Phlinx:


Investment One isn't all that it is advertised to be. Too many shortcomings.
I now use Meristem and very happy here.

Meristem will be great if they can automate dividend payment.
They charge 500 Naira and I still have to fill forms before dividends are paid

jedisco:
A fresh eurobond offering at 8.3%. I wonder how this rate compares to borrowing by other nations....

All said, if the historical 10% pa devaluation of the naira against the dollar continues, this should present a vetter opportunity than local FGN bonds....

There's usually a way for local investors to participate

This bond was over subscribed by about 400%. $4 billion was on the order book. Nigeria needs to take advantage of the cheap international funds. Every reduction by 1% saves us tens of millions of USD.
BTW, local investors did $60M out of the total subscription in the last Eurobond.

Oil is $150, but seems another dollar squeeze is imminent.

https://www.nairaland.com/7022396/zenith-bank-suspends-international-atm

RabbiDoracle:


On 25th November 2021, I warned all that based on the chart that rice price is going to get out of hand. This was based on Technical analysis.

With the ongoing war in Ukraine, yesterday Russia announced they have banned all export of fertilizer. So this means that there will not be fertiliser supplied to any part of the world.

Hungary just banned the export of grains to preserve the ones they have to starve off hunger.

Many more countries will put a hold on export of grains. Expect more bans on grains and agricultural produce.

If you think things are expensive now, wait till month end to understand what "expensive" means.

Global hunger is here. And there is a possibility of food to be rationed in countries where there are not enough food.

According to Dangote ED (Devankumar), they have capacity to produce 3 million tonnes of fertilizer annually. They started exporting to Brazil ($400m) late last year. Now is the time for Dangote to shine and cash out

yMcy56:

Reading some comments, I must say this is one truthful person among all that missed UCAP bus cheaper.......

With all Pa Emma said about this stock.......backed up with statement of facts.......what else can someone like me say, wey dey shout this stock all the time here.

Something wey be N20 stock self ....... Lol.

Mehn, I remember the conversations here about UCAP. I just logged into my Meristem now and I see I bought tashere units then. It has doubled now! Thanks to everyone here

jedisco:


Its been discussed at length before. Repaying domestic debts would not be an issue and foreign debts are still within sensible limits. OTOH, that over three-quarter of revenue generated is used in servicing debt is a comcern.

To put things in perspective, money supply (i.e new money) increased by over 13% last year. While this was not uncommon around the globe, what's rather unique is that our government has also shown that a significant proportion of this new money will be used to continue borrowing at high rates.

From economics, we know that in a population, the first recipients of new money benefit the most as they get and utilise their share before the resulting inflation eliminates the buying power of those down the line. So for an individual, the bond offering presents a safe and sensible investment. For the nation, whether that's the best way to spend is anyones guess

Boss, why would repaying domestic debt not be an issue? Because the CBN can print new money to meet the obligations? Will this not continue to cause large inflations and devalue all Naira holdings in-turn causing serious pain to the masses.

Even for the bond holders who receive new money, remember only a percentage is given to them in returns/interests. The resulting devaluation will catch up with their capital and subsequent returns making it worth even less.

97% of revenue used in servicing debt is a huge problem. Our foreign debts servicing are just shy of limits now, borrow just a bit more and the alarm bells go off. It is self-deceit to not see the problem or think it won't come. Lebanon, Venezuela, Greece etc have been here before.

Seems to me like there is no easy way out. Any solutions?

I have learnt a lot from this forum over the past years.

On this thread, we talk about Government securities and how to grow our personal finances through them. I am shocked that no one is seeing or talking about the impending danger which is a risk of default by the Nigerian government.

At current rate, Nigeria needs to spend 1.78 trillion Naira yearly to service local debt and about $2billion yearly to service external debt.

With Debt at 98% of revenue, Nigeria will simply be unable to pay her debts after the current oil boom which is in 2-5 years from now.

Combine this with over 10 trillion loan which the CBN has given to the FG via ways & means and the situation is stark!. Why is an individual advised to buy 15/30 years Nigeria bond when we know quite well that Nigeria will either devalue significantly, face significant inflation or default on all its debts?

