Nigeria is a rich country that offers a lot of investment opportunities to its citizens and it has become more important to tap into these opportunities now that one income is unsustainable. As a Nigerian hoping to invest, the first thing to do is to research the legit platforms that offer you mouth-watering investment offers. Fortunately, we’ve done the bulk of the work for you and compiled a list of legit platforms that allow you to invest and earn daily in Nigeria. The best part about them is that they do all the work for you while you provide the capital. Check out the extensive list that we’ve compiled in subsequent paragraphs.
How to Minimize the Risk of Investing in Nigeria
Before you even think about how to invest and earn daily in Nigeria, it is important to know that all investments come with risks. Listed below are some of the major risks that come with investing in Nigeria or any other part of the world:
1. Market Risk
Market risk is by far the most common risk an investor will face in any financial market. The extent of this risk primarily depends on the nature and volatility of the financial market or asset. There are different kinds of market risk such as currency risk, equity risk, and interest rate risk that are likely to affect diverse financial instruments.
2. Concentration Risk
When it comes to investment, it is crucial to diversify your portfolio and ensure that you don’t put all your eggs in one basket. This is because if you put all your capital into one type of asset, there is a very high chance of encountering financial loss. However, if there is a variety of assets, the correlation of profits can drastically reduce.
For this reason, investors have to balance their portfolios at regular intervals and diversify their investments to avoid negative situations and unforeseen outcomes. The bottom line is that investments have to be equally spread out across diverse asset classes and risk levels.
3. Inflation Risk
Inflation risk is the tendency for there to be a rise in prices that can affect the purchasing power of people due to unfortunate economic downturns. During periods of inflation, investments should be carefully made to sustain purchasing power while following long-term goals. Also, you must be wary of the risk level your invested asset carries. It must not be too high, as inflation may negatively impact your returns.
The bottom line here is to avoid investing in heavy debt-reliant organizations or stocks during periods of inflation.
4. Liquidity risk
Liquidity is a measure of the ease with which a specific asset can be converted into money. It is important to know that not every asset is liquid, so you should know the nature of any asset you want to invest in. Also, the incapacity to trade assets at a reasonable price is a liquidity risk.
Liquidity risk is dominant when demand and supply are not associated. As an investor, make sure you monitor liquidity risk before you start investing in any market.
5. Reinvestment risk
Reinvestment risk refers to when an individual cannot re-invest the principal capital amount because of the unavailability of more promising investment options. Assets that have extremely short maturity periods can bring about reinvestment risk. This occurrence is common with bank deposits or bonds as the yearly interest rates are extremely low and the principal amount decreases constantly. Reinvesting the principal investment is crucial to keep increasing your wealth.
What are the Types of Investment in Nigeria?
There are primarily three types of investments in Nigeria. The different types of investments include:
1. Debt Investments
Investments which are supported by the government or substantial assets are called debt investments. Generally, investors believe that this type of investment is much more secure than equities investments. This implies that if you select this type of investment, your chances of gaining returns are very limited. Hence, debt investments are more suitable for people who invest hoping to obtain a reliable source of income instead of a high growth return potential.
2. Equity Investments
Equity investments are investments that aren’t supported or backed by guarantees from the government or any tangible assets. Therefore, they are riskier than debt investments, however, if all goes well, they can yield bigger returns. In general, people who hope to risk their capital to receive higher rewards may try making this kind of investment.
3. Investing in stable funds
Stablecoins are a kind of cryptocurrency whose value is backed by an underlying asset like the U.S. dollar. Essentially, they seek to provide all the benefits of conventional cryptocurrencies while striving to prevent severe volatility.
Recommended: How to Receive Money Through PayPal in Nigeria
How to Invest and Earn Daily in Nigeria
Listed below are some tips to help you invest and earn daily in Nigeria:
1. Find a legitimate investment opportunity
It is important for you to find a legitimate investment opportunity first so that you can rest assured that your money is safe. To achieve this, you have to keep up with the latest news and check out the most recent economic developments in Nigeria. For example, you can benefit from Nigeria’s agricultural development by investing in agric businesses that will let you take advantage of the opportunity and a good way to do that is through agritech platforms. Essentially, these platforms offer you agric investment opportunities and all you need to start is just your capital.
