Real Estate Investments

Real estate has been a popular investment option for many years. It is a tangible asset that has the potential to appreciate in value over time. There are various ways to invest in real estate, including rental properties, flipping properties, and real estate investment trusts (REITs).

Rental properties can provide a steady stream of rental income and the potential for long-term appreciation in property value. Flipping properties involves buying a property, renovating it, and selling it for a profit. REITs are companies that own and manage income-producing real estate properties. They offer investors the opportunity to invest in real estate without having to buy, manage, or finance properties themselves.

If you are a Kenyan, one of the REITs you could try is Vuka, a REIT created by Acorn Investments and Approved by The Capital Markets Authority. It allows you to invest for as low as 250/=. Try it today: Vuka Investment Club

Stocks

Investing in stocks is another popular way to grow your wealth. Stocks represent ownership in a company and offer investors the potential for long-term capital appreciation and dividends. There are various ways to invest in stocks, including individual stocks, mutual funds, and exchange-traded funds (ETFs).

Individual stocks can provide higher returns but also carry higher risk. Mutual funds and ETFs offer diversification, which can help to lower risk. They are also professionally managed, which can be an advantage for investors who don’t have the time or expertise to manage their own portfolios.

Cryptocurrencies

Cryptocurrencies have gained popularity in recent years as an alternative investment option. Cryptocurrencies are decentralized digital assets that use encryption techniques to secure transactions and control the creation of new units. They offer investors the potential for high returns but also come with high volatility and risk.

Bitcoin, Ethereum, and Litecoin are some of the most popular cryptocurrencies. Investors can buy and hold cryptocurrencies as long-term investments or trade them actively to try and take advantage of short-term price movements.

Peer-to-Peer Lending

Peer-to-peer lending, also known as P2P lending, is a way for investors to lend money to individuals or businesses through an online platform. P2P lending offers investors the potential for high returns but also carries the risk of borrower default.

Investors can choose which loans to invest in based on the borrower’s credit score, loan purpose, and other criteria. P2P lending platforms charge a fee for connecting borrowers with investors and managing the loan process.

Conclusion

In conclusion, there are various potential medium to high returns investment options available to investors. Real estate investments, stocks, cryptocurrencies, and P2P lending are just a few of the options available. Each investment option carries its own risks and potential rewards, and investors should carefully consider their investment objectives, risk tolerance, and time horizon before investing.

It’s important to note that investing always involves risk and there are no guarantees of returns. Therefore, investors should always do their due diligence and seek professional advice before investing. With careful planning and informed decision-making, investors can potentially grow their wealth over time through a diversified investment portfolio.

One of the most exciting use cases for NFTs is in the world of art and collectibles. NFTs allow artists to create one-of-a-kind digital pieces that can be sold and traded just like physical artwork. This opens up new possibilities for artists, as they can now sell their work to a global audience without the need for physical galleries or auction houses. For example, digital artist Beeple sold an NFT of his work for $69 million at Christie’s auction house, making it the most expensive NFT ever sold.

Another industry that has been impacted by NFTs is the world of gaming. NFTs allow developers to create unique, in-game items that players can own and trade. This has led to the emergence of a new type of game, known as “play-to-own” games, where players can purchase NFTs that represent in-game assets such as weapons, vehicles, and even virtual real estate. For example, the game Axie Infinity, is a blockchain-based game, where players can buy, breed, and battle fantasy creatures called Axies, and all the in-game assets are represented as NFTs.

NFTs are also being used to create new opportunities in the world of real estate. Using NFTs, developers can create digital representations of physical properties that can be bought, sold, and traded like traditional real estate. This opens up new possibilities for investors, as they can now invest in real estate without the need for physical property. For example, the company “Propy” is using NFTs to digitize commercial and residential real estate, making it easy to buy, sell and transfer properties on a global scale.

In the music industry, NFTs are being used to create new ways for artists to monetize their music and connect with fans. For example, musicians can create NFTs that represent exclusive access to concerts, merchandise, or behind-the-scenes content. This allows artists to create new revenue streams and foster deeper relationships with their fans. The band Kings of Leon made history by selling their album as NFTs, which were bought by fans for cryptocurrency.

In conclusion, NFTs are a revolutionary technology that is changing the way we think about digital ownership and authenticity. These unique digital assets are being used in a wide variety of industries, from art and entertainment to real estate and gaming. NFTs are opening up new opportunities for artists, developers, musicians, and investors to monetize their work and create new revenue streams. As the technology continues to evolve, we can expect to see even more innovative use cases for NFTs in the future.

