Have you started your own business and wondering how to invest your income? Is this your first job and you are wondering how to invest your money or have been working since and you need to invest prior to your retirement?

Well, you need to know that the major aim of investing your cash is to generate an extra stream of income which in turn can make you a millionaire by having a good investment plan.

Investing is a process were your money works for you while you rest without a single sweat, however, one thing you have to bear in mind is that investment requires a lot of patience, basic knowledge and appropriate guidance to ensure that your investment grows and yield positively.

In this article, I shall discuss various ways you can invest and diversify your salary to earn constant income.




Investing in Real estate and Properties:

First of all, you need to know what real estate is all about. Real estate simply refers to land, physical properties on the land like houses, buildings and fences etc.
Investing in real estate is very profitable because the potential for profit is very high.
You can make huge profits from investing in real estate or properties regardless of the economic situation, although there are also various risks involved but the risks can be managed, as long as you have the basic knowledge about investing in the real estate/ property sector.
If you wish to venture into investing in real estate and properties then you have to ensure that you have an action plan. With a proper action plan, you should be able to form a business plan and study the real estate/property business to achieve your desired goal.
You are however advised to make adequate research on real estate then talk with owners, sellers/ agents and local real estate professionals or Real Estate Investment Trusts (REITs) before you invest in this sector.

Investing in the Nigerian Stock Market:

The stock market or equity market is a financial market where the shares of a public limited companies are traded. It also provides an avenue were registered companies can access stable long-term funds or capital exchange giving investors in the company’s ownership in return.

To invest successfully in the Nigerian stock market you need to have knowledge of the market, understand the basics of investment in the market and its key parameters that shape stock performance.

You can get all these by reading various stock market investment books and interacting properly on stock market forums online. This will enable you carry out adequate research before entering the stock market to invest.

You also need employ or consult a stock broker who is fully registered by the Securities and Exchange Commission SEC and grants you online trading platform where you can buy and sell stocks by yourself. The advantages of having such stock broker is that you can easily monitor your portfolio and trade at the convenience of your home, office or your mobile devices.

Also, a fully registered stock-broking firm that offers online services send daily stock market information, recommendations, prices and also research which will help your investment decisions.

There are a lot of stock-broking firms that offers such privileges, so I advise that you visit SEC Nigeria official website to know if the stock broker is fully registered to avoid issues.

Please note that you can invest in the Nigerian stock market with as little as N20,000 with some stock broking firms.


Investing in Treasury bills:

Have you ever heard of Treasury bills and how you can make cool cash from investing in it?

One thing I have realized is that investing in treasury bills is one of the safest investment security tool which offers safe returns but yet few people know or have heard about it.

So what is a Treasury bill? Treasury bill is a short term debt instrument guaranteed by the government and issue by the Central Bank which in turn provides short term funds for the government since the CBN is the official bank of the government.

For you to buy the treasury bills you have to through your banks for assistance as they are the direct agents to the CBN.

The treasury bills are usually issued by the CBN which will mature between 91 days, 182 days and 365 days.

Other various benefits of investing in treasury bills are; it can be used as collateral to collect loans from banks, it risks is very minimal as it is guaranteed by the federal government and the profit earned is tax- free.

For full information about treasury bills, I advise that you contact your bank or financial adviser for more details about before you invest. Good luck!

careercrew1:
This thread is created as an advisory thread in response to the thread where the OP was asking where he can invest his salary https://www.nairaland.com/3180604/how-save-invest-salary/1#46805379
I hope you will all find it useful as so many salary earners dont know where to invest their salary and income.

Triplee2:

you can also invest in FGN Bonds.
An introduction to FGN Bonds

About FGN Bonds

FGN Bonds are debt securities (liabilities) of the Federal Government of Nigeria issued under the authority of DMO and listed on the Nigerian Stock Exchange. The FGN has an obligation to pay the bondholder the principal and agreed interest as they fall due.

FGN Bonds
When you buy FGN bonds you are lending to the federal government for a specified period of time. The FGN bond is considered as the safest of all investments in domestic currency securities market because it is backed by the ‘full faith and credit’ of the government. They have no default risk, meaning that it is virtually certain your interest and principal will be paid as and when due. The income you earn is exempt from state and local taxes.

The Government Issues Bonds for the following reasons

To finance government deficits in a non-inflationary and sustainable manner
To enhance fiscal discipline and for the management of monetary policies
To restructure the existing debt stock of short term debt to longer term obligations
To establish a benchmark yield curve, which acts as a reference for pricing other bonds issued by other bodies
To develop the domestic bond market on a sustainable basis
To enhance and deepen the savings and investment opportunities
Special Purpose FGN Bond
Special Purpose FGN bonds are bonds issued to meet specific needs of the federal government. For instance, following the approval of Mr. President, special purpose bonds were issued to selected banks for settlement of N75 billion pension arrears in 2006. Five deposit money banks participated in the private placement arrangement. In addition, in 2006 FGN floated bonds for the payment of debt owed to local contractors worth N91.7 billion. Recently, FGN indicated interest to raise funds through bonds for funding specific projects such as Methanol plant, revival of textile industry, terminal wages of workers, building of infrastructural facilities, etc.
for further enquires contact your local bank.

Triplee2:

you can also invest in FGN Bonds.
An introduction to FGN Bonds

About FGN Bonds

FGN Bonds are debt securities (liabilities) of the Federal Government of Nigeria issued under the authority of DMO and listed on the Nigerian Stock Exchange. The FGN has an obligation to pay the bondholder the principal and agreed interest as they fall due.

FGN Bonds
When you buy FGN bonds you are lending to the federal government for a specified period of time. The FGN bond is considered as the safest of all investments in domestic currency securities market because it is backed by the ‘full faith and credit’ of the government. They have no default risk, meaning that it is virtually certain your interest and principal will be paid as and when due. The income you earn is exempt from state and local taxes.

The Government Issues Bonds for the following reasons

To finance government deficits in a non-inflationary and sustainable manner
To enhance fiscal discipline and for the management of monetary policies
To restructure the existing debt stock of short term debt to longer term obligations
To establish a benchmark yield curve, which acts as a reference for pricing other bonds issued by other bodies
To develop the domestic bond market on a sustainable basis
To enhance and deepen the savings and investment opportunities
Special Purpose FGN Bond
Special Purpose FGN bonds are bonds issued to meet specific needs of the federal government. For instance, following the approval of Mr. President, special purpose bonds were issued to selected banks for settlement of N75 billion pension arrears in 2006. Five deposit money banks participated in the private placement arrangement. In addition, in 2006 FGN floated bonds for the payment of debt owed to local contractors worth N91.7 billion. Recently, FGN indicated interest to raise funds through bonds for funding specific projects such as Methanol plant, revival of textile industry, terminal wages of workers, building of infrastructural facilities, etc.
for further enquires contact your local bank.