Oil can be both a blessing and a curse. In Nigeria, however, it has mostly been the latter. Just a decade after crude was first discovered in Oloibiri in 1957, it was already tearing the young country apart in civil war.



Production has never exceeded the 2.5 million barrels a day hit in 1979 and <a href="https://www.iea.org/articles/nigeria-energy-outlook">won’t in the foreseeable future</a>. Nigeria’s oil output was insufficient to spark a Middle Eastern-style economic miracle back then; now, with a population three times larger, it’s woefully inadequate.



<h2 class="wp-block-heading" id="h-what-are-the-problems-with-oil-in-nigeria">What are the problems with Oil in Nigeria?</h2>



While oil and gas sales typically account for about 90% of Nigeria’s export earnings, the state receives a relatively modest sum from the trade – less than $8 billion in 2020, according to the country’s Budget Office.



The government’s potential benefits from the industry are further eroded by rampant crude theft – as much as 150,000 barrels per day, according to the government, which is about $5.5 billion a year at current prices.



Despite being a longtime crude oil exporter, Nigeria&#8217;s government has four under-performing and frequently broken down refineries with a combined capacity of <a href="https://www.premiumtimesng.com/news/headlines/269289-no-nigerian-refinery-worked-up-to-50-capacity-in-2017-nnpc.html">445,000 barrels daily</a>.



Those refineries, two in the oil hub of Port Harcourt, one in Warri in the Niger Delta, and the other in the northern city of Kaduna, are all operating <a href="https://www.premiumtimesng.com/news/headlines/269289-no-nigerian-refinery-worked-up-to-50-capacity-in-2017-nnpc.html">at less than 50</a> per cent of capacity.



This means that even though Nigeria is Africa’s largest oil producer, petroleum for everyday <a href="https://www.reuters.com/article/nigeria-oil/nigerian-state-oil-firm-spent-5-8-bln-on-fuel-imports-since-late-2017-idUSL8N1QA6LR">use must be imported</a>. This has spawned fuel importers and diesel traders who have grown extremely wealthy.



<a href="http://dailypost.ng/2018/06/19/nigerian-govt-spent-n2-4bn-daily-fuel-subsidy-may-pppra/">Nigeria’s government subsidises fuel imports to keep pump prices low</a>, contributing to Nigeria’s well-documented culture of corruption in the petroleum industry.



Nigeria’s lack of refining capacity presents many challenges, such as spending billions of dollars on imports yearly and being exposed to disruptions in its domestic fuel supply.



Between 2015 and 2019, the cost of importing refined petroleum products exceeded the exports by <a href="https://punchng.com/nigerias-petroleum-imports-exceeded-exports-by-43-56bn-opec/">$58.5 billion</a>, according to OPEC, a group of major oil producers.



All that sounds grim, but there are reasons for hope for the oil sector— the Dangote Refinery.



<h2 class="wp-block-heading" id="h-the-dangote-refinery">The Dangote Refinery</h2>



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<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="577" data-id="3213" src="https://money.rise.capital/wp-content/uploads/2024/03/Dangote-Refinery-1024x577.jpg" alt="Dangote Refinery" class="wp-image-3213" srcset="https://money.rise.capital/wp-content/uploads/2024/03/Dangote-Refinery-1024x577.jpg 1024w, https://money.rise.capital/wp-content/uploads/2024/03/Dangote-Refinery-300x169.jpg 300w, https://money.rise.capital/wp-content/uploads/2024/03/Dangote-Refinery-768x432.jpg 768w, https://money.rise.capital/wp-content/uploads/2024/03/Dangote-Refinery.jpg 1062w" sizes="(max-width: 1024px) 100vw, 1024px" /></figure>
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Owned by Nigerian industrialist and Africa’s richest man, Aliko Dangote, the refinery promises to transform Nigeria’s economic fortunes. It is in a free-trade zone between the Atlantic Ocean and the Lekki Lagoon, an hour outside the city centre.



The Dangote refinery is Africa’s biggest. It will produce 650,000 barrels a day, enough oil to supply gasoline and kerosene to all 190 million Nigerians, and still enough to export.



The refinery is expected to boost domestic refining capacity, eliminating the current consumption shortfall. It will also reduce import dependency and stimulate economic growth. It is the <a href="https://www.channelstv.com/2016/06/24/dangote-set-to-launch-nigerias-first-private-refinery/">first</a> privately owned crude oil refinery in Nigeria.



Nigeria’s existing refineries, plagued by operational inefficiencies under government control, have failed to meet the growing demand for petroleum products, making substantial imports necessary.



According to the <a href="https://www.cbn.gov.ng/Out/2023/CCD/Governor's%20Goodwill_Remarks%20at%20the%20Commissioning%20of%20the%20Dangote%20Refinery_May%202023.pdf#page=13">Central Bank of Nigeria</a>, the cost (including freight) of petroleum products imports into Nigeria doubled over a five-year period from about US$8.4 billion in 2017 to US$16.2 billion (indicating an annual average of US$11.1 billion), rising further to US$23.3 billion by the end of 2022.



<h2 class="wp-block-heading" id="h-how-will-the-refinery-transform-nigeria-s-economic-fortunes">How will the Refinery transform Nigeria’s economic fortunes?</h2>



<h3 class="wp-block-heading" id="h-reduced-oil-import-dependence">Reduced oil import dependence</h3>



The most notable impact of Dangote refinery will be the increase in local refinery capacity, which will reduce imports.



Dangote refinery is expected to help Nigeria meet <a href="https://dangote.com/our-business/oil-and-gas/">100%</a> of it’s refined petroleum product needs (gasoline, 72 million litres per day; diesel, 34 million litres per day; kerosene, 10 million litres per day and aviation jet, 2 million litres per day), with surplus products for the export market.



The refinery&#8217;s refined petroleum output, in combination with other refineries in Nigeria, is expected to meet the shortfall in the estimated daily consumption of <a href="https://punchng.com/daily-fuel-consumption-jumps-to-72-million-litres-subsidy-hits-n541-66bn/#:%7E:text=Petrol%20consumption%20in%20the%20country,in%20the%20month%20of%20April.">72 million litres of petrol</a>.



The country has faced <a href="https://www.aljazeera.com/news/2023/2/2/shortages-causing-fury-among-nigerians-ahead-of-elections">several fuel shortages</a> in the past, which have caused <a href="https://www.premiumtimesng.com/news/headlines/517393-nigerias-inflation-rises-to-15-70-as-fuel-scarcity-affects-prices.html?tztc=1">prices to surge</a> for transport and basic commodities. <a href="https://apnews.com/article/russia-ukraine-politics-nigeria-2ff43cdc2014832e54255db54b89125b">Recent fuel shortages</a> have been blamed on the Russia-Ukraine war, and the price of imported fuel rose more than 100%. Importers operated at a loss due to price ceilings set by the government.



Besides eliminating import dependency, the Dangote refinery can potentially reduce Nigeria’s crude oil export dependency as more crude oil will be refined domestically.



Refining crude oil locally will enable the country pay for the refined product in naira, which will save scarce foreign exchange and generate revenue in exported refined petroleum products.



The Central Bank of Nigeria says Dangote refinery could engender foreign exchange savings of between <a href="https://www.cbn.gov.ng/Out/2023/CCD/Governor's%20Goodwill_Remarks%20at%20the%20Commissioning%20of%20the%20Dangote%20Refinery_May%202023.pdf#page=14">US$25 billion and US$30 billion</a> annually for Nigeria.



<h3 class="wp-block-heading" id="h-support-for-allied-industries">Support for allied industries</h3>



Fuel is not the only output of oil refining; petrochemical industry too will build on it, like the fertiliser and plastic industry. A lot of other companies such as logistics, transport and trade industries will build on it too.



If the refinery is efficiently run, the forward linkage sector that relies on the output of the manufacturing sector will improve.



“That means the performance of the overall industrial sector which includes construction, and manufacturing in Nigeria will improve and their output will increase.”



The establishment of the refinery is also likely to help reduce the cost of production for industries that <a href="https://businessday.ng/energy/oilandgas/article/fresh-pain-for-manufacturers-as-diesel-tankers-face-supply-hitches/">rely on petroleum products </a>such as diesel to power their operations.



In turn, this should increase their competitiveness in the global market while promoting local industry capabilities. The refinery could also create an environment for allied industries to emerge in and around it.



For instance, businesses in transport, housing and telecommunications will benefit from the construction and operations of the refinery. And the refinery should create jobs and entrepreneurship opportunities. While under construction, the refinery employed about <a href="https://www.dangote.com/57000-personnel-to-benefit-from-work-at-refinery-site-says-dangote/">40,000 </a>workers – 29,000 Nigerians and 11,000 foreigners. The jobs were in engineering, construction, manufacturing and operations, among other areas.



Mr. Dangote&#8217;s refinery hopes to help diversify Nigeria’s economy while reducing its dependence on imported oil. “We have other opportunities,” he said at the <a href="https://www.youtube.com/watch?v=eV7PAq45cxc">plant’s unveiling</a>. 



“Agriculture is there. Petrochemicals are there, Nigeria has more arable land than China. If we finish our gas pipeline, it can generate 12,000 megahertz of power. That’s huge. That’s more than what we are looking for in Nigeria and we can supply the rest of West Africa.”



In conclusion, the narrative of oil in Nigeria has long been one of missed opportunities, economic struggles, and dependency on imports despite being a major oil producer.



The country&#8217;s refining capacity has been severely lacking, resulting in significant financial losses due to importing refined petroleum products. This situation has perpetuated corruption, hindered economic growth, and left Nigeria vulnerable to global market fluctuations.



However, the impending completion of the Dangote Refinery presents a beacon of hope for Nigeria&#8217;s oil sector and overall economy. As Africa&#8217;s largest refinery, it is poised to revolutionize Nigeria&#8217;s economic landscape by significantly reducing oil import dependency, meeting domestic demand, and even creating surplus for export. 



Moreover, the refinery&#8217;s impact extends beyond the oil sector, with potential benefits for allied industries, job creation, and entrepreneurship opportunities.



In essence, Nigeria&#8217;s oil industry has faced numerous challenges in the past, but the Dangote Refinery represents a transformative opportunity to reshape the country&#8217;s economic landscape, driving sustainable growth and prosperity for years to come.

Dangote: The Man Changing Nigeria’s Economic Fortunes

Report Summary Welcome to the second quarter of the year. Here is our first quarter’s recap on the stock, real estate, and fixed-income markets:



US equity indexes notched all-time highs in this past quarter, with the S&amp;P 500 registering its five-month historic consecutive gains since 1950. The US <a href="https://money.rise.capital/blog/the-stock-market-is-at-an-all-time-high-should-i-double-down-or-sell-everything/">stock market</a> continued its upward momentum from last year’s rally. This bullish trend in the equities market is largely due to the expectation that the US Federal Reserves will begin to cut rates later this year.&nbsp;



Markets began the year expecting roughly seven rate cuts for 2024. Throughout the quarter, that pendulum swung back to three cuts amidst a backdrop of improving economic growth and a slowing rate of disinflation.



Stock prices increased in March despite diminished expectations for Fed rate cuts in 2024. Gains were led by technology stocks, especially the companies believed to most likely benefit from the artificial intelligence boom, such as Nvidia, Microsoft, Meta, Super Micro Computer, and ARM Holdings. In March, the S&amp;P 500 was up by 3.10%, the NASDAQ 100 was up by 1.2%, and the Dow Jones Industrial Average (DJIA) was up by 2.2%.



In the Real Estate market, signs of life have begun to spring up in the housing market as we head into peak home-buying season. Even so, still-high mortgage rates and home prices amid historically low housing stock continue to put homeownership out of reach for many. Mortgage rates averaged 7.37% in March 2024, underscoring the shortage of housing supply, with inventories in the US persistently tight due to raised costs of input materials and financing.



In the fixed-income market, the U.S. bond market remained fairly in line with what it started the month of March with. As February ended, yields had taken a nosedive, which continued in early March (to as low as 4.09% &#8211; March 7) with expectations of Fed-Rate cuts in coming months. However, yields rose later in March following hawkish takeaways on rate cuts, leading to a broad repricing of Fed rate-cut expectations. As of the end of March, the yield on the benchmark U.S. 10-year Treasury was 4.20%, slightly up from 4.19% at the start of the month.&nbsp;&nbsp;



<h2 class="wp-block-heading" id="h-asset-classes-overview">Asset Classes Overview</h2>



<h2 class="wp-block-heading" id="h-stocks-nbsp">Stocks:&nbsp;</h2>



The S&amp;P 500 was up 3.10% in March 2024 and up 10.2% in the year&#8217;s first quarter. Our Rise Equity portfolio outperformed the market, closing the month of March up by 3.47% and the quarter up by 15.84%. Our Rise Equity portfolio soared last month, buoyed by a strong rally in tech and communications stocks in our portfolio.



We retain our bullish sentiment towards the equity market throughout the remainder of the year. Our base case scenario indicates that the equity market will sustain its Q1 2024 rally into Q2 2024, propelled by blockbuster Q1 earnings across tech, communication, and energy sectors.



In our analysis, the equity market remains a prime avenue for wealth generation in 2024. Our approach continues to revolve around allocating capital to firms with robust fundamentals and financials, capitalizing on the upward trajectory.



<h2 class="wp-block-heading" id="h-real-estate">Real Estate</h2>



Our real estate portfolio returned 1.18% in March, and 3.09% in the year&#8217;s first quarter. Monthly returns on our real estate holdings are dependent on the collective performance of our real estate properties. Given our ongoing pursuit of reliable and consistent returns, we are pleased to report a return to our historical performance, with March&#8217;s yield aligning with our customary benchmarks.



Moving forward, we project that our real estate portfolio will continue to provide attractive returns for our investors. This forecast is based on the convergence of elevated mortgage rates and limited inventory across the US market, which we expect to keep the demands for AirBnBs and rental properties high. Real estate investment retains its allure for investors, and our real estate asset class is poised to furnish steady and reliable cash flow.&nbsp;



<h2 class="wp-block-heading" id="h-fixed-income">Fixed Income</h2>



At Rise, our fixed-income investments generated a return of 0.83% for March 2024 and 2.49% in the year&#8217;s first quarter.. This performance underscores the resilience and stability of our fixed-income strategy.



The U.S. bond market performed fairly in March, as yields moved sideways following hawkish takeaways from the March FOMC meeting. The yield on the benchmark U.S. 10-year Treasury was at 4.20% by the end of March.



Through diversification and a keen eye for opportunities, we expect our fixed income portfolio to continue to provide better and steady returns to our investors.&nbsp;



As always, Rise is committed to helping you achieve your financial goals through thorough analysis and careful selection of investment opportunities. So remember to stay invested or click <a href="https://click.risevest.com/gb0g/ovb6r0h0">here</a> to begin investing.

How Our Portfolio Performed in Q1

For this episode of MoneyRise User Story, we spoke to Charles and Yemisi, a brilliant couple helping brands and individuals build profitable businesses on managing their finances and investing as a couple. This is their story.



Can you tell us a little about yourselves?



Yemisi: My name is Yemisi, and I work with people to build profitable and impactful businesses. With my business, Triift Africa we finance and empower businesses making 5 million naira or less in a year. My other business Cirkle labs is a Consulting Firm that enables SMEs, big corporations, governments, development partners and others execute successful enterprise support programs. We also provide training and onboarding solutions as well as &nbsp;strategic advisory such as business plans, pitch deck financial projections and so on . I also work with a number of accelerators and incubators, providing access to market, digital transformation and access to finance advisory to founders across Africa.



Charles: I&#8217;m Charles, probably half as adventurous as the lovely woman who is my wife. I’d say I am a storyteller at heart, and this has made its way into much of everything I love and do. I am a marketing and communications professional as well as a startup growth advisor. Ultimately, I help brands use stories to connect meaningfully with their customers and audiences, build and reinforce reputation, and put money in the bank while at it. I’ve done this across a number of industries notably Financial Technology (Fintech), Banking, Agriculture, Political and Economic Think Tanks, Development Organizations, and Governments. Away from the boring stuff that pays the bills, I love good history and so you’d always find me reading obscure things and boring my wife with the details. I love a good podcast episode by my favourite preacher, Dr. Timothy Keller. Finally, the weekends are for Formula 1, and obsessing about driver, car and team performance in my own corner of the universe.



How long have you two been married for?&nbsp;



Both: We’ve been married for three years and a few months, crossing our fingers for more.



At what point did you two start talking about money? And was it ever uncomfortable?



Charles: From the start of our relationship, I found out that we were completely comfortable and honest with our finances. My wife has always been very responsible, and money was simply a by-product of that discipline. Maybe there’s something about being firstborns that knocks some sense into your head early on.&nbsp;



We aligned very early on about our money and money values. You know there’s this confidence you get with anything, when you know that the person you are doing it with has their head screwed on tight, and so ultimately even if you make mistakes, you are making them with a friend? This was us. I knew somehow that I could be wholly confident in her when it comes to money. We have always been financially accountable to each other.



Additionally, we didn’t have anything to prove to each other anyways, and there was just this unspoken truth that if we break ourselves trying to impress each other or even others, we were simply ‘doing ourselves’. Her ability to poke into details to get a sense of how I was doing financially was always a blessing, and I could always go to her when I was flat out, and she could do the same.



My wife and I have always had a future view of money. We always considered every big financial move deeply and tinkered hard on how we should invest our resources. This has played out in a number of businesses that we have done together, and in how we think about our lives in general. Something my dad used to say is, “Don’t try and keep up with the Joneses; the Joneses may be opulently rich, but they desperately want to be like you with nothing to prove to anyone.” So we are consistently looking at the numbers (well, she is smarter at this stuff than I am), and finding more and more ways to put investable resources in our future; money, time and relationships. It&#8217;s been an adventure.



How do you both handle your finances as a couple? Do you invest together?



Yemisi: First, I feel like I need to say that there is no one-size-fits-all with finance and marriage, as with most things, there’s just no template. Even with regards to conversations that people have widely around money, a lot of it can be influenced by their own experiences, expectations, personality and partner&#8217;s personality. I remember reading a story on Twitter where someone shared how he never lets his partners know what he earns because he grew up seeing his mom steal his dad&#8217;s money. He believes that if he lets his partners know what he earns, they will always want to take from him. But for a relationship to succeed, there has to be radical honesty and vulnerability; you simply can’t run away from it. There’s just no wiggle room if you want to do it right.



That out of the way, when it comes to managing our finances as a family, I don&#8217;t think that we do it the traditional way. We both earn our individual incomes and do our best to push each other to take advantage of wealth building opportunities. At the start of every year, we create a budget based on how much we had spent the previous year, as well as what we hope to achieve that year. We factor in macroeconomics. For example, if there&#8217;s going to be an increase in <a href="https://money.rise.capital/blog/eight-ways-nigerians-can-deal-with-the-recent-fuel-price-hike/">fuel prices</a>, it means transportation costs will go up, food costs will go up, rent will most likely go up as well. All of these influence the budgets that we create. 



I do most of the household spending but the bulk of it often goes to food and transportation, while Charles takes care of the big ticket items. We have a percentage that each of us have to contribute towards certain things, but it is designed in a way that it is never a burden on the other person. Also, there are some periods when either of us has to handle certain things on our own completely. We also try to diligently keep track of where our money is going to or coming from, and this really helps us to make better buying and investment decisions. Sometimes, at the end of the month we reconcile and compensate each other . For example, let&#8217;s say that I do 40% of food and Charles does 60%. Some months, I&#8217;ll likely spend 100% on food, and then at the end of the month, we reconcile that he&#8217;s supposed to send me the 60% I spent. You’d likely win at this method if you love record keeping; I do. Again, make your own rules, and make sure they prioritise you and your partner, not the money.



