Who says investing is not something that happens over night. It takes a lot of work, research and did risk, proper management, book advice, and now this is.
Recognition very important. You know before.
You aware that recreation is to protect you.
Not to brand me.
We need to talk about Well, they will be here for three hours and we see the room full, so I think that's just what to wind it down so folks can go sleep for Monday. So everyone on space now will speak, but that's because it's going to be it, so we just have those speakers. I just thought everyone's is going to speak and then we'll just.
Wind it down. I appreciate everyone. This is not like a round.
It's not a sexy topic. But we have nearly six on the PO that I have stayed here night. So a m P a MP from me, is that what I'm saying? AMP, go ahead, you got.
Thank you?
Hello? Hi everyone? What's up? No a m P speaking? Oh everything?
Yeah, a m P.
Everyone everyone's gonna speak. Let me just speak. Yeah, I just want to go down.
Answer.
Oh I really can't hear what's going on? AMP, go ahead everything you can hear him. If you can't hearm, go out. And come back and I'll add you back. If you can hear you, go ahead, everything go out.
You back here anyway, Thank you. Your audio is falling low a MP go ahead, your audience, okay, I have my bluters on, probably go for it. I can hear me. I'll just come back up. I can, I can. I can hear you. Go ahead, I can hear you. Go ahead, okay, just no, Actually it was a really nice discussion. I don't know.
If you can't here, just let me know. Just come back up anyway. Two questions kind of thank you.
I see you. I went to Amazon. I see you the Boken stuff. I didn't you know. I don't know if you did an audio audio.
Original.
I don't know.
These people on the way, you know, they would rather have this kind of stuff.
Yeah, other ones on the way. We're working on it. Yeah, okay, chairs, that's nice stuff. Be nice.
I like that cover the same time.
Very handsome, right, cheers.
Thank you.
The reason I came up was actually I see I was reading one of your tweets, and I see your fifth China is coming up with fifty one billion bucks in terms of finance Africanist, and I'm like, okay, and then you put up that number like they were poorer or not poor, like the poor the.
Entire African nations.
Yeah, the nineteen sixty five from if I remember correctly, and what were will I mean we can go from as a country or as as a continent. What are we lacking that to see that kind of significant difference that we're still there and they're up here? So I just wanted to give me your you know, not we greated the whole thing, but just what made what what was your assessment? What was your what are we lacking as an like as a continent or as the countries as.
Yet the people contributed.
To their own country and it's still their country or what is it?
Just giving an idea? Just try I can.
Yeah.
And the next one.
Is I don't know if you if you half at the time, if I can add one more question? So the next one is I've seen like you put up that ninety sixty five Still my mind, I looked after Nigeria and Starck Exchange established nineteen sixty one and now we're here twenty twenty four for you like fifty six trillion nairah market cup, I'm like, okay, if you or anyone can tell me what's the population in Nigeria contribute to the house it bedfitting the people in a what
makes it to that level? And the reason I'm asking this question as actually, you know, it's been a long wait or having about to open up out of the very first start exchange in its Yoga beginning of Jenue.
We're excited.
I'm excited.
I'm not used in the States, but I mean really really interested to you know, invest in my country and stuff.
But tell me what was.
A contribution to the contribution and there is turned through the population.
Of the Nigeria.
Having that can change for the very long time.
So I appreciate your time.
Thank you.
Yeah, so let's take a second question first. If you look at the direct contribution i e. The retail market for Nigerians, Nigerians make up I would say whom they can back me up here the fund flow is I would say fifty to fifty sixty forty Nigerian and foreigners. The fund flow what means that foreigners bringing money but lost Nigeans making money. But how many Nigerians are active in the stock market i e. Have an account trading.
Not a lot.
Recently we had empty and issue shares. Then we got a huge response, especially from Nigerian women. The gentlemen did a lot of investment in EMPTN because it was online and they were able to buy a lot of equity there. But it was very very strange that nigerentlemen were very very well know they are the top investors in MTN on that online share.
But in terms of the.
Retail market in Nigeria that people are buying and selling day to day, not a lot but contribution. I would say there's been a lot of contribution because Nigeria has axe banks who are very very large. To list those banks listed, so lots of Nigerians have a stake in the bank because they were listed right and that I think brought a lot of investors to the market. That's
one good thing they've done. Before those banks were listed, stock markets were seen as something that people that people do on the side by very small portion of Nigeria market. But the biggest companies in Nigeria, the Dangodes Cement is listed. The largest other companies MT and eight are also listed. So there's this sense that in Nigeria, the big, the rich people understand that they have to also invest in
the stock market to raise funds. Dangote limit, do you want to also make a comment on that before we go to general.
Yeah, I wanted to add to When he asked that question, I was kind of dig lit already.
So just a hundred thousand, about adred thousand plus people who are actively involving your stock market, and.
The stock market is opened by about fifteen point.
Five trillion there and just about twelve a dozen people are responsible for half.
Of the profits you mentioned. Dankote, you mentioned, you mentioned.
Timovia In mentioned to you, you mentioned Peter.
At a bitter side, and that's basically you know.
So it just tells you that GROS is concentrated, you know, among the very few men that you cannot invest because spoke about for retail.
It used to be that amount, but recently it's now basically live for every if the attorney vestors nice lookal one is for me and pretty much because stock.
Market was down guarded by two.
Multiages so.
Foreing investors are not really.
Stops like other market side India, so it's pretty much into missive.
So that's the abilablity that we have.
Enough.
So the summary is that AMP summary is that it's a large market, but very very top heavy. The top heavy guys are driving those transactions just petentially are seen. If you remove the bank capraition, you will not see a lot of niger stock market. I even think it's that numbers. It's even high because the bank sold shares, so their staff, their employees, ip went, we did the banks five billion ip O. There's a lot of nigerancy
won't even look at the stock market. So that's just the answer for you in terms of that for that stock market side, Let's go to China. What I put nineteen six, I justesdn't want to want to argue with me if you go as far as nineteen seventy is the same indices that the Chinese as a country and as the people were poor, and literally all of Africa. Even if he has nineteen seventy, I think we nineteen
seventy eighty, Chinese was still suffering from farmings. Seventy eight or so, they had the great doss some from farmings. What the Chinese did well was that when they had this new president I think it was the Jianping. I can't princes named the Gata went to Hong Kong. The Chinese guy he went to Hong Kong, and China back then was a communist nation, one hundred percent communists. It was top down planning. Chinese say, want to build a factory, They take and build a factory.
