Making money through a faster plan

When it comes to making money, the only skill most people know is to work hard. People think that mastering their skills would make their income jump exponentially. In our places of work, the popular view is the idea of specialization.
Most people think that specialization can make them get promoted and through promotion, their income would increase. This is why people who are paid through employment acquire degrees upon degrees.
When they acquire those degrees and get their income raised by their employers, they now discover that getting a degree and increment in salary neither translate nor guarantee financial freedom. Getting rich through your skill, promotion and increment of wages are always slow.
If getting rich had to do with education and skill, all educated people would have been rich. For you to be rich, irrespective of your status and background, you must discover a legitimate formula of making money through a quicker and innovative way. If you have not found the formula, getting rich always seems hard and staying poor seems natural.
One of the ways to fast track your plans of making is to expand your reality in the stock market. Doing that increases your leverage, then getting rich becomes easier.
The richest people in the world are those who continually explore the stock market. Examples are people like Bill Gates who always invests heavily in the stock market and through that multiply his money.
So also is Warren Buffet, the stock market Guru who always puts his eggs in one basket and watches them grow. He has made billions of dollars from the stock market and is also known for building companies from the scratch and taking the shares to the public for sales.
Through these, he became the second richest man in the world. Alhaji Aliko Dangote, who I always refer to as the Warren Buffet of Nigeria started Dangote Sugar in march, 2000 with N50 million. He took the company to the stock exchange last year and sold 30 per cent of its shares to the public by way of offer for sale of 54 billion naira(N54,000,000,000). He bought national salt at (N5) per share and sold 400 million units of his shares in the company at the stock exchange for 22 naira(N22) per share, thereby pocketing N8.8 billion (N8,000,000,000).
What a way of making money through a faster plan. You may not have a billion or even a million naira to play in the market, but you can use the little you have to create wealth by joining the club of people that are making money through the faster plan.
The way to do it is to buy stocks when they are low and sell when the prices have gone up. The language is “Buy low and sell high”. Apart from the secondary market, you can take advantage of the primary market to make money in shares.
Companies coming to raise money through the primary market for the first time otherwise known as the Initial Public Offer (IPO) always give investors high returns on their investment. The reason is because their shares are not always available at the market when they are listed.
The unavailability of the shares makes it to move upwards and investors who know how to quickly verify his/her certificate can easily take advantage of that to make money. Readers should watch out for offers coming to the market.
Nigeria is an emerging market. The shares of companies in an emerging economy give incredible returns. Don’t be surprised if in the next few years you discover that a unit of some company’s shares are sold for between N500 to N 1000 per share. You can position yourself for the incoming surge in the market.
Don’t tell us that you were not told. I keep saying it that the prices of our shares are low and the best time to take position is now before it goes beyond the reach of low income earners. See you next Week

Wealth Creation Through Shares

Investment is a plan. You need a plan to start with nothing and retire rich in the stock market. The essence of attaining financial freedom early is for you to have time making money instead of working from cradle to the grave.
Getting rich begins with a right plan and actualizing your plans gives you freedom from the bore of earning a living. When I was working in a financial institution few years ago, I developed a plan to work for a maximum of five years before disengaging from paid employment.
For me to realize my plan at the set time, I got enrolled in the school of financial education through reading and mentoring. I purchased over forty books on investments and finance to hone myself on investment skills. I always put to practice what I read and taught by investing the little I was receiving monthly in shares. As a matter of fact, I started buying shares with five thousand naira. Instead of working for five years as planned, I disengaged from paid employment in three years.
Though I did not have enough money to play bigger in the stock market and business then, but I was mentally prepared to use the little I had to create wealth. The speed at which you can change and expand your context in order to adapt to the changes in the investment world today is critical to every one of us who wants to succeed and do well financially.
One of my mentors said “if you have a slow industrial age plan or context, you are left behind financially by younger people with faster minds and more accelerated ideas". He said this accelerated rate of change of context is why we have twenty-year olds who are billionaires and fifty-year olds still hoping to find two hundred thousand naira as annual salary.
For us to retire rich, we need to develop a blueprint to wealth. Instead of following our parents financial plan of working and retire after 35 years of service and depending on government for the rest of our lives, we should develop alternative ways of attaining financial freedom. One of the platforms is through the stock market. With adequate planning and basic financial education, we can retire rich in the stock market in 5 to 10 years depending on how fast you want to achieve this plan.
The idea of working all your life and savings to achieve financial freedom is a very slow plan. So many people work and save but did not invest.
Working and saving cannot give us wealth. We must invest our money in financial instruments that give high returns. I was doing a research few years ago on five hundred naira invested in a particular bank in 1973 and another five hundred naira put in saving account during the period. The N500 invested in the bank would be worth over ten million naira by now while the one put in saving account cannot be up to a hundred thousand naira.
With what you have, you can start buying shares through the primary and secondary market. This can be done by setting aside N5,000 to N10,000 monthly if you are low income earner. For example, if you had bought the public offer of Japaul Oil shares late last year, your money would have worked hard to give you more than 300% returns on your investment by now.
Before going to press, Japaul Oil is about N13 per share. There are other instruments like mutual funds, debentures etc. You can also invest in Right Issues on the floor of Nigerian Stock Exchange even if you are not existing shareholders of the company.
Through your broker, you can purchase the rights of people not ready to take up their rights. You can also take advantage of private placement to retire rich if you are financially capable. Private placement is what some people called the investment of the rich.
To me, private placement is not for the rich alone. Depending on your plan, you can retire rich in the stock market through careful planning.
See you next week.