Pls nairalanders i need somebody who can give me an understandable explanation on equity and bonds. As an engineer i find those financial terms hard to understand. Checked wikipidia didn't really help much. wanna be an astute investor.

Billion24:
Pls nairalanders i need somebody who can give me an understandable explanation on equity and bonds. As an engineer i find those financial terms hard to understand. Checked wikipidia didn't really help much. wanna be an astute investor.

Ask your questions. For starters: Bonds are fixed income instruments; guaranteed investments while Equities are stocks/shares, very risky with also high returns.

davide470:
Ask your questions. For starters: Bonds are fixed income instruments; guaranteed investments while Equities are stocks/shares, very risky with also high returns.

thanks for the response. ok lets say i have like 500k and i need a quick return on investment, how do i go about these things. i know next to nothing about finance and investment. do i go to the bank, or financial organizations or necessarily get the service of a broker. if i wanna go about it on my own, what and what should i do.

Billion24:

thanks for the response. ok lets say i have like 500k and i need a quick return on investment, how do i go about these things. i know next to nothing about finance and investment. do i go to the bank, or financial organizations or necessarily get the service of a broker. if i wanna go about it on my own, what and what should i do.

Before you invest, do some research on investments as it is your money.
We have:
•Treasury Bills
•Bonds
•Stocks

•Stocks are good for the long term as they tend to yield higher returns than the rest. To get started, you need to have a stock account. Most stockbroking firm have online platforms: www.meritrade.com, www.gti.com.ng, MyTradebook etc.

•T-bills and Bonds are debts issued by Governments and Corporate Organisation respectively that have a fixed coupon rate (interest). T-bills is less than 1 year while bonds are more than a year. Most banks do T-bills while Investment firm do Bonds.

Do your research before investing! Cheers.

davide470:
Before you invest, do some research on investments as it is your money.
We have:
•Treasury Bills
•Bonds
•Stocks

•Stocks are good for the long term as they tend to yield higher returns than the rest. To get started, you need to have a stock account. Most stockbroking firm have online platforms: www.meritrade.com, www.gti.com.ng, MyTradebook etc.

•T-bills and Bonds are debts issued by Governments and Corporate Organisation respectively that have a fixed coupon rate (interest). T-bills is less than 1 year while bonds are more than a year. Most banks do T-bills while Investment firm do Bonds.

Do your research before investing! Cheers.

thanks,
most helpful.

Is ROI from Bonds subject to tax deductions or are they tax free like T-bills?

ROI is still taxable, though a Tax Waiver was given since 2011 but has not yet been effected on Bonds.

Send email to kd_segun@yahoo.com, i will forward u a one pager that explains this in details