End of story.
There's no planning, there's no entrepreneurship, there's no capitalism.
Communists.
But he went to Hong Kong and when they went to Hong Kong, Hong Kong is China or was China. He saw the same Chinese people in Hong Kong, but they were richer. The same work ethic, the same food, the same culture, but they are richer. Why they're richer because in Hong Kong they allowed capitalism to take hold.
That if you kill a cow, you eat the cow.
So he came back to China and they said, okay, we're gonna get one part of China.
We're gonna do an experiment.
We're gonna allow this part of China to be capitalists, and let's see what will happen. And he came back to China and he said the famous school, it doesn't matter if the cat is white or black, as long as it catches mice. To say, it doesn't matter if we call ourselves communists or capitalists, as long as the economy is booming and we're creating jobs. So they went to the coast of China and they created a place there that was what will corner with free trade zone.
And in that place it was not China.
The foreigners came in, could establish a business, could use very very cheap Chinese labor, and then manufacture goods and then export kept the airway from China. But what they did was to then actually Chinese to copy exactly what the guys wives were doing and replicated in China.
But they built this up with a base of education.
The Chinese went back and educated every Chinese man. So it's not just to bring in the westerners, but they educated a quality education. So the rural areas you had kids there that were educated, well taught. Then they studied agricultural revolution from the rural areas, not from the townships. So if you lived in the village, you had food,
you were educated. Where did you go to work? They moved them from the rural to the town to the coastal cities to go learn to do the jobs that they the white folks brought to the coast of China.
And what they do next.
They then created their own Chinese versions in China, so they copied what the Chinese were doing, apply the Chinese method of bottom up, and then build their own industries from China. And it was a joke back then, but they kept on learning, kept on being better, having ten year vision plans. There was no politics of elections, so
they have a ten year plan. We're going to build a bridge over the river because we have a factory here at the bridge will be built, right, They were going to do this, It will be done.
There was no Democrats coming in, Republican coming in.
It was a Chinese government ten year plans, and they focused on the quality of leadership. So before you can become a governor in China, you must have shown yourself as a local council law, as a council law, as a local government chairman. You have been tested and tried. So they didn't do this nepotism. It was you have to show what you have done. So only quality people led the country. They invested in infrastructure and education, They copied what works from the coast and they just built China.
So it was a vision China. I said, it's a story of a vision that was implemented. That's the difference between China and Africa. Africa has better economic plans. If you come to Nigeria, we had the Nigeria Development Plan one, two and three. Nigeria was written in China. The Chinese came to Nigeria to study. Back then in nineteen seventy, Nijera had what were called overhead bridges. Very few nations on Earth had overhead bridges. Nigeria had them. So we
went to the estate called Legos. We built almost nine overhead bridges, or than overhead bridges. You build a bridge over a road revolutionary, so you have two.
Roads on the same geographical space. Nigeria had it.
We had street lights, we had satellite towns called Festak. The Chinese came to Nigeria and going to go to the west because we were communists. They studied it. They went up to China and they stared to learn how to build it. And over the years they focused on an export economy because they had cheap libor, so they focused on what they could do well. They had cheap labor. The worst has to come to China, we would learn and they slowly released communism. So from having communism on
the coasts. They allowed the Chinese farmer keep more of his goods then chance fromand they made more money. He could then send his son to the town to open up a shop. They slowly released communism, so the communist China became more capitalists, while nations like Ghana became more capitalist. Nations like your country Ethiopia became more Maoists and more communists.
Nigeria became more socialists.
Where we had the military saying federal character and everything had to be mover.
The same piece. So China became more capitalist.
Africa became more communists and more socialists and more Maoist. They cut the capitalist in bog became richer, built infrastructure and havn't stopped. Africa regressed. It went from hom An emperor to mengize Tu to the farmings. Nigeria went from having the fastest growing region the whole entire world that was growing total economic output to then slowing down to a mono economy driven only by a crude earl and
gas division. And then the plants that we had, industrial plants that we had, we stopped them.
We then started to focus on.
Imports because we had crude oil were complained that our problem was we didn't have know how to spend the money. We didn't generate any more world we just spend the oil money we had.
If you fast forward this still today.
The Chinese Communist Party still runs China, but the Chinese economy is one hundred percent capitalist.
In Africa, you still have portions.
Even in Nigeria, we're a democracy, but our economy is still not so we say capitalists. We still have government fixed of prices. We still have the government will tell you cannot build a refinery here because it's so with the vision we had in Africa, we didn't implement it. The vision they had in China implemented it and that's where they are today.
There is no magic.
Rwanda has copied China, have a vision implemented, same way in MAURITIAWS Botswana. You don't have to copy China per se, but have a vision implement. It doesn't matter who is in office. Trump is going to tak about January the twenty Yet, whoever is the president of Testif America, there will still be bosses speaking up kids to go to school. If you call nine one one, police will still come. If you go to the managety room. In America, the
hospital still work. That's the difference. Africa is still if this guy is a good president, things are good. If this guy's a bad president, things are bad. We haven't institutionalized development. It's still personalized. So if we're lucky like how Rwan, it's lucky they have a good president, they're developing. But the day they have a bad guy. Look at Ivory Coast. For twenty five years, Hybrid Coast had the good president. So the Aric Coast was the Paris of
West Africa. Then certainly they had rebels and now they're going back to have been the Paris of West Africa.
So that's the difference with us with not institutionalized growth.
Even Ethiopia, you guys are fighting in the civil war no one only knows about in the world at the big civil war you've gone from the You guys are still the fastest.
Growing country in Africa. But imagine if you weren't fighting that war.
Imagine if you still had your part over are in richer way, cheap pair would be it. Pay is the second largest country by population of of Nigeria. So you guys are the worst chasing Nigeria and you would have even overtaken Nigeria evenough for those things that you have pulling you back. But you have no oil and Nigeria house oil and were struggling. So I could go on, but I hope you get the point I'm making.
Wow, thank you. I hope I'm out double again.
But it was.
It was very detailed. Thank you so much. Yeah. Yeah, well we'll try.
And current situation. Of course, if we don't.
Have that kind of situation, I think it would be great, Like you said it. Perhaps I've seen a article I don't know if you see it by the gold On Sax or something, the fifty years projection according to this current.