This year, we’ll probably consider having a joint account for putting in those percentages so that we just spend directly from there instead of doing it out of pocket. But so far, that’s how we’ve been doing it and it has worked for us. Also, we prioritise using money to buy more time for ourselves, spend on the things we like and invest in our future. So there are day to day household activities that we have not done in years because we have delegated that to domestic staff. This also gives us time to rest, think and invest in our business, careers and in each other.&nbsp;



Charles: A lot of the time, whoever has the cash actually does the spending. We also both invest on a monthly basis because keeping money aside is a non-negotiable for us. We try to live significantly below our means, so that we are not pressured to maintain a lifestyle that is simply killing us. This way, we open up a lot of <a href="https://money.rise.capital/blog/the-best-money-saving-tips-for-nigerians/">money to save</a> and invest in our future. We also make sure that we manage home expenses as a unit so that no one is under an extreme burden to take care of things all the time.



There’s this thing in the Bible about being unequally yoked? You simply don’t want to kill your partner. Marriage is a partnership built on love and trust and so more than percentages and excel sheets, just making sure your partner is okay and isn’t dying under the pressure of pulling their own weight is more important than percentages, excel sheets and formulas. Please note, I didn’t come to this understanding naturally; I had to learn from other married couples who had posted good lap times, see what I did there?



I did, and that’s amazing. Let’s talk about Rise, how did you learn about it?&nbsp;



Charles: I think it was at the start of the pandemic, early 2020— one of those days I was holed up at the office. I’d downloaded this dull teal-looking app, and I came to like how managed it was and how I didn’t have to think too deeply about how the money grew— it just did. I remember being a bit sceptical about it because of the transparency of the assets, and the process at the time. But validity for me came after I found out that I knew some of its investors and a couple of respectable names who were using the platform to grow their investments. Even though my income was not significantly high at the time, we were prioritising investing in foreign assets as a couple. I made my first investment on Rise in 2020, when the dollar was about 400, then consistently started putting more money there.



It is also important to add that it was a beautiful step in the right direction. I&#8217;ve asked Eke a number of times how else Nigerians would have had access to global dollar-denominated investment assets if Rise didn’t exist? Because I look at a number of global platforms, and realise that most times, if you&#8217;re not from that country, you simply cannot invest with them. Plus investing is a full time job, and I am happy to leave it to the experts. The Rise team has done a lot in making this accessible for everyday Nigerians. So thank you; you deserve all the flowers in the world, but save some for my wife.



Thank you! This means a lot. So do you both invest as a couple on Risevest?



Charles: Yes, we invest as a couple, and then individually. In my context, more than 95% of my income actually goes into investing for our future needs, serving as a family investment. My wife does as well. Additionally, as a dad and husband in the Nigerian setting, what other priorities should I have other than actually making sure that money is kept aside to secure comfort for my family in the long-term?



I totally understand it. What plans do you have on Rise?



Charles: For us, it’s a marathon, not a sprint. So for investments, we default to stability over short-term quick wins. We invest in the real estate and fixed income plans for now. However, we’re considering playing around with stocks sometime this year. I&#8217;ve been reading very deeply about buying valuable companies early and at great prices. This experiment will likely be between 5 and 10% of our portfolio just to see what performance would look like over the long term.



That’s fair enough. Is that what Yemisi also invests in? Just real estate and fixed income?&nbsp;



Yemisi: Yes. I am very risk-averse, so to a very large extent, I play it safe. Getting back a fixed amount in returns is better than money I’m likely going to lose even if the returns may be higher. Fixed income and <a href="https://money.rise.capital/blog/invest-in-rise-real-estate-plan/">real estate</a> gives me just that.



Haha. That’s very valid. So how has Rise helped your investing journey as a couple?



Yemisi: The most obvious reason is that it has helped to protect our money from inflation, considering our<a href="https://money.rise.capital/blog/dollar-investment-101/"> investments are in dollars</a> and how much value the naira has lost over the years. Imagine all you invested was $100 four years ago, it’d be worth more now than it was at that time. It also feels like a way to motivate myself. For instance, when I compare how much I had in 2022 to 2023 and the returns I have made, it makes me happy and pushes me to do more. 



Charles: With <a href="https://risevest.com/">Rise</a>, we are able to have a full view and even project what the next 10 years should look like. Also, when I open the app and see what we have invested, I am humbled by what the future holds if we keep up the consistency. Rise keeps me financially disciplined and responsible, and this is unintentional because I have forgotten to turn off the reinvesting feature. 



Additionally, compound interest is a wonder to behold. Seeing our returns yield returns and those returns yield more returns is absolute gold. Our dream? To wind down active work in the next 10-15 years, and trust Rise to help build that future.



What’s your favourite thing about using Risevest? And how likely are you to recommend Rise to people?



Yemisi: That’d be the customer service. I remember one time my friend was trying to set up her account and I spoke with someone on the team via Whatsapp who walked us through. It’s second nature for me to share wealth-building opportunities with others, and Risevest is one of those.

“Our dream? To wind down active work in the next 10-15 years, and trust Rise to help build that future. We Are Yemisi and Charles, And This Is How We Make Our #MoneyRise.”

<figure class="wp-block-embed is-type-video is-provider-youtube wp-block-embed-youtube wp-embed-aspect-16-9 wp-has-aspect-ratio"><div class="wp-block-embed__wrapper">
<iframe loading="lazy" title="In November, Rise turned 4!" width="750" height="422" src="https://www.youtube.com/embed/2rKguQsd1_4?feature=oembed" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" allowfullscreen></iframe>
</div><figcaption class="wp-element-caption">Celebrating 4 Years of Rise</figcaption></figure>



Transcript



 Tony: The first office that I remember was actually in V.I or Lekki then we now moved to Surulere, stayed there for a bit longer. It was the trenches, but it was fun, you know, grinding every day, just waking up, walking out of your room because it was like a live-in office, right? And in the parlor that we had converted to, like a workspace and just, you know, trying to get as much work done as possible.



 Eke: First investor was a friend, Iyinoluwa Gboyeji. So when I had started co-founded a previous company, Buycoins, and when I was thinking about what else to do next, I explained to him the vision behind what is now Rise. And he was like, I see what you&#8217;re trying to do. I think it&#8217;s absolutely critical and needed. And so he said, Whenever you&#8217;re ready, I&#8217;ll write you a check, you know, to get started. After he came in, it was pretty easy for us to go get an MVP and then raise the remaining round follow pre-seed.



Tony: It was some sort of validation. You are pitching to different people, trying to raise money to build this grand vision that you have. And then people are actually committing their resources towards backing this mission. So I think the right word would be there was some level of validation in that. 



Otas: People believe in this and so it&#8217;s both encouraging and just super exciting to hear someone say, I believe in your idea enough and I want to give you this amount of money to pursue it. But it&#8217;s also really like, okay, game on. 



Awa: I think the sign ups were like manual, there was a whole lot of engineering back and forth going on at a time when the product was still in beta and then, you know, just started growing. That people were appreciating what we were doing and signing up. And when we got to the first 1000, it just told us that, okay, maybe we were on to something here.



Eke: I remember then Otas used to help me manage the spreadsheets to track, you know, all the different people that were managing money for. We got to the first hundred. Eventually it started growing and a lot of people were coming in saying, Hey, we need something like this. There was so much demand that eventually we said, let&#8217;s try to structure this.



 By the time we realized that this is going to be bigger than what we&#8217;re thinking and we need to rebuild and rebrand the company as, Rise, we had already crossed like a thousand subscribers.



Tony: So you have to understand that product was in beta for a bit. You know, when it was finally launched, it was fun. You know, having people use it to better their lives was kind of interesting.



Awa: Signing Teni as our first ambassador, that was amazing. I think that happened when we were like two years in. So it did give us a lot of credibility. I remember we had this event at the Civic Center, our Moneyrise Conference, she came in and, you know, did a performance and it was super amazing. The number of people that actually started identifying with the brand because she was affiliated with us.



Tony: Her work ethic, She was very open to understanding what we&#8217;re actually trying to build, understanding her story, you know, her songs, everyone can be a winner actually really resonated with the brand. 



Eke: She was a delight to work with. She understands the vision. She really gets it. 



Otas: One of the big things that I think Eke and the team has been really, really good about emphasizing is over communicating and just being as transparent as possible because it&#8217;s always better to avoid issues than to start trying to resolve issues afterwards. And so I think that has been the biggest part of building trust with both the customers and the investors. 



Awa: We&#8217;re very granular. We tell our users, we used to have these office space events where people could actually walk in and sit down with us, ask questions, and we answered the questions, you know, had fun, refreshment. And so that&#8217;s helped us to build trust, allowing our users see us up close and personal and then getting all our regulatory issues, you know, on point. 



Tony : Coming into the market we realize that, yeah, Nigeria is a low trust society, not blaming anyone. Well, it&#8217;s just what it is. So we had to make sure that we were accessible.



 Eke: Our first thing is just do the work well, try and make sure that everyone understands the value you&#8217;re driving, you know, whatever you receive in terms of fees or whatever. But don&#8217;t make it the primary mission. 



Make it the primary goal to give your customer the best value you can, act in their best interest, and the trust will naturally come in. I think that&#8217;s that&#8217;s the one thing I can say we&#8217;ve done, and that&#8217;s something we will continue to do. 



Tony: Imagine a story that had just like a flat, you know, no high points, no low points. It wouldn&#8217;t be an interesting one. The first one was when we received the unexpected shocker from our able regulators, that was a fun one to navigate



 On one end you have to deal with user trust and overcommunicate on another end we had to meaningful engage with the regulators and help them see the vision of what we&#8217;re trying to build.



Eke: Eventually all of that was resolved. So we we knew that we had done our best. We had done everything according to what was right. And so we stood up for ourselves as well. And, you know, with the support of both our investors, our customers, even the regulators themselves. 



Right? Eventually we came out of that and customer trust was increased because during that whole period, our operations did not stop our investments were still moving forward. People were still able to fund, people were still able to withdraw. And, you know, we really were able to demonstrate the fact that Rise is very resilient. And at the core of what we do, we had very strong operational processes and depth to be able to operate even in a very difficult environment



 Awa: You know, some of what we are doing are things we&#8217;ve not done before. And so every day we are learning on the job, getting better at it. And so when that challenge happened, again, it&#8217;s something a lot of us at that time had not faced, but being able to overcome that showed us that no matter what happens down the line that we were up to the task.



For the next four years, one of our plans, our vision, is to dominate our space. And that means, you know, whenever you think about dollar investments, investments in general, you think Rise. 



Tony: The vision hasn&#8217;t changed. We still want to be the most impactful fintech by providing our users with the best wealth creating opportunities that available outside the shores of Nigeria and also within.



So that hasn&#8217;t changed. But the strategy around how we intend to achieve that mission might change based on various factors, but the mission remains.



 Otas: It&#8217;s a new ball game and creating trust in Uganda and in Kenya. And so it&#8217;s going to be I think the next four years is really just going to be us fortifying our mission. Making sure that, you know, the trust that we have built into our clientele is able to scale up into these other countries as we grow.



 Awa: Some of it is basically just doing the basic things, right? Users still need communication. So we&#8217;ll double down on that. Constantly tell them this is what&#8217;s going on, this is how we are managing your investments and this how you are earning returns. 



Tony: There&#8217;s also new and interesting plans that we&#8217;re trying to introduce on the product. And yeah, a lot of interesting things. You just have to keep checking your app. 



Eke: Some of the things that we&#8217;re building into the product that we&#8217;re going to especially the next year, is increase the level of direct insights that customers have into the day to day of what their investments are doing, deeper insights into the product, deeper insights into the portfolio, deeper insights into our selection process.



 Otas: One of the things we&#8217;ve really focused on is our data security and making sure that information customers, clients, even employees share with us is safe even in our own hands. Because it&#8217;s one thing for your app to be breached on your end and it&#8217;s another thing for it to be breached on our end 



Tony: There&#8217;s something very interesting that we do, which is a lot of user education. I believe that education is helpful and a lot of our users are starting tto see the benefits of, you know just staying invested, compounding your money and making it work for you. 



Otas: I do think that patience goes a long way because it puts less stress on the team while we try to resolve the issues. Also, it gives us a space to sort of resolve it faster if we&#8217;re not worried about how they will react in a few minutes without an answer. So patience will be a great, think that is a great way to summarize that.



Eke: We as a company, no matter how passionate we got about a vision, there is zero chance that we will be here if customers don&#8217;t agree or align with that vision and trust us to do the job for them. There&#8217;s more than 600,000 people now under the Rise umbrella collectively, and we&#8217;re grateful for every single one of you, and we look forward to continue to do this work for you over the years.



 Tell us what you need us to build for you. And as much as possible, just understand that there will be no Rise if you didn&#8217;t support us and we are always grateful for that.

Celebrating 4 Years of Rise

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Transcript



 Hi. My name is Affi. I am an entrepreneur, I&#8217;m a mom. I&#8217;m a wife. I am an athlete. 



Um, I run a company called ReelFruit, which is a dried fruit company, and I&#8217;ve been running that for ten years or eleven now in Nigeria.



So I… Somebody described it as I have the most textbook kind of business entrepreneurship journey I actually did not ever think I was going to be an entrepreneur.



 But after working for an organization that supported entrepreneurs, I feel like that&#8217;s where I caught the bug I started wondering, I wondered, I really like entrepreneurs I love what they do.



 I love that they create jobs. Let me find a way, you know, to do the same. And that&#8217;s kind of how I got into my business. I thought which sector in Nigeria would create the most jobs?



 I was googling and at the time, you know, it was all about &#8220;Agric is sexy&#8221; &#8220;Make agric attractive to the youth&#8221; and that&#8217;s pretty much how I picked agribusiness



And I was like, okay, google again, which agribusiness kind of creates the most jobs and it was like fruit or processing food.



And I picked that and I kind of started like devolving into an idea from there.



 So it wasn&#8217;t It wasn&#8217;t something I longed to do. It just kind of, I kind of was like lending my way to it. And obviously something I guess I was… I was made to do it in the end.



So I came up with it, like I said, by literally textbook internet research.



No idea will work in Nigeria and I moved back and I just brought my products and started like sharing it with people saying,



Do you like it? Do you think it would sell? And I got, you know, pretty positive feedback. Like enough feedback to let me know that that I could start.



But it definitely was a long journey. Definitely took a lot of time to introduce a new product into the market.



I would say it wasn&#8217;t till our like sixth year in business. I thought, okay, there are enough people consuming this business, this product for us to have a market.



Till then, it was very touch and go. Sometimes, you know, you think you&#8217;re doing good, then a store will tell you people don&#8217;t like it anymore.



And you know, it was just a very difficult time launching something new, something people hadn&#8217;t known before. That was really, really tough.



And, of course, you know, fundraising, getting funding to keep going. You know, keeping people motivated. Keeping people excited It was… It&#8217;s been a long journey, but also very, very I would say, interesting. Very exciting.



I definitely I&#8217;m somebody who likes to do difficult things. So I know how to stick with things. I have that perseverance.



I have that like ability to just suck it up and do it. So I think that&#8217;s what&#8217;s kept me going.



But it&#8217;s been great overall with its hard times and its good times.



Yeah. Most challenging, I would definitely say fundraising. That&#8217;s been, that was very tough.



That took a long time. In fact, for me to raise funding, it took nine years after I started my business but five years working with with my investors.



I was like involved with them, keeping them up on my progress.



So it took me five years from even identifying my investor to raising money, and that was long because a lot of plans you have, you kind of need money to execute.



And when you don&#8217;t, you have to go back and sort of figure out how to keep going without, you know, the money you need.



So that was pretty tough. I mean, there have been so many great moments, but I think the best ones are probably when we were able to like, you know, self challenge. Like, when we didn&#8217;t let Nigeria happen to us. 



Like when Nigeria was coming after us with either, you know, currency devaluation or, you know, some issue, no light, and we&#8217;d figure out a way to like beat, you know. Just that resourcefulness that allows us to keep going.



And I think that&#8217;s not just me. That&#8217;s something my team kind of imbibed. So those moments, I would say are the best when like my team would go and figure out something and it would be like the solution that works.



Or we would like take a daring step, adding a new product and is something the market would accept.



So things like that really, you know, scattered along the way, give you the momentum and the excitement to keep going.



Yeah. That&#8217;s interesting. Yeah. Raising money was also great.



When we finally raised money, I was pretty happy about that. And when I finally bought my factory, because that was a dream



I had since the day I came back. I was like, I&#8217;m going to own a big factory and we&#8217;re going to do all this processing and that only happened in year ten.



So that was the moment I was like, &#8220;Yes, I think we&#8217;re here to stay&#8221;



Yeah. Well, that&#8217;s a long journey. 10 years. Can you talk to us about year 10 because last year was your 10th anniversary? Yes.



Tell us about that feeling. Like, you bought a factory, everything. I mean, it was, it&#8217;s a great. It&#8217;s great to have, you know, been around for ten years and somehow it feels like we&#8217;re just starting in some senses.



But, you know, we&#8217;ve definitely built a solid foundation and that was what the first ten years was about. And people don&#8217;t like to hear it, but it takes long to build a great business.



And so I look at it as like I gave my best ten years, the best ten years of my life to my business, but really to see us, to see the strides that we&#8217;ve made, to see the success.



I mean, I don&#8217;t want to brag, but we are in a lot of stores around Nigeria, we sell our products outside of the country.



We have you know, we have really pushed the barriers of where we can go and to just take a step back in ten years, reflect on what we&#8217;ve done, it&#8217;s been, we&#8217;ve done a lot and with a little actually.



 And so it felt great to actually reach that milestone and actually see that there was so much more we can do.



So I don&#8217;t feel like I&#8217;m at the end or I&#8217;m tired or oh, ten years is a long time.



It is a long time.



But I feel like based on what we&#8217;ve built, there&#8217;s a lot there&#8217;s a lot more in store for us and I&#8217;m excited about that.



Now, I feel like I have more license to dream because we&#8217;ve actually achieved a lot in the ten years.



But we want our factory to really be one of a kind producing products that we&#8217;re not only going to just sell for Nigeria, but for the world.



We have a lot more new products that don&#8217;t exist yet that we want to bring to market.



We also want to have a lot of social impact so from, in our value chain, really uplifting the farmers that farm food, really helping them earn more money, improve their livelihoods. 



That&#8217;s something we believe our business can do. And I&#8217;m actually looking for us having that kind of meaningful impact in the next ten years across everybody we work with from our customers, employees, value chain and just really being a really big business.



I want people to think of us and think, Wow, this is like the new, you know, the new age Nigerian FMCG, kind of the new Nestlé, the new, the Nigerian made in Nigeria version of a really big business that started at home and kind of as is global.



And that would be that would be really cool to achieve.



I&#8217;m a runner. I run marathons.



 I&#8217;m passionate about running primarily because it&#8217;s another difficult thing that I like to do, but it really keeps me sane in Nigeria.



I enjoy challenging myself physically. I enjoy, you know, also being able to escape a little bit, all the stress of being in business.



So running is great. I play recreational football and like I mentioned, Rise is a sponsor of my football team and we made it to the finals last season.



We didn&#8217;t win, but we&#8217;re going again We&#8217;re going again this season to win! And that again is another great sport, brings a great community together of people.



So I&#8217;m passionate about that and, you know, just increasingly passionate about seeing how I can help others, especially entrepreneurs in my value chain, in my business, to sort of not, you know, sort of like help them be more successful and, you know, share my lessons that won&#8217;t make, that will make it so that it won&#8217;t take them as long to achieve what they need to achieve in their business.



So I think mentoring and supporting others is now growing. I feel like I now have the bandwidth, a little bit more time and experience to help others.



And that brings me a lot of joy.



You&#8217;d be surprised. I&#8217;m actually not that great with money. Not… So as an entrepreneur, I, you know, if you&#8217;re building your business, you put everything you have into the business at some point.