I’ll start with a quote: “Happiness comes from surpassing your limits”

1. Fitness: Lift heavy and do sprints
2. Investments: Build a great investment portfolio
3. Success: Build your business or work hard at your job. Keep improving.
4. Intelligence: Build skills, read books, write and become articulate

Think long-term. Do things that target these 4 everyday. Consistency will get you there. I suggest 10 years.

Ethereum(ETH)

With the advent of WEB 3.0 and Ethereum 2.0, Ethereum is set to become the most popular and most used cryptocurrency. Then there’s the Ethereum Naming Service. Look just own 0.01 of ETH. Please do. Ethereum is that crypto that has so much potential. It can be used for so many things. Most metaverse tokens are built on Ethereum. Most Defi tokens are built on Ethereum. This should tell you something about the coin. So just make an effort to own this. Even just 0.01 ETH. That’s enough.

Bitcoin(BTC)

Bitcoin is the biggest crypto right now and it still has the potential to grow. Buy it now and forget about it.

Metaverse Index Token(MVI)

The metaverse is hyped right now. I believe it’s going to continue to grow. Buy this and you should be good.

Others to include that have potential: Dogecoin, Solana, Decentraland, Binance Coin, Uniswap, Binance USD, and Shiba Inu

NB: This article is not financial advice. Do your research. I recommend you start with Web 3.0, Metaverse, and Defi.

To finalize, if you’d like to invest in the aforementioned cryptocurrencies then invest with Binance and get 5%: Buy and Trade Crypto With The Best Exchange: Binance

Have a great day everyone!

Photo by Executium on Unsplash

Blue Chip Stocks: 20%

Other Stocks + Remaining NSE 25 Share Index: 15%

Mutual Funds: 30%

Cryptocurrencies: 30%

Others(REITS and additional): 5%

I currently don’t own any real estate investments aside from Stanlib Fahari I-REIT but I’ll soon start investing directly in Real Estate which would total up to 35% I’d then use mutual funds for savings instead of investing.

I’m also looking forward to buying Ugandan and American stocks soon, so index funds will be joining the list in which I’ll allocate 20% and then move a few of the others down.

Aside from these, I am planning to buy ETFs like the ABSA NewGold ETF and more.

I am very interested in the crypto market so that percentage isn’t likely to change anytime soon. The reason for this is as I mention in my previous post which I’ll link down below. Crypto has been my “golden goose” out of all my investments crypto has brought me the highest returns on investment and as such I will stick with it for a while. To top this off the crypto market is still growing. Then there are the metaverse crypto tokens that are growing as well. So I believe crypto will remain my golden goose unless something else brings in more.

I’d like to make myself clear, every investment listed above aside from Mutual Funds will be held long-term for ATLEAST 6 months and ATMOST 30 years.

Mutual funds act as lifesaver jackets for me, as long as nothing “life-threatening” comes my way, then I am likely to hold them for the same period 6 months to 30 years.

Everything above is subject to change depending on my research and findings. Always research your preferred investments.

I’ll link all the posts I believe can help you make your own investment strategy down below. I’d love to hear more about your investment strategy and portfolio down below in the comments. So please feel free to share.

I use Genghis Capital for Kenyan Stocks(They also have a money market mutual fund), Equity for Ugandan Stocks, and Binance for Cryptocurrencies. I am slightly dissatisfied with Genghis but it’s a great company and they provide free market research as well as recommendations. Use this link to register with Binance, to use Genghis, just download their app from the Google Playstore or Apple Store and register. They have made it that simple. As for Ugandan Stocks use their online portal.

Note: I haven’t listed savings, retirement funds, life insurance, and the likes, simply because they don’t belong in this category. If you’d like me to talk about them kindly comment down below.

My plan is to live solely on investments.

That’s it for today.

Hope you have a great one!

Quote of today

Saving is puting your money to rest, investing is making your money work for you even while you are asleep

Additional Resources

Also Read:

Also Read:

Also Read:

Also Read:

Today I’ll be revealing my investment portfolio in a bid to encourage young people in their teens, twenties, and thirties to invest.

Starting up with stocks, mutual funds, crypto, and finally, my future “to invest in” list.

Stock Portfolio

Market Value: Ksh. 6,988

Total Cost: Ksh. 6,600

Profit/Loss: +358

Stocks: ABSA Bank, Britam, East African Cables, CIC Insurance, Co-operative Bank, Stanlib Fahari I-REIT, Sameer Africa, HF Group, KenGen, Kenya Re, Kenya Power, Scangroup, TransCentury, Uchumi, and Liberty Holdings.