Another option is to invest in organizations with connections to foreign funds. Essentially, it increases your capacity to diversify your portfolio and sources of income. Lastly, ensure that any investment platform you choose to go for is duly authorised by the Nigerian government.
2. Estimate how much investment capital you need
The next step to take once you find a legitimate investment platform is to find out how much money you’ll need to make your investment a possibility. Note that you must take into account insurance, taxes, legal fees, as well as other unanticipated expenses.
3. Find a niche
Finding an investment niche is also important if you want to make long-term investments. Nigeria is full of opportunities so you need to conduct research and define the most suitable sector for investment. Any sector you choose should have the possibility of providing you with reasonable returns.
4. Consideration of risk
Your level of risk tolerance is another significant factor you must take into account when considering investing in Nigeria. Don’t invest in equities if your level of risk tolerance is low because they can be very erratic and their costs are prone to rapid fluctuations.
Rather, it will be better if you make investments in other safer investment categories. Note that the higher the possible returns of an investment, the higher the risk.
Best Online Investment Platforms to Invest and Earn Daily in Nigeria
If you are looking for some legit platforms where you can invest and earn daily in Nigeria, here are some of the most notable ones:
1. PiggyVest
PiggyVest, formerly called piggy bank, is Nigeria’s first and most notable savings and investing platform. This platform has won the hearts of millions of Nigerians due to its transparency and the fact that it offers people an easy way to manage their finances.
With PiggyVest, you can choose to routinely save as little or as much as you want to – either daily, weekly, or monthly – for certain objectives, plans, and initiatives. Your savings can earn you between 10 – 17% interest.
You can also decide to lock your funds in Safe Lock, which has similar functions to a fixed deposit account at a typical Nigerian commercial bank.
With the quick save option on PiggyVest, you can contribute up to N500,000 to fit your savings at any time. As for the routine saving option, you can save between N50 and N25,000 each day, from N1,000 to N100,000 every week, and from N3,000 to N500,000 every month. You can get the PiggyVest mobile app from the Google Play Store or AppStore for iPhones.
2. Pillow Fund
Pillow Fund is currently the best dollar savings platform available in Nigeria. Essentially, this platform enables you to practically convert and save your money in dollars while it generates a daily passive income. You can even receive an annual interest of up to 14% on your savings. Pillow Fund is available in over 60 countries. For large profits, you can use the platform to deposit and trade cryptocurrency. Here are some of the benefits of using PillowFund:
- You can use the PillowFund platform to invest dollars, Naira, or even fiat money and gain rewards.
- PillowFunds makes it very easy to save money in dollars, starting with as low as NGN 3,000.
- You can also trade your favourite tokens on the PillowFund platform and earn substantial profits on your investments. You can use your savings to develop a passive income.
- With their reputable custody partner, BitGo, all assets you put on PillowFund are held in a secure location.
3. Carbon
Carbon offers you a wide range of personal finance and investing opportunities. On the Carbon app, you can invest and earn daily in Nigeria with as little as 100 NGN. The best is that you have a guaranteed return of up to 16% annually. Also, you have the option of altering the duration of your investment from three to about twelve months. So we can say that the platform is very flexible when it comes to investment.
4. Cowrywise
When it comes to investment and saving online in Nigeria, Cowrywise is one of the best. Their automated savings feature has won the hearts of millions of people in Nigeria. With Cowrywise, you can choose how often you deposit your savings, whether daily, weekly, or even monthly and your savings plan will be automated once you link your debit card to your Cowrywise account.
Cowrywise adds interest to your savings daily, which will be credited to your account yearly at a rate of 10 to 15%. Also, when you use this platform regularly, you are qualified for low-cost loans and can easily withdraw money from your savings at any time you want.