And of course, there was a time I wasn&#8217;t earning a salary.



Then there was a time I was earning very little money and it was all, okay.



You know, it was fine because I&#8217;m putting it towards my business.



I&#8217;m growing my business.



So I wasn&#8217;t really good about diversifying my, you know, my savings, my income. I was putting all of it into the business. And then when I had children and I&#8217;m like, okay, you know, like I kind of need to have a little bit more money, you know, to be able to do things. It started dawning on me that, you know, I had to also be short term because obviously my return in a business is very long term.



And I had no other sort of ways of saving outside of my business, pretty putting money in my business. So it started becoming something I learned very late, I would say.



I think, you know, when you&#8217;re young, you think there&#8217;s a lot of time and you can take risky bets. And then when you get older, you&#8217;re like, okay, maybe I need to start packing money in different places just to diversify my risk.



And, and that&#8217;s something I started doing. I want to say probably 2019. So I&#8217;m actually. I mean, I&#8217;m not a I don&#8217;t spend badly, but I don&#8217;t save that well. Like I don&#8217;t I don&#8217;t do that long term game pretty well except for my business.



And so yeah, it was a lesson I learned later.



So yeah, money is very important obviously, but I think being, being smarter measured about it, like having some safe investments, etc. is definitely key.



So for me, investment was, is pretty. Of course, it&#8217;s, I think it&#8217;s absolutely necessary and something people need to like imbibe a lot.



You know, I think one of the, one of the misconceptions or assumptions we have is that you need a lot of money to invest.



And that was also something I thought about. When I make my bulk like, you know, X amount, I&#8217;ll now put it to save versus just saving more methodically small amounts monthly.



So that was the first kind of thing I learned about investing. The second thing is that I don&#8217;t have the time to actually learn about other like ways of investing which companies are worth it?



Which stocks are worth it? So that was where Rise really came in for me. I was like, I know nothing about investment, to be honest.



I don&#8217;t have the interest, I don&#8217;t have the time to get really good at it.



So, you know, using a platform that allowed, that took that stress away from me and sort of just I felt comfortable that someone better was making a decision about investing than me.



Kind of is where… Then I found it like just much easier, much more manageable to now not make investing this big thing where I have to like, I have to know what stock is. You know, everybody&#8217;s like, oh, this stock has crashed.



This is that, you know, that one has gone down, crypto&#8217;s crashed and all of that. I&#8217;m like, you know, I don&#8217;t know anything. I don&#8217;t want to know too much about it.



So, of course, you know, finding ways to make it easier and simpler. Finding ways to make it not as, you know, daunting is kind of, I think, the way to go.



So I guess that&#8217;s probably why you&#8217;re using Rise?



Yeah.



Yeah, that&#8217;s why I use Rise and that&#8217;s what Rise did for me.



I think Rise made investing simple, and it made it so that I could just, like, put money away and, you know, know that it was 1) being diversified properly, but 2) also that I didn&#8217;t have to think about where to put it.



Like I don&#8217;t, you know, I don&#8217;t have that skill set.



Yeah. I want to say since 20, I want to say 2019, 2020. I think I did like a three, three, three different plans. I did, then saved a lot of money, then took some out and now back in. So yeah I&#8217;m I&#8217;m, I&#8217;ve been I&#8217;ve been a… I would say I&#8217;ve seen the value for a couple of years.



I must say this is very vain but the UX is pretty, pretty cool.



Um, the yeah. The ease of use is extremely cool.



I think the ability to save on the different asset classes is also very, very cool.



Like I said, for someone like me, it makes it very easy.



So I would say ease and convenience. Those are probably my top two things.



You know, I&#8217;m one of these people who will try to balance like the real story with the hopeful story, but it&#8217;s definitely a long game.



So I think people have to be prepared to play the long game, especially doing business in Nigeria.



But more practical tips, I would say are, you know, learn as much as you can within your network.



I encourage people to actually go and if you can&#8217;t even work for somebody, just go start learning about what people who have gone ahead of you are done. I think one of the most underrated things in entrepreneurship is avoiding mistakes other people have made.



I feel that people, you know, if you if you put a little bit more effort into learning from others, you save yourself so much time and loss money.



And I think that&#8217;s a winning strategy, especially in this country where there&#8217;s not a lot of you know, there&#8217;s not a lot of chances to mess up and come back on your feet.



You know, you can&#8217;t make too many big mistakes. So learning from others is key and networking.



I can&#8217;t emphasize that enough. Like, most of the things I&#8217;ve gotten to build my business have come from networks that I&#8217;ve had to grow.



I came back to Nigeria. I didn&#8217;t. I never grew up in Lagos, really. I didn&#8217;t know people, so I had to build a network and today that network is probably the biggest asset I have running this business.



So I would say networking, learning from others and, you know, being prepared, prepared to give it time.



I was, I was. It took me a year. Firstly, I didn&#8217;t just quit and leave. It took me a year to kind of like do research.



 Then I was just like, okay, at some point I need to come back, and I was telling my mom like, Mummy, I&#8217;m moving, I&#8217;m moving.



She&#8217;s like, okay, then one day, I bought a one way ticket and she&#8217;s like, Oh, you&#8217;re really leaving?



And so that was, that was one of the things that moved me to come.



But also youth and naivete.



You know, I was 26 when I came back and I just. I was just like, I&#8217;m gonna go for it. And I thought, what&#8217;s my worst case scenerio? Did I even have a plan B?



I don&#8217;t even think I had a plan B at the time, but basically just feeling like I had done enough as I could do and I needed to just throw my hat in the ring.



I needed to jump into the, into the ocean, as it were. And I just took that step. And, you know, and came back and didn&#8217;t look back.



But yeah, it was when I think about it now, it was pretty silly, but also it&#8217;s kind of working out so good.



Yeah, that&#8217;s a very, very good question. I think love is a great investment. I mean, if you think about it in the sense of like people, of course, you know, if you invest in people showing love and all of that, you get so much in return.



And of course, it requires some effort and it requires some compromise.



But I think in the long term, you know, what you get from having good people around you who love you and you love, I don&#8217;t think you can put a price on that.



And if you think of love as in, you know, loving the work you do, your trade, your passions, whatever, like whatever you put energy into and you give commitment to, I think the payoff is often very, very high.



So I say it&#8217;s a great investment, obviously, with with obviously some some caveat that you don&#8217;t just go around giving your love to everybody, but for the things you choose to love.



I think putting your all in it gives you a very, very good payback.



So that&#8217;s it. 



What are your thoughts as regards investing as a couple? Me and my husband? That&#8217;s a very good question.



 My um. So I would call my husband the investor. Like for, for a long time, he&#8217;s very. He is an entrepreneur in tech.



So he&#8217;s also he also got into tech investing and he dragged me in as well a little bit down the line.



But I would say the difference was he was a lot more bullish than I was. Like ready to take risks.



I was more like safe. So I would rather not invest and invest. And overtime, I started learning to take a little bit more risk.



So I would not I would not participate in some of the investment he did because I was like, no, count me out, that&#8217;s too much for me.



So he just kind of went along and he&#8217;ll be like, Affi, do you want to come in this? Do you want to come in?



I&#8217;m like, no, no, no. And then later I started doing it.



So I&#8217;d definitely say, he definitely. And he liked investing in, you know, in entrepreneurs.



So that&#8217;s another thing like that specifically.



Whereas I would be like, okay, can I do maybe property? Or can I do like something a little bit, you know, a product I could see and all of that stuff.



So I would say that he&#8217;s definitely more the cowboy.



Cowboy investor. I&#8217;m now becoming that. But yeah, I would not do half of the stuff he has done.

Affi SuperStar Talks about Reelfruits and Investing

Dwin The Stoic Talks About His Music with Rise

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Transcript



 Tony: Hi Risers. We have some great news! When we started our journey in 2020.



Our mission was to help our users across Nigeria to build their wealth in dollar denominated cash generating assets like real estate, fixed income and stocks.



More than two years later, we are proud to announce that Rise has now completed its federal registration with the <a href="https://www.investopedia.com/terms/s/sec.asp">US Securities and Exchange Commission</a> and is now a US SEC Registered Investment Advisor.



Otas: What does this mean for you?



We are now registered with and regulated by the most important investment regulatory body in the world.



Now we can enter into more global partnerships and bring additional offerings to our users.



We can now open up the beauty of Rise to users across many other countries, including the US.



And rest of Africa. You can have extra confidence in the quality of assets on Rise and the investment team that helps you manage your wealth.



Eneyi: Our mission is to make the best global investment opportunities available to you wherever you are. And now we just got another step closer to that goal.



We are proud of the work we do, and we&#8217;re especially glad that you are a part of our journey.



Thank you for growing with us.

US SEC Registration Announcement

Teni, Sugar Mummy of Risevest.

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TRANSCRIPT



NDUKA:



How secure is your password?



 Yes, your password.



 Is it just a combination of your name and your date of birth?



 Then you need to be more conscious about <a href="https://money.rise.capital/blog/how-to-stay-safe-from-scammers-securing-your-passwords-financial-apps/">security and get creative with your password</a>.



 Mix in some numbers, and special characters make it longer than 8 characters.



Try not to use the same password for everything.



And if you are afraid you may forget them, get a password manager and secure your passwords.



 More on security.



 Don&#8217;t share your login details with anyone.



 People may seem trustworthy and all, but when it comes to your money and its security, Don&#8217;t trust anyone.



 Never share your card details with anyone.



 Never!



 Be safe and secure always.



 Join me next week for more personal finance tips.

Secure Your Money

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Transcript



 My name is Temi Osoba and I&#8217;m 22 and I work in a Maritime Agency in Lagos here not permanently, I just finished NYSC.



So yeah.



Okay so, um, my friend tweeted something about it, so I think like she just signed up and I just saw like a random tweet on the TL about it, and I just decided to just download the app and then it just seemed pretty to me, like the app just literally seem pretty to me.



 Then I read on your website and stuff, I read about it and then I just wanted to try basically.



Yeah you know like



There&#8217;ve been like a lot of Ponzi schemes and all of that like in the past like 2020, like a lot of us now are aware of it and all of that.



So that kind of like restricted me a bit.



But again, like I said like the app was pretty, and naira keeps falling against the dollar.



So like the devaluation kind of made me just want to explore it.



Yeah.



I think it’s amazing cause the moment I got in, I like put my roommate on.



Okay first off, I’m a very likeable person, So yeah and I have a lot of friends.



So like just telling them that, I think they&#8217;ll just believe anything I like put them on to do you get.



So yeah, I will just tell them that, “you know, the naira keeps falling, so I think you should do this.” Yeah.



So I don&#8217;t think there&#8217;s anyone that won&#8217;t reason with me with the present reality.



 Most of the people that, most of my referrals are from work, to be honest, because there’re a lot of people- there are nine floors in my building



So there’re a lot of people that work there. So, and like I said, I&#8217;m very likable and sociable.



All I have to do is just walk to them, walk up to them rather and talk to them. and say “oh I want to tell you about this app,



Then I want you to join because this is the present reality of the economy” and all of that.



Basically, and I will tell them that you just have to start with $10, which sounds reasonable because I&#8217;m not telling you to bring something that&#8217;s extraordinary.



I&#8217;m not saying bring a $1,000. So like if you can see what you can get in three months with $10, then you can be convinced to put in $1000.



Yeah.



I think it&#8217;s the fact that I always say that the naira is falling, devaluation basically.



 Yeah.



 You know like firstly



I don&#8217;t try to force it on you.



I try to make you see how like what you can gain from using the app rather than speaking on the leaderboard competition first.



I&#8217;ll say, “oh, this is what you stand to gain from the app.



These are the asset classes, this is what you can do with it.”



I don&#8217;t say “oh you are coming to do this for me, it’s for you first then me” do you get?



Yeah.



Already like the Ponzi scheme thing that has been happening in the past, some people already knowing about that, they’ll say “oh I hope that you’re not about to take my money again



or I already know about these things they’ll crash later.” And all of that.



But like, I don&#8217;t try to force it on you so already I feel like that&#8217;s already going to convince them that it&#8217;s not something



that&#8217;s fake or that&#8217;s going to crash in a bit.



I wasn&#8217;t really referring people a lot.



I think my roommates, is like the only person I put on,



and maybe like a couple of other friends, but like I wasn&#8217;t doing actively, but like money is a good motivating factor.



So yeah, I would say that. And I&#8217;m very competitive, so I like healthy competition.



I’ll just say like talk to more people.



Like don&#8217;t be scared to walk up to people, talk to them about it because like some of the people that I didn&#8217;t think that would even accept to you know sign up, they did and they put good money there.



Yeah, basically.



So if I wanted to ask you, what should I tell them?



Like, what would you tell me?



Just tell them like what they stand to gain from the app, like the experience, your own experience on the app.



Like you obviously had like a seamless experience from.



That&#8217;s the only reason why you’ll be able to refer people.



Yeah, basically.

Rise Leaderboard Winner

<img loading="lazy" decoding="async" src="https://lh7-us.googleusercontent.com/9WeBALbn8P0oV0APeegiZzL1Wzy31oPpNFP9Cc_zvLWm3I6DYs8OUs-R3Fa4CiCK5AmlIMJknYxC3V_JZ9aBGZVsWSRTeBqs9ncXtY5URG5z-Qf6YijU8Y2j26rWzKUrV77ZaAohfqxRdle2LrJSeGQ" width="624" height="269">



The exchange rate has fluctuated significantly in the last few weeks, and we know that some of you have concerns regarding your investments and how these changes impact your money. Our goal is to shed more light on how to best consider current realities in order to make the best long-term decisions about your finances.&nbsp;



<h2 class="wp-block-heading" id="h-your-long-term-returns-on-rise-beat-the-exchange-rate-impact">Your long-term returns on Rise beat the exchange rate impact</h2>



<img loading="lazy" decoding="async" src="https://lh7-us.googleusercontent.com/dUdlFyum1_wNXd0Xs6zXv8b8en7pEfSMRBX-l_THcMNmh5VoFyF0MN4CWphcKjou_e9J1dBKP37FIxsO-MMJSbKylzm-V5AiPGHkwxxsuy0lD4-BWhWY0WobY0Ni01MT4PGWC0MHTO7MOQTx6DpYH2s" width="624" height="351">



The first thing to keep in mind is that beyond the impact of exchange rates, your investments are generating stable long-term returns across multiple asset classes. Over time, this will do more to grow your wealth than any temporary fluctuations in the exchange rate.



For instance, between January 2024 and today, users have earned 15.85% on stocks, 3.09% on <a href="https://money.rise.capital/blog/how-real-estate-returns-work-on-rise/">real estate</a> and 2.5% on fixed income assets in USD terms. 



Despite the significant drop in exchange rates, users&#8217; returns are still positive. If you stretch this over to the year we founded Rise, returns have been stable and your money has grown so much more than any impact of exchange rate volatility, regardless of the timeline of your USD. Hence, our long term investors are and will continue to be better off.&nbsp;



<h2 class="wp-block-heading" id="h-naira-options-are-available-on-your-account">Naira options are available on your account.</h2>



For users who funded more recently at higher exchange rates than today, who may be more impacted by the short term volatility and would rather protect their money in naira today, we added a naira wallet to make it easy to shift from USD to naira when exchange rates are volatile. That way, you don’t experience further losses and can wait out any volatility. You also have the option of earning up to 20% returns in naira per annum by leaving your naira in the vault. There is no exchange rate exposure and you still benefit from earning <a href="https://money.rise.capital/blog/user-story-with-chioma/">returns on your investments</a> in your preferred currency. We designed the <a href="https://money.rise.capital/blog/introducing-naira-wallet-on-rise/">naira wallet</a> and vault to help you hedge against such volatility and we encourage you to take advantage of it. 



<h2 class="wp-block-heading" id="h-when-in-doubt-use-our-cost-averaging-strategy">When in doubt, use our cost-averaging strategy.</h2>



For some of us who prefer to invest consistently without having to predict or worry about the timing of exchange rates or returns, our preferred strategy is to use a dollar cost averaging (DCA) method. This is when you have a set amount of money you want to invest each month, just like you pay your other bills. Every month, you take that amount, and fund your preferred investment (whether naira or dollar) on schedule. The <a href="https://money.rise.capital/blog/7-reasons-why-you-should-invest-with-risevest/">gain of this approach is that when exchange rates are lower</a>, you invest a larger dollar amount and when exchange rates are higher, your dollar investment is lower. But for you, this frees you from trying to time the market and instead allows you to make consistent and steady progress towards your long term goals. 



The best way to do this is to set up auto-invest on your <a href="https://risevest.com/">Rise</a>, so that you don’t need to manually do the investment each time and instead rest easy knowing that your investments are being handled on schedule every time. 



As always, our goal at Rise is to help you make the best of your finances and achieve your long term financial goals, regardless of volatility or short term circumstances. We remain committed to our mission of helping you build wealth over time, and we encourage you to stick to your plans and let time do the heavy lifting.&nbsp;



Thank you for choosing Rise, and if you have further questions or concerns, kindly contact us via the contact session on your app, or send us an email at <a href="mailto:hello@risevest.com">hello@risevest.com</a>.



Love and returns,&nbsp;



The Rise Team

Why You Should Not Let Exchange Rate Fluctuations Interrupt your Investment Strategy

How to Check Your Bank Verification Number (BVN)

In her village, Chioma found <a href="https://risevest.com/">Rise</a>. And three years and some months later, she uses her investment returns to make big girl purchases. On this episode of #MoneyRise, she talks about her career in design, discovering Risevest, and getting herself a MacBook using her investments on Rise.



Hi, tell us a little about yourself.



My name is Chioma Udoye, and I’m a designer with four years of experience in corporate branding, marketing design, publishing, and print design. I&#8217;m an extrovert, and love experiencing different cultures and music genres.



That&#8217;s a very interesting and brief intro. Have you always loved design?&nbsp;



Well, I loved drawing as a kid, and wanted to work in a museum and have access to the works of fellow artists, even though my dad wanted me to become an engineer like he was.



I was also quite audacious for a child; in senior school, I joined Art class without my parents’ consent (This was easy to pull off considering I was a border). I still remember the look on my mum’s face when she found out that the child she had sent for sciences was in the arts. That day, I got summoned to the principal’s office. I had pleaded with her not to tell on me and I’m glad she protected my dreams. My father always thought I was a science student, but I shocked him with my WAEC result. He asked what I wanted to become, threw the usual African parent tantrums but ended up approving of me studying Fine Arts and Design in university.



In my 3rd year, I majored in Graphic design, instead of Art history as planned. My colleague, Olokpa, made sure he taught me all the CorelDraw he knew and I got my first design job in 2019 after my service year. That’s when I started practising full-time till date.



Wow! How has the journey been? Any challenges?



It’s been amazing so far. I have learnt quite a lot; my dad even confessed to being proud of me. Then two years ago, I niched down to print design. However, one of the challenges I’ve had to face was procrastination. It stalled my achievements a great deal. I realised that if I was ever going to make serious money to leave the trenches, I had to put in conscious efforts to change. Thankfully, I joined this group where we discussed what we wanted to achieve monthly and posted progress reports.



Another challenge would be working in a space where once they discover you possess certain skills, they fire those on the role, then have you do the copy or content writing, design and other similar things, on the same pay grade. A lot of graphic designers would relate.



Was that why you niched down to print and editorials?



Not exactly. I noticed there weren&#8217;t a lot of print designers in Nigeria; everyone was delving into UI/UX, motion and 3D design, so I thought about what I could do differently, the change I wanted, and how far it would get me. That was how I got my first international editorial gig.



What are some lessons you’ve learned from your experiences so far?&nbsp;



I&#8217;ve learned that knowing when to upscale is important, you have to know when to move out of your comfort zone to the next level so you don’t fade out. 



