If you are a young adult who just got out of college and bagged an entry level job, the last thing on your mind would be looking on investment options.
You are probably living life with a carefree attitude without a worry on how you are spending your income.
Investments come in different forms, including business, stocks, bonds, pensions, private equity, unit trusts, and real estate. All you have to do is find a suitable one and start with the resources you have.
Fortunately, deciding which types of investments are best is not as hard as it may seem.
Here are some of the best investment options for young adults:
Mutual Funds (Unit Trusts)
These operate like chamas. The returns are then distributed over certain periods, such as monthly or every six months.
Kenya has different funds available including:
Unlisted equities (Chamas)
Such securities are issued usually by smaller or new firms who cannot or do not wish to comply with the listing requirements of an official exchange.
These include things like family, friend or brother’s business. You can also invest in these through chamas. Entrepreneurs looking for equity for their business sometimes approach chamas.
Chamas work in a way that resources are pooled together with that of other investors where you contribute money and then that money is invested into a certain investment product by the fund manager.
This is a paperless mobile banking service that is offered through M-Pesa a mobile money transfer service by Safaricom Kenya.
M-Shwari has certain features;
M-Shwari also has a locked savings account option. The funds saved on the M–Shwari Lock Savings account will be kept in the account until the maturity date; this maturity date is determined by the customer upon opening the account and ranges between one and six months. Customers can make a micro deposit into this.