Doubling down, this GDP stuff in the past five.
Years saying the seventeen is a.
Place, the seventeen placethop.
Yeah. Yeah, you know, if you see that one.
In the world, you guys should not fall apart. You guys are don't fall apart. You you are, you are, you don't fall apart.
We were reunited as more than ever actually, be honest, I'm proud of yeah.
And you know for what we all.
Over the world all right, excellent, Yeah, Well that's what I want to discuss most people.
You know, we like investing and talk about the waste aga market and stuff, but we don't dare to go in details and share our intelligence.
I mean Ethiopia, it's Ethiopia is China, I'm not seeing. But what Ethiopia has done with manufacturing and exports, how they have built this you know industry. About what you guys do sewing and clothes for manufacturing locally to export out of Ethiopia using Chinese capital.
It's just amazing.
But let's do there.
Got to get the space work. What kind of shut down and let's get ster. Thank you someone, Let's get mister Chris, good, mister christ and SB. Then today you're welcome. Hey, mister Chris, what are you mind, mister Craig, it's uh, mister Chris going once, mister Chris going twice. Hey, mister hacking. Sorry I said it's SB SB. Please go ahead. Then we do hacking SB. Then we'll do hacking. Yeah, yeah, thank you so much for the opportunity to speak on.
So actually it's my first time of joining your space, and it's been since the first minute because everything I'm hearing is something I need to know.
Even though I studied finance.
Well, I've not had the chance to like have a practical experience of investments, but yeah, I'm opened in from the experience once. But yeah, from the previous things that you've said about investments, I just have a question to quickly ask because you mentioned the particular type of investment for kids, and it sounded like it's the type that you can fund at different intervals.
I don't know if the funding has to be fixed. You also mentioned one.
Way it can be stated that the kids is in and then the salary goes straight into the investment, right.
Yeah, I mentioned I mentioned the US version and Nigeran version. In the US version, we have what's called an ira roth ira, and I'm saying that's just an individual retirement account. So the way you do it that your kid has got to be legally employed. Let's se your child is four years old. Your kid can be a model. You take a picture of your kid is a model for your website, So you are paying him a salary from
your organization. Right, so you pay him a salary, but our salary doesn't go to the kid, it goes to his individual retirement has a contribution. So your kid pays no taxes correct. That one is then in that rot era and then invested for the kid's life. He's from four years old till when he's eighteen. When he's eighteen, he goes to school. You can keep on. He can keep on working and investing in his ira till is twenty five. He can then use that ira and then
take it over and then keep on working. So he's been investing for more. Another kid to have invested and it's a roth ira. Any growth in the roth ira is not taxable. After five years, your kid can withdraw the money without paying taxes. So it's a big, big, big hack. The same you can use in Nigeria. In Nigeria is use the arress version retirement servis account version you can.
Open if you have a company.
You can open up a company, employ your wife and your kids in your company as staff. Your kid can clean the office, your wife can be your secretary. You pay them a salary, basic housing and transportation. Witness the contributes to your IRA. That reduces your company tax that you pay. That ensures your kids have got a savings account that they start off when they are young where they can use when they.
Start to work.
So you are doubling their compounding period from having a tax free savings account secured by the government, by the kids biometric. That's essentially what an arras say is a tax free long term savings account. So you want to take advantage of those two and do it. That's the point I was making this big.
Yeah, that clarification, Jor My major question is about that particular face type dimensioned where he said money can comun at different intervals.
It has to be it has to be end income. You can't just put money into the k account. You must pay salary. So you just can't say I'm constry with mon into your kids account. It doesn't work that way. He must and it's your child. You must have an employment contract. He is employed. That's why he ends the IRA, right. It has to be employment.
Yeah.
Oh so now I get it.
I get it clear now because I was even going to ask, what if somebody doesn't have a kidiot and you're interested in that kind of.
Long term you can't do that.
If you can open up an ERA for yourself, you can of an era rot. So IRA can be traditional, it can be rot. The difference is with rot r oth roth IRA. Any money you put in you pay tax today, but when you take it out, you don't pay tax again. So it's very very good for you if you are younger, because you end less, hence your tax is less. If you're going to a roth ira today, you pay taxes today. Then you then use that roth error and you then buy shares. If the shares are
appreciating value. When you sell those shares, you pay zero taxes because when they pay tax. When you open up the era to say, a good, good hack for you, it's so good that the US government would stop you from putting all your money in a rough era.
You have a cap that you can put into an ira.
You also have an income complication if you end one and I think this one is I don't give a figure, but if you end one of the setting amounts, you cannot have a roth ira. So if in the US you end, you want to ensure you have a roth ira and you max that one out first before you're gonna start to invest. It's a hack. It's a big, big, big tax advantage. We want to take advantage of it.
Thank you so much, appreciate there. Welcome.
Yeah, let's I'm definitely going to be getting your book.
As Christmas killing.
Someone.
Yeah, everything, thanks for having for hopping back in. Yeah, everything's up.
I'm good.
Pleasure I actually came up.
I've actually enjoyed the space, to be fair, given I came up to give some of my own opinions as clarifications about the individual that came to speak about advertification for cryptocurrencies. I want to speak on that, and I also want to speak on MST micro strategy.
As well as their their strategy has learning.
Them to be QQQ and probably maybe so that I would look at this so that I will be going to micro strategy. I wanted to say that for me, it really x me personally because I sort of understand the technical nuances when people say the diversification should involve crypto. MSTR for example, it's not necessarily branding themselves as a crypto company but solely as a bitcoin company.
And I know that most people don't.
Get the misnomer, but they lump all of them together. I just want to for the larger audience demystify that and let people know that there is a met your difference between bitcoin and the broad regular cryptocurrency, and also touch on your concern which curly was that because of the lack of what is deemed to be regulations, most people are scared to somewhat going to baitcoin. And I want to give you example of Michael Saylor, the MSDR
chairman XCO. At the time when willing MSDR around August twenty twenty, there were no fast be regulations or fat for regulations or SECC relations. So had he probably decided to wait for like the South twenty.
One that now allows for.
Accounting by institutions that want to use this treasury model, perhaps.
That might not have been.
He might not be ripping the fruit of his label this much.
