Zero to Investor: How to Buy Shares in Nigeria as a Complete Beginner

Investing in shares is no longer just for the elite or the highly connected. In today’s Nigeria, with a smartphone and a little curiosity, anyone can start their journey into the stock market. Whether you’re a student, a small business owner, or a salary earner, it’s now possible to buy shares from the comfort of your home, without needing to walk into a bank or broker’s office.

But let’s be honest: the entire process can seem confusing at first. What app should you use? Is the Nigerian Stock Exchange safe? How do you even know what to buy? If you’re feeling stuck, you’re not the only one asking these questions. This article is written to take you from knowing absolutely nothing to owning your first set of shares with full confidence.

What Does It Mean to Buy Shares?

Before you start putting your money into the market, you need to know what exactly you’re getting into. A share simply means a small piece of ownership in a company. When you buy shares in a company like GTBank or Dangote Sugar, you are literally becoming a part-owner. As the business grows and makes profit, you earn part of that profit in the form of dividends or capital gains when the share price goes up. In Nigeria, shares are bought and sold through the Nigerian Exchange Group (NGX), but most people today go through digital platforms that act as stockbrokers.

Step-by-Step Process to Start Buying Shares in Nigeria

1. Choose a Reliable Stockbroking Platform

To buy shares in Nigeria, the first thing you need is access to a stockbroker. Traditionally, stockbrokers operated physically, but technology has changed all that. Now you can open a brokerage account directly from your phone using an app.

Some of the most trusted platforms include Trove, Bamboo, Chaka, and Risevest. These platforms are registered and regulated, so they are legally allowed to give you access to both Nigerian and international shares. Make sure the one you choose is licensed by the Securities and Exchange Commission (SEC) in Nigeria. Always check for reviews before committing to a platform.

2. Open an Account

Once you pick a platform, you’ll need to register. Most apps will ask you for:

• Your full name
• A valid means of identification (e.g., National ID or Passport)
• Bank Verification Number (BVN)
• Email and phone number
• A clear selfie for identity verification

The process takes less than 10 minutes, and you’ll usually be verified within 24 to 48 hours.

3. Fund Your Account

Before you can buy anything, you need to add money to your investment wallet. Most platforms allow you to fund your account using bank transfers, debit cards, or even fintech wallets. There’s no minimum deposit, so you can start with as little as ₦1,000.

4. Choose the Shares You Want to Buy

Now comes the interesting part: picking what shares to buy. You don’t need to know everything about the stock market. Many apps provide research tools and market updates to help you decide. You can start with well-known companies that have a strong reputation and history of paying dividends. Stick with companies whose products or services you understand. For example, if you always use MTN or always shop at Shoprite, buying shares in those companies might make more sense to you.

5. Place Your Order

Once you’ve decided what to buy, enter how many units (shares) you want and confirm the purchase. That’s it. You now own a piece of that company. You can track your investment directly on the app and watch it grow or drop over time.

6. Monitor and Reinvest

Investing isn’t a one-time event. Check on your shares occasionally, but avoid the temptation to sell the moment prices dip. The stock market goes up and down—that’s normal. If you’re investing for the long term, patience is your best weapon.

Also, when you start receiving dividends, don’t spend them immediately. Reinvest them into more shares. That’s how real wealth is built over time.

How Safe Is It to Buy Shares in Nigeria?

There’s always a risk in investing, but buying shares is not gambling. When you invest in well-run companies, your money is working for you. The Nigerian capital market is regulated by the SEC, and licensed brokers are bound by strict rules to protect investors.

However, always do your due diligence. Avoid unregulated apps, and don’t take investment advice from random people online. Use only verified platforms and invest in companies that have a track record of performance.

Mistakes Beginners Make When Buying Shares in Nigeria

• Chasing trends: Just because a stock is hot today doesn’t mean it’s a good investment. Always look at the fundamentals of a company before buying.
• Investing all your money at once: Start small, learn the ropes, and increase your investment over time.
• Expecting fast profits: Shares are not a get-rich-quick scheme. Building real wealth takes time and patience.
• Ignoring fees: Some platforms charge transaction fees. Make sure you understand these costs before you buy.

Should You Invest Now or Wait?

Waiting for the “perfect time” might sound smart, but the truth is, no one can predict the market perfectly. The best time to start investing was yesterday. The second-best time is now. With as little as ₦1,000, you can begin your journey today. You don’t need to be a financial expert or have millions in the bank. All you need is the willingness to start small and keep learning.

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