Sicilyjoe:


Not only generator, tv, fridge and even phone

I bought a fridge here in 2018. I use it till today. No issues

likky1:
1. Washing machine 9kg (Top loader) = 60000
2. Mattress 6 by 6 =25000
3. Mattress 4 by 6 =15000
4. Manual grill = 8000
5. 4 burner cooker with oven= 18000
6. 2 burner table top =5000
7. Microwave Oven= 20000
8. Refrigerator fridge/freezer = 70000
9. Kitchen scale= 5000
10. Gas cylinder 12kg= 18000
11. Gas cylinder 3kg= 10000
12. Plate rack= 8000
13. Plastic Table= 2000
14. Electric Blender= 15000
15. Sealing Machine= 5000
16. Ceiling fan 2= 10000 each
17. Smart TV 50inches = 80000
18. Two doors TV stand = 10000
19. Centre table with 2 stools = 10000
20. Center rug= 10000
21. Chairs (settee)=50000
22. Pressing iron= 5000
23. DSTV Explorer= 10000
24. Inverter Air Conditioner 1½HP=80000
25. Air Conditioner 30000
26. Wall clock free
27. Kids bicycles 2 5000
28. Hair clipper 1000
29. Car seat 5000
30. New footmat 2000
31. New glass cups (6pcs) 1000
Prices are slightly negotiable

Are you in Lagos? How can buyer(s) reach you?

Here we go again
Nigeria’s N250 billion Sukuk Bond oversubscribed by 346%
https://nairametrics.com/2021/12/25/nigerias-sukuk-bond-oversubscribed-by-246/

Tobex4realTobex234:
I am not a naira investment expert but to the guy asking why can't the government lower the interest rate.

If naira interest rate drops to 7%. Please why will I invest in naira when I can invest in KES at 10%, USD at 7%? Note that historically and even the futures of these currencies are way stronger than the naira.

What I think the government should do is to fix electricity, fix security and make sure the environment is more conducive for business. All these portfolio investments won't move the needle in terms of the productivity of the citizens.

I really don't think the TB and Bonds market will feel the effects if individuals don't invest.
The market is usually oversubscribed 160%. It will get filled with or without.
There is so much Naira liquidity that the CBN sequesters over 12 trillion in bank customer deposits right now. You shouldn't manage liquidity by giving out more liquid cash (in interest). That just seems like kicking the can down the road and it's the masses that will suffer.

The issue becomes chicken and egg. Institutions want higher interest rates to beat inflation/devaluation. In return, CBN hikes rate, thereby leading to even worse devaluation and inflation.

Lazyyouth4u:


Do your research on why those countries have low interest rates before misleading people with confidence abeg.

Those countries are mainly francophone countries that have their currency (CFA) pegged to the Euro. Kenya, Ghana and other anglophone countries that their currencies are not pegged do not have low rates.

I speak of Rwanda.
Developing country, low interest rate, organic growth. No peg to Euro. They do managed float like Nigeria.

jedisco:


My issue is why the government still retains such high bond rates even when it's obvious they'd still be oversubscribed at much lower rates. It doesn't just add up. Imagine lending money from your bank and also asking them to increase the lending rate because you're feeling generous.

Even if the overall value that comes from such projects well exceeds the payout, we know that would not accure to the government directly to facilitate payouts. Every country prints money- this has become more obvious with COVID. How they use such money is what differentiates sensible nations from others.

I have reattached a snapshot of 10yr bond rates of different nations. Some are in the negative (i.e folks pay to hold bonds), some well in the positive. Irrespective of whether it's a chicken or egg scenario, one thing is clear- the performance of the national currencies with the highest paying bonds tend to be abysmal... The profits may look good on the surface, but the maths will always add up.

I was shocked to see smaller African countries with bond return rate of less than 5%.
I think the bond rate in Nigeria is kept high to prevent capital flight. If the rates are low, investors may move to other countries to seek for better rates which will affect exchange rates.
It’s interesting though that since the pension funds are the largest investors, then this may not be valid as there are rules guiding where they can invest in.

ositadima1:


Maybe, or maybe not. If and only if the bond revenue is used for what it was mapped out to be used for. I remember seeing on the DMO website what projects the collected moneys would be used for.