That's that's one and the secondly, are you aware of any African institution slash company using the micro strategy approach? Because I have someone asked this question as what to look at that this is an open playbook that they even open source their their methodology and put it on GitHub for any corporate, uh body slash institution to copy.
But so far it.
Doesn't seem like Africans even aware of micro strategy.
Now, I think twenty.
Four and everything we have to I get what you said.
Let's have a question of.
Probably just chiming on MSDR the African approaches the MSDR.
I mean looking at that.
SDR model, there is there is there a US version of mstr no, because you know what he what he has done, and what you can't replicate is that he has bought an asset at a very very low average price. To do what he has done now is impossible because you can't buy bitcoin at that low average price anymore. So here he is now the leader, right and if
we can copy it but at a higher price. So if if if it now goes to five hundred thousand, good, you know then but he is going to be the leader because he has a lower prices, has a lower average price, which is by the asset whold issue equity to pay back the debt he is locked in. So he has won because BTC has gone up in priced. You know that he took a bet better spade of for now. I don't think anybody else can manchine because
of the high increasing the cost of bitcoin. So we're looking at stage two now, which is for us, what does that mean for us as an investor on this space? Do we go buy bts see should we get exposed to be That's now the question for us because we're not going to do, Michael.
We don't have that.
We don't have ninety billion dollars. So again that's what I'm saying. Yes, it's now, it's your asset class. Yes, if you can think about putting it in your portfolio.
The anside is.
Going to be what percentage should you do? One percent, ten percent, fifty percent. The way I look at it is still this way. If you are younger, it should be a larger PERSENTI of your portfolio. If you are older, to try to reduce the amount of of the portfolio that you have exposed to that. That's really what's going to be Yours your concept of risk. If you want to take that risk, grab it. Everything is risky. So we're not saying this is riskier than any other thing,
but everything is risky. But if you're younger, you can absorb risk. And it's an asset quas that is still at.
The beginning stages. We don't know where it's going to go tomorrow.
So I would say having your portfolio, but the number should be based on your objected, your age, and your at you to risk. That's how I'll say to really, Yeah, but this your topic has to be brought up too different and then we'll talk about it, not somebody. We're just doing five minutes. Hey manke it, you've got the floor. I've got make it and don't get We'll do Clinton, what's gonna wrap up? Guys, so we can all go. Don't worry, make it, don't do make it then Clinton?
Make it? Go ahead?
Please menke it. Well, let's get to I gala man. Sorry, Clinton, So let's go Clinton and the galle Man. Clinton, all right, what's happening?
Good day?
What's up?
I'm fine.
It's good to be speaking with you because it's been long since I've been trying to get here.
So you and me day out held me in my financial journey here.
I'm olived.
Lost him cause he's still hear him. I'm not hearing cannibly hear him.
Yeah I can, okay, okay, okay.
I said, I just ordered your book from Robin.
Height so since yes Saturday. So I'm just too waiting for it. And my question here is I'm investing with truth truth up. So and the problem is that I don't have.
C S c S number.
So, and I asked them, they say that I wasn't.
That I'm trading with custodial accounts unless I switched to individual accounts, and there.
The ten days that I was start.
Filing my dividends, so I decided to just leave it like that because I just sense that filing my dividien might take me a lot of stress instead of getting it automatically. So that's the question I want to ask, because the reason why I put interested in this because there was advice on people.
But is it foreign stocks or local stocks? Foreign or local stocks?
Local stocks, local stocks? That's stocks?
Yeah?
Really, yeah, only there is right now. So it just depends on what you want to do.
If your CSCs means it's in your like if you're doing bitcore, like that's your own wallet.
If you have your own wallet, you buy, you put it there.
You can still say they can do costed out for you, like they've told you, and it's maybe more convenient for you.
It's your care, you know.
I always advise having your own CSS because then it's in your possession, right, But if you don't put your ses, it's not the end of the world. But it's your call what you want to if you feel comfortable with that, because that is with them, right, Yeah, it's your call.
They're correct, but it's your call.
There was the question here is that filing for my GIVD and visit or hard process.
It's not, it's not. It's not. You guys want it's not.
You can go to registry and do registrate with You can go get your bank account.
And most broadcasts.
Now like I got most of my banks without even.
Finding anything that's into my bank account. Split you see.
What you need to understand is that if your phone are custodia and the business needs goal bank grout and.
Your your own, but if.
Your phone is, you don't need to be You need to understand. That's why you said that you need to be aware of the risk. Put it way into something. You need to understand the risk.
Whatever we say.
Because where your fund is on this ceres Ceres account in depends, it's not exposed to the defunt the bank of the top is not.
Not exposed to so that gives you a form of security.
And that's why I said that that is nobody very potant.
In fact, when you want to move your stocks and that's what you actually.
Then you.
Yes, welcome, welcome, so let's get some hackim then do then do Paul and Hakim Hakim go ahead please.
Hakim Quimi Yeah, I can hear you go ahead.
Okay, thank you for all you have been doing on this space. My first time on your space, and mine is just a request. I really appreciate if the recording of this episode can be posted on your ex profile.
Yeah, it's all.
All episodes are posted on the podcast and on the ex So if you go to my you see the podcast app.
All episodes are there, all of them.
So once what once we're done is being recorded, once we're done to put on the podcasts going there.
Thank you, thank you, You're welcome. Yeah, let's get so does Paul.
Yeah, thanks, mister Carlos, thanks for all educational insights. So my question is around you know, the US talk market and so basically when you invest in the stock market plan for residents and citizens and they have tax obligations and then they can write off their losses in terms of you know, getting some kinds of tax rebits. But for the Nigerian and apps, do we have those.
Kind of opplications?
I hear Bamboo, I hear Trouve. How does it work?
I think it's almost the same thing we talked about that. When you buy those alps, there's an you pay those taxes. There was a guy that came here, don't telling, was buying through Ireland to avoid those taxes. So when you buy to those as the courses the course to those sentiment is happening in America. Yes, you're exposed to those taxes. Yeah, were to hold the taxes and all that, or you do a W eight and all that kind of stuff. But yes, you're exposed to them.
Okay, it's already built into I guess cover stop Vocalier isn't okay.
Yeah, And then my.
