Investment is a great way of creating more wealth for yourself. While savings is an important financial culture, investment is even wiser. Investments help you build sustainable wealth because your net worth accumulates with time. There are different investment options. However, you must have checked well to make sure you are investing in one with high returns. This article provides you with investment options that give a high yield in Nigeria.
Top 10 High Yield Investment Options in Nigeria
Read on below:
Real estate
The shelter is an essential commodity. People will always need a place to live, this is why real estate will remain a profitable investment option. If you want to get high returns immediately in real estate, consider investing in real estate in major Nigerian cities such as Lagos and Abuja. You can buy plots of land, wait for a little while then sell it. You can also build structures such as houses, hostels, or even shopping malls and rent them out.
Savings bond
This is another golden investment opportunity with high returns. With savings bonds, you can lend money to the government. The bonds program also Nigerians of all income status an opportunity of contributing to national growth and development by lending money to the federal government. The program was also designed to make savings attractive to the average Nigerian. The interest accumulated on your capital depends on how long you choose to save for. The interest on Federal government savings bonds is reported to go up to 13%. You get paid twice a year if you choose this option. The minimum investment amount is NGN5,000 and a maximum of N50,000,000. The Federal Government Savings Bond tenor ranges from two to three years and primary auctions are conducted on a monthly basis.
Invest in Gold
Gold is a store of value, which then makes it serve as a good investment opportunity in Nigeria because gold never loses its value. For example, if you have a 15-karat gold today, after 20 years, the worth may have increased a whole lot even though what you still have in your hand is 15-karat gold. Before investing in gold and gold products, it is very important that you first learn the basics of doing the gold business. You must know how gold is measured, weighed, and valued. Ensure you have a genuine plug where you get your gold from so that you will not lose money on fake gold. With N200,000 Naira to 1-Million-naira capital invested into gold, you’ll make a good profit.
Invest in stocks
The Nigerian stock market is one many try to avoid because of the negative stories that have surrounded it. It is a risky investment but at the same time, holds great returns of investments if the deal goes well. What you need to do is find a good company; a good company is one with a good reputation and history. Buy shares from the company and watch it grow into something huge. If your investment is carefully done and done well, the returns you will receive will not only be in terms of capital appreciation but also dividends and bonuses.
Treasury Bills
Investing in treasury bills is another great investment opportunity. It is also very secure because it is backed by the government. It has little to zero risks and so you will not fear to lose your hard-earned money. Treasury bills have a shorter tenure than bonds. Although the government increased the minimum investment in treasury bills to 50 million, you can still invest in it. This is because banks have designed products that pool funds together from customers, which they can then use to invest in treasury bills.
Crop production
Many are starting to see that there is so much money to be made from investing in Agriculture.
Subsectors of agriculture that are open to investment include crop farming such as
- Rice
- Maize
- Cassava,
- Beans
- Plantain
- Pineapple, etc;
You can find a farmer or farm in which to invest and make a deal with them on getting your returns when the harvest is due. You can be sure the agriculture field will yield even more profit as time goes on, as the federal government is looking to it so as to diversify the economy.
Livestock production
Rearing animals such as poultry, pig, and snail, fish farming is another great investment option. Just as with crop production, if you don’t like to get your hands dirty by going into farming yourself, you can adopt the indirect model by investing in organizations that pool resources together and then engage in large-scale farming on your behalf. These companies will pay you returns on your investment periodically or at the end depending on your contract.
Food business
Aside from food production, fast food businesses such as restaurants are great investment options in Nigeria. Food is an essential commodity and therefore is a huge market. If you are not willing to set up a restaurant yourself, then invest in another person’s business and have your money work for you.
Haulage services/logistics
Haulage or trucking business is one of the most profitable businesses in Nigeria. This is why investing in it will turn out huge profits. Note that the cost of renting one truck to haul your goods from one place to another in Nigeria starts at about N20,000 and even more per trip. The only working transport system in Nigeria happens to be road as the rail system is not functioning. In order for farmers to deliver their goods from farms and villages to the marketplace, they will need to transport these goods via road.
Transportation services
Aside from goods transportation, another option of investment in Nigeria is human transport businesses. People need to move from one place to the other. You can invest in this business by providing transportation services to companies, schools, NGOs, and other organizations. When investing in the transportation business, you also have the option of starting with transport companies such as Uber and Taxify. Here, you can get one car, hire a driver, and get your returns at the end of the week or month.