We live in a beautiful world where almost everything can happen with just a click, including the loss of cash to false investment opportunities in Nigeria. Not so beautiful, right? So, in this article, we’ll share surefire tips on picking the right investment opportunities in a world like ours. We promise it won’t be a long article.
1. Clear Communication About The Investment Option
If you cannot communicate how the investments earn, easily, to someone else that might be a red flag. A number of investment options pop up every day without verifiable earning processes and even go further, sometimes, to promise higher returns. For a start, we always advise that you refer back to this evergreen piece of advice: “Don’t invest in what you don’t understand”. How does the investment option earn returns? Is the process sustainable? These questions must be properly answered.
2. Is Participation Strictly Driven by Referrals?
If the only way to participate is through referrals, the devil most likely has a hand in the game. And you know what they say about dining with the devil, right? Well, we’ll advise you don’t even use a long spoon in this case. Reject the invite!
This is quite different from verified private investment circles that have limited slots and sometimes require existing members to invite new members. An investment option that thrives on referrals, more often than not, is paying investors from the funds of other investors and is making no actual returns.
3. Is the Investment Platform Regulated?
If the investment firm does not have a verifiable website, address, or registration details, and is not associated with any regulatory body such as the Securities and Exchange Commission (SEC) you should avoid them. Cowrywise, for instance, is duly registered with a physical address and has a trustee partnership with Meristem Trustees (regulated by the SEC).
Did you know Cowrywise was the first fintech in Nigeria to employ the trustee structure? Read more about our security structure.
4. Guaranteed Paybacks? A Red Flag!
In a world where nothing is assured, you should be wary of firms that promise guaranteed paybacks if things go south. It is almost impossible to promise returns in the investment space talk less of guaranteeing a payback. Legitimate investment platforms inform you of possible losses and provide advice on how to mitigate risks.
5. Double-Digit Returns in a Month?
Does 10% monthly ring a bell? How about 30% monthly? Any investment platform that assures you of double-digit monthly returns is an outright scam. If it were true, the founders will be part of the top richest beings in the world. The race of wealth building is a marathon that makes sense out of moderate interest rates.
If you are in search of secure savings plans and investment options, you can check out our investment plans. As long as you think of investment opportunities in Nigeria, there’s a safe Cowrywise plan for you.
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Great initiative to address this important issue.
Thanks for addressing this issue. I have always wondered how you it works.
It makes sense also request for death proof from d next of kin before any transaction
I have a case just like this but my brother is the next of kin and he was told to visit the ministry of Justice for a letter of approval which he did,, they told him the letter will be ready within 2month after spending some amount of money to my surprise it was more than 6month and just this Monday letter was taken to bank.
Bank also are saying we should come back later for a review that we should keep checking
I like this ideas
This is a good piece of information.
Thanks for the information, can I state both my adult children as next of kin because I have been told that using one could cause a rift
Sure you can.
Very detailed and explanatory. Thanks.
Yes my name is chiamaka i have a case like this my dad use as next of kin to process his dividend to the one of the nigerian bank but now he died on august last year and we buried him three months ago as a next of kin i dont no the required document i will use to go and present to the bank to claim his money he did not write any will only next of kin he uses thanks
My mum is my dad’s next of kin, he died few months ago as a polygamist he has no will what do we do.
Quite good, love that and will update mind, nice ? being part of Cowrywise.
Great!
I have a case just like this but my brother is the next of kin and he was told to visit the ministry of Justice for a letter of approval which he did,, they told him the letter will be ready within 2month after spending some amount of money to my surprise it was more than 6month and just this Monday letter was taken to bank.
Bank also are saying we should come back later for a review that we should keep checking
I would have loved to used my mom as the next of kin but she doesn’t like using Android phone thus she didn’t have any email address,, I don’t really trust my immediate younger sister that much so I used my second younger sister I just hope it wouldn’t cause any hatred towards each other
Thanks for taking the time to explain this . Great ?