Second is just a contribution. I mean a lot of us lend the hard way. When I went into the stock market, initially it was all about buying individual stocks and then realized the vetification in the name of the game, you know, getting into index ones and things like that helps us spread your risk. I would also recommend the intelligent investor because you've preached it, which is the right
thing to do. But for people to want to have the conviction of why you should buy the index ones, if you really intelligent investor, it just gives you historic background on why the index ones are performed. I don't know whether it's ninety percent or something.
Given the professional book reaches.
Yeah, let me that book is a very very technical book. That's the book that we're on. Buffets read and all that all those poll read. I personally, I personally you are right, but I will not recommend that book for just a lead of the land person. The book by Bogle, any book by Bogo bio gl is very very good because the concept that are in that book is basically what all the books say. Even my own book is taking concert from that book, but a very very technical book.
The idea is that even if you pull up the returns to gain in the US top market, many fund investors will not beat the index. One on Buffett says the best way to invest is to just buy the index. He says when he dies is just buy the index and put his money in there. Right, That's what he says. So it's a very very simple thing. That's why people don't follow it. You know, it's a very very simple thing. If you want to invest, buy the average.
Stay.
You won't get the one hundred percent, you won't get this, maybe the low, but you are average because you're buying all the stocks good and bad. You can even come in and say, Okay, I don't want the index. I just want the top five hundred stocks that's VEO or things like that.
But that's the point.
The index gives you the specification at a lower price, right, So yeah.
Yeah, I think it's counter in twitting because most people almost feel like you have to be doing something right, so correct because I think it's that you might have a gans where you feel like, I mean, I should be doing something, and.
Then the ability to stay and do nothing is a super It's a super it's a super skill just to sit in a room when the markets are going up and downs that ninety percent really of your investment socks just to do nothing. You know, don't look at the market. The stocks are going up and going that sea. These are news programs are designed to get viewers. If you can pull up the map of the stock market in America from say eighteen or nineteen hundred, it's just going up.
You see up, down, updown, But it's just gone up. So there's war, there's farming, there's golf, war, there's but it just goes up. So but if you pull off the news tomorrow, you hear him saying, oh this is going to happen. It's noise, right, so it's white noise. Look for a good company, buy it, reinvest your dividends, go to sleep.
And I then that's why they said the most successful investors that the dead investors, right, they don't.
Think, don't touch it. The index would correct for you.
The index would would take away the laggards and add the Now Microsoft is in the index, and they must have dropped somebody, you know.
So I think Microsoft is one of the few companies that has been in the index the long that be.
Micros have been on the dows for maybe twenty respect that company.
But many companies years. Yeah, but many companies many with with that you yeah, like only I think has been there from for a long time. Yeah. The rest it's very hard to do. You there for that huge P and G.
You can't wake up and say you so small boy, alright, sir, So thanks a lot, Paul, appreciate you. Let's dog Casey and tooth ferry and.
They will call it samuell. It wasn't mine. Some wuell. I just wanted to go and go ahead quick, all right, good, never one.
So I just just add to the bar that w and you don't do invest much, but finance much. So you remember twenty sixteen during this day amendment and they klipto both of twenty twenty, I mean not eighteen or so. So it reminds me that we anderas we like the idea of money when it is first not.
The regular thing.
Then I remember when I used to sell insurance in Legos. Have met people like in Ladiko or in the matter and you say, big businessman who doesn't have insurance and if.
You tell him, you tell U, kid's a good idea.
But if there is no incident with the return.
Is money to him?
Like it doesn't make sense.
And these are the things that I think we should have more creators in the finite in finance, Nigeria, like a.
Lot of us should create more because we don't have a lot of people creating right now in finance as I told you, and money Africa right are the ladies doing a fantastic job. So I think we should just have more relators in Anngeria in Africa crossboard because I think we're liking way behind when it comes to eating money and finance. And also I think the literary regime and Anguria are just so horrible.
Where it is better.
We just have one revelator where where we.
Have models for insurance, models for realtime instead of the Nikom, the pen Come, the everything altogether, it's just a lot, So I think it's just one of the same.
Then the last point is from history.
Most of the banks are they almost most banks in Anguria, they don't communicate well when it comes to the product they offer. Like if you if you just got any afric brank in Anginia and you're going to see enough the product they have. They don't even recommend it to us. They don't even find a way to market it or talk about it. And we've reduced banking to just withdraw money safe, you.
Know, stuff like that.
So I think it's just starting. We just need to inform ourselves more. Then you can just move ahead, like in the next a couple of years. I think that's just what I needed to add to this good point.
Good point. Appreciate that. Let's get so Samuel Casey and someone you're ready to speak.
Now, yeah, I'm ready, good evening, do you hear me?
Yes?
I canswer go ahead, yeah, believing I follow you and Lumidi very very often.
Well, thanks for the.
Information condition now to us. Yeah, so my question is answer. He goes to Lumidia.
I've been actually trying to raise my aunts to speak since, but I've been I've been.
Issued my communication. So yeah, so it's just this question is just basically about I would also say maybe the irregularities or of the Nigerian stock exchange. Recently, Jiti bank website.
Was hurt and so by that time they have been issues about banks dedopting money from people's account.
But at this period of time, we I noticed that this this these issues did not affect the.
Stock value of this ah of these banks, okay.
But recently crowdstrickers as crowd crowd.
Struck this issue of.
Of uh a.
Downtime on their system that affected a lot of businesses all around the world.
And we see the the effect.
So it's like there is some kind of I don't know, maybe an integrity check or something.
Else to do with clarity as regards and adirastock extreme.
So I want.
Allmited to fairly speak about this. Maybe it's because I.
Don't actually see.
How that GIT bank stock did not go down.
Then I know we're going to and I think I guess maysout, saying once again, so.
Remember the indices I gave about the number of Nigers that are active investors, right about one hundred thousand.
That's zero point zero five of the populations.
Do you understand.
If you look at the fact that the big players in Nigeria stock market are passion funds, are the medior founders and followed the other gil but the team management.
FPI for you than they are cool.
They are less likely to react to news like that.
So you see, we tend to try to compare America with Nigia.
Americans are active investors now detire in America. The America is a country of Overkminian people, fourty million Americans. Our directors are indirectly exposed to the US top market.
That's the difference in Nigia.
Even if you add the passion for managers have passion for you.
If you add the director died to take a lot to get to one point five millions, so we don't.
I find it very funny and very sacrissed where people want the Gian stocks react based on us that the fields are.
So this is namet who.