For example,what the roads that will be built will return in value creation, if done well should exceede the coupon payouts.

I beg to differ.
The project costs are so high that returns on them are barely enough to meet the interest payment. The government subsidizes train usage prices to make masses happy.

An example is the Lagos-Ibadan railway which costs $1.5Billion to build and currently generates revenue of less than $4million annually. Once operating expenses are factored in, the government is making a loss. Yet interest and capital still need to be paid separately.

Talk not of Abuja-Kaduna railway and Itakpe-warri. They are worse off financially.

Hisebu:
iwatch Series 6
40mm GPS & Cellular
with chager
@160k

Location?
You know one has to see before paying

Slimdove:


People should aline with Good dividends paying stock.like UBA ,UCAP,ZENITH ,GTB, IMG FIDELITY ETC in which ever way it goes,dividends will help reduce your lose and also target to buy close to bottom.

It’ll always surprise me that UCAP was 1.90 in March last year. It has almost 6X since then

213 Billion!!!
This can’t be just retail funds. Some institutions may be involved in the loss. Over 200 billion is a lot of money.

Many big coys on the stock exchange are not worth that much.

currentprice:
https://doclib.ngxgroup.com/Financial_NewsDocs/34659_ECOBANK_TRANSNATIONAL_INCORPORATED%20Q32021_CORPORATE_AC.pdf

Someone should help analyze what is happening Ecobank please. >800% increase in net profit!!
I’ve been seeing this bank in many African countries I travel to. Even in East Africa!

moneymanager:


Might just be fake news but I had to ask O to be sure

I’ve learnt so much from here that I’m certain GTCO is safe.
A public bank consistently giving dividends and growing Y-o-Y cannot go down because of some branch news.

emmanuelewumi:



NB I have MTN shares oooo but it is about 1% of my portfolio.



At times, we need to look at the " what ifs" and whys

The current holders of MTN are selling to cash out a bit and also to de-risk the business from unfavorable government policies. They believe that if a substantial stake is held by retail Nigerians, Government will think twice before slamming them with fines. So they want to sell to ordinary Nigerians and pension funds.

MTNN is a significant part of MTN group, Naira devaluation is also an enemy.

princesavo:
TLC DEALS

4 PIECES
BRANDNEW UNACTIVATED
SERIES 7 APPLE WATCH
41MM
GPS ONLY
WATCH AND CHARGER ONLY
200,000

11PIECES
BRANDNEW UNACTIVATED
SERIES 7 APPLE WATCH
45MM
GPS+LTE
WATCH AND CHARGER
220,000

Ak-NEW YORK

What does AK new york mean? Can I get one in Nigeria (Lag)?

AgricMaster:


I want to express my appreciation to Mr Olaide1295 for coming to my rescue.
My friend did pick up the Microwave oven today.

Thanks a million.

You’re welcome

AgricMaster:


Thank you so much in advance
i stay in PH but my i have someone in Ajah that can come over to pick it up for me.
Could you please text the address and best time to pick it up on 0.8 0 7.8.7. 5.four four four four

Please have him send me a Whatsapp message. My phone is on the image in my profile. I will come to VI with it on Wednesday/Friday.
He can come to VI from Ajah. (Ajose Adeogun).
Send me a message before then.

AgricMaster:
I'm writing to Nairalanders to ask you to support me and my new project.
With any used Microwave oven to help me accomplish a project goal i recently embark on.
I am so short of fund now to get the parts and i want to improvise using Microwave.
if you have any lying somewhere in your house corner unused and you wish to give away
kindly call 0.8 0 7.8.seven 5.four four four four

I have one to give out. Are you in Lagos?

NL1960:


Somebody whispered to me that Otedola is just the 'seen' hand and that there is an 'unseen' hand. Do not know how true is that.

