Tekedia Forum

Forum Navigation
Please or Register to create posts and topics.

Best 2018 Investment in Nigeria


I have N20m which I have in Union Bank for treasury bill. The money was payoff from previous job. But unlike in the past where TB instructions could be in perpetual, now the bank does not reinvest automatically. I can't be doing same monthly. I want to move the money and invest in something else. Any suggestions on good options in Nigeria. I look for max of 3 years with highest safe returns. Prof help

Dear Kinsdon,

I will break this into components to provide the basis upon which I will offer an opinion, at your own risk. Here are pillars:

  • Duration: You want duration of maximum of 3 years. This essentially cuts out many investment options in Nigeria
  • Hedge: I will be looking at how to break the N20m. So, instead of investing in one specific area/project, it can be distributed
  • Country: The country is Nigeria with our political economy, growth prospects, market trajectories, etc. I will take into consideration that the investment will be in Nigeria
  • Indicators: I know that inflation is a huge factor and we have to look at value of money and not just the face value. In other words, N20m today at $1=N350 may be 'bigger" (think of value for money due to inflation) than N22m in three years if $1 becomes N620 (we hope not of course, but this is for scenario mapping)
  • Others: You are sector agnostic as you did not notice any sector you think you want to put this money

Your Investment Thesis

By reading your question, I can infer the following:

  • Planner:  You like planning. That is why you have put a time frame on this investment. Possibly, you have something you want to do with the money after 3 years
  • Risk Appetite: Though I do not know how long this money was in treasury bill, I can infer that you seem happy with its returns. After all, if not that the bank has offered you a poor service, you may still be there. It was working. Simply, you seem to be happy with TB-level returns


The following are the options, based on my synthesis of the scenario. This is happening as I am typing. The thought-process is how long it took me to type this, which is live.

  • Fixed deposit: You fix the money for three years in a good bank in Nigeria. That will do better than TB
  • Treasury bills: This can be substituted with the fixed deposit for higher returns
  • Stock market: You look for some good stocks especially in banking and invest. The risk is there but most are so beaten that they have no room to fall further.
  • Agribusiness: You explore agro-investing through aggregation with those doing so. Read my works on Aggregation Construct by searching tekedia.com. There are companies doing so. I listed some in my new book
  • Trade financing: You contribute to finance trade in some Igbo men going to China. But you need to have the right people. They mop money and use that money to bring container. This is a thriving business in Aba and Onitsha as most have shunned banks owing to the fees. And with the good returns, some people are taking risks. They offer good contracts and in some cases provide collateral as they own shops. Make it formal.
  • Startup/Angel investing: This is off for you as the 3 years will be too short for any meaningful support to the startup. You need to have a window of about 6 years to invest here


At your own risk, here are my recommendations:

Put 50% in fixed deposit for three years. Most banks will give you more than the yield on TB. Since you are already happy with TB, I can say that FD will be good for you. The only issue here is that you cannot have access to the money until three years.

Put 25% in stock market. Notice that some of the beaten banks are coming up. Over the last two years, UBA had moved from N2.80 to about N9 (has not checked for days now). I am not saying that you should buy UBA but I am saying that there are values in the market. Stay with banking as that is the most liquid sector in Nigeria now

Put 25% in either trade financing or agribusiness. On the agribusiness, you may need to do some works. There are many young entrepreneurs who are helping people invest in farming. That seems lucrative from their reports. I do not know where you live. In Aba and Onitsha, some people put money to finance trade. Some men mop cash and travel to China to bring containers. The return if you pool money with them is around 20-30% in four months. It is a solid business outside the banking sector run by some Igbo men. Say someone needs to import something of N120 million, they pool money and once the items come in, they sell wholesale and balance the people that funded them.

Good luck


---You can comment below if you have more issues.

You can keep this with Leadway,contact me 08069118461

Not sure you have made a case. Why not explain the Leadway product. Any link??

LIP ( Leadway investment plan ) This plan is designed to provide protection or a vehicle for saving a lump sum of money for a fixed period at attractive returns/ interest as well as providing life cover . Policy Term , (Min 1yr ,max 5max) Premium ( 500,000 Naira ,no max) Only single premium frequency allowed. Interest ( 12.97% annually ) as of today! This could change depending on market performance,

  Life cover/ sum assured 25%of the account balance and max of 5million Naira in addition to your investment, It also cover critical illness and total permanent disability. No surrender charges. Want to know more? Feel free to contact me. We do Business GREAT.

Thanks Prof for this beautiful insight. This will help me as I research more. I like the FD and will check some rates. Magically nothing on real estate from you

The Naira doesn't have much value, if you think very deep on how to invest N20 million with three years maturity; you will be looking for what happened to the N20 million. The suggestions you gave on Tekedia.com covered my areas anyway. Except the man will be willing to buy buses (maybe hand them over to existing transport companies) and tricycles (keke) for transportation business, that could still pull the trick. But if he wants to make it big, bigger risk is inevitable.

Invest in my Telecom Service SME and earn 3% monthly over a 12 month term placement. You can renew each year if you are satisfied. An MoU/Contract will be signed to keep us legally bond.

Thank you for supporting an SME to grow.

Dear Prof. Ekekwe,

I came across your name somehow online when someone recommended your book and added you to my network. Have been reading about your inspirational impressive profile and background and was wowed when i watched your presentation during the TEEP conference on YouTube Kudos Big Brother.

Hope to relate with you soon on seeking advice and mentorship. In the meantime, i am applying for admission to the university of Cape Town to study MSc Computer Science by Dissertation.

And my intended research area is ICT4D in Agriculture, having read and watched your presentation on zenvus and it;s powerful features I am moved to adopt it as a major ICT tool for my research.

I live in Jos, Plateau state, Nigeria where family is carried out in large capacity and also constant clashes between farmers and "herdsmen".

Sir, i want to ask if Zenvus can as well track movement of cows and send alerts or trigger alarm or how can Zenvus contribute in informing farmers of the activities of herdsmen in their farmlands.

I wish to propose this to the government as well as my organization where i work that has hectares of farmland and are scared to go there due to the activities of herdsmen.

Hope to hear from you soon sir


Chukwudi Nwobodo

To support Nd's position on shares. Consider taking position in the shares of FBNH, ACCESS, FIDELITY OR DIAMOND.

As for Oguaju's advice on tricycles, that may not be ideal for Lagos as the Lagos state government is working towards taking them off the road.

Thank you,