Stocks that what reacted to when the wine potas came in Git lost almost fifteen percent of its value.
You being lost higher.
Be many of these bank stocks and that was where many of us got into.
So people need to understand that niger stock market has peculiar reactivity and the people that we matter in stock because we know that the people on social media are not the people that really invest and not and not the people that as they quit because you tend to carry the way that because you are there shouting that you talk like no, it doesn't.
Look like that like your talk. Market reacted with photat they choose not to react to the fundametters of Git is too strong that it makes a lot of money through the treasury and through channels that seems not to be affected. So it's showed us decision, not the juy on social media to decide. So I find it from the way we need to take social media's reaction.
I had the decisions or shoulders.
Okay, okay, well limited, Well said, nobody's just too limited? Well said, yeah, all right, let's get cases Samuel, appreciate you Casey. You've got Casey, then too very Casey, Casey. All right, let's get too fairy, too very, Hey, what's up what's up?
Okay?
Hi?
Fine, So I joined the Big Leads. So I guess maybe question in my answer has already been an answer, but I look forward to listening to the recording. So my question is this, Yeah, and I just started elie in my career now too, and I've read a lot of finances from Money Africa, from Psychology.
Of Money and all of that, and I've done a bit of investing myself.
But then the question is this, and I feel like investing in Nigerian stocks it it doesn't exactly yield a lot for me because when I went through my portfolio and I saw that I was really really I know in investing it played the long term game. But I just feel like the Nigerian economy is not really really stable and it will affect me in the long run.
So I decided to move into Maybe.
I feel like I'm planning to invest into more into ITV and in this song, just like it has been advised.
And local local want or like foreign ones.
There's the thing, I don't even know which which to invest.
I don't even know that there's an ittio for local for that for local stocks now, so it's kind of like so confus using should I invest in the foreign and.
If I were to go to the fund, but obviously have to.
Use this thingtech because I.
Already have Checker.
I invested with Checker like twenty twenty one.
So I stopped this for a while because I have like school and a lot of.
Things to focus on by many at the time, because I know investing myself is more important at the time. So now that I want to get back in, and I keep reading articles about how, oh hey, Nigeria, it's not so stable, you could lose your money.
We're not really insured and even though.
We're insured, because like just also just a lot and just feeling complicated right now for me, and I don't just know where to start from the whole thing.
Where should I go?
And it's a great question to end the whole space. We summarized, we what we've talked about through the space. I think the main thing is this, right, whether you want to invest local or internationally, the first question has
got to be why are you invested right? And if you get it out of the way, you're gonna come to your risk profile, if you are able to absorb risk, and if you're able to absorb volatility, Nigeria, the market in Nigeria and Nigeria as a whole, we have a higher volatility or higher risk profile than say the US or say the UK market.
That's clear.
So that means that means because we possess a higher level of risk, the return we should give you should be higher than the US or the UK because we're asking you to invest with us, so we should pay you more because we have a higher risk. Right, That's just it just goes hand in hand. So what's Nigeria doing right now? About if you invested a year to date Nigeria and all share indexes about thirty five percent with what the US stream right now, I would say
it's maybe even near there. Right, So if you look at it this way, the risk that you get for investing in Nigeria, it doesn't it's it's not compensating you enough to put one in Nigeria.
That's what I would say, just the top of the bat. But if you then go down the list and you.
Say you want to invest in say oil and gas, it's giving you one hundred and sixty percent for instance, as one sixty percent if you're doing insurance ninety two percent, right, if you're doing, for instance, which don't want pension to six percent.
If you're doing industrials, it's more so. The market in.
Nigeria is pot it's you know, it's like it's like polka dots. Some are small and big, some are big and small. There's no rhyme or reason. But in Nigeria you find germs that if you clean them up, those are like carbon I have turned two diamonds. So then for you is simple can you take the risk in Nigeria? Because when do you buy a stock when it's down? If you buy your stock when it's up, you don't make any money. You buy it when it's down. That's
number one, right. Number two is it doesn't matter if you're buying the individual stock or the ETI. It's that is that specifies you better when you buy via the mutual fund or the ETI because you're buying more with the same dollar that you're spreading your risks across the board and you.
Can buy more with less.
So as a general rule, I would say you want to consider that because how much are you going with? So if you buy the ets or the mutual funds or neutrals, you're able to get more in that market with less. If you know specific, if you have market information. Maybe you work in a company and you think this
company is going to go do very very well. Sure you can go in and buy that individual's stock on its own merit right because you know, Okay, after my research, I think dank To Cement or Danktor Refine is gonna be a ten bagger, So.
I'm going to invest in that. That's completely okay. So you can do that.
But if if you simply want to, you are making income, you want to invest. You really don't know about these individual companies, you can do the research you want to spread your best. You want to be in banking, energy or insurance ETFs, mutual phones, you need trust offer you that exposure at limited costs, you know immediately, so that answers your ATF versus in your talks question. Well back to the question of should you invest in Nigeria, and
I will say it's a difficult call. I can give you bad stories, I can give you good stories, and I would just say overall, if Niger has a bad story, then you want to invest in the bad story today if you want to take the risk. If not, you want to leave it alone and wait for it to get better than investing it. But you're going to pay a little bit of a premium on it. It's laid down to your attitude to risk. But whatever you do,
you must be invested. You said you have Shaka already allows you to invest abroad already because I think Shocker Rise have this new partnership and Shacka is already secret star to invest abroad. So if you'd go to Shacka, you can invest in the mutual fund you didn't trust ETF abroad and DI specify that earnients. So perhaps the answer would be to do to do a portfolio and say, okay, what's the bigger part to be maybe foreign and there'll
be a small part in Nigier. So that way you are eating in two markets, you know, sort of like you do eighty twenty or nighty ten or sixty forty. Maybe that might be an answer for the Nigerian offshore market. But the key is to to be invested. Don't wait till things get to good before you invest. Invest, but have your your diversification and self gont do this and this in Nigerian foreign and then determine if you're gonna
do your ets or your or your individual stalks. I like the ETA, Like I said of the diverseecution on the cost, that's me personally, so that easier to give you an answer on etif as an individual, it's also give an answer in the terms of okay, be invested.
But Nigeria US is going to be your call.
It's your risk profile is higher. Think of the night Niger said. It's not a it's not a basket case like that. There's just some good things there.
So you have to do that.