A bank MD mentioned this same thing to me (that there’s an unseen hand). I asked for a hint and he said “Central bank”.

I’m not even sure what it means. Does Central bank invest in companies? Why Otedola?

yMcy56:

Amen!!
God bless you too dear bitL.
I checked the date of the quoted post, saw that it was posted in Feb 2021 and I'm particularly happy that you waited it out.......and most importantly, it delivered and still delivering.
Kudos bro!

Shout-out to @currentprice on this UCAP in particular and shout-out to Oga OGG as well.
God bless you Sirs.

I also bought UCAP last year after reading the analysis on this thread. More than 50% up. I appreciate the people here and the conversation.

NL1960:


Wife is Board Chairman while husband is Managing Director and people are putting millions into it. Very funny.

Ah. Chairman and MD. Interesting corporate governance. lmao

jedisco:


The first is one part I really agree with... What the CBN and MOF should do is itemise the top 10 imported items consuming forex and see how to replicate these here.
A while back, I talked about diary import. Fact is, whether we like it or not, or whether we have the technology or not, Nigeria a nation of 250 million cannot afford to continue importing milk from Netherlands a country of 18 million people...

What I don't agree with is forcing prosoners yo do manual labour as this will gp against basic human rights.


What our elite don't understand is that borrowing is more beneficial to Western nations than it is to African nations... Ideally, US should be paying Nigeria to keep our foreign reserves in the dollar

We have millions of able bodied unemployed people before focusing on prisoners. If I was a Government executive, My number one objective will be to increase productivity. We are a very unproductive people contributing little to the world economy (but for crude oil that we didn’t work for)

I’ll focus on establishing new smart cities with heavy focus on Manufacturing, Technology and agriculture.
The huge population of unemployed Nigerians will have a standby offer to work at minimum wage. Human labor will be used to build new roads, rails, new cities. I’ll never give free money like Npower. I’ll float a lot of Naira government bonds to get money for huge projects.


Skilled tech people should be made to build clones of enterprise softwares and sell it to the world at cheaper rates. Focus on training kids about IT and programming and building a tech pipeline. I’d want Nigeria to be associated with cheaper but quality software products like India used to be.

For manufacturing, instead of taking USD loans, Nigeria can team up with 5 other nearby African countries and create funds for their joint biggest imports which needs to be made locally.

I also don’t believe prisoners should get free food after committing crimes. They should be made to work in construction, agriculture etc. However, they should be paid wages, they should pay taxes to Government and the returns of their labor should be saved for them like pension fund.

jedisco:
A while ago, Nigeria went borrowing via eurobonds issued between 6-9%...while this was expectedly oversubscribed, and some reasoned that this showed confidence in the market, I can't help but wonder why the rates are that high... The holders of this monies borrowed would have been forced to pay interest to banks if it sat idle in their home nations

Today, over 20% of all dollars in circulation was printed over the last 2 years and more is set to be printed out of thin air. The system is aflush with funds looking for who to lend it to... I remember stating a while back that they US and EU can afford to do that vos they know smaller nations will come begging. Already, that is happening.... Wouldn't be surprised that if the FG may need to organise free crude swaps in future to pay off these debts....

I cannot understand how an individual in the west will walk up to his bank, borrow hundreds of thousands of forex at rates well below 3% to buy a house appreciating at upto 10% per annum, yet a sovereign nation is happy to borrow such forex at 8%. Nigeria is practically giving Western lenders free cash..

This is the way I see the macro picture- an American sits in his house, prints paper outta thin air, a Nigerian goes cap in hand begging for such paper money at the expense of his natural resources and his fellow citizens are happy at being afforded such paper at cutthroat rates

Is it that the monetary system is rigged against poorer nations or poorer nations don't just understand it??

I also think that the return rates on Nigeria's loan is too high. We should be doing circa 2-5% (US is less than 0.1).

For example: Greece, a country that defaulted on its debt 6 years ago has a return rate of of 1.1% on its 25 year bond, yet Nigeria that hasn't defaulted has 9% for similar period. No be juju be that? Free money and that's why its being over-subscribed.

❤️❤️
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