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Nigerians are becoming more concerned about growing their wealth. They are realizing that holding down a job or side hustle might not be enough to make them achieve financial independence. So they’re turning to the financial markets to help them earn more money.

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Digital platforms like MeriTrade are making it possible for regular people to trade and invest in stocks, bonds, and other securities. We no longer need a professional stockbroker to help us do this. Brokerage apps now let us buy and sell these things for profit, anywhere we are. MeriTrade is Nigeria’s first online stock trading platform. It was created by Meristem Stockbrokers Limited, a stockbroking firm that’s a member of the Nigerian Stock Exchange (NSE). They are also licensed by the Securities and Exchange Commission (SEC). On MeriTrade, you can order shares in some of Nigeria’s biggest companies in seconds (if they’re listed on the NSE); get live market data and track vital movements; receive stock recommendations, and sell shares when you believe it’s suitable to do so. Users of the app are supported by free-market research and expert analysis, so they can make informed trading decisions. With as little as ₦10,000, you can begin buying and selling shares on the platform. Signing up involves downloading the app and providing KYC documents like ID, proof of residence, passport photograph, and utility bill payment while registering. You can do this on the MeriTrade website as well. You are also required to fill an account opening form.

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The data collected in this process enables the creation of a CSCS (Central Security Clearing System) account. It’s a type of account that users need to facilitate stock trading. Besides normal buy-and-sell transactions, MeriTrade also has room for margin trading. This means traders can borrow money from the platform to buy certain stocks at relatively low prices. They sell those stocks when their prices climb, repay the platform the funds it lent to them, and pocket the change as profit. Margin trading on MeriTrade is available to people who fill a margin trading agreement form with the company. Benefits accruable from margin trading include the possibility of diversifying equity portfolios and increasing financial gains. Trading fees and commissions apply, as they do for most stockbroking and investment platforms. However, MeriTrade makes these charges known in its trading spaces, including its app. As more Nigerians explore the opportunities for expanding their wealth on the stock market, apps like MeriTrade will become even more useful than they already are. This trend is likely to accelerate over the next few years. The MeriTrade app is available for download on the Google Play Store for Android phones, and the Apple App Store for iOS mobile devices. Featured Image Source: MeriTrade

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This article was first published on 27th February 2021

ikenna-nwachukwu

Ikenna Nwachukwu holds a bachelor's degree in Economics from the University of Nigeria, Nsukka. He loves to look at the world through multiple lenses- economic, political, religious and philosophical- and to write about what he observes in a witty, yet reflective style.