Investors entering November can still secure income above the latest inflation rate, examine stocks made cheaper by October’s declines, and use mutual funds to access both opportunities without selecting individual securities.
Treasury bills offer a reference yield of about 18.75%, compared with September inflation of 14.63%, while recent commercial-paper offers paid 21%–23%, with additional company repayment risk.
We expect some downward pressure on new rates through year-end, strengthening the case for securing suitable returns now.
In equities, the latest nine-month results should guide purchases. October’s banking decline creates opportunities to reassess prices, while industrial goods’ strong rally makes entry valuations important. Dollar assets can provide income and currency protection following the naira’s October weakness.
The right combination starts with the return being targeted, how long the money can remain invested, and how much loss the investor can afford.
A portfolio targeting 30% will need considerably more growth exposure and risk than one built mainly for predictable income.
What has changed for investors?
September inflation declined to 14.63%, while the CBN’s benchmark interest rate stands at 23% following its September reduction.
These developments support expectations of lower borrowing costs, although rising energy costs could slow further progress
More money is also becoming available for reinvestment. The Financial Markets Dealers Association (FMDA) expects about N13.79 trillion to flow into Nigeria’s financial system in November, mainly as existing investments mature and government payments reach banks.
Much of this is investors receiving their money back, rather than entirely new money entering the economy. They can reinvest it in bills, bonds, stocks, or other assets.
Dollar investments offer currency protection alongside income. Nigerian Eurobonds currently provide around 7% annual yields in dollars, depending on maturity and purchase price.
We see scope for yields to ease if global financing conditions and confidence in Nigeria improve, which could also increase existing bond prices.
For investors with future dollar expenses, however, the strongest reason to hold them is matching those expenses with dollar assets, rather than relying on further naira depreciation.
Meanwhile, the World Bank outlook reported by Nairametrics projects a 7% increase in global food commodity prices in 2027.
Treasury bills currently offer returns above Nigeria’s latest inflation rate, strengthening their appeal for investors seeking stability.
We expect the positive gap to remain through year-end if inflation continues easing and yields decline gradually.
Higher food and energy costs could narrow down that advantage. Nevertheless, securing an attractive rate now and holding to maturity protects the agreed income if later offers pay less.
You should match the maturity to when they need their money and compare the return after fees.
If you prefer a fund manager to select short-term investments, money-market funds provide another route.
But understand that these are reported yield indications, not guaranteed November returns. If you take the investment, you should confirm fees, withdrawal terms, and how the yield is calculated.
Commercial paper offers additional income for investors comfortable lending to a company.
Recent October offers paid 21% from MeCure and 23% from Daraju, compared with September inflation of 14.63%.
That represents a headline gap of 6.37–8.37 percentage points above inflation, before deductions but not a guaranteed purchasing-power gain.
For November and December, our expectation is for some downward pressure on new CP yields if inflation continues easing and funds available for investment remain plentiful.
So, you can consider securing an attractive rate when a suitable offer opens, provided the company’s cash generation supports repayment, and the money can remain invested until maturity.
A higher rate is worthwhile only if the borrower can pay it back.
Stocks remain an option if you are seeking growth, but October showed why company selection matters.
Brokerage recommendations provide a starting shortlist. Anchoria projects about 24% upside for AIICO, Bancorp approximately 21% for FirstHoldCo, and PAC Research roughly 13% for HBM.
But these estimates should be checked against current prices, the latest results, and each firm’s investment horizon.
However, all three declined during the latest reporting week, showing that substantial gains can still come with short-term losses.
As of October 23, reported YtD returns included 12.47% for Futureview Dollar Fund, 11.12% for Norrenberger Dollar Fund and 7.81% for United Capital Nigerian Eurobond Fund.
These are returns on dollar investments; the investor’s return in naira also depends on exchange-rate movements. Past returns are not guaranteed to continue.
The objective here is to pursue growth while spreading exposure across investments and currencies, with enough accessible money to meet near-term needs.
Overall, the first question is how much you want the money to earn and over what period.