Another important thing is customer prioritisation. It is important to build solid relationships, sell yourself, and do amazingly, so customers have the confidence to mention you in rooms you have zero access to. I believe so much in word of mouth and live by one rule: it’s not every money that’s mine for the taking. If for any reason I wouldn’t be able to give a client my 100%, I decline the job. It’s far better than letting a bad review ruin my reputation.



Apart from design, what other things do you enjoy doing?



I love buying books, making TikToks, listening to podcasts, and watching reviews on gadgets and cars that I can’t afford yet on YouTube. I also love trying out new recipes, not because I like cooking but I just enjoy seeing the colours of different ingredients and vegetables come together.



Let’s talk about your investing journey; when did you start?



That would be late 2017. I had just finished school when I discovered this online saving platform. It was naira-dominated at the time. Due to naira decline, I stopped putting in large amounts of money there because it would depreciate in value in the long run.



In 2020, I found Risevest, and I’ve been on the journey of bringing my loved ones onboard, so they can equally invest in dollar-denominated assets. I love saving and investing; seeing my money grow is everything. Sometimes when I&#8217;m sad, I just open my wallet, and I instantly become happy. I’m an Igbo girl after all.



I totally relate to this. So tell us about your Rise journey.



My journey on Rise started on November 17, 2020. I remember this vividly because I had travelled for my dad’s burial at the time. One particular day, we went visiting a relative and I figured I’d have a better network at his place. When I was there, I came across this tweet from a mutual saying he had been using Rise for three months, and had had an amazing experience so far. I downloaded the app, went through it, and saw that I could start with as low as ten dollars.&nbsp;



At the time, a dollar was 420 naira. I signed up and funded my first plan, the fixed income plan, with exactly ten dollars. I was quite concerned about the safety of my money, so I would go to my relative’s everyday for a couple of days to check if my money was still safe. When I saw it was, I withdrew all the money in my earlier savings platform and put it in that Rise plan. It was about 250,000 naira. After 6 months, I jumped into <a href="https://money.rise.capital/blog/stock-investment-vs-real-estate-investment-which-is-better-for-nigerians/">real estate and stocks</a>. The rest, they say, is history.



This is such a funny story! So what has the experience been like and how has Rise helped your financial journey?



It’s been incredible, everyone calls me Risevest ambassador. Rise has helped my financial journey greatly. Last year, I got a new job, and my MacBook couldn’t carry the workload, which meant I had to get a new one. I had promised myself that I wouldn’t swap my gadgets anymore and if I needed something new, I’d save for it, buy it and give out the old one to someone who needs it. So I took some of the returns I <a href="https://money.rise.capital/blog/gbemi-shares-her-investment-journey-with-rise/">made from the exchange rate gains</a> on Rise and made that purchase.



Guess what? Even with the breaking fee, my initial capital was left untouched. I started investing at 420/$ and the dollar has since appreciated, doubling my investment.



&nbsp;<span style="font-size:11pt;font-family:Arial,sans-serif;color:#0a0a0a;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;"><img loading="lazy" decoding="async" width="349" height="448" style="margin-left:0px;margin-top:0px;" src="https://lh7-us.googleusercontent.com/gHL8v7MGZhfW_-8PhQdjdIbkctPuLU7BBkOdYCtuokgHyfk5Q1y5F85PbwXdVGT2RTBCsTi5Q-Qkbcqg6pkXRG0BJ6CLcJPj5bXbPQxEQ19TEsmx6DxZjAg6nJXWdWaOeGg5bOAH1Ju6sBOItFAqP8Q">



Love it! What’s your favourite thing about using Rise?



My favourite thing used to be the exchange rate notification informing users that rates were about to go up, but then Rise took that away. My current favourite would be payout day. I love getting the notification that my <a href="https://money.rise.capital/blog/how-real-estate-returns-work-on-rise/">real estate returns</a> have been paid out; it makes me dance.



Nice! What advice do you have for people who are looking to start investing?



Don’t put your money into anything that you don’t understand. Invest money you can afford to lose, start small, don’t be greedy or scared. Fear makes you miss out on a lot of opportunities, and greed will cause you to lose a lot of money. Have an emergency fund that can sort your personal expenses for at least 6 months, so you’re not dipping into your investment every hour.



Finally, run away from any investment opportunity that “promises” you really huge returns;&nbsp;if it walks like a duck, looks like a duck, and quacks like a duck, it can’t be an antelope.



You’re absolutely right. Finally, what advice would you give to someone looking to go into print design?



You need to understand design as a journey, enjoy every level while you’re there, keep up with design trends, and ensure you’re always improving yourself.



Importantly, if you have an international remote role, don’t get carried away by high salaries because these jobs are usually not as stable as the ones back home. You never know if or when you’ll be let go; I usually recommend working two jobs if you can do so conveniently. Embrace financial prudence, and remember that it’s not everything you see or want that you should own.&nbsp;

“I Took Some Of My Investment Returns, And Got Myself A New MacBook. I’m Chioma, And This Is How I Make My #MoneyRise”

Oil can be both a blessing and a curse. In Nigeria, however, it has mostly been the latter. Just a decade after crude was first discovered in Oloibiri in 1957, it was already tearing the young country apart in civil war.



Production has never exceeded the 2.5 million barrels a day hit in 1979 and <a href="https://www.iea.org/articles/nigeria-energy-outlook">won’t in the foreseeable future</a>. Nigeria’s oil output was insufficient to spark a Middle Eastern-style economic miracle back then; now, with a population three times larger, it’s woefully inadequate.



<h2 class="wp-block-heading" id="h-what-are-the-problems-with-oil-in-nigeria">What are the problems with Oil in Nigeria?</h2>



While oil and gas sales typically account for about 90% of Nigeria’s export earnings, the state receives a relatively modest sum from the trade – less than $8 billion in 2020, according to the country’s Budget Office.



The government’s potential benefits from the industry are further eroded by rampant crude theft – as much as 150,000 barrels per day, according to the government, which is about $5.5 billion a year at current prices.



Despite being a longtime crude oil exporter, Nigeria&#8217;s government has four under-performing and frequently broken down refineries with a combined capacity of <a href="https://www.premiumtimesng.com/news/headlines/269289-no-nigerian-refinery-worked-up-to-50-capacity-in-2017-nnpc.html">445,000 barrels daily</a>.



Those refineries, two in the oil hub of Port Harcourt, one in Warri in the Niger Delta, and the other in the northern city of Kaduna, are all operating <a href="https://www.premiumtimesng.com/news/headlines/269289-no-nigerian-refinery-worked-up-to-50-capacity-in-2017-nnpc.html">at less than 50</a> per cent of capacity.



This means that even though Nigeria is Africa’s largest oil producer, petroleum for everyday <a href="https://www.reuters.com/article/nigeria-oil/nigerian-state-oil-firm-spent-5-8-bln-on-fuel-imports-since-late-2017-idUSL8N1QA6LR">use must be imported</a>. This has spawned fuel importers and diesel traders who have grown extremely wealthy.



<a href="http://dailypost.ng/2018/06/19/nigerian-govt-spent-n2-4bn-daily-fuel-subsidy-may-pppra/">Nigeria’s government subsidises fuel imports to keep pump prices low</a>, contributing to Nigeria’s well-documented culture of corruption in the petroleum industry.



Nigeria’s lack of refining capacity presents many challenges, such as spending billions of dollars on imports yearly and being exposed to disruptions in its domestic fuel supply.



Between 2015 and 2019, the cost of importing refined petroleum products exceeded the exports by <a href="https://punchng.com/nigerias-petroleum-imports-exceeded-exports-by-43-56bn-opec/">$58.5 billion</a>, according to OPEC, a group of major oil producers.



All that sounds grim, but there are reasons for hope for the oil sector— the Dangote Refinery.



<h2 class="wp-block-heading" id="h-the-dangote-refinery">The Dangote Refinery</h2>



<figure class="wp-block-gallery has-nested-images columns-default is-cropped wp-block-gallery-2 is-layout-flex wp-block-gallery-is-layout-flex">
<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="577" data-id="3213" src="https://money.rise.capital/wp-content/uploads/2024/03/Dangote-Refinery-1024x577.jpg" alt="Dangote Refinery" class="wp-image-3213" srcset="https://money.rise.capital/wp-content/uploads/2024/03/Dangote-Refinery-1024x577.jpg 1024w, https://money.rise.capital/wp-content/uploads/2024/03/Dangote-Refinery-300x169.jpg 300w, https://money.rise.capital/wp-content/uploads/2024/03/Dangote-Refinery-768x432.jpg 768w, https://money.rise.capital/wp-content/uploads/2024/03/Dangote-Refinery.jpg 1062w" sizes="(max-width: 1024px) 100vw, 1024px" /></figure>
</figure>



Owned by Nigerian industrialist and Africa’s richest man, Aliko Dangote, the refinery promises to transform Nigeria’s economic fortunes. It is in a free-trade zone between the Atlantic Ocean and the Lekki Lagoon, an hour outside the city centre.



The Dangote refinery is Africa’s biggest. It will produce 650,000 barrels a day, enough oil to supply gasoline and kerosene to all 190 million Nigerians, and still enough to export.



The refinery is expected to boost domestic refining capacity, eliminating the current consumption shortfall. It will also reduce import dependency and stimulate economic growth. It is the <a href="https://www.channelstv.com/2016/06/24/dangote-set-to-launch-nigerias-first-private-refinery/">first</a> privately owned crude oil refinery in Nigeria.



Nigeria’s existing refineries, plagued by operational inefficiencies under government control, have failed to meet the growing demand for petroleum products, making substantial imports necessary.



According to the <a href="https://www.cbn.gov.ng/Out/2023/CCD/Governor's%20Goodwill_Remarks%20at%20the%20Commissioning%20of%20the%20Dangote%20Refinery_May%202023.pdf#page=13">Central Bank of Nigeria</a>, the cost (including freight) of petroleum products imports into Nigeria doubled over a five-year period from about US$8.4 billion in 2017 to US$16.2 billion (indicating an annual average of US$11.1 billion), rising further to US$23.3 billion by the end of 2022.



<h2 class="wp-block-heading" id="h-how-will-the-refinery-transform-nigeria-s-economic-fortunes">How will the Refinery transform Nigeria’s economic fortunes?</h2>



<h3 class="wp-block-heading" id="h-reduced-oil-import-dependence">Reduced oil import dependence</h3>



The most notable impact of Dangote refinery will be the increase in local refinery capacity, which will reduce imports.



Dangote refinery is expected to help Nigeria meet <a href="https://dangote.com/our-business/oil-and-gas/">100%</a> of it’s refined petroleum product needs (gasoline, 72 million litres per day; diesel, 34 million litres per day; kerosene, 10 million litres per day and aviation jet, 2 million litres per day), with surplus products for the export market.



The refinery&#8217;s refined petroleum output, in combination with other refineries in Nigeria, is expected to meet the shortfall in the estimated daily consumption of <a href="https://punchng.com/daily-fuel-consumption-jumps-to-72-million-litres-subsidy-hits-n541-66bn/#:%7E:text=Petrol%20consumption%20in%20the%20country,in%20the%20month%20of%20April.">72 million litres of petrol</a>.



The country has faced <a href="https://www.aljazeera.com/news/2023/2/2/shortages-causing-fury-among-nigerians-ahead-of-elections">several fuel shortages</a> in the past, which have caused <a href="https://www.premiumtimesng.com/news/headlines/517393-nigerias-inflation-rises-to-15-70-as-fuel-scarcity-affects-prices.html?tztc=1">prices to surge</a> for transport and basic commodities. <a href="https://apnews.com/article/russia-ukraine-politics-nigeria-2ff43cdc2014832e54255db54b89125b">Recent fuel shortages</a> have been blamed on the Russia-Ukraine war, and the price of imported fuel rose more than 100%. Importers operated at a loss due to price ceilings set by the government.



Besides eliminating import dependency, the Dangote refinery can potentially reduce Nigeria’s crude oil export dependency as more crude oil will be refined domestically.



Refining crude oil locally will enable the country pay for the refined product in naira, which will save scarce foreign exchange and generate revenue in exported refined petroleum products.



The Central Bank of Nigeria says Dangote refinery could engender foreign exchange savings of between <a href="https://www.cbn.gov.ng/Out/2023/CCD/Governor's%20Goodwill_Remarks%20at%20the%20Commissioning%20of%20the%20Dangote%20Refinery_May%202023.pdf#page=14">US$25 billion and US$30 billion</a> annually for Nigeria.



<h3 class="wp-block-heading" id="h-support-for-allied-industries">Support for allied industries</h3>



Fuel is not the only output of oil refining; petrochemical industry too will build on it, like the fertiliser and plastic industry. A lot of other companies such as logistics, transport and trade industries will build on it too.



If the refinery is efficiently run, the forward linkage sector that relies on the output of the manufacturing sector will improve.



“That means the performance of the overall industrial sector which includes construction, and manufacturing in Nigeria will improve and their output will increase.”



The establishment of the refinery is also likely to help reduce the cost of production for industries that <a href="https://businessday.ng/energy/oilandgas/article/fresh-pain-for-manufacturers-as-diesel-tankers-face-supply-hitches/">rely on petroleum products </a>such as diesel to power their operations.



In turn, this should increase their competitiveness in the global market while promoting local industry capabilities. The refinery could also create an environment for allied industries to emerge in and around it.



For instance, businesses in transport, housing and telecommunications will benefit from the construction and operations of the refinery. And the refinery should create jobs and entrepreneurship opportunities. While under construction, the refinery employed about <a href="https://www.dangote.com/57000-personnel-to-benefit-from-work-at-refinery-site-says-dangote/">40,000 </a>workers – 29,000 Nigerians and 11,000 foreigners. The jobs were in engineering, construction, manufacturing and operations, among other areas.



Mr. Dangote&#8217;s refinery hopes to help diversify Nigeria’s economy while reducing its dependence on imported oil. “We have other opportunities,” he said at the <a href="https://www.youtube.com/watch?v=eV7PAq45cxc">plant’s unveiling</a>. 



“Agriculture is there. Petrochemicals are there, Nigeria has more arable land than China. If we finish our gas pipeline, it can generate 12,000 megahertz of power. That’s huge. That’s more than what we are looking for in Nigeria and we can supply the rest of West Africa.”



In conclusion, the narrative of oil in Nigeria has long been one of missed opportunities, economic struggles, and dependency on imports despite being a major oil producer.



The country&#8217;s refining capacity has been severely lacking, resulting in significant financial losses due to importing refined petroleum products. This situation has perpetuated corruption, hindered economic growth, and left Nigeria vulnerable to global market fluctuations.



However, the impending completion of the Dangote Refinery presents a beacon of hope for Nigeria&#8217;s oil sector and overall economy. As Africa&#8217;s largest refinery, it is poised to revolutionize Nigeria&#8217;s economic landscape by significantly reducing oil import dependency, meeting domestic demand, and even creating surplus for export. 



Moreover, the refinery&#8217;s impact extends beyond the oil sector, with potential benefits for allied industries, job creation, and entrepreneurship opportunities.



In essence, Nigeria&#8217;s oil industry has faced numerous challenges in the past, but the Dangote Refinery represents a transformative opportunity to reshape the country&#8217;s economic landscape, driving sustainable growth and prosperity for years to come.

Every month, the Rise Investment Club brings together investment experts and enthusiasts to discuss ways to grow, earn and manage your finances better. 



In light of the prevailing economic challenges in Nigeria, we initiated our Earn in Dollars Series in February with Deji Anubi leading the discussion on &#8220;How To Build An Agricultural Export Business from Nigeria.&#8220;



The primary objective of this series is to offer practical strategies for <a href="https://money.rise.capital/blog/inflation-and-the-nigerian-reality/">Nigerians to mitigate the effects of inflation</a>, economic instability, poverty, and the fluctuation of the Naira, enabling them to increase their earnings and generate income in a reliable foreign currency such as the Dollar.



Our guest speaker, Deji Anubi, is the Managing Director of Eden Foods Limited, a company focused on exports with products reaching markets in the UK, Ireland, Belgium, Germany, and Scotland. 



Our session with Deji was engaging and informative. He shared firsthand experiences of beginning and successfully growing his agricultural export business from Nigeria.



When asked about his business&#8217;s current success, Deji remarked, &#8220;It was definitely worth selling everything I owned for pennies and even facing bankruptcy.&#8221;



<h2 class="wp-block-heading" id="h-we-put-together-some-excerpts-from-the-session">We put together some excerpts from the session.</h2>



<ul>
<li>It took approximately 3-4 years to navigate the intricacies of the export process and procedures, especially since limited information was available regarding exporting agricultural products to the UK at the time. However, Deji graciously shared some of these processes during our session, significantly reducing the time it would take for others to grasp the same knowledge.</li>



<li>Deji made a difficult decision to sell his juice company at a fraction of its value after investing a considerable amount of money into it. This enabled him to venture into agricultural exports. He took the proactive step of reaching out to UK authorities via cold emails to gain insights into their regulations.</li>



<li>Proper planning before delving into any business venture is crucial. It serves as the driving force that sustains motivation even in the face of failures, knowing that success is inevitable in the long run.</li>



<li>Identifying and addressing an unmet need or providing a solution to a problem that few are tackling can lead to substantial rewards. The potential benefits of such ventures are immense.</li>



<li>Adherence to UK procedures and regulations is paramount, including product standards, packaging requirements, and labeling specifications. In the agricultural export sector, meticulous attention to detail is essential, encompassing documentation processes and ensuring product condition meets the stringent requirements to prevent rejection by export authorities.</li>
</ul>



Need more of these excerpts, we made a video for you. Watch 👇



<figure class="wp-block-embed is-type-video is-provider-youtube wp-block-embed-youtube wp-embed-aspect-16-9 wp-has-aspect-ratio"><div class="wp-block-embed__wrapper">
<iframe loading="lazy" title="Earning In Dollars (Series): How To Build An Agricultural Export Business From Nigeria" width="750" height="422" src="https://www.youtube.com/embed/-skArZ8hUiA?feature=oembed" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" allowfullscreen></iframe>
</div></figure>



Our meetups are always a blast, packed with fun, valuable insights, networking opportunities, and exciting prospects—a huge shoutout to Deji for leading this fantastic session, and heartfelt thanks to everyone who participated.



Mark your calendars for our next session on March 30th: &#8220;Earn in Dollar Series II: How To Monetize Your Skillset Through Digital Channels.&#8221; If you&#8217;ve struggled with personal finance, feel clueless about investments, or are uncertain where to put your money, we&#8217;d love to have you join us.



Don&#8217;t miss out on any updates! Join our vibrant community on <a href="https://t.me/joinchat/DMuBqxYV5GSwSEypHwbmiA">Telegram</a> to stay in the loop about all our upcoming events.

Highlights on How You Can Build an Agricultural Export Business from Nigeria.

<h2 class="wp-block-heading" id="h-report-summary">Report Summary:</h2>



The stock market has been fascinating so far this year, with several stocks hitting new all-time highs (ATHs). Earnings season is nearly over, with 95% of the S&amp;P 500 reporting Q4 results. For large-cap companies, results were better than analysts initially expected, as 73% of the S&amp;P 500 members beat projections.&nbsp;



In February, the markets registered another solid month, as U.S. equity indices closed out February in record territory. The market’s recent surge to all-time highs is driven by blockbuster earnings and artificial intelligence-driven investor enthusiasm.&nbsp;



The other big story of the month was the hawkish shift in market expectations for the first rate cut from March to June. The FOMC statement reiterated how data-dependent the Fed will be.&nbsp;



In the fixed income market, The U.S. bond market retreated in February as yields rose following hawkish takeaways on rate cuts, leading to a broad repricing of Fed rate-cut expectations. The yield on the benchmark U.S. 10-year Treasury now sits at 4.23%, up from 3.88% at the start of the month.&nbsp;



In the real estate market, home values remained stable even as mortgage rates continued to rise in line with high rates. Mortgage rates averaged 7.57% in February 2024, attributing to a shortage of housing supply, with inventories in the US persistently tight.



