investors reassess risk.
Ripple (XRP) appreciated by 1.5 per cent to $1.92, Litecoin (LTC) expanded by 1.5 per cent to $78.91, Dogecoin (DOGE) rose by 0.8 per cent to $0.1308, Solana (SOL) went up by 0.4 per cent to $127.60, Binance Coin (BNB) grew by 0.3 per cent to $865.40, and Bitcoin (BTC) gained 0.2 per cent to sell at $86,735.17.
On the flip side, Cardano (ADA) depreciated by 1.0 per cent to $0.3802 and Ethereum (ETH) slumped by 0.4 per cent to $2,935.85, while the US Dollar Tether (USDT) and the US Dollar Coin (USDC) were flat at $1.00 each.
By Dipo Olowookere
A marginal 0.01 per cent rise was recorded by the Nigerian Exchange (NGX) Limited on Tuesday. This was different from the flattish mode of the market the previous day.
Investor sentiment remained bullish as Customs Street finished with 31 price gainers and 26 price losers, implying a positive market breadth index.
Aluminium Extrusion topped the gainers’ log after it improved its price by 10.00 per cent to N9.35, Guinness Nigeria appreciated by 9.98 per cent to N263.40, Multiverse expanded by 9.95 per cent to N12.15, MeCure Industries also soared by 9.95 per cent to N45.85, and Sovereign Trust Insurance advanced by 9.89 per cent to N4.11.
Conversely, Haldane McCall led the losers’ chart after it shed 9.93 per cent to settle at N3.72, Veritas Kapital lost 9.09 per cent to close at N1.60, LivingTrust Mortgage Bank also declined by 9.09 per cent to N3.50, and Linkage Assurance depreciated by 5.71 per cent to N1.65.
During the trading day, the All-Share Index (ASI) went up by 21.23 points to 149,459.11 points from the previous day’s 149,437.88 points and the market capitalisation increased by N14 billion to N95.281 trillion from N95.267 trillion.
Yesterday, traders transacted 1.0 billion equities for N21.8 billion in 23,701 deals compared with the 553.1 million equities valued at N13.3 billion traded in 28,907 deals on Monday, representing a decline in the number of deals by 18.01 per cent, and a surge in the trading volume and value by 80.80 per cent and 63.91 per cent apiece.
Access Holdings traded 385.8 million stocks worth N7.7 billion, Champion Breweries transacted 111.8 million shares valued at N817.8 million, Sterling Holdings exchanged 85.5 million equities for N589.9 million, FCMB sold 74.7 million shares valued at N791.5 million, and First Holdco transacted 51.9 million equities worth N1.8 billion.
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