Mutual Funds

Value: Ksh. 17,404

Cost: Ksh. 16,000

Profit/Loss: +404

GenCap Hela Imara Fund: Ksh. 6,250

Cytonn Money Market Fund: Ksh. 11,154

Cryptocurrency Portfolio

Market Value: Ksh. 14, 661.16

Total Cost: Ksh. 6,400

Profit/Loss: +8,261.16

Cryptocurrencies: Binance Coin, Ethereum, Bitcoin, Shiba Inu, Cardano, Dogecoin, Mines of Dalarnia, Manchester City Fan Token, Basic Attention Token, and Binance USD

Total Cost: Ksh. 29,000

Profit: +9,029

Time Frame: 7 Months

My “To Invest In” List

Stocks: MTN Uganda, Safaricom, Equity Bank, Kenya Commercial Bank, B.O.C, Kenya, Centum, Total Energies, NSE, The Remaining NSE 25 Share Index, Vanguard 500 Index Fund(US), ABSA NewGold ETF, Facebook/Meta(US), Google/Alphabet(US), and Tesla(US)

Cryptocurrencies: More Ethereum, Decentraland, Axie Infinity, Enjin Coin, Metaverse Index Token, Chainlink, Loopring, Polkadot, Solana, Polygon/Mantic, Illuvium, and Veechain

Others: Bonds, Bills, Vuka(From Qwetu), and Real Estate

1. Live below your means

Never before has there been such a rise in self-comparison especially with the invention of Instagram. But forget that for a second. Remember 50% of those people you see flaunting money and living in luxury are in debt and are using loans to keep the facade.

Embrace minimalism and essentialism. Live below your means. Don’t focus on how people view you, focus on yourself. I can assure you 70% out of the 50% are living miserably and in debt. They are depressed and sometimes desire to commit suicide.

Live below your means. Here’s how you know you are living below your means.

You retain close to 30% of your monthly income after all the deductions including water, rent, food, and other bills.

2. Create an emergency fund

An emergency fund usually entails saving up money capable of taking you 3 to 12 months with zero income.

You create an emergency fund by adding up all the bills you need to foot including rent, food, waste, and transport, then adding the occasional self-treatment/payment/enjoyment/leisure, then adding up medical costs/insurance, and finally adding up 20% of the aforementioned additions times 3 or 6 or 12.

Basically, an emergency fund is a fund capable of keeping you alive and healthy for 3 to 12 months. This means food, rent, bills(internet, electricity, waste, water, health, car, among others) times 3 months or 6 months or 12 months. The further the better.

Mine comes up to Ksh. 40,000 or 400 USD per month, now times 6 = Ksh. 240,000 or 2400 USD. Don’t get extravagant because you’ll need to save up the amount you end up with. Remember BASICS and 20% of the basics(for leisure).

3. Manage debt

Not all debt is created equal, there’s good debt and bad debt. Find the difference and manage it. If you can eliminate all debt. The top 10% know how to use debt to create income. Make sure the income is 3x higher than the debt to prevent issues.

4. Invest

Invest immediately you get your income. I’d suggest you invest in index funds if you live in the US and other first-world countries.

Generally, I suggest you invest in stocks, cryptocurrencies, mutual funds, unit trusts, ETFs, NFTs, and others. Rule of thumb: Invest 30%(50% is great) of your income, if you can invest more, do it. Working on an ebook that will teach you more ways to invest and even simplify investing.

Also Read:

5. Get a job or build a business

This is a no-brainer. Apply to jobs or build a business, even better: do both. You need as much money as possible. Don’t be afraid to do “low caliber” jobs. If you can do multiple small jobs without burning out or experiencing degrading health, do it.

6. Create multiple streams of income

This is very important. Find ways you can build multiple streams of income e.g you can write articles even as you build your business or do your job. This will eventually grow into something that makes money for you while you sleep.

The creative economy is a great thing, research and create products then sell them on platforms like Gumroad or Podia. You can also productize your service and sell them.

7. Stay healthy

By staying healthy you keep yourself from getting sick and having to use the money to pay for bills. But that’s not the only thing that it will help with. You will also be in better shape to earn more money and build wealth. Also, consider investing in medical insurance. Find a good one, research the pros and cons before settling.

See a previous post on how you can become healthy.

Remember: Low/NO Sugar, No Soy, Moderate Sodium, High Fat, Low Carbs, More Veggies, More Meat, More Water, More Fiber, Fewer Fruits, More Eggs and Less Frequently(One Meal A Day, One And A Half Meals A Day, Intermittent Fasting, Autophagy)

Also Remember More Sun, More Fermented Foods, More Movement/Exercise.