Let&#8217;s now delve into the performance of our asset classes and our outlook for the remainder of the year.



<h2 class="wp-block-heading" id="h-asset-classes-overview">Asset Classes Overview</h2>



<h3 class="wp-block-heading">Stocks:&nbsp;</h3>



The S&amp;P 500 was up 5.3% in February 2024. Our <a href="https://risevest.com/">Rise</a> Equity portfolio outperformed the market, closing the month up 8.36%. Our Rise Equity portfolio soared last month, buoyed by a strong rally in Meta Platforms, which gained over 6% on February 2nd.



One of the top headlines from 2023 was the outperformance of the “Magnificent Seven” mega-cap stocks: Alphabet (GOOG), Amazon (AMZN), Apple (AAPL), Meta Platforms (META), Microsoft (MSFT), NVIDIA (NVDA), and Tesla (TSLA). In 2024, these seven mega-cap stocks sustained their momentum, with the exception of Tesla Inc.&nbsp;



Our outlook for the stock remains positive for the remainder of the year. Our upside case suggests that the stock market will continue its 2023 rally into 2024, buoyed by tech-related stocks. In February, we expect big-tech blockbuster earnings to extend the rally. Also, with improved earnings guidance from companies, we see continued buy interest in the stock market. In our thesis, the stock market is still one of the best wealth-creating opportunities in 2024. The strategy remains centred on investing in fundamentally sound companies and riding the upward momentum.



<h3 class="wp-block-heading"> Real Estate:</h3>



Our Rise Real Estate portfolio returned 1.13% in rental income for February 2024. Monthly returns for our real estate portfolio are dependent on the overall performance of the underlying assets. As we’ve always strived for consistent returns, we are happy to return to our historical performance, as February&#8217;s was in line with what we have always realised historically.



Looking ahead, we anticipate that our real estate portfolio will continue to deliver favourable returns to our investors. This expectation is driven by the combination of high mortgage rates and a tight inventory in the US. Real estate investment remains a lucrative opportunity for investors, and our real estate asset class is positioned to offer stable and consistent cash flow.&nbsp;



<h3 class="wp-block-heading">Fixed Income:</h3>



At Rise, our fixed-income investments generated a return of 0.83% for February 2024. This performance underscores the resilience and stability of our fixed-income strategy.



The U.S. bond market retreated in February as yields rose following hawkish takeaways from the January FOMC meeting that led to a broad repricing of Fed rate-cut expectations. The yield on the benchmark U.S. 10-year Treasury was at 4.23% by the end of February, up from 3.88% at the start of the month. The 30-year yield rallied nearly 5% and ended the month at 4.365%. The yield curve remains inverted but is flattening.



Through diversification and a keen eye for opportunities, we expect our fixed portfolio to continue to provide better and steady returns to our investors. At Rise, we are committed to helping you achieve your financial goals through thorough analysis and careful selection of investment opportunities. So remember to stay invested.

Rise February Portfolio Report

It’s International Women’s Day again. And to commemorate this day, we’ll highlight stories from women on Rise who said “yes” to their dreams and journeyed toward achieving them. Women who said “yes” to a Master&#8217;s Degree. Yes to financial independence. Yes to travelling to new places, and yes, to starting a new business.&nbsp;



So whatever stage of a life story you’re in, the high or the low or the totally unremarkable, we think it’s worth taking a moment to read and feel inspired by these women and by what’s possible today.



How Nonye found Success with Kasai Clothing in a Pandemic. 



<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="576" src="https://money.rise.capital/wp-content/uploads/2024/03/Artboard-1-10-1024x576.jpg" alt="International Women's Day. Nonye Rise" class="wp-image-2933" srcset="https://money.rise.capital/wp-content/uploads/2024/03/Artboard-1-10-1024x576.jpg 1024w, https://money.rise.capital/wp-content/uploads/2024/03/Artboard-1-10-300x169.jpg 300w, https://money.rise.capital/wp-content/uploads/2024/03/Artboard-1-10-768x432.jpg 768w, https://money.rise.capital/wp-content/uploads/2024/03/Artboard-1-10-1536x864.jpg 1536w, https://money.rise.capital/wp-content/uploads/2024/03/Artboard-1-10-1568x882.jpg 1568w, https://money.rise.capital/wp-content/uploads/2024/03/Artboard-1-10.jpg 1920w" sizes="(max-width: 1024px) 100vw, 1024px" /></figure>



<a href="https://risevest.com/blog/at-kasai-we-cater-to-people-who-want-something-stylish-to-wear-with-minimal-effort-on-their-part-my-name-is-nonye-and-this-is-how-i-make-my-moneyrise">Nonye</a> started her clothing business, Kasai Clothing, during the Covid lockdown in 2020, a period when many businesses shut down. 3 years and some more, Kasai still stands tall. Nonye, in her story, tells us about her journey and how Rise played a huge role in helping her keep money in dollars while also earning returns.



“When I first started using Rise for my business, I used it solely for saving, as we needed to keep our profits somewhere pending when we needed it back into the business. At the time, I was worried about just having naira sitting in the bank account, not growing. I’d even lose money because they keep charging for different things. Then Rise introduced the wallet feature, which allowed us to keep our money in dollars and also earn interests. I call it a little more flesh. And honestly, the wallet feature is the best for us because we can withdraw at any time, especially when we need to restock something sooner than we scheduled.”



Simisoluwa saved her wedding funds on Rise and it made all the difference.



<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="576" src="https://money.rise.capital/wp-content/uploads/2024/03/User-stories-simiWeb-1-1024x576.jpg" alt="Simi Rise Blog" class="wp-image-2934" srcset="https://money.rise.capital/wp-content/uploads/2024/03/User-stories-simiWeb-1-1024x576.jpg 1024w, https://money.rise.capital/wp-content/uploads/2024/03/User-stories-simiWeb-1-300x169.jpg 300w, https://money.rise.capital/wp-content/uploads/2024/03/User-stories-simiWeb-1-768x432.jpg 768w, https://money.rise.capital/wp-content/uploads/2024/03/User-stories-simiWeb-1-1536x864.jpg 1536w, https://money.rise.capital/wp-content/uploads/2024/03/User-stories-simiWeb-1-1568x882.jpg 1568w, https://money.rise.capital/wp-content/uploads/2024/03/User-stories-simiWeb-1.jpg 1920w" sizes="(max-width: 1024px) 100vw, 1024px" /></figure>



Everyone has a goal— one which inspires them to start or double down on their financial journey. For <a href="https://risevest.com/blog/my-name-is-simisoluwa-and-this-is-how-i-make-my-moneyrise">Simi</a>, it was her wedding and the need to save the funds for it in USD, against currency devaluation. In her words,&nbsp;



“When I was getting ready for my wedding, I had to think about what would make my budgeting journey successful. I knew the amount and goal I had in mind, but feared if I kept it in naira, it probably would not work. It was also 2022, and I knew I was getting married in eight months. The news about the currency redesign also came out around this time, causing scarcity. I decided to keep my money in USD in Rise to preserve its value, and this move saved me from a lot of financial trouble.”



Ifunanya got her Masters Degree in the UK.



<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="576" src="https://money.rise.capital/wp-content/uploads/2022/03/ifunayas-story-blog-220303-1-1024x576.jpg" alt="Ifunanya Rise Blog " class="wp-image-1503" srcset="https://money.rise.capital/wp-content/uploads/2022/03/ifunayas-story-blog-220303-1-1024x576.jpg 1024w, https://money.rise.capital/wp-content/uploads/2022/03/ifunayas-story-blog-220303-1-300x169.jpg 300w, https://money.rise.capital/wp-content/uploads/2022/03/ifunayas-story-blog-220303-1-768x432.jpg 768w, https://money.rise.capital/wp-content/uploads/2022/03/ifunayas-story-blog-220303-1-1536x864.jpg 1536w, https://money.rise.capital/wp-content/uploads/2022/03/ifunayas-story-blog-220303-1-1568x882.jpg 1568w, https://money.rise.capital/wp-content/uploads/2022/03/ifunayas-story-blog-220303-1.jpg 1920w" sizes="(max-width: 1024px) 100vw, 1024px" /></figure>



<a href="https://money.rise.capital/blog/ifunanya-shares-how-she-funded-her-msc-by-using-rise/">Ifunanya</a>, who, at the time of writing, was studying for her Master’s degree in Managing Innovation and Information Technology in the UK, spoke to us about saving for her Master’s degree on Rise. According to her, Rise was instrumental in helping her reach her goal of pursuing a master&#8217;s abroad.



&#8220;At the maturity of my investment, I held the FX (another wonderful thing about Rise is being able to get your dollar investments back in dollars). There would have been so much I wouldn&#8217;t have been able to afford if I had to buy FX at the black market rate, as I was leaving for my Master&#8217;s at the time. The dollar investments I had on Rise were beneficial and a key part of this journey. Crazy how one good decision can change a lot.&#8221;



GbemmyG said yes to preserving her wealth and made over 1 million naira on exchange rate gain.



<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="577" src="https://money.rise.capital/wp-content/uploads/2024/03/gbemis-story-blog-220517-1-1024x577.jpg" alt="Gbemi Rise Blog" class="wp-image-2931" srcset="https://money.rise.capital/wp-content/uploads/2024/03/gbemis-story-blog-220517-1-1024x577.jpg 1024w, https://money.rise.capital/wp-content/uploads/2024/03/gbemis-story-blog-220517-1-300x169.jpg 300w, https://money.rise.capital/wp-content/uploads/2024/03/gbemis-story-blog-220517-1-768x433.jpg 768w, https://money.rise.capital/wp-content/uploads/2024/03/gbemis-story-blog-220517-1-1536x866.jpg 1536w, https://money.rise.capital/wp-content/uploads/2024/03/gbemis-story-blog-220517-1-1568x884.jpg 1568w, https://money.rise.capital/wp-content/uploads/2024/03/gbemis-story-blog-220517-1.jpg 1921w" sizes="(max-width: 1024px) 100vw, 1024px" /></figure>



We spoke to <a href="https://money.rise.capital/blog/gbemi-shares-her-investment-journey-with-rise/">GbemmyG</a>, a Key Account Manager and fitness trainer who started using Risevest in 2020 on her investing journey. In her words,



“My money was depreciating, which didn’t make any sense to me, so I had to move everything to my Risevest account. At the time I did that, a dollar was about 350 naira. It is currently 590, and I’ve made a lot just by that, not even counting my stock gains. I love Rise because of the safety it offers against the devaluation of the naira because my money is in dollars. I also know I’m not losing anything, even if the stock market declines. My portfolio grew about 40% just through the exchange rate, and this doesn’t even include the gains I took from stocks and across my portfolio over time. At some point, I had about $500 gains just from my stock plan. I have gained so much money on the Rise app that at some point, I had over a million naira gain on just the exchange rate.”



Lola elevated her nanny’s life and finances by introducing her to Rise.



<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="576" src="https://money.rise.capital/wp-content/uploads/2024/03/Lolas-Story-blog-220902-1-1-1024x576.jpg" alt="International Women's Day. Lola Rise" class="wp-image-2930" srcset="https://money.rise.capital/wp-content/uploads/2024/03/Lolas-Story-blog-220902-1-1-1024x576.jpg 1024w, https://money.rise.capital/wp-content/uploads/2024/03/Lolas-Story-blog-220902-1-1-300x169.jpg 300w, https://money.rise.capital/wp-content/uploads/2024/03/Lolas-Story-blog-220902-1-1-768x432.jpg 768w, https://money.rise.capital/wp-content/uploads/2024/03/Lolas-Story-blog-220902-1-1-1536x864.jpg 1536w, https://money.rise.capital/wp-content/uploads/2024/03/Lolas-Story-blog-220902-1-1-1568x882.jpg 1568w, https://money.rise.capital/wp-content/uploads/2024/03/Lolas-Story-blog-220902-1-1.jpg 1921w" sizes="(max-width: 1024px) 100vw, 1024px" /></figure>



Like the Igbo saying, “Onye aghana nwanne ya” which roughly translates to “Do not leave thy brother behind” (well, in this case, sister), <a href="https://money.rise.capital/blog/my-name-is-lola-and-this-is-how-i-make-my-moneyrise/">Lola</a> introduced her kids’ nanny to Rise, helping her grow her finances. She said yes not only to elevating her own life, but also to those around her. These are her words,



“I was so happy with my experience that I started telling everyone about it. I told my parents and brothers. I told everyone on my Youtube channel. I told my friends on Instagram and even tweeted about it a couple of times. I also told my staff, including my kids’ nanny. I told her because she would give me part of her salary every month to help her keep. But since I don’t save my money in naira, I suggested putting it in Rise which she didn’t understand at that time, but agreed to. I did the 3 months maturity plan for her because I feared she might need the money anytime soon, unlike me. I reinvest it every 3 months, if she doesn’t need it. So after about a year, which was just a few months ago, I told her how much she had made and she was so shocked. She didn’t expect the money to grow so much as it did. But because we weren’t saving in naira, it grew both based on the investment returns and the exchange rate difference.”



As we celebrate International Women’s Day today and reflect on the journeys of these remarkable women, let us remember that there is no dream too big or small to say “yes” to. Let their stories inspire us to embrace our own aspirations, persist in the face of challenges, and thrive in the end.&nbsp;



Most importantly, we all have a role to plado not forget to inspire inclusion wherever you find yourself, in your own little ways. Happy International Women’s Day!

We Should Say “Yes” To Our Dreams And Goals, Like These Women.

At Risevest, our guiding principle is to uncover investment prospects resilient to market volatility, ensuring optimal returns for our clients regardless of economic fluctuations. Currently, our team is honing in on companies with strong fundamentals and stocks that demonstrate steadfastness across various economic cycles.



With respect to this, we added Eli Lilly, one of the leading global pharmaceutical companies in the manufacturing and marketing of obesity and insulin drugs to our stock portfolio.



<h2 class="wp-block-heading" id="h-investment-thesis">Investment Thesis</h2>



We believe Eli Lilly will continue to post solid profits for the long term with accelerated growth. The company has demonstrated exceptional performance in the healthcare sector, with average gross profit margin, operating profit margin and net profit margin of 79.2%, 28.8% and 24%, respectively, over the past five years. 



The company has untapped potential in the obesity industry, presenting a significant market upside. As the second market leader with a robust 23% market share, Eli Lilly&#8217;s future prospects in the obesity market are poised to generate higher revenue for the company.



Lilly’s cancer drug, Verzenio, reported strong performance in early-stage breast cancer, opening up the potential to be the first cyclin-dependent kinase 4 and 6 (CDK4/6) drug to launch in this multi-billion-dollar market. The CDK 4/6 inhibitor drugs market is set for rapid growth, expected to reach $25.17 billion by 2028 with a 20% compound annual growth rate over the next five years.



Within the Major Pharmaceutical Preparations Industry, Eli Lilly’s market share grew by 4% quarter-on-quarter to 10.50%. The company is expanding its market presence with a new direct-to-consumer website for migraine, diabetes, and weight-loss drugs. 



It offers access to independent doctors and support and enables home delivery of medications. The diabetes and weight loss drugs Mounjaro, Zepbound, Jardiance, and Trulicity, along with cancer drug Verzenio and immunology drug Taltz, are positioned to remain important drivers for cash flows.



We also believe Eli Lilly has a competitive price and patent rights advantage. A significant number of their products cost less comparatively. Zepbound costs $1,059 for a month’s supply, which is less expensive compared to Mounjaro. A similar drug by <a href="https://money.rise.capital/blog/we-added-novo-nordisk-to-our-stock-portfolio/">Novo Nordisk </a>costs $1,349 for a month’s supply. 



One of the company’s moat is patent rights, with their average patent lifespan being 20 years. Pharmaceutical companies often rely on patent <a href="https://money.rise.capital/blog/we-are-increasing-our-portfolio-hedges-to-protect-your-investments/">protections to recoup their R&amp;D investments</a> during the course of research and during sales. Also, with patent rights, other players are unable to reproduce drug therapies developed by patent-holding pharma companies.



<h2 class="wp-block-heading" id="h-business-summary">Business Summary</h2>



Eli Lilly is a renowned global pharmaceutical enterprise specialising in the innovation, development, and distribution of cutting-edge prescription medications and various healthcare solutions. It was founded in 1876 by Colonel Eli Lilly and its headquarter is in Indianapolis, Indiana, USA.



Eli Lilly has been operating for the past 148 years, with about 100 innovative drugs manufactured and therapy products marketed in 120+ countries. Eli Lilly&#8217;s business model excels due to its world class research and development (R&amp;D) division, with a substantial investment of its revenue in this area (Eli Lilly spends $9.313 billion in R&amp;D in 2023).



This strategic focus has enabled the company to consistently nurture a robust pipeline of novel and advanced products. Moreover, it has facilitated valuable partnerships and collaborations with prominent players in the pharmaceutical industry.



Lilly’s recent partnerships include:



<ul>
<li>Collaboration with Egypt to produce one million doses of insulin by 2030.</li>



<li>License and collaboration agreement with PRISM BioLab aimed at discovering oral inhibitors of a protein-protein interaction (PPI) target, with the deal worth over $660m.</li>



<li>Partnership with Isomorphic Labs Ltd and Novartis Isomorphic to <a href="https://storage.googleapis.com/isomorphiclabs-website-public-artifacts/ISOMORPHIC_LABS_NOVARTIS_07_01_24.pdf">use its prowess in AI</a> to help <a href="https://storage.googleapis.com/isomorphiclabs-website-public-artifacts/ISOMORPHIC_LABS_LILLY_07_01_24.pdf">discover new medications</a> that can potentially treat various diseases.</li>



<li>In 2022, Eli Lilly partnered with South Africa&#8217;s Aspen for Drug Distribution Across Africa, which generated $23m in revenue across Eli Lilly&#8217;s product portfolio in sub-Saharan Africa.</li>



<li>Fauna Bio, a biotechnology company improving human health by leveraging animal genomics, entered a multi-year agreement with Eli Lilly to apply its artificial intelligence (AI) platform to support pre-clinical drug discovery efforts in obesity.</li>
</ul>



Eli Lilly is known for its cutting edge drug therapies, among its notable drug portfolio. The top-performing medications of Eli Lilly includes: Mounjaro, Trucility, Jandiance, Verizio, Taltz and Humalog. 



With a gross margin of 79%, Eli Lilly keeps innovating on new drugs while maintaining very strong profitability. Its future sales growth will be propounded by the approval Zepbound won in November last year. The FDA approved Eli Lilly’s Zepbound drug in November of last year. This is an obesity drug that helps people with weight loss. There’s about 40% of the adult population in the USA that suffers from obesity. Long term, this is a potential hundred billion dollar industry and Eli Lilly has a strong position in the big drug-provider pharmaceutical industry.



<h2 class="wp-block-heading" id="h-business-performance">Business Performance</h2>



Over the last three years, Eli Lilly has showcased commendable annual revenue growth of 11.9%. Notably, the fiscal year 2023 witnessed a robust revenue climb to $34 billion, marking a noteworthy 19% uptick from the preceding year&#8217;s $28 billion.



In terms of profitability metrics, the Return on Assets (ROA), Return on Equity (ROE) and Return on Invested Capital (ROIC) stand at 9.47%, 46.86% and 29% respectively, surpassing industry averages of 7.7%, 38.9% and 15.5%. Also, for the last 5 years, Eli Lilly managed to grow its earnings per share at 73% a year. This year, 2024, we expect Eli Lilly stock earnings of $2.56 per share, surging 58%.



