Wednesday, the NSE market was vibrant with the total shares traded growing by 114.38% to KES 746.43Mn compared to yesterday’s trading influenced by the high foreign activity in KCB, Equity and Safaricom.
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How to Start Trading in the NSE Stock Market
The stock exchange market is one of the fundamental ways of investing in modern economies. Most other investment vehicles will normally have stocks as an underlying asset. Stocks, also referred to as shares, enable individuals and corporations to own a chunk of established limited and listed corporations. The ease of trading and ease of entry makes it an ideal investment especially for the ad hock investor. If you would want to be a prudent investor in both the mid term (3 to 5 years) and in the long term (more than 5 years), then shares is the place to be.
All you need to do is open an Account with our stock brokers HERE and then send money to your account and buy the stocks with an appreciation potential. Loading your account is easy - You can deposit cash in the stockbrokers bank account or "Buy Goods" under the MPESA's LIPA na MPESA service. This is easy and you will not be charged any further fees. You can send money and buy shares as often as you want and buy shares with as low as KES 100. If you consistently put aside funds to shares especially when the stock market is lowly priced, you will find that with time, you will have build a large and appreciated portfolio. You can then use the funds to build a rental house, settle long term debts such as mortgages or use funds as capital for business.
Mid Term to Long Term Investments
Stocks are especially ideal for mid to long term periods as it is not easy to predict the price changes in the short term. However, if you invest in promising and sound businesses on the stock exchange, you are bound to profit over time. In fact, well invested shares are known to have the highest return on investment in the long term.
Why Invest in Stocks/Shares?
Any wealthy individual either locally in the Kenyan market or in the rest of the world will usually have invested heavily in stocks. In fact, most wealthy individuals make their financial breakthrough by investing wisely in stocks. This is because demand for stocks grows exponentially thus giving stock owners exploded returns on investments during bull markets.
Therefore, the secret is to invest when the market is low and shares are lowly priced and then sell off the shares when the market has grown and the stocks have significantly increased in price. Within the period, you also get to enjoy the dividends and bonuses paid out by the listed companies to their stock holders.
Advisory and Tools for NSE Stocks Trading
As the week progressed, the stock market grew marginally in traded shares. There were 14.67m shares traded at a total value of Ksh 348.18m up by 35% from Monday’s trading. Safaricom was the highest traded share.
Characteristics of Mondays, the activity was low. Total shares traded (turnover) going down by about 50% from KES 514.87m to KES 257.92m.
Top Gainers
Top Gainers/Losers.
Top Gainers; Uchumi +8%( 2.70); Liberty +5.31 (11.90); NIC +4.46 (29.25)
Top Loser; Unga -10% (27.00); E.A.Cables -8.80% (5.70); TCL -6.15% (6.10)
Top Movers
The market slopped downwards influenced by low foreign participation of 57% and foreigners being mainly net sellers. NSE 20 Share Index shed 0.19% to 3,122.51 points from 3,128.44 points with most companies trading at losing prices.
Overall Stock Market Report
Market saw a slowdown in activity with volumes dipping 73.36% to 13.07Mn shares. Day’s value stood at KES 315.93Mn from KES 794.94Mn driven by a low foreign participation which was at 64.63%.