Also Read:

8. Learn & build your skills

Building skills makes you high value, which means you become twice as likely to be hired every time you learn a new skill or master an old one. The same is true for business, the more skills you learn the more likely you are to attract potential clients.

Also Read:

I’d suggest signing up for Skillshare, use this link to get 1 free premium month worth of content: https://skl.sh/3wxbE9O

I’m currently learning

• Financial Literacy
• Web Design with Figma and Webflow
• Copywriting
• Facebook ADS
• Graphic Design
• Python
• Ruby on Rails
• Golang
• Web Development

9. Start a retirement fund

I know, I know, you are in your teens and twenties, you think you are still young. But trust me, if you want to build wealth, start a retirement fund. Try Roth IRA, 401k, you could also ask your bank if they offer retirement accounts or go with your country’s retirement fund. But make sure you get the most bang for your buck. Requirements for a good retirement fund: 1. The company is regulated and was founded 10 years ago or later 2. The rates are very good(you’ll need to research multiple funds to know if the rate of the one you choose is great) 3. Can be hooked up to your bank of choice, employer and supports manual payments(not primary) - Basically, you need to have an automatic payment system in place where money is automatically deposited into the funds but allows you to top up.

10. Stop gambling

Gambling is a bad habit and could cost you everything.

11. Take responsibility for your life and finances

That’s the end of this post.

To all who take the initiative to put the above into action, “Greatness is coming!”.

More ways will be explained in my ebook: “How to Invest and Build Wealth”. I still don’t have a date but my newsletter subscribers will be among the first to be notified together with a 50% coupon code.

Subscribe to my newsletter down below.

See you soon.

Banking Sector

1. Absa Bank Kenya Plc
2. Stanbic Holdings Plc
3. Diamond Trust Bank Kenya Ltd
4. Equity Group Holdings Plc
5. I&M Holdings Plc
6. KCB Group Plc
7. NCBA Group Plc
8. Standard Chartered Bank Kenya Ltd
9. The Co-operative Bank of Kenya Ltd

Commercial and Services Sector

1. Nation Media Group Plc
2. WPP Scangroup Plc

Construction and Allied Sector

1. Bamburi Cement Ltd

Energy and Petroleum Sector

1. KenGen Co. Plc
2. Total Kenya Ltd
3. Kenya Power & Lighting Co Ltd

Insurance Sector

1. Britam Holdings Plc
2. CIC Insurance Group Ltd
3. Kenya Re-Insurance Corporation Ltd
4. Liberty Kenya Holdings Ltd
5. Jubilee Insurance

Investment Sector

1. Centum Investment Co Plc

Investment Services Sector

1. Nairobi Securities Exchange Plc

Manufacturing and Allied Sector

1. British American Tobacco Kenya Plc
2. East African Breweries Ltd

Telecommunication Sector

1. Safaricom Plc

1. Bitcoin(BTC)

2. Ethereum(ETH)

3. Dogecoin(DOGE)

4. TetherUS(USDT)

5. Ripple(XRP)

Go check them out, especially with Dogecoin. Implement the HODL technique. This drop and rise so don’t be afraid and only invest money you don’t mind losing.

To buy these I suggest you try Binance using this link, you’ll get 5%: Binance

See you next time. Stay safe!

Disclaimer: I am not a financial expert, down below is purely my opinion.

1. Money Market Funds ^{Low Risk}

A money market fund mainly invests in short-term debt securities with high credit quality such as treasury bills and commercial paper. This fund is ideal for the conservative low-risk investor who leans towards stability and security for capital invested. Interest is calculated on a daily basis, and credited to the client’s account net of costs.

For example Cytonn’s money market fund can go up to 11% depending with the market.

Currently there are more than 8 Money Market Funds in Kenya.

Here are the ones I know about.

1. Cytonn Money Market Fund
2. Icea Lion DigiTrust
3. Britam Money Market Fund
4. CIC Group Money Market Fund
5. GenCapHela Imara Money Market Fund
6. UAPOld Mutual Money Market Fund

2. Real Estate & Land ^{Moderate Risk}

Real Estate & Land is mainly the buying, selling or renting of real estate or land. Land and Real Estate are assets known to appreciate in value and one of the contributing factors to this, is that the world is running out of land and land prices keep increasing because of it’s demand. Real Estate on the other hand is important as well. Investing in this usually means you are buying a piece of land or housing then wait for it to appreciate in value and then sell or rent it. Many have devised a ploy where they rent land then rent it to other people and they deduct their profits while paying the rest to the official landlord.