Eli Lilly diverts a significant amount of revenue to its capital expenditure which is mainly their R&amp;D. For the last 5 years, on average, capital expenditure has been 6.3% of revenue. The company&#8217;s total capital expenditure for the year 2023 was $3.48billion.



<h3 class="wp-block-heading" id="h-table-1-0-profitability-profile">Table 1.0 Profitability Profile</h3>



<figure class="wp-block-table"><table><tbody><tr><td>$B</td><td>2019</td><td>2020</td><td>2021</td><td>2022</td><td>2023</td></tr><tr><td>Revenue</td><td>22,320</td><td>24,540</td><td>28,318</td><td>28,541</td><td>34,124</td></tr><tr><td>Gross Profit</td><td>17,598</td><td>19,057</td><td>21,345</td><td>21,912</td><td>27,042</td></tr><tr><td>Net Income</td><td>8,318</td><td>6,193</td><td>5,581</td><td>6,244</td><td>5,240</td></tr><tr><td>Adjusted EBITDA</td><td>7,232</td><td>8,535</td><td>9,820</td><td>10,176</td><td>12,315</td></tr><tr><td>Capital Expenditure</td><td>1,034</td><td>1,388</td><td>1,310</td><td>1,854</td><td>3,448</td></tr><tr><td>Diluted EPS</td><td>3.05</td><td>4.96</td><td>6.79</td><td>6.12</td><td>6.9</td></tr></tbody></table></figure>



<h2 class="wp-block-heading" id="h-risks">Risks</h2>



There is strong competition from other major players in the industry like Novo Nordisk. Eli Lilly, however, has a competitive price advantage.



Bringing a new drug to market is an expensive and time-consuming process. Research and development (R&amp;D) costs, including clinical trials and regulatory expenses, can be significant, and there isn’t always a 100%&nbsp; guarantee of success.



The pharmaceutical industry is heavily regulated to ensure the safety and efficacy of drugs. Navigating complex regulatory pathways and gaining approvals from regulatory agencies can be challenging and time-intensive.&nbsp;



Patent Expirations: Pharmaceutical firms typically count on patents to recover their research and development costs. When patents expire, generic competitors can join the market, resulting in a loss of exclusivity and potential revenue decrease. However, on a positive note, Eli Lilly enjoys an average patent lifespan of 20 years.



As mentioned earlier, we believe Eli Lilly is a good addition, and will continue to post solid profits for the long term, following the company&#8217;s demonstration of exceptional performance in the healthcare sector.

We Added Eli Lilly To Our Portfolio.

We know you’ve heard of the saying, “buy low, sell high.” And so far this year, the stock market is having a great run. In recent weeks alone, the S&amp;P 500, Dow Jones, and Nasdaq have all touched all-time highs for the first time in two years. So now that stocks are decidedly not low, does it mean it’s not a good time to buy? Should you wait until stocks fall to maximise your returns?&nbsp;



Here at MoneyRise, we thought we’d unpack some data behind all-time highs to help you make sense of this moment.



<h2 class="wp-block-heading" id="h-to-start-we-ll-analyse-why-all-time-highs-make-some-investors-nervous">To start, we’ll analyse why all-time highs make some investors nervous.</h2>



It is a common principle that to make money in the <a href="https://money.rise.capital/blog/stock-market-investment-or-bank/">stock markets</a>, you have to sell a stock for more than you paid for it. And if prices start out high, it might be harder to do. For this 



reason, investors try to avoid <a href="https://money.rise.capital/blog/the-principle-of-buying-stocks-when-others-are-selling/">buying overvalued stocks</a>, which basically means paying too much for what you get (a company’s earnings). And sometimes, entire stock indexes get overvalued, leading to a painful correction or fall, when investors across the board realise that companies aren’t making <a href="https://money.rise.capital/blog/its-not-enough-to-just-invest-in-stocks-heres-why/">enough money to justify their high stock prices</a>.



<h2 class="wp-block-heading" id="h-does-that-mean-i-shouldn-t-invest-in-stocks-now">Does that mean I shouldn&#8217;t invest in stocks now? </h2>



 While it sounds like a good assumption, the data doesn’t agree. North American stocks have marched steadily upward over the past century, and some bull markets have run for decades, partly because rising stocks and a booming economy can self-reinforce each other. So, if you’re waiting for a crash before you get in, you could wait for a long time and miss out on big returns. For instance, if you thought <a href="https://money.rise.capital/blog/risevest/">stocks were overheated in 1980 and delayed investing</a> until the next bear market (a 20% downturn), you would have waited seven years and missed out on something like 117% in returns. And even that downturn was a four-month blip in a historic 20-year bull market during which the S&amp;P 500 rose north of 1,000%.



<h2 class="wp-block-heading" id="h-so-all-time-highs-don-t-mean-a-correction-is-imminent">So, all-time highs don’t mean a correction is imminent?</h2>



History suggests no, at least not usually. Looking back to 1957, when the S&amp;P 500 was created, the index has notched a new all-time high about every 14 trading days, or 7% of the time. Moreover, the S&amp;P has been within 5% of its latest high about 60% of the time and has been in a bear market only 12% of the time.



<h2 class="wp-block-heading" id="h-but-what-if-there-is-a-correction-does-that-mean-my-stock-portfolio-will-be-ruined-forever-nbsp">But what if there is a correction? Does that mean my stock portfolio will be ruined forever?&nbsp;</h2>



Not if you’re diversified and investing long-term. The New York Times recently pointed out that if you invested in an S&amp;P index fund on October 9, 2007, right before the stock market fell by more than 50% during the global financial crisis, you still would have gained 9.3% annually in the years since then for a cumulative return of 325%, provided you reinvested your dividends. While recognising the unpredictability of the financial markets, it is essential to acknowledge the possibility of downturns, recessions, or even a depression.&nbsp;



Our advice to investors has always been: expect rough patches in the market, don’t be surprised by them, and stick to your plan. But we also know it’s hard not to panic when the market moves erratically.



However, a crucial aspect to consider is the historical trend that, over time, the stock market tends to grow in line with the economy’s growth and wages. While this is not a guarantee for the future, historical patterns suggest that, on a longer-term horizon, the market has displayed a propensity to recover and thrive. So as long as you have a diversified portfolio—you own stock across different sectors and different geography— and believe in the long-term prosperity of the economy, then you stand to do quite well.



<h2 class="wp-block-heading" id="h-what-are-we-saying-essentially">What are we saying essentially?</h2>



There’s risk everywhere all the time. No one knows when the next downturn, recession or depression might occur. However, history has shown that, for most investors, time in the market is more important than timing the market. As such, investment accounts are for longer-term investments, and the key to navigating the uncertainties of the stock market includes maintaining a level-headed, long-term perspective.



At <a href="https://risevest.com/">Risevest</a>, we encourage investors to be committed to investing for a minimum of three years because the markets have a good probability of performing well over that period. As Warren Buffett says: “Why scrap an informed decision because of an uninformed guess?” Don’t panic because you think you’ll know what will happen next week — stay in because you know what will happen in the long term. <a href="https://click.risevest.com/gb0g/9lwzpxjd">Create</a> and fund your Rise stock plan today.

The Stock Market Is at an All-Time High; Should I Double Down or Sell Everything?

Investing is a key aspect of financial planning, and individuals often grapple with deciding where to allocate their funds. The stock market is a popular choice for potential high returns, but the risks associated can be intimidating. In contrast, leaving money in a bank account seems safer. This article explores the factors to consider when deciding between the stock market and saving in the bank, addressing concerns about the perceived high risk associated with the stock market.



<h2 class="wp-block-heading" id="h-understanding-the-fear">Understanding The Fear</h2>



The stock market is often viewed as high-risk due to its inherent volatility. Prices of stocks can fluctuate rapidly based on various factors, including economic conditions, geopolitical events, and company performance. These fluctuations can lead to both substantial gains and significant losses. For example, in 2009, the U.S. stock market, as measured by major indices such as the S&amp;P 500 and Dow Jones Industrial Average, experienced a sharp decline. The S&amp;P 500 lost about 57% of its value from its peak in October 2007 to its trough in March 2009, representing one of the most substantial <a href="https://money.rise.capital/blog/stock-market-downturns-might-be-good-for-you-heres-why/">market downturns</a> in recent history. We also live in a time when financial news is readily accessible, accompanied by ads and finance analysts who amplify concerns about an impending market collapse. Investors can easily hear claims of a significant downturn, which can trigger anxiety and apprehension among them. It is important to recognise that fearmongers have existed throughout history, especially during market highs and lows. However, their track record in accurately predicting downturns is notably poor, as evidenced by past economic crises like the 2008 recession, the bursting of the 2000 tech bubble, and the Great Depression.



<h2 class="wp-block-heading" id="h-but-is-putting-money-in-the-bank-worth-it">But Is Putting Money in the Bank Worth it? </h2>



While the stock market carries a level of risk, it is essential to understand that risk is an inherent part of any investment. Leaving money in a bank, typically in the form of savings accounts or certificates of deposit (CDs), may seem like a safer option, but it comes with its own risks. Interest rates are incredibly low, and you&#8217;ll probably make less than 4% per annum in a savings account. Additionally, you’ll have to contend with inflation and devaluation, which could affect your buying power as your money sits idly in the bank.



<h2 class="wp-block-heading" id="h-so-what-are-we-saying">So What are We Saying?</h2>



While recognising the unpredictability of the financial markets, it is essential to acknowledge the possibility of downturns, recessions, or even a depression. Our advice to investors has always been: expect rough patches in the market, don’t be surprised by them, and stick to your plan. But we also know it’s hard not to panic when the market moves erratically.



However, a crucial aspect to consider is the historical trend that, over time, the stock market tends to grow in line with the economy&#8217;s growth and wages. While this is not a guarantee for the future, historical patterns suggest that, on a longer-term horizon, the market has displayed a propensity to recover and thrive.



<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="576" src="https://money.rise.capital/wp-content/uploads/2024/01/image-1-1024x576.png" alt="Stock Market Investment" class="wp-image-2586" srcset="https://money.rise.capital/wp-content/uploads/2024/01/image-1-1024x576.png 1024w, https://money.rise.capital/wp-content/uploads/2024/01/image-1-300x169.png 300w, https://money.rise.capital/wp-content/uploads/2024/01/image-1-768x432.png 768w, https://money.rise.capital/wp-content/uploads/2024/01/image-1-1536x864.png 1536w, https://money.rise.capital/wp-content/uploads/2024/01/image-1-1568x882.png 1568w, https://money.rise.capital/wp-content/uploads/2024/01/image-1.png 1920w" sizes="(max-width: 1024px) 100vw, 1024px" /></figure>



Downturns are healthy for long-term investors. When the market experiences a pullback, it provides opportunities for long-term investors to <a href="https://money.rise.capital/blog/when-the-stock-market-nosedives-i-buy-more-shares-my-name-is-tobe-and-this-is-how-i-make-my-moneyrise/">buy shares</a> in robust companies at a less expensive price. And over the long term, it corrects itself to reflect changes in the economy and fortunes of certain companies or sectors.&nbsp;



<h2 class="wp-block-heading" id="h-maintaining-a-long-term-perspective">Maintaining a Long-Term Perspective</h2>



Investment accounts are for longer-term investments, and the key to navigating the uncertainties of the stock market includes maintaining a level-headed, long-term perspective.



At <a href="https://risevest.com/">Risevest</a>, we encourage investors to be committed to investing for a minimum of three years because the markets have a good probability of performing well over that period. As Warren Buffett says: “Why scrap an informed decision because of an uninformed guess?” Don&#8217;t panic because you think you&#8217;ll know what will happen next week — stay in because you know what will happen in the long term.



Why? Because markets, in the long term, have proved to be quite predictable. Check out this depiction of the last hundred years of the Dow Jones Industrial Average.



<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="576" src="https://money.rise.capital/wp-content/uploads/2024/01/image-3-1024x576.png" alt="Stock Market Investment" class="wp-image-2592" srcset="https://money.rise.capital/wp-content/uploads/2024/01/image-3-1024x576.png 1024w, https://money.rise.capital/wp-content/uploads/2024/01/image-3-300x169.png 300w, https://money.rise.capital/wp-content/uploads/2024/01/image-3-768x432.png 768w, https://money.rise.capital/wp-content/uploads/2024/01/image-3-1536x864.png 1536w, https://money.rise.capital/wp-content/uploads/2024/01/image-3-1568x882.png 1568w, https://money.rise.capital/wp-content/uploads/2024/01/image-3.png 1920w" sizes="(max-width: 1024px) 100vw, 1024px" /></figure>



In conclusion, the decision to leave money in the bank or invest in the stock market is a nuanced one that requires careful consideration. While fears of market volatility and predictions of significant downturns abound, historical evidence suggests that the market has shown resilience over time. By maintaining a balanced perspective, acknowledging the possibility of downturns, and focusing on long-term goals, investors can make informed decisions that align with their financial objectives.

Which Option Is Right for You: Stock Market or Bank?

Hello Riser, 



How are you today? We’re halfway into January, and if you’re wondering whether it’s too late to set your new year goals, here’s what Nduka, a retired goal-quitter, has to say. While you laugh at his jokes, ensure you pick up his message. And don’t forget to enjoy the rest of your week.



<h2 class="wp-block-heading">Troubles At The Red Sea</h2>



<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="576" height="324" src="https://money.rise.capital/wp-content/uploads/2024/01/red-sea-countries-map-1-576x324-1.jpg" alt="Map of the Red Sea" class="wp-image-2454" srcset="https://money.rise.capital/wp-content/uploads/2024/01/red-sea-countries-map-1-576x324-1.jpg 576w, https://money.rise.capital/wp-content/uploads/2024/01/red-sea-countries-map-1-576x324-1-300x169.jpg 300w" sizes="(max-width: 576px) 100vw, 576px" /></figure>



Around the world, a storm is building after decades of calm. Since mid-November 2023, the Houthis, a Yemeni rebel group backed by Iran, have launched dozens of attacks on ships sailing through the Red Sea and the Suez Canal, making it riskier and costlier to use the crucial shipping lane and sending nearly all container traffic south, around Africa’s Cape of Good Hope.



<h2 class="wp-block-heading">Who are the Houthis?</h2>



 The Houthis, led by Abdul-Malik al-Houthi, are an Iran-backed group of Shiite rebels who have been fighting Yemen’s government for about two decades and now control the country’s northwest and its capital, Sana.



They have built their ideology around opposition to Israel and the United States, seeing themselves as part of the Iranian-led “axis of resistance,” along with Hamas in the Gaza Strip and Hezbollah in Lebanon. Their leaders often draw parallels between the American-made bombs used to pummel their forces in Yemen and the arms sent to Israel and used in Gaza.



In 2014, a military coalition led by Saudi Arabia intervened to restore the country’s original government after the Houthis seized the capital, starting a civil war that has killed hundreds of thousands. Last April, talks between the Houthis and Saudi Arabia raised hopes for a peace deal that would potentially recognise the Houthis’ right to govern northern Yemen.



<h2 class="wp-block-heading">Why are they attacking ships in the Red Sea? </h2>



When the Israeli-Hamas war started on Oct. 7, 2023, the Houthis declared their support for Hamas and said they would target any ship travelling to Israel or leaving it.



Yahya Sarea, a Houthi spokesman, has said that the group frequently attacks ships to protest the “killing, destruction, and siege” in Gaza and to stand in solidarity with the Palestinian people.



The Gazan authorities say that more than 23,000 people, most of them civilians, have been killed in the Israeli bombing campaign and ground offensive that started after Hamas carried out cross-border raids, which the Israeli authorities say massacred about 1,200 people.



Since November, the Houthis have launched 27 attacks with drones and missiles on vessels in the Red Sea and the Gulf of Aden, which they claim are heading toward or leaving Israeli ports. The latest was on Thursday at 2 a.m. when a missile landed near a commercial vessel, the U.S. military said. Perhaps, the most audacious Houthi operation came on Nov. 19, 2023, when gunmen hijacked a vessel named the Galaxy Leader and took it to a Yemeni port, holding its 25 crew members, mainly Filipinos, captive.



<h2 class="wp-block-heading">What is the United States doing about it? </h2>



The United States and a handful of allies, including Britain, struck back, carrying out missile strikes on Houthi targets inside Yemen early Friday and thrusting the rebels and their long-running armed struggle further into the limelight.



The attack on Houthi bases came a day after the United Nations Security Council voted to condemn “in the strongest terms” at least two dozen attacks carried out by the Houthis on merchant and commercial vessels, which it said had impeded global commerce and undermined navigational freedom.



The task force, called Operation Prosperity Guardian, brought together the United States, Britain and other allies and has been patrolling the Red Sea to, in Mr. Blinken’s words, “preserve freedom of navigation” and “freedom of shipping.” But the problem is that no matter how much the US and its allies reinforce their boundaries, the Houthis aren’t guaranteed to respect them.



<h2 class="wp-block-heading">What does this mean? </h2>



Speaking to reporters in Bahrain on Wednesday, the American secretary of state, Antony J. Blinken, warned that continued Houthi attacks in the Red Sea could disrupt supply chains and, in turn, increase costs for everyday goods. About 10% of global trade transits through Suez, 12% of global oil, and about 8% of LPG gas, but 30% of container shipping goes through the red sea.



The world’s biggest container companies, MSC and Maersk, have said they are avoiding the region, and shipping companies are left with difficult options such as detours to Africa. The detour adds about 30% more miles to the journey from Shanghai to the Dutch city of Rotterdam, and the additional days and fuel required increase the cost of shipping things– not just on Asia-to-Europe circuits but also on Asia-to-US ones. The diversion around the Cape of Good Hope at the bottom of Africa adds about 3,500 nautical miles, over $1 million in additional cost and a delay of up to two weeks. This is inflationary as the contents of every precious shipping container would be more expensive, increasing costs and the possibility of scarce goods and products.



<h2 class="wp-block-heading">What does this mean for my investment?</h2>



 In light of these uncertainties and economic challenges, it&#8217;s essential for you to explore reliable <a href="https://money.rise.capital/blog/investing-during-a-tight-economic-cycle/">investment and wealth management options to navigate these economic</a> uncertainties. On Risevest, you can access diversified <a href="https://money.rise.capital/blog/i-look-for-investment-opportunities-that-can-beat-the-prevailing-inflation-rate-of-the-naira-my-name-is-busola-and-this-is-how-i-make-my-moneyrise/">investment opportunities</a>, helping to mitigate risks associated with geopolitical events and economic uncertainties.



<h2 class="wp-block-heading">The SEC Finally Approves Bitcoin ETFs</h2>



<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="480" height="262" src="https://money.rise.capital/wp-content/uploads/2024/01/image.png" alt="Spot Bitcoin ETFs" class="wp-image-2455" srcset="https://money.rise.capital/wp-content/uploads/2024/01/image.png 480w, https://money.rise.capital/wp-content/uploads/2024/01/image-300x164.png 300w" sizes="(max-width: 480px) 100vw, 480px" /></figure>



The Securities and Exchange Commission (SEC) officially approved <a href="https://risevest.com/blog/spot-bitcoin-etfs-a-new-era-in-crypto-investment">spot bitcoin ETFs</a> last week. The 11 exchange-traded funds will let Boomers access Bitcoin without needing a crypto wallet. Basically, our parents may soon become Crypto Bros.



<h2 class="wp-block-heading">Now that it’s real, what does it mean?</h2>



Spot bitcoin ETFs will make investing in crypto more accessible by providing investors with exposure to bitcoin without having to buy it themselves. This also integrates Bitcoin into the traditional financial system. Big players like Fidelity, Ark Investments, and BlackRock were among the first applicants approved by the SEC. Bitcoin is essentially putting on a tie and agreeing to work at its dad’s insurance firm for the summer until the saying “buying a hamburger with crypto” becomes a thing.



