Catherine* (30) is head of finance