Real Estate is a moderate risk high return investment, which means before attempting to invest in this. Lay aside an emergency fund as prices depreciate too. Take a look at this season we are in, it’s prime season for those looking for housing or land but not so good to the sellers.

I know of only 3 way of investing in land and that is through

1. Safaricom Investment Cooperative
2. Cytonn Real Estate
3. Stanlib Fahari - Stanlib Fahari I-REIT is Kenya’s first Real Estate Investment Trust (REIT) providing investors with a steady income stream and capital growth. The fund invests at least 75% of its Total Asset Value (TAV) in real estate in strategic locations in Kenya. A maximum of 25% of its TAV is invested in cash investments and cash-like instruments.

3. Shares ^{Moderate Risk}

I talk about this here: How To Buy Your First Share

4. ETFs(Exchange Traded Fund) ^{Moderate Risk}

An exchange traded fund (ETF) is a type of security that involves a collection of securities—such as stocks—that often tracks an underlying index, although they can invest in any number of industry sectors or use various strategies. ETFs are in many ways similar to mutual funds; however, they are listed on exchanges and ETF shares trade throughout the day just like ordinary stock.

The only ETF I know is

1. Absa NewGold ETF - The Barclays/Absa NewGold ETF is an instrument that tracks the price of gold in line with the international markets. It is listed on the Nairobi Securities Exchange and trades under the symbol GLD. Any local investor can purchase it through placing an order through their stockbroker.

   If an investor buys the security/share of the NewGold ETF he is effectively buying approximately 1/100th of an ounce of Gold which is held in a secure depository on behalf of investors and is backed by physical gold.

5. Cryptocurrencies ^{High Risk}

A cryptocurrency (or “crypto”) is a digital currency that can be used to buy goods and services, but uses an online ledger with strong cryptography to secure online transactions. Much of the interest in these unregulated currencies is to trade for profit, with speculators at times driving prices skyward.

Just recently they crypto market(all cryptocurrencies) surpassed 1.2 Trillion US Dollars, that’s 131,340,000,000,000.00 Kenyan Shillings. One Bitcoin, the most popular cryptocurrency is at 5,103,850.51 Kenyan Shilling. So you can see the potential cryptocurrencies have. They are a great investment. But you have to be careful as this is a high risk investment, i mean very high risk. Bitcoin and the likes aren’t regulated, if for example hypothetically bitcoin was to disappear from the internet, so would you money. It’s a high risk high return investment.

Here is a list of some cryptocurrencies

1. Bitcoin at 5,103,850.51 Kenyan Shillings
2. Ethereum at 196,334.71 Kenyan Shillings
3. Litecoin at 20,720.36 Kenyan Shillings
4. Bitcoin Cash at 56,694.36 Kenyan Shillings
5. Monero at 16,504.40 Kenyan Shillings

6. Forex ^{High Risk}

Basically investing/trading in other currencies eg USD.

One way to do this is to register with FXPesa

That’s it for today I know I haven’t covered all of them so I’ll save the rest for another day.

Go check out my other post on how I started investing.

Have a great day everyone.

My name is Stephen and welcome to “How I Started Investing”.

My investment journey started with YouTube videos. Specifically Nabo Capital, Money Wise by Rina Hicks and Caroline Mutuko.

I just stumbled upon Nabo Capital’s Money Market video, I researched Money Market Funds and found Cytonn.

So my first investment was 400 bob. It was all I had that day, I downloaded their app, registered and deposited that.

After a few days I met a video by Rina Hicks which helped me further understand Investing.

I immediately put 400 in Bitcoin later that day and within a weeks time got 500. Out of excitement i withdrew, took out the 200 and reinvested 300 in Cytonn’s Money Market Fund. After a while, I invested 450 in bitcoin, sadly I was impatient(thinking i was going to lose my money) and withdrew after 3 weeks at 440, a ksh.10 loss.

Since then I have invested ksh. 2,000 in shares, 700 + on Cytonn Money Market Fund and 500 in Bitcoin.

My shares have a 9% profit but sometimes i get as low as -12% loss in a day, I am still holding on.

Got ksh. 4 + in my money market fund(after 3 weeks).

Got ksh. 79 + in Bitcoins.

My number 1 tip would be: Don’t rush, don’t be impatient, don’t fret when your investment goes into a loss, just hold on a little longer and I can assure you, you won’t regret it.

So that’s it, I suggest you check out there channels.

I personally use Cytonn for Money Market Fund(You can start with as little as ksh. 100), Genghis for shares(same as above, there are share going for as low as 1.23 and the minimum share amount is 100, so that’s ksh. 123.) and Local Bitcoins(where you can also buy for as low as ksh. 100)

Have a great day!