<h2 class="wp-block-heading">Why now? </h2>



The long-awaited win for the crypto industry came after a false start on Tuesday when someone hacked the agency’s X account and spuriously said the ETFs had been approved. Crypto investors have been asking for spot bitcoin ETFs since roughly 2013, but the SEC has historically grimaced at the idea of inviting such a volatile asset into the financial system, concerned that a bitcoin ETF could be easily manipulated.



However, Grayscale Bitcoin Trust, which already helps investors buy bitcoin, tried to create an ETF for years and eventually took the SEC to court to force the agency’s hand in approving the fund. In August, a judge ruled in favour of Grayscale. This prompted it and several big-name investment firms to rush to file with the SEC to create spot bitcoin ETFs, and the agency was up against a deadline to decide.



<h2 class="wp-block-heading">What are the risks involved? </h2>



While spot Bitcoin ETFs offer a more straightforward way for traditional investors to access the cryptocurrency market, it’s important to note that the volatile nature of cryptocurrencies poses inherent risks. Bitcoin prices can be subject to sudden and significant fluctuations, and investors should be aware of the potential for both substantial gains and losses. So while you embrace the opportunities presented by this, don’t forget to diversify your portfolio with Rise.



<h2 class="wp-block-heading">What’s Up At Rise? </h2>



Portfolio Report Our Rise portfolio has maintained its winning streak for the second consecutive week by outperforming the S&amp;P 500. We closed the week with a positive return of 1.34%, surpassing the S&amp;P 500, which closed positively at 0.20%. Notably, a significant contributor to our success is Microsoft, a company within our portfolio that achieved the prestigious title of the most valuable company in the world. We are starting the year strong and hope to maintain the momentum throughout



Major banks released their earnings this week, with most of them reporting better-than-expected earnings and profits. A better-than-expected earnings report signifies a healthy banking sector, attracting new customers and contributing to overall economic stability.



As usual, our commitment to delivering value to you remains unwavering.

MoneyRise Episode 44: Troubles at the Red Sea

For many, the beginning of a new year is a time of reflection and renewal and New Year&#8217;s resolutions are a time-honoured tradition, a chance for people to reflect on the past year and set goals for the year ahead. As the New Year approaches, many people start to think about what they want to achieve in the coming year. Some people make New Year&#8217;s resolutions, while others prefer not to set specific goals. However, research has shown that setting and working towards specific goals can be beneficial in many ways. Here are a few reasons why you might want to consider making a <a href="https://money.rise.capital/blog/how-you-can-keep-your-financial-new-years-resolutions/">New Year&#8217;s resolution</a> for 2024:



<ol>
<li>A New Year&#8217;s resolution can help you focus on what&#8217;s important.</li>
</ol>



When you set a specific goal, you are more likely to focus on what is truly important. This can help you prioritise your time and energy, ensuring that you are working towards something that matters to you,&nbsp;



<ol start="2">
<li>A New Year&#8217;s resolution can help you develop new habits.</li>
</ol>



The new year represents a clean slate and a chance to start anew. It&#8217;s a good time to reflect on the past year and identify areas of your life that you want to improve or change. Many New Year&#8217;s resolutions revolve around developing new habits, whether it&#8217;s exercising more, eating healthier, or spending more time with family and friends. By focusing on building new habits, you can make lasting changes to your daily routine and improve your overall health and well-being.



<ol start="3">
<li>A New Year&#8217;s resolution can increase your motivation and self-esteem.</li>
</ol>



Working towards a specific goal can be very motivating. You may feel a sense of accomplishment and pride as you progress toward your resolution. This can lead to increased self-esteem and confidence, positively impacting other areas of your life.



<ol start="4">
<li>It can help you grow and learn.</li>
</ol>



Setting a New Year&#8217;s resolution can also be an opportunity for personal growth and learning. Whether learning a new skill or working towards a major life change, setting a specific goal can help you push yourself out of your comfort zone and try new things.



<ol start="5">
<li>It can also bring a sense of purpose and meaning.</li>
</ol>



Setting a New Year&#8217;s resolution can provide many people a sense of purpose and meaning. Focusing on something important to you can find greater fulfilment and satisfaction in your life.



<h2 class="wp-block-heading">How do you go about setting a New Year&#8217;s resolution? Here are a few tips to help you get started:</h2>



<ol>
<li>Be specific.</li>
</ol>



When setting a New Year&#8217;s resolution, it&#8217;s important to be as specific as possible. Instead of resolving to &#8220;lose weight,&#8221; try setting a specific goal like &#8220;lose 10 pounds by March 1st.&#8221; This will give you a clear target to work towards and make it easier to track your progress.



<ol start="2">
<li>Make your resolution realistic.</li>
</ol>



It&#8217;s important to set a goal that is realistic and achievable. While it&#8217;s okay to aim high, setting an unrealistic goal can set you up for disappointment and make it harder to stay motivated.



<ol start="3">
<li>Plan ahead.</li>
</ol>



To increase your chances of success, it&#8217;s important to plan. This might involve setting intermediate goals, finding a support system, or finding resources to help you achieve your resolution.



<ol start="4">
<li>Be flexible.</li>
</ol>



It&#8217;s important to remember that your New Year&#8217;s resolution is a work in progress. If you encounter roadblocks or setbacks, feel free to adjust your plan or your goal. The most important thing is staying committed and working towards your resolution.



Now that we&#8217;ve explored the benefits of setting a resolution, how can Rise help you achieve it? Rise is a dollar investment platform that aims to help individuals achieve their financial goals through various investment options. Whether you are looking to save for retirement, build wealth, or simply grow your finances, Rise can provide the tools and resources you need to succeed.&nbsp;



One of the main advantages of using <a href="https://risevest.com/">Rise</a> is the ability to diversify your investment portfolio. Investing in a range of assets can minimise risk and potentially maximise your returns. This is especially important in today&#8217;s market, where uncertainty and volatility are common. By diversifying your portfolio, you can reduce the risk impact on your overall returns, which can help to smooth out the ups and downs of the market and provide a more stable path to achieving your financial goals.



In addition to diversification, Rise also offers the opportunity to invest in a range of asset classes, including <a href="https://risevest.com/stocks">stocks</a>, <a href="https://risevest.com/fixed-income">fixed income</a>, and <a href="https://risevest.com/real-estate">real estate</a>. This allows you to customise your portfolio to align with your specific financial goals and risk tolerance. For example, if you are saving for retirement, you may want to allocate a larger portion of your portfolio to more stable, income-generating assets such as fixed income. On the other hand, if you are looking to build wealth over the long term, you may want to allocate a larger portion of your portfolio to growth-oriented assets such as stocks.



In addition to offering a range of investment options, Rise also provides tools and resources to help you make informed investment decisions. This includes access to financial advisors, educational materials, and market research, which can help you better understand the investment landscape and make informed decisions about where to allocate your funds.



Another benefit of using Rise is the flexibility it offers. You can choose to invest a one-time lump sum, or set up automatic investments regularly. This allows you to invest at a pace that is comfortable for you and fits your financial situation. Additionally, you can easily monitor and manage your investments through the Rise platform, which provides real-time updates and insights into your portfolio performance.



Finally, Rise provides a secure and user-friendly platform that is easy to navigate and use. The platform is designed with the user experience in mind, with a clean, intuitive interface that makes it simple to manage your investments and track your progress. This can be especially important for those new to investing or who may need to be more comfortable with more complex financial tools.



So make Rise part of your new year&#8217;s resolution, as it can help you achieve your financial goals this year. With a wide range of investment options, educational resources, and a user-friendly platform, Rise provides the tools and support you need to grow your wealth and reach your financial objectives, whether as a beginner or an experienced investor.



Overall, setting a new year resolution can bring numerous benefits and help you achieve your goals. Whether it&#8217;s improving your health, strengthening relationships, or achieving financial success, a resolution can provide the motivation and discipline needed to make positive changes in your life. With the help of a platform like Rise, you can invest your money and work towards your resolution, all while learning about financial planning and making informed decisions about your money. So make a resolution this year and start taking steps towards a better, more fulfilling life.

How Rise Can Help You Achieve Your New Year Resolutions.

Once again, the festive season is upon us and 2023 is about to breathe its last. It’s been a long year for many of us, and Christmas, as usual, is the time for unwinding. It is a time when people splurge on things as a reward for making it through the year. There’s music in the air, enough food to go round, decorations are put up, sales and gift exchanges are happening, and everyone is jolly.&nbsp;



But while it is great to unwind, it is important to remember that January has 59 days and you have financial goals to meet. You don’t want to start the new year broke or in debt. So this week,&nbsp; we’re sharing tips on how to enjoy your December on a good budget and prepare your finances for 2024.&nbsp;



<h2 class="wp-block-heading">Make a budget and stick to it</h2>



It is important to create a December budget and stick to it. When creating the budget, include everything you would spend money on this December, such as donations, gifts, Christmas decorations, transportation, clothes, drinks, and groceries. The goal of having a December budget is to help you plan your expenses to avoid spending above what you can afford.&nbsp;



<h2 class="wp-block-heading">Find cheap but great restaurants.</h2>



This is not the time for you to spend ridiculous amounts of money on restaurants or foods. There are cheap restaurants and lounges that offer great food and aesthetics. All you need to do is research, visit food bloggers&#8217; pages on Instagram or TikTok and find restaurants that serve tasty meals at affordable prices.&nbsp;



<h2 class="wp-block-heading">Organise get-togethers with your friends.</h2>



Have little get-togethers in the comfort of your home. This is the best way to catch up with friends and family members you haven’t seen in a while. The best part is that you get to have actual conversations and spend more time with them without the wandering eyes of people or raising your voice and straining your ears over loud music. Here’s where it’s financially responsible: you don’t have to pay for much. Everyone brings a snack, drink and game, and there you have it: fun from the comfort of your home.



<h2 class="wp-block-heading">You can’t attend all the concerts in your city.</h2>



If you make a list of everything happening in December, chances are that the majority of them appeal to you. But that’s not true; a lot of the time, it’s our fear of missing out that pushes us to go to events. It’s more financially responsible to choose a select few concerts and events and stick to them. This will also save you from burning out after.&nbsp;



<h2 class="wp-block-heading">Invest in thoughtful gifts.</h2>



Homemade presents are great ways to<a href="https://money.rise.capital/blog/the-best-money-saving-tips-for-nigerians/"> save money</a> while creating something memorable. These gifts might not work for everyone on your list, but they’re good options for some. The gifts could be anything from a photo book to a bottle of wine they like. Or cook them a meal, help them around the house or take them somewhere nice for a change. You don’t need to outdo yourself or anyone else to show appreciation. As they say, it is the thought that counts.



<h2 class="wp-block-heading">Secret Santa helps you to save costs</h2>



If you work in a large organisation or have a large family, buying gifts for everyone can make you spend above your budget. A fun, easy way to get around this is to plan a Secret Santa gift exchange. Everyone draws a name without telling who it is and buys just for that person. Usually, a moderate spending limit is imposed, and the element of surprise at a gift exchange time adds to the fun.&nbsp;



<h2 class="wp-block-heading"> Prioritise needs over wants</h2>



We all love a bit of indulgence during the holidays, but distinguishing between needs and wants is key. Prioritise essential needs over extravagant wants. Remember, the season&#8217;s value lies in creating memorable experiences, not in draining your wallet on expensive things.



<h2 class="wp-block-heading">Take Advantage of Discounts and Sales</h2>



Shopping during the holiday season <a href="https://money.rise.capital/blog/say-i-do-without-breaking-the-bank/">doesn&#8217;t have to break the bank</a>. Keep an eye out for discounts, promotions, and sales. Plan your shopping around these events to maximise your savings. Online shopping can be your best friend, with various platforms offering exclusive discounts during this time. 



<h2 class="wp-block-heading">Limit Unnecessary Travel Expenses</h2>



If your plans involve travel, consider cost-effective transportation options. Better yet, celebrate closer to home to cut down on unnecessary travel expenses.



<h2 class="wp-block-heading">Avoid loans; don’t start January with a negative Balance.</h2>



There is the possibility of the Amapiano getting into your head during the festive season, pushing you to go above your budget. It could also twist your mind into borrowing a few thousands. While Dorime might be sweet, it is important for you to think about how you will meet your financial obligations when they are due, especially January, with 59 days.&nbsp;



<h2 class="wp-block-heading">Gift yourself a Rise plan</h2>



There are many ways you can flex Detty December without ruining your bank account. And now that we’ve helped you save some money this December, here’s how to make most of it— gift yourself a <a href="https://risevest.com/">Rise plan</a>. Our plans are made up of high-quality US assets like stocks, real estate and fixed income. As a dollar-denominated company, your returns are paid in dollars, hedging your investments against inflation and devaluation and helping you build wealth. With our auto-invest feature, it is easier to stay consistent to your investing goals even when you forget.



Remember, after detty December comes dry January, so ensure you have a clean and happy celebration.

7 Tips On How To Do Detty December On a Budget

The end of the year is usually a season of yuletide,&nbsp; a period where most people spend more on things— from buying gifts for friends and family to organising get-togethers and hangouts to weddings and engagements.&nbsp;&nbsp;



After a long, rollercoaster year, it is common for many people to want to unwind and spend some of the money they&#8217;ve worked so hard for. However, as we immerse ourselves in the joy of the season, it is crucial to remember that January—the longest month of the year (literally and figuratively) — is difficult for many, with businesses and shops quieter as people count their money post-Christmas. And for millions of people who get paid earlier than usual in December, it also means having to stretch your money until your next pay cheque. Also, considering the prevailing economic uncertainties in a country marked by fluctuations in the dollar&#8217;s value and inflation, the need to save and invest becomes more important.&nbsp;



<h2 class="wp-block-heading">Why do you need to save for 2024?&nbsp;</h2>



Inflation With economists forecasting a staggering 30% inflation rate by December, it becomes imperative for you to exercise caution in your expenditures. Inflated prices can significantly impact your purchasing power, making it essential to adopt a frugal approach during the festive season to weather the financial storm that may follow in January.



Foreign exchange



Nigeria&#8217;s economic landscape has been marked by persistent scarcity of dollars, leading to fluctuations in the local currency. The scarcity of <a href="https://money.rise.capital/blog/the-impact-of-foreign-exchange-policies-on-dollar-investment-in-nigeria/">foreign exchange</a> introduces an additional layer of issues, affecting international transactions, the cost of imported goods, and the overall stability of the domestic economy. In light of this, thoughtful spending during the festive season becomes a strategic measure to mitigate the potential impacts of currency volatility.



What to do The current economic landscape is uncertain, creating an environment where financial prudence is more critical than ever. In the wake of these economic conditions, we launched the #Roadto2024 savings challenge, an initiative that aims to empower you with tools and insights to navigate the challenges that may arise in the coming months.



<h2 class="wp-block-heading">What is the #Roadto2024 Challenge?</h2>



The #Roadto2024 Challenge is not just about saving money; it is a commitment to your financial well-being. By participating, you&#8217;re taking a proactive step towards ensuring a smooth and stress-free January and hopefully, the rest of 2024.



Here&#8217;s why you should join the challenge



<ul>
<li>Prepare for 2024: By saving a portion of your funds this month and next, you&#8217;re proactively preparing for the longer month that follows. The financial cushion you build through the challenge will help you navigate January and the rest of the year easily.</li>



<li>Be Mindful of Economic Realities: The current economic situation requires us to be mindful of our spending. The #Roadto2024 Challenge encourages a conscious approach to finances, helping you make informed decisions about where your money goes.</li>



<li>Handle Unexpected Expenses: If you’re not prepared with savings and investments, handling emergencies will be hard as you scramble to pay for them. Some unexpected expenses are relatively small—a flat tire, broken appliance or utility bill. But other expenses like a new roof or a surprising move can cost hundreds or thousands of dollars. If you have savings and investments, you can focus on fixing the problem instead of how to pay for it.</li>



<li>Reduce Your Stress: It’s never fun to calculate whether you can afford a bill, say yes to extracurricular activities for your kids or join friends for dinner. But if you don’t have savings, you might find yourself trying to figure out if you can pay for expenses more than you care to admit. Savings can reduce your stress and allow you to enjoy life more. </li>
</ul>



<h2 class="wp-block-heading">How to Join the Challenge&nbsp;</h2>



<ul>
<li>Join our Telegram community <a href="https://t.me/joinchat/DMuBqxYV5GSwSEypHwbmiA">here</a>, and follow our community social media handle on <a href="https://instagram.com/riseinvestmentclub?igshid=OGQ5ZDc2ODk2ZA==">IG</a>.</li>



<li>Create a 3-month real estate or fixed income plan and name it &#8220;Road to 2024.&#8221;</li>



<li>Create a challenge username; it can be anything you like. This username will only be used for the leaderboard.</li>



<li>Please, fill out this <a href="https://forms.gle/zLCaFkd8Z7e9c5S19">form</a> where you enter your challenge username and Rise email address.</li>
</ul>



Add funds to your plan as consistently as you can, and stand a chance to win up to $100 in prize.

After Detty December Comes Dry January

Investing is one of the few ways to build wealth and meet your financial goals. It is also a journey that very few people like or have the patience to wait out. But not Simisoluwa. In this episode of #MoneyRise, she tells us about her love for investing, her career journey as a finance manager, working with an NGO, and investing on Rise.



<h2 class="wp-block-heading">Can you tell us a little bit about yourself and what you do?</h2>



My name is Simisoluwa Abraham. I possess a professional certification with ICAN and studied accounting at Babcock University. Currently, I serve as a finance manager at LEAP Africa, a non-profit NGO. I&#8217;ve always been in the NGO sector since the start of my career. As a finance manager at LEAP, I&#8217;m responsible for managing the finance in the organisation, developing and driving financial resilience, operational strategy, process, and resource optimization including financial and risk management. I have a fiduciary duty to my internal and external stakeholders. My internal stakeholders are the board, management, while external stakeholders are my funders or beneficiaries.



<h2 class="wp-block-heading">That’s an interesting bio right there. So why accounting?&nbsp;</h2>



Historically, my interest in finance began as a child when I used to admire the way my dad and other bankers dressed and looked smart. I wondered who they were and what they did. Little did I know that it was a tasking job.



Also, I had a dilemma between accounting and law. I was so confused at the admission stage that I bought two forms— the law and accounting forms. My dad wanted me to read law because he believed I was too expressive and vocal, but I didn’t see that in myself. Decision-making can be very hard for me; I could not decide whether to study accounting or law, so I had to do all the courses in secondary school. I wrote both art and commercial courses at WAEC level. I felt like I could do law because I liked literature and government subjects. At the same time, I liked business studies, accounting and other commercial courses, like economics and commerce. It was really hard to decide. However, I had to ask myself if I wanted to do what I wanted to do or what my father wanted me to do. I had to take the bullet and go for my own choice rather than my dad&#8217;s. That was how I found myself in accounting.&nbsp;&nbsp;



<h2 class="wp-block-heading">What has the experience been like?</h2>



My experience so far has been a mix. I have had to learn the ropes of working within finance functions. I started as an intern, and five months later, my manager left. I was lost and left to find my foot in the entire space. I had to&nbsp; learn, unlearn and relearn. But I&#8217;ve been able to grow in the field, gathered experience, and grew to my current position of managing a unit. I’ve also had the opportunity to oversee people’s finances.



To deepen my work within the finance function, I signed up for the CFA program to learn other dynamics of finance and do more innovative and challenging work. Knowledge can never be too much, so I want to know it all.



<h2 class="wp-block-heading">You mentioned working in NGOs throughout your career. Have you always wanted to?</h2>



I always get that question. People ask why I chose to work in an NGO instead of an accounting firm. It all started after I was posted to an NGO for my service in Ibadan. I saw how it aligned with my visions and goals, as I was already carrying out community development projects. I renovated a dilapidated home with children living with polio, provided them with supplies and did an entire facelift of that facility. So, working in an NGO just brought those two visions together. I realised that I could actually do my finance work in the sector I wanted.