Spread it. I will say level.
Alumini maybe give you his own take as well, and if you want to do it, then we can. Yeah, Olimita, what's what's your take on that?
Well, you said most of the things, Calu, but just to add up like you're just going to be aware of the risk.
You know, the US talk.
Packet is big, robust, efficient liquid, but also has its own problems and challenges. You know, coming from Nigeria, you have to consider for an stare risk except your heading dollars, you definitely go to pay Perial likes I said on Twitter, it don't go to be black market, gonna be think decret.
Cret is about fifteen percent is up.
Your black marchat with so you have to consider those contributions. But the most important to just like calight, it is that you must have from something you must learn and I think you know he went where in school we starve from one to three, not from deferstation calculus.
We need to understand the integridity.
Of financial market and theseiest places. Where is the cheapest and most successful places. That's Nigeria, whether we'd like to most of us time from Nigeria. So you need to look at the fundamentals. It helps you produce your knowledge about how companies will.
Create, not just making money.
We learned so many things and it is also be those skills that's got you that want.
To build your condentials and finance.
So he makes me know companies how they make money, Who had people that matter in the industry.
Who should listen to the importance of compliance?
Or did all these things? They help it lots. You know, knowledge is not wasted. And you know before I shut down, I think you also need to understandard ems and nadia are most liquid.
By not liquid, you don't see them readily available, so because.
Not so many people buy them.
But the best place is to start the banking stocks. I said it because they are very liquid and you know, you really, yeah, I can't sell this bank stock.
You really.
We have a lots of distep banks and they are highly liquid. But when you start going down to manufacturing or take.
It's a bit challenging.
But the second Signature Chair Commission is really working on that to make merchad makers my eficient.
But that's our.
Challenge is Nagia is not really liquid economy.
But you know I said that as they tell you that followed.
The money the richest Nigeria's every day.
I suppose nagan stock market with all people that buy the black markets, got the dance borers. We've noticing any that I've done better and the guys that I really exposed there.
So you really really need to actual investment backer what are this.
Guy is doing that you need to do?
So, like you said, business exposure, intellectual exposure is also part of investing, you know, and that also put in your teackles in the industry. So I couldse with this, you know, they say, as a little bit on it the space for three hours.
I think it's not just withles, but it was.
Very very educative different speakers, different people put in their ideas, so it's for you to fine tune whatever works for you.
It's not the place to look at who's right, who's wrong. It's a place for us to share my ideas.
And most importantly have the ability to de serd information because that's what is lacking into this world. People don't know what is right and wrong. People who have the ability to research, to read and you know for you today, so sess with rest you say you must read as much as possible.
Try to get clos book. I think, I don't think it's a big deal into this economy.
Try and stop asking for soft copy.
To share soft copy. That's why people ask questions.
I do response because you don't want you don't want to say to the doers issues me and you get a leer from me. So this is clem offers to ask. Well, because these books are almost free, so just get them very much.
Yeah, let me also enter so in Nigeria, right, because when you buy say Vanguard ETF, you know you can create your own. You can create your own ETFs what you want to do. Like for instance, look at the list of ETIF and Nigeria there's stand big Vertiva, Mary Stream, just get the one you want to buy.
Look at what they are buying. Then by just buy what they are buying. So you can do your own. You can build your own. You can say, if you.
Want to buy equities, right, I want to buy say the NSC thirty, go to the NSC thirty. If you go to the nigerenst, you go to the NNGX group. If you go to the NNGX group, you see all the indexes. They're all these sectors there. So you click on that NGX, but you click on the n GX Banking index and you look at what made up that index. Then just just copy it and buy yourself. So in essence, you are building your own index, but you're not buying
the NGX index. That way, you are buying the individual stocks, but those individual stocks make up the components of the index itself.
You can also do that.
It's like it's like a hybrid. Right.
If you want to buy the premium index, you can say, okay, click NNGX Premium index. See the stocks that make up the premium then just go buy all those stocks and that becomes your portfolio. Right, So you don't have to buy the index itself, or the stocks the indigenous stocks you bought the premium index itself.
You know you know what I mean, right, That's one way of doing it.
So that way, if you say you still want to buy individual stocks because you want to get.
Didens in your name, you can do it that way.
So if I'm buying, for instance, the Pension Bond Board Index, those are stocks that have paid the evidends for three out of five years minimum. So I'll simply go there. If there are twenty stocks there, I just start buying those twenty stalks. Let me start out the liquidity and the cash to do that. So if I buy all those talks, I've essentially created my own pension board index essentially, and once I look at the returns here.
I know what my own has done as well.
But I'm not paying the fee to the asset manager. I just paid the fees once and that set So that's all that way of looking at it.
Yeah, okay, yeah, that's very incessful because that was the next question I was going to ask you about the asset management fee because from what I've read also, that's why.
I read an anticle from.
An investor say like he came up with his own idea and he said something about how he didn't like investing in nine Nstern because.
Of the whole security and stuff. So he found platforms such as.
Trade in two one two, where it was like a UK broke a house having to do that route. Because of that, I think, as I do not have that credit, is it to go that eround.
You want to avoid fees as much as possible because fees are what is the different between making a profit and a loss. So when you pay a fee, you are paying a fee from your principle. If you give someone one hundred thousand, they're gonna buy you shares, but they're going to take a fee from your principle. So if you look at the return with fees and minus fees, you're already making a loss because fees have gone out
of the window. So the one of the key traits of the trader is don't try try not to pay fees number one. Number two, try to reinvest your dividends.
If you get a.
Dividend from from the stock, try to buy about the same so that you average your cost downwards.
So if I buy a share for ten Era and I get paid one dividend. Just give an example.
If I use that one nyra and I buy the same stock again, the same tenra stock, my cost no longer is ten nira. Its not becomes nine ira, but the stock is still quoted at ten nira. So already I've made a percentage return by just reinvesting my dividends. If I keep on reinvesting my dividends, I keep on driving my average cost lower and lower and lower to a point that my average cost can be one nira and the market is still at eight nira.
So while others are.
Spending their dividends and when the stock goes to eight narrow, they are making a loss because I've averaged my cost down to onenra. Even if the stock price goes to eight nira, I'm still making a profit. That's why Warren Buffett can make that huge return he makes. He doesn't sell, so he keeps on re invest in an averagenous cost down. He doesn't pay taxes because it's not selling, it makes no income, So by just the rolling over of those
returns year to year, his averages is costs down. So when the stock price moves up in the market, he's making an oversized return.