5. Chaka
With Chaka, you can invest and profit from both domestic and global equities. The best part is that you can start trading shares for as small as N10 or
N1000 and have the freedom to monitor investment returns. Also, the withdrawal process is easy and you can withdraw your funds the same day it hits your account. However, it usually takes about two to three days for the platform to finalize your request to withdraw profit gained from the stocks.
Check this out: Top 10 Best Prediction Sites in Nigeria
6. Payday Investor
Founded by ARM Investment Management, Payday Investor is a platform that helps Nigerians reach their savings and overall financial goals. The return on investment gained is allocated to every investor every three months.
Essentially, this platform offers you the freedom to choose when and how to invest. Another benefit is that you can set multiple goals and you can even change your savings goals over time.
Additionally, your money can be withdrawn at any time, which gives you the chance to opt-out whenever you want to. Payday Investor offers a profit of up to 12% annually.
7. P2Vest
P2Vest is a popular Peer-to-Peer lending app developed by p2Vest Technology Ltd that helps to connect verified borrowers to confirmed lenders in need with the goal of obtaining a loan and funding the loan respectively. Essentially, it is an online forum where borrowers meet readily available lenders. Essentially, this platform enables borrowers to get loans directly from lenders, eliminating the need for middlemen and decreasing the risk of default.
You can make reasonable profits as a lender on P2Vest, as the platform offers an interest rate of 10% or more for each loan you give to borrowers. The starting loan amount for a beginner is as little as N5,000, while the maximum loan amount for experts is N2,000,000. Imagine earning an interest of N200,000 every year for the N2,000,000 loan you give. Mouthwatering!
8. I-invest
This mobile app can allow you to get started with your investment journey right away if you want to partake in the government bond market. Essentially, the I-invest platform allows customers to purchase Treasury notes with just a single tap on their smartphone, wherever they are. With I-invest, you can conveniently purchase and trade a wide range of financial securities, without the help of a broker.
The first payment you will make is N100,000. The invested principal and interest will then be credited to your bank account at maturity alongside other daily interest accruals.
9. Accrue
Accrue is a top online saving and investment fintech platform in modern markets. Essentially, this platform lets you auto-invest in all top-performing stocks, track stock prices, and keep tabs on the performance of your all-around investment. If there’s one thing Accrue offers you, it’s flexibility and transparency.
10. RiseVest
With RiseVest, you can gain access to and invest in world-denominated assets. This platform offers investment options in Fixed Income, Real Estate, and even Stocks. The best part is that you earn anywhere between 14% to 41% interest every year.
Also, there is an in-built tracker on the RiseVest app to help you track your financial headway towards your pre-set goals. You need at least USD 10 to get started on this app, alongside a plan and period on how you would like to invest the money.
11. Wealth NG
Wealth NG is another legitimate online investment platform that has a lot of features to offer. With Wealth NG, you can explore investment opportunities in stocks, real estate, mutual funds, and even treasury bills. Also, you can manage and keep tabs on the progress of your investments alongside their value.
12. Trove
Trove is a reputable Nigerian online investment platform that enables you to invest in international stocks, bonds, ETFs, as well as other securities with just a click of your smartphone. Also, you can decide to invest in Naira or US Dollars and receive interest as the value grows. Trove offers you access to over 4000+ stocks to invest in with just a few clicks. The minimum amount of money you need to start your investment journey here is $10.
13. Bamboo
Bamboo is another legitimate and well-known investment platform in Nigeria. Essentially, this investment company allows Nigerians to invest in more than 3,000 US Stocks in just a few clicks. You can choose to start investing using either Naira or Dollars. Also, with Bamboo, you can diversify your investments using ETFs. The minimum amount of money you need to start investing in this app is just 20 USD or its Naira equivalent.
Conclusion
The easiest way to invest and earn daily in Nigeria is through legitimate investment platforms. However, it is important to note that risks are prevalent in investment. So to minimize the risks that we’ve listed above, you must conduct your due diligence before you start stashing your money on any of the platforms listed above. Although they are all legit and authorized by the Nigerian government, you still need to research to ensure that whichever one you choose is suitable for your investment goals.