From there, I got promoted to a full-time role in the organisation. After a while, I moved to another not-for-profit. So it&#8217;s always been not-for-profit over the years. Currently, I work with LEAP Africa, a not-for-profit focused on youth development, leadership, and training. We build up leadership and life skills in young people, and continue to proffer solutions to problems facing youths within the ecosystem. I&#8217;ve grown over the years at LEAP Africa. I feel like I&#8217;ve paid my dues on a daily basis. I enjoy my day-to-day work of managing the entire financial system.



<h2 class="wp-block-heading">Wow. Weren’t you fazed by the pay disparity, especially knowing that you could earn more with your finance background working in a for-profit?</h2>



That was an eye-opener for me as well. When I started NYSC, I had this mindset that not-for-profit organisations don&#8217;t pay well. Many often assume that people who work in not-for-profit work for free or for lesser pay because they’re trying to give back to society, but that’s not totally true. It really depends on how large or small the organisation is and if it is a local or international one. In not-for-profit, there’s already a standard way of creating payroll. Funders decide how much each employee receives and put it away. Hence, whatever situation or crisis happens in the economy, you already have the amount set aside, sometimes in dollars. And by the time you convert it to naira, it&#8217;s already bigger than your regular worker’s pay.



<h2 class="wp-block-heading">That’s quite the revelation. So, let&#8217;s talk about investing. What are your thoughts on investing?</h2>



I love investing, and I&#8217;ve always been an investment chap. The main idea of investment that many people do not get is that as an investor, you need to have a long-term horizon mindset to make the money work before yielding adequate returns.&nbsp; I advise everybody around me to be an investor. You cannot sit down on cash that you have because it keeps depreciating by the second. If you were earning 200,000 naira last year, the value right now is almost less than 100,000 based on the current economic situation. Hence, I clamour for everyone around me, like my husband, friends and siblings, to make investments. I also try to do investments on different platforms to diversify my options.



<h2 class="wp-block-heading">Speaking of diversification, what are some of the things you like to invest in?&nbsp;&nbsp;</h2>



I am currently learning how to position well within the stock markets. The ideal person to invest in stocks is someone who understands what movement means in the chart flows and the stock markets. Regardless, I know how important it is to invest in stocks. You just have to be ready for long-term investment. Because of my limited knowledge of the stock markets, I would rather put very little money in a stocks portfolio. Hence, I put more of my money in fixed income because I know that regardless of what happens, there&#8217;s a fixed percentage coming in for me. I also like real estate because although it is a high-risk, high-return investment, it is not as volatile as the stock market. So, I do real estate on Rise.



<h2 class="wp-block-heading">Let&#8217;s talk about your journey on Rise.</h2>



I&#8217;ve been on Rise since 2021. At first, I was sceptical because when I wanted to start using it, there was news that the CBN had frozen Rise account and a few other fintech companies’ accounts. I had recently just downloaded it, ready to start, but I decided to take a step back and wait. I just put very little money in there, one I could let go of. After a while, I came back to start properly. I asked several people who used Rise what their experiences were, and the responses were great, so that built my confidence.



When I was getting ready for marriage, I had to think about what would make my budgeting journey successful for my wedding. I knew the amount and goal I had in mind, but if I kept it in naira, it probably would not work. It was also 2022, and I knew I was getting married in eight months. It was also around the time that the news about currency redesign came out, so scarcity started. I decided to keep my money in USD in Rise, as its value would still be preserved to a very large extent than if I just left the money in naira. This move saved me from a lot of financial trouble.



<h2 class="wp-block-heading">We love it! What other ways has Rise helped your financial journey?</h2>



Apart from my wedding, I just try to save and invest in USD largely. If I have my monthly income, I would rather put a larger proportion in Rise because I will convert that money to USD, and I know that I can always withdraw my money in USD if I need it at any time. I would just keep a small percentage for my day-to-day operations in naira. Basically, apart from helping me meet my wedding goal, Rise provides me with capital preservation.&nbsp;



Also, I&#8217;m trying to learn, and Rise helps with that. I read many of the articles published on the blog and feed, particularly the monthly report that shows asset performance for the period, which I use to learn and understand the stock markets better. I also love the explainer articles. For instance, when fuel prices increased, I knew Rise would publish an article explaining why and its implications on people and their finances. And guess what? I was right. I use that to understand more about things happening in the economy.



<h2 class="wp-block-heading">You’re welcome! If you had to rate your experience on Rise over 10, what would you rate it?</h2>



I would say eight because there&#8217;s always an improvement to be done on the app for it to be more user-friendly. But overall, it&#8217;s easy to use. I like the fact that I can buy dollars from my bed. I don&#8217;t have to stand up to do that. I can also get my funds back in USD, which is a good plus.



<h2 class="wp-block-heading">Thank you! Finally, how likely are you to recommend Rise to people?</h2>



Very 100 percent likely. In fact, 101 percent. Like I said earlier, I always tell people around me to invest, so I recommend Rise every day, every time.

“As An Investor, You Need To Have a Long-Term Mindset To Allow Your Investments Yield Adequate Returns” My Name Is Simisoluwa, And This Is How I make My #MoneyRise.

Inflation is the continuous and consistent increase in the general price level of goods and services in an economy. In this article, we will delve into the strategies and insights that can empower you to make informed investment decisions during times of escalating inflation.



<h2 class="wp-block-heading" id="h-moderate-and-controlled-inflation-can-be-good-for-investors">Moderate and controlled Inflation can be good for Investors</h2>



As goods and services prices increase moderately, businesses make more money in sales and profits. These profits can be used to pay investors more money in the form of dividends or to reinvest in the business to increase revenues and profits, ultimately making companies more valuable.



<h2 class="wp-block-heading" id="h-high-and-hyper-inflation-is-bad-for-investors">High and hyper-inflation is bad for Investors</h2>



When <a href="https://money.rise.capital/blog/tips-to-survive-rising-inflation/">inflation rises</a> beyond a certain point, consumers will not be able to afford to pay for goods and services if their incomes don’t rise to match. If consumers cannot afford to buy as many goods, company revenues and profits will fall, which could cause an economic recession. For assets like <a href="https://money.rise.capital/blog/invest-in-rise-real-estate-plan/">real estate</a>, if people looking to buy homes cannot afford to pay more for houses, prices will fall. 



This is why Central Banks set inflation targets to allow for long term sustainable growth. While inflation is generally suitable for investors, too much inflation can be harmful.



<h2 class="wp-block-heading" id="h-how-inflation-affects-different-assets">How Inflation Affects Different Assets</h2>



Inflation affects assets differently. Some investments perform well when inflation is rising while others suffer. While it’s difficult to precisely predict how each asset will perform, we can look at history and economic theory to get a clue.



<h2 class="wp-block-heading" id="h-cash">Cash</h2>



Cash is widely known as the worst asset to have as inflation rises. As major definition of inflation is the steady decline in the purchasing power of money. In 2016, it cost a family of five ₦4,087 to make a pot of jollof rice. Last month, the same quantity cost ₦8,590.



That is, the ₦4,087 someone had six years ago that was “strong/powerful enough” to cook one pot of hot delicious jollof rice is no longer “powerful enough” to cook the same today. The purchasing power of cash has been diminished, and inflation has eroded value.



Even cash left in savings or fixed deposit accounts is still not protected because the interest bank accounts pay is significantly lower than inflation. <a href="https://www.banknaija.com/best-high-interest-savings-accounts-in-2020/#:~:text=Currently%2C%20banks%20are%20under%20pressure,speculated%20in%20the%20near%20future.">Nigerian banks</a> offer 3% interest on a savings account on average, while Nigeria’s inflation is at 24.08%, a huge gap.



<h2 class="wp-block-heading" id="h-bonds">Bonds</h2>



A bond is a promise from one person, known as the issuer, to pay another person (bondholder) the money borrowed (principal) at an agreed future date and interest (coupon) regularly. It is an asset that allows governments and companies to borrow money from investors.



Bonds allow issuers to borrow money from investors today, pay the agreed coupons over the bond’s life (agreed borrowing period), and pay the principal upon maturity (agreed future date). E.g. If a company issues a 10% $100 bond with a life of 5 years, the company will pay $10 to investors every year, and at the end of the five years, the company will repay the $100 principal.



Bond issuers can choose to pay investors fixed or variable coupons. When the issuer initially offers the bond for sale, they state the type of payment structure they’ll use.&nbsp;



Inflation is very damaging to fixed-rate bonds because it reduces the value of the coupons paid over the life of the bond and the principal paid at the end. A bond that was paying ₦4,000 in 2016 could cook you a pot of Jollof, but that same bond can no longer do the same in 2022.



If the inflation is higher than the interest rate, investors essentially lose money after adjusting for inflation. However, there is a type of bond that protects investors against inflation. These bonds are called Inflation-Linked Bonds (ILBs).&nbsp;



ILBs have their coupons and principal linked to the inflation rate in an economy. The coupons and principal investors get from holding ILBs rise and fall with inflation. 



<h2 class="wp-block-heading" id="h-real-estate">Real Estate</h2>



Investors can own real estate either directly by owning a house or land or indirectly through Real Estate Investment Trusts (REITs). <a href="https://money.rise.capital/blog/how-real-estate-returns-work-on-rise/">Real Estate</a> is often referred to as a store of value. The asset class has performed relatively well historically during high inflationary periods.



Investors who own rental properties will generally still be able to rent their property as inflation rises because housing is necessary. However, Central Banks are more likely to raise interest rates as inflation increases.



Higher interest rates can be bad for owners of rental properties and those who sell houses. As interest rates rise, the rate banks charge on mortgages (home loans) rises. An investor who bought their rental property with a floating rate mortgage will pay higher interest on their home; thus, they would have to increase rent to afford their mortgage.&nbsp;



Higher mortgages also mean it is more expensive for people to buy houses. It also reduces the number of people who qualify for loans to buy homes.



<h2 class="wp-block-heading" id="h-commodities">Commodities</h2>



Commodities are a broad category that includes natural gas, petroleum, precious metals, minerals, grains, electricity, currencies, emissions, and other financial instruments. Commodities have historically been seen as an indicator that inflation is to come.



As commodity prices rise, the price of the products that the commodity is used to produce rises as well. Commodities have historically performed well in high inflationary periods.



Investors don’t generally own physical commodities like a barrel of oil or a bar of gold in their homes. They use commodity derivatives to invest in commodities. Commodity derivatives are traded on exchanges like stocks.



Investors can also invest in multiple commodities via exchange-traded funds (ETFs) like the iShares S&amp;P GSCI Commodity-Indexed Trust (GSG).



<h2 class="wp-block-heading" id="h-precious-metals">Precious Metals</h2>



Gold is often considered one of the best hedges against inflation. Gold was the global reserve currency before it was replaced by the US Dollar almost half a century ago. Some investors still view gold as a reserve currency.&nbsp;



When inflation rises, and the value of traditional currencies like the US dollar falls, investors consider the old reserve currency a safehaven. However, gold is not a perfect hedge against inflation. Central Banks tend to raise interest rates to combat high inflation. Gold doesn’t pay dividends like stocks or coupons like bonds. This reduces the value it can offer investors when interest rates rise.



Stocks



Stocks can be good as a long-term inflation hedge but suffer in the short term if inflation spikes. Not all stocks are created equal. The stocks of high-growth companies do not perform well during inflationary periods, while value companies perform better.



Growth companies are fast-growing companies catering to a rapidly growing customer base. These companies spend a lot of money on advertising, research and product development to achieve this growth.



As such, many growth companies are not profitable, and the ones that make profits end up reinvesting all the profits in the business instead of paying shareholders dividends. When inflation rises, the cost of funding growth companies increases, and future cash flows are discounted to lower values.



This makes it more expensive to fund the desired growth and increases the risk that they might not achieve their goals. On the other hand, value companies like consumer staples, energy, and pharmacy companies will still see revenues because their services are essential to users.



High dividend-paying stocks also tend to suffer when inflation rises beyond manageable. As explained earlier, companies earn more profits when inflation increases and can pay higher dividends. But when inflation is too high, profits fall, forcing companies to reduce their dividends.



<h2 class="wp-block-heading" id="h-how-to-invest-when-inflation-is-rising">How to Invest when Inflation is rising</h2>



The best bet is to have a diversified portfolio of different assets. Lower-risk assets like cash and bonds tend to perform poorly when inflation rises, so seek opportunities outside those assets.



Assets like commodities, high-dividend stocks and real estate tend to perform better in high inflationary periods. However, it’s essential to have a healthy balance of high and low-risk assets to protect the value of your investment. Because as we learned in this article, high inflation can lead to recessions, and high-risk assets don’t perform too well during recessions.



<a href="https://risevest.com/">Rise</a> offers a diverse selection of assets, giving you great opportunities to make profits and protect your investments during market downturns. Check out our offering today.

How to Invest when Inflation is Rising

Several significant life decisions often appear as if they&#8217;re already set in stone, even though they are options that you can choose from. Consider the typical path of getting married, purchasing a home, and having children. Although societal norms concerning marriage and parenting have evolved, the urge to own a house remains quite influential.



Like any other major life choice, deciding whether to rent or buy property requires careful thought; you must consider several factors and make essential enquiries. This article outlines all the things you must consider when choosing&nbsp; between becoming a homeowner or remaining a renter.



<h2 class="wp-block-heading">Focus on What You Want</h2>



You might have heard that renting is a waste of money and that owning a home is a better investment. But these ideas are not always true and depend on your situation. To figure out what&#8217;s best for you, ask yourself some of these important questions,&nbsp; “Do you plan to move soon? Are you going to have a bigger family? Do you want to work from home or at an office?”



Some of these questions might not have easy answers, but it&#8217;s really important for us to think about these short pieces of advice we hear about renting versus buying, considering how they fit with our own lives,&#8221;



Simply put, don&#8217;t pay too much attention to what others say you should do. Focus on what you want. There&#8217;s no one-size-fits-all way to decide where you live and how you pay for it.



<h2 class="wp-block-heading">Consider Your Life Situation</h2>



Many financial experts challenge the idea that renting is always a waste of money. They emphasise that having a place to live is a fundamental need for everyone, hence renting isn&#8217;t necessarily throwing money away. The decision to buy or rent a house isn&#8217;t black and white; it depends on your financial situation, needs, and where you are in life.



For people still saving up to buy a house or prefer not to deal with property maintenance, renting can be a smart choice. It&#8217;s also beneficial when exploring a new city or a different neighbourhood because it gives you flexibility. Sometimes, the freedom you get from renting makes up for the monthly money you spend.



Ultimately, whether to rent or buy isn&#8217;t just about the numbers. It&#8217;s about your personal circumstances, how much money you have, and what kind of life you want.



<h2 class="wp-block-heading">Crunch Some Numbers</h2>



If you aim to choose the most economical option, it&#8217;s crucial to analyse the figures involved. Acquiring a home has the potential to reduce expenses associated with yearly rent and monthly costs. In the same vein, iit is possible that the money paid for the house might be more expensive than the equivalent rent for a similar space.



For instance, Chydee, who purchased a house with the intention of owning a valuable asset, shared his perspective: &#8220;Let&#8217;s assume I spent ₦35 million on buying the house and an additional ₦10 million on finishing it. In January 2021, this was over $100,000. Had I invested this amount in the Fixed Income plan on Risevest, I would have gained a yearly return of $10,000. This sum is sufficient to rent a superior house compared to mine, situated in a more convenient location. Meanwhile, I would retain the compounded $100,000 (now worth about ₦80 million), without the responsibilities and expenses tied to maintaining a house. This also offers the flexibility to relocate without excessive contemplation.&#8221;



Consequently, the argument that renting is wasteful and buying a house is an investment is nullified. Stock market investments generally yield an average annual return of around 10%, while home prices typically grow by approximately 4% each year. 



Given this, if you&#8217;re advising an average individual who&#8217;s debating between investing in the stock market and gradually building equity through homeownership, a direct comparison of the two numbers reveals a discrepancy.



<h2 class="wp-block-heading">Determine Your Readiness to Own a Home</h2>



Dreaming about having your own home can feel wonderful, but it&#8217;s important to know that owning a home comes with more than just the initial cost you pay. 



There are other things like property taxes that you need to think about, and these can add up over time. If you&#8217;re not ready or interested in handling these responsibilities independently, renting might be a better choice.



However, having your own home also has its special side. You can paint the walls any colour you like or even put in a door for your pet. This can be really nice. But if you&#8217;re ready to take on the not-so-fun parts of owning a home, like fixing things and keeping everything in good shape, it might be a good time to consider buying a home seriously.



<h2 class="wp-block-heading">Assess Your Financial Standing</h2>



When you&#8217;re thinking about buying a home, there are a few important things you should do. First, you need to make sure your finances are in good shape. 



This is the most important step, and it&#8217;s never too early to start getting organised with your money. Also, take some time to ask yourself some important questions. Are you confident that you&#8217;ll keep earning a steady income? How are your finances overall? Are you dealing with a lot of high-interest debt?



Even though the answers to these questions won&#8217;t give you a definite &#8220;yes&#8221; or &#8220;no&#8221; about whether you should buy a home, they can help you figure out what you need to do to get ready financially.



<h2 class="wp-block-heading">Take Your Location Into Account</h2>



Sometimes, you might be ready to buy a home financially, but the place you live might not be the best option. For instance, you could have enough money to afford a house in a town like Abiriba, but the same amount might only get you a much smaller property in a city like Port Harcourt. 



On the other hand, if the homes in your current area are too expensive, you&#8217;ll have to consider moving to a cheaper place to fulfil your dream of owning a home. Alternatively, it&#8217;s more important to stay where you are and keep renting, even if it costs more. It&#8217;s a decision that depends on how much you can afford, what kind of lifestyle you want, and what matters most to you.



<h2 class="wp-block-heading">Explore Renting and Buying</h2>



Sometimes, you don&#8217;t have to limit yourself to just one choice. If you&#8217;re in a good financial position to buy a home somewhere but are not ready to give up your city rental lifestyle in a more expensive area, there&#8217;s another option to consider. 



You could buy a property in a different location and still keep your rental where you are. Another idea is to invest in a property that you can rent out. This way, you&#8217;ll have another source of income, and you&#8217;ll also be building ownership in a property while still renting your own home.



Buying a property with the intention of renting it out can provide a better return on your investment than simply buying a home to live in. Think about it this way: when you look at the investment portfolios of wealthy people, you&#8217;ll often find that their main source of wealth isn&#8217;t the house they live in. 



It&#8217;s usually the real estate they own and rent out to others. This distinction is important. It means that a home can be seen as an investment if you&#8217;re renting it out, but if you&#8217;re living in it, there are many additional costs to consider.



<h2 class="wp-block-heading">Determine Which Choice Might Set You Up for Future Success</h2>



Many believe owning a home is a great way to build wealth over time. However, this isn&#8217;t always the case, and it&#8217;s important to make smart choices instead of just following what everyone else does.



There&#8217;s a common idea that you&#8217;re only a real grown-up when you&#8217;re living alone in your own house. But being a responsible adult also means managing your money and planning for your future, like retirement savings.



True adulting involves owning a home and caring for your future self. If owning a home actually makes it hard for you to save for the future, then that&#8217;s not really being a responsible adult. It&#8217;s more like putting yourself in a tough situation that will be difficult to get out of later on.



 In the end, whether your preference lies in purchasing a home or renting, there&#8217;s an opportunity to consider. You can explore the <a href="https://risevest.com/blog/how-real-estate-returns-work-on-rise">Risevest real estate plan</a>, a way to invest in property, particularly in the US and regardless of your chosen path. Click <a href="https://risevest.com/real-estate">here</a> to be a homeowner.