Hi guys, this is a follow up to an earlier thread which did not deal with returns from the capital market.

The stock market is as profitable as any long-term investment. It is not a sharp sharp business. The risk involved is in making wrong investment which may include:
1.Investing in a business that is not well managed.
2. Investing in a business that is not investors friendly.

After investing in a business you may make profit in too ways namely:
1. Through business returns like dividend or bonus the company may share to its investors at the end of a period, usually on annual basis. Though some investor friendly companies may share dividend or bonus more than once in a year.
2. Through capital appreciation. The business you invested in at the rate of N10 per shares may appreciation to N15 per share in the long-term. Which is 50% return on investment. Same way the company shares may as well depreciate which could amount to some percentage loss.

In stock market you earn as you invest. Profits are calculated per share. So the more shares you own the high your return, be it dividend or capital appreciation.
For the minimum amount you can invest; for me I want to place it at a N100k. Any thing less may look like a child's play.

Actually like any longterm investment, the stock market is for the rich or wannabe rich persons. It is a set apart kind of investment, like you buy land and wait for it to appreciate with time.

However you need skill to make wise investment in the stock market because not all successful business are good investment. Where the skill is lacking you may consult experts before parting with your cash.

You can ask me anything.
Thank you for your time and have a nice day.