4 Investment Options For Nigerian Students

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4 investment options for Nigerian students
Investment Options For Nigerian Students

Being a student in a Nigerian University can be a trial most times. You are taught to manage life; from time to stress to finance. You see that finance part, it is the greatest of them all. As a student, an imbalanced financial life could affect you academically, physically, and even emotionally especially for those of us that love receiving second glances. In this post, I will share with you 4 good investment options for Nigerian Students.

For me, a lot of planning had to go into acquiring that new gadget or new palazzo trousers and crop tops. The major planning I needed was the ones that helped me multiply my income or build more income streams. Amongst the former category came Investments; an option every student should consider. Saving is cool but investments… is cooler. In this article, I’ll tell you the difference between both, options to consider as well as basic rules to investing.

Savings or Investments?

  • Savings do not give room for inflation: If 5kg of Rice is ₦3,000 today and you save the money instead. Can the ₦3,000 plus interest buy you 5kg of rice in one year? Your guess is as good as mine.
  • Savings can be easily expended, unlike most investments, especially when you have access to an ATM Card.
  • Savings interest rates are little or nothing compared to investments. You see those taxes and charges, they’ll frustrate your savings.

Below are 4 good investment options for Nigerian students

1. Start a small business

Start a business

As a student? Oh yes! I had a roommate in my school hostel who sold airtime, detergents, bread, and sachet water. Just those four items and this lady was cashing out! She usually sold out in no time despite adding an extra ₦10 to each item.

She usually bought in bulk at wholesale price and she could make as much as ₦1,000 in profits per day.

This would also build your experience in money and business management. You know what is said about being faithful in little right.

2. Partner in a business

You might have the capital but lack the morale or business idea to venture into; this is for you. My roommate, from her profits in her personal business, invested in another friend who could make small chops. The small chops were made twice per week and they could make as much as 100% profit per week. You see the light right?

3. Online Investment Apps

With the world already digital, we have lots of investment apps and money markets online today. Most of them are very starter-friendly with encouraging interest rates. Some recommended platforms are Piggyvest, Cowrywise, Risevest, Trove, and Chaka. These platforms have a minimum of ₦1,000 to get started except Risevest which is $10.

4. Insurance

Funny right? Insurance is the first thing that comes to my mind when considering any investment. It is as risky as any other investment but is one of the safest, especially when contracted to reliable insurers. Insurance protects against eventualities, has higher interest rates compared to Nigerian commercial banks, and is cheaper when you’re younger.

It’s also a form of asset protection and it prevents unnecessary expenses that consume or disrupts your cash flow. I once insured my cell phone for a token and won the claim when it was stolen. A colleague also bought a funeral cover, which is valid for life, for her parents. She lost her mother 7 years later and was paid for the funeral. This could have led her to liquidate an investment. The bottom line is, protecting an investment is an investment in itself.

Conclusion

Most of these options are non-taxable and with zero charges. Also, when considering any of these, don’t be greedy; Investments are not get-rich-quick schemes.

Wow, you held up till now? You must have learned a thing or two, do let me know, in the comments section, which you would love to try.

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