Investment may prove somewhat daunting. Sometimes, it is associated with putting in additional effort so you do not hit rock bottom.
However, there are investment companies in the industry dedicated to simplifying the process for you.
Here, we make a list of these investment companies in Nigeria in no particular order.
What Does It Mean To Invest?
Investing can be one of the best ways to improve your financial future, but it’s important to have a sound understanding of just what it means to invest. So, what exactly is investing?
Investment is the dedication of an asset in one of the investment companies to attain an increase in value over a period of time.
Investment requires a sacrifice of some present asset, such as time, money, or effort.
In finance, the purpose of investing is to generate a return from the invested asset.
The return may consist of a gain (profit) or a loss realized from the sale of a property or an investment, unrealized capital appreciation (or depreciation), or investment income such as dividends, interest, or rental income, or a combination of capital gain and income.
The return may also include currency gains or losses due to changes in the foreign currency exchange rates.
Investors generally expect higher returns from riskier investments.
When a low-risk investment is made, the return is also generally low. Similarly, high risk comes with a chance of high returns.
Investors, particularly novices, are often advised to diversify their portfolio. Diversification has the statistical effect of reducing overall risk.
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Who Is An investor?
An investor is basically an individual, firm, or entity that commits capital to obtain financial returns (profit).
Such individual works with a predetermined capital, which is usually put into a business or scheme to yield profit in the long term.
Basically, investors usually have set financial goals that the business needs to match.
Financial Goals Investors Seek To Achieve
The options for investing your savings are continually increasing, but every one of them can still be categorized according to three fundamental characteristics: safety, income, and Capital growth.
- Safety: It is said that there is no such thing as a completely safe and secure investment. But you can get pretty close.
- Income: Investors who focus on income may buy some of the same fixed-income assets that are described above. But their priorities shift towards income. They’re looking for assets that guarantee a steady income supplement. And to get there they may accept a bit more risk.
- Capital Growth: By definition, capital growth is achieved only by selling an asset. Stocks are capital assets. Barring dividend payments, their owners have to cash them in to realize gains.
What Are The Items Of Investment?
An investment product is a product offered to investors based on an underlying security or group of securities that is purchased with the expectation of earning a favorable return.
Investment products are based on a wide range of underlying securities and encompass a broad range of investment objectives.
Some basic examples of investment products offered in Investment are:
- Bonds: Bonds are one of the most well known fixed income investment products. They can be offered by governments or corporations looking to raise capital.
- Stocks: Stock investments represent equity ownership in a publicly traded company. Companies issue stock as part of a capital raising regime which funds the operations of the company.
What Are Investment Companies?
Investment companies are business entities, both privately and publicly owned, that manage, sell and market funds to the public.
The main business of an investment company is to hold and manage securities for investment purposes, but they typically offer investors a variety of funds and investment services, which include portfolio management, record keeping, custodial, legal, accounting and tax management services.
In other words, an investment company is a corporation or trust engaged in the business of investing the pooled capital of investors in financial securities.
This is most often done either through a closed-end fund or an open-end fund (also referred to as a mutual fund).
Top 20 Best Investment Companies In Nigeria
Below are the top 20 best Investment Companies in Nigeria:
1. Stanbic IBTC Asset Management
Stanbic IBTC is regarded as one of the reputable asset management and investment companies across the country.
Over the years, they have demonstrated a mastery of fund management as well as an industry authority in the global and financial markets.
In 2013, Stanbic Asset management won ‘The Best Investment Management Company’ award by World Finance. This further reestablished their aura as one of the leading investment companies in the country.
2. Meristem Securities
Formerly known as ‘Great Africa Securities Limited’, Meristem Securities is listed by the Nigerian Stock Exchange and Securities Exchange Commission.
They are recognized as dealers and brokers in the investment management industry.
In 2014, Meristem Capital Limited declared her share capital as N3.3 billion.
3. Zenith Capital
An affiliate of Zenith Bank, Zenith Capital is one of Investment Companies that leverages state-of-the-art technologies in delivering exceptional standards.
The investment company has also earned accolades in the investment industry for its global expertise.
Zenith Capital serves clients such as government agencies, high net worth individuals, blue-chip companies, private inquiry investors, and more.
4. CitiTrust Investment
This investment management company specialises in stock brokerage while leveraging on transparency, professionalism, and integrity.
Other than this, CitiTrust Investment delivers services in securities trading, investment benefit management, and portfolio management.
CitiTrust is one of the top investment companies in Nigeria serving both individuals and corporate clients.
5. Afrinvest Limited
Like the former, Afrinvest focuses on investment banking, securities trading, asset management, and investment research.
Basically, Afrinvest is under the license of the Nigerian Securities Exchange Commission as a broker-dealer.
Also, the company provides research on local and international capital market transactions.
6. FBN Capital Limited
What’s spectacular about FBN [First Bank of Nigeria] Capital is its widespread dominance in the investment market industry.
Therefore, it is not just one of the leading investment companies in Nigeria. Its services span across Africa.
Also, it comprises FBN Capital, FBN Securities, FBN Asset Management, FBN Trustees, FBN Capital partners, and FBN Funds Limited.
7. United Capital
Like FBN Capital, United Capital is also revolutionising the African space.
They serve both government agencies and corporate organisations.
The investment company is a leader in financial advisory, capital markets, and banking solutions.
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8. Investment One Financial Services
Investment One launched in 2008. The company is a subsidiary of Guaranty Trust Bank with a specialty in asset management and securities brokerage.
Basically, some of the services provided by InvestmentOne include Wealth Management and Trust, Mutual Funds, Pensions, Real Estate. Private equity, Investment banking, and securities brokerage.
9. Forthright Securities and Investment Limited
Incorporated in 1995, Forthright Securities is one of the major stock brokerage firms in the country.
Basically, services provided by the investment company include investment advisory, fund management, stock brokerage, financial education, and portfolio management.
10. Peninsula Asset Management
Peninsula Asset Management is one of the oldest players in the investment industry.
Furthermore, established in 1983, Peninsula Asset Management has been operating for over a decade. They provide bespoke investment needs to clients.
11. Chapel Hill Danhem
Chapel Hill Danhem leads in investment banking. They manage funds and focus on the infrastructural, financial, healthcare and education sectors in Nigeria.
They offer investment services in Merger and Acquisition, Capital Markets, Sovereign and Privatization, Financial advising and Restructuring.
Having won Euro Money Awards for excellence several times, Chapel Hill Danhem is one of the best Investment companies in Nigeria.
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12. Vetiva Capital Management Limited
Vetiva Capital Management Limited presents the best opportunities to clients with their investment services.
They help clients secure the best capital structure by a precise understanding of the local and foreign capital market.
Their financial aids and choices are guided by skilful financial advisors.
Vevita Capital Management Limited is one the best investment companies in Nigeria you can trust to meet your investment goals.
13. Greenwich Trust Limited
Founded on the 25th of February 1992, Greenwich Trust Limited commenced operations in June 1994. Now 25 years in business, the Greenwich Trust Limited has withstood competitions, won awards and built a reputation in the securities market.
Greenwich Trust Limited offers financial advisory, structured finance, capital issues, property development securities management and research. It is one of the best investment companies in Nigeria you can rely on.
14. WSTC Financial Service
Founded in 1991, WSTC Financial Service has been known to provide sound financial advice that has always helped clients and customers.
Their mission is to contribute to human development through wealth creation.
Hence, in the aspect of investment, they manage wealth, assets and customers’ securities proficiently. With WSTC Financial Service, you can achieve your investment goals.
15. Capital Bancorp Plc
With over 31 years in experience, Capital Bancorp Plc has been known to provide innovative, professional and financial services.
It was incorporated and registered in June 13, 1998 with the Securities and Exchange Commission (SEC).
It performs services of a House Issuer, Investment Adviser, Broker/Dealer and Portfolio Manager.
Capital Bancorp’s thrives to make a longstanding difference in wealth creation and to deliver superior value services to stakeholders.
With these, they’ve stood to be one of the best investment companies in Nigeria that you can trust.
16. Forthright Securities And Investments Ltd
Forthright Securities and Investments Limited, is registered by the Securities and Exchange Commission as Broker/Dealer and a licensed dealing member of the Nigerian Stock Exchange.
It’s services include: Investment Advisory, Financial Education, and Stock brokerage. If you’re considering investing with this company.
17. Lotus Capital Ltd
Lotus Capital is a full-service, halal investment management company specializing in Shari’ah compliant asset management, private wealth management and financial advisory services.
Lotus Capital was founded in June 2004 with the specific objective of meeting the investment needs of ethical individuals, businesses, and organizations across West Africa.
18. Investment One Financial Services
Investment One is one of the leading Investment Companies in the Nigerian financial services industry with distinctive business in: Financial Services offering Asset management, stockbroking, trust and pension fund management services.
Investment Banking also offers Capital Management, Private Banking and Venture Capital Services.
19. Oasis Group Limited
Oasis Group Limited holds investments in property development, manufacturing, financial services, and commerce businesses in Nigeria.
The company develops, leases, and sells property for residential and commercial purposes.
It also manufactures labels for breweries, shopping bags, shrink wrap, stretch films, food and drink sachets, bags, etc. serving the fast moving consumer goods sector.
The company was founded in 1981 and is based in Lagos, Nigeria
20. Cordros Asset Management Limited
The Company is a subsidiary of Cordos Capital Limited licensed by the Securities and Exchange Commission, as a portfolio management company.
The company is readily committed to providing value for diverse client base and ensures that investors achieve their potential.
The expertise at this company include Portfolio management, mutual funds, liquidity management, and aiding to provide a structured system with services towards wealth management.
The list of investment companies in Nigeria provided above is based on local and international acceptance by many.
Investment is an important aspect of business both for employers and employees.
It is not enough to be willing to invest in a particular business opportunity, it is also important to read widely on the options available.
Lastly, there are a number of investment opportunities from investment companies performing excellently in the industry as well.
Ideally, this list does not intend to categorically set one company above the other.
Therefore, should you take interest in consulting any of these investment companies, you could easily weigh your options.