12/08/2025
📢 How to Start Buying & Investing in Company Shares (Beginner's Guide)
So someone said, “I want to start buying shares and investing in companies, but I don’t really know how it works.”
If that’s you, this post is for you.
I will explain everything simply 👇
✅ What does it mean to buy a company’s share?
When you buy a share, you're buying a small piece of ownership in a company.
Let’s say you buy 10 shares in GTBank for ₦1,000 per unit for ₦10,000...That means you now own a small part of GTBank.
If it increases to ₦1,100... That means you have made 10% profit which can still increase in the long-run
If GTBank does well and makes profit, your shares increase in value, and you can sell at the current price increase, which means you made profit as well... and vice versa.
Some companies also pay you dividends (part of their profit), usually quarterly or yearly.
If GTBank annual dividend is ₦5 per share... You would be making ₦50 every year on dividend
The higher your shares, the higher your dividend.
✅ Is it profitable?
Yes, if you invest in strong, well-managed companies and hold them long-term.
Some Nigerians who bought Dangote, Nestle, or MTN shares years ago are cashing out good money today.
BUT you can also lose money if the company performs poorly.
That’s why it’s important to learn and diversify (don’t put all your money in one place)
✅ How much do I need to start?
You don’t need millions.
You can start investing with as little as:
₦1,000 (for local stocks)
₦5,000 or more (for foreign stocks)
Consistency is more important than capital. Even ₦10k monthly can grow over time.
✅ Types of Shares to Buy:
There are 2 major options:
🔹 1. Nigerian Companies (Local Stocks):
Examples: Dangote, Zenith Bank, MTN, BUA Cement, Access Bank
You buy these on the Nigerian Exchange (NGX).
To buy, you need an Afrinvest Account
Your BVN, ID, and sometimes utility bill
🔹 2. Foreign Companies (US/Global Stocks): Examples: Apple, Google, Amazon use Bamboo