On investment. So try not to pay fees. You can't avoid it. What you will pay fees.
We try not to sell over and over, you're just turning and creating revenues for your broker. Try to invest your dividends even if you when you buy shares, open up a separate bank account. Pay all your dividends day if you want to buy the same stock, try to capture all the dividends denial, denial or US that flew from your your portfolo, try to capture it in a separate place. Don't use your debidence and buy ashore be your deblience investment returns, they should go back to your investment.
That way, you are making your portfolio moral robust. Right in America that they always have what they call him drip debian reinvestment plans where you can say you can click the button there when you buy the share, you automatically can keep on buying dividian investment. I always clicked
the drip always. In Nigeria they don't have drips, so when you read the dividends, you have to share back to the company and reinvest, so it's a bit harder for you and you can easily use the money and buy Diesel for the generator, which shouldn't be So try to separate your dividends, reinvested dividends, grow your portfolio, especially the very very good stock right the traces of the trade.
One last question, please please think before you go.
Thank you very much.
So the next question I have is around the CSS number, and Clinton mentioned yeah, So the thing is this. When I opened and Shaka, I didn't get a CSS number, but then I went ahead and opened an account with a free a free invest investor. I think so, yes, so I got a CESS number. So is the way
to link that. I know you it's like an account number for stocks where you just need one for like I haven't found a way to link that CSS number to check in cases that re investing because right now I do not have any investment.
Again on chatter, yeah.
I think it's I think it's possible doing that.
Right.
You can just tell Chacker your CSS and the link it. But then you lose the costudio because what Chracker is doing Checker has brought you shares with their own CSS, so when they buy and sell is.
In their CSS advantage. It's not bad.
Look at the advantage of that when you tell checker to sell, they are selling from their position, so you can. That's why you can sell immediately and buy immediately because it's on Shackers costudio.
If you move it from Chackers cost studio, you have.
To then move it back to their costudio or to a broadcast cost studio before you can buy and sell. So the costoler is just your pill box. So we want to set up take from your pill box to the broker to sell. So there's an advantage understand advantage of it. But if you want to buy and hold, if you're not to get that trades, yes, have your own c S yes, but if you trader maybe in my costure, I was leaving it there because if you want to buy and sell, it has to build the cost to the.
Purse to buy and sell.
So because of why you how long you want to hold your objective all that kind of stuff.
Okay, well another yes, yes.
So contact your say you have the cost to that can then move the shares to your to your c s S. Yeah, you can, you can do that accident the movie the move before you do have to get the physical shues then they will transfer to your c S C then you just get to one C S S number and the.
Shares will be there.
Perfect.
It's not a problem. Yeah, it shouldn't be a problem. All thank you very much.
I don't think I've asted all the questions I have.
Thank you so much, excellently, thank you, all right, excellent.
All right, guys, believe it or not, we've been here for four hours, four hours and nine and ten minutes talking about investing as an allocation.
Boring topic, but I appreciate everyone that has been here.
We're learning, making ourselves better, and I think everyone has left here with something new today. Of course it's a spaces are all recorded, so once we're done, we put on the podcast. You can go back and read losing the podcast. It's called The Way I See It. It's also going to be on the Twitter recording, so you have you can reference back and basically listen to all all those topics. Last week we did the financial health check,
your income, your expenses, asset liabilities. Now we've done the asked allocation, how to invest, and all that kind of stuff. I had hoped that the tax reform builds have been passed. What I've giving you guys, how to basically in twenty twenty five, how to set up your set yourself up now to say, as this year is starting, this is what I'm going to do, right, I'm going to do
this to avoid taxes because tax avoidance is legal. It's not legal, right, So maybe next space is Christmas, but maybe one after that we'll talk about how to then set.
Yourself up into twenty five.
What should you do tast like buying insurance by yourself and your wife to get a tax benefit, setting off a business ira arisis things like that, just how you want to set yourself up. You know, investing is also the structure. It's not just the buy sell, but also the structure. If you invest as a person and invest as a company, it's a difference. Or on Buffett pays less taxes than his secretary wife because Buffett is investing
as an investor. So when he gets his taxes, he pays on guide interest, not on income, not the normal personal income. But those those laws are there and you you also can take advantage of them. So how you want to it's not a legal space, Well, how do you want to set yourself up?
Take advantage of setting exclusions, exceptions and best practices.
Maybe we'll do that as well. So that way you're doing your budgeting. Now you know how to do as a location. Then you now know how to set yourself up. So if you if you work for a company, I want to give charity, do you want to have a set up an completer trustee? If you want to buy shares, you buy shares as a cooperation as a person in the US in Nigeria.
That sort of space.
So maybe we have that and you guys are all set up for twenty five, then you have no excuse not to make a billion naira into in twenty five.
Maybe that's a plan. Limited and any closing.
Words, Thanks, thanks for opportunity.
I've kept I've kept you up, man, I've kept you up. I've kept you up.
I know this.
This is what What time is it in Nigeria? Who knows very well?
What time?
What time is it?
Now?
Time?
Well spend time? Well spend Yeah excellence, good, good job guys. All right, guys, so we'll see, I will talk and then we'll come back next week. It might be Christmas, so might do something and not be here. You guys, enjoy yourself. Stay safe, Stay safe. It's Nigeria. It's dead it whatever. Don't do not spend like the guys coming back to Nigeria that are coming back with dollars which in to naira.
Don't spend like them.
You have a.
Budget for periods exactly like this. This is the period of irrational exuberance.
But if you have a budget, you must have gotten a size of money for your quote unquote irrational exuberance.
Spend that.
Don't spend more than that. Make sure you still maintain fiscal discipline. Don't spend like Nigerian government. Maintain physical discipline throughout December, so that you start off to twenty five. There's gonna be school fees January turn twenty five, right, so make sure you are making money and not spending money in during the Christmas. That's your your that's your objective for next year. By next year Christmas five, you
don't to be making money and not spending money. Chris, all right, folks, let you guys go have a Thanks you most fork, Thank you so much for being here.
Appreciate you guys. Like I said, get the book. It's a help. You're welcome. Appreciate it all
Right, folks, Alimini to everyone, thank you so much, see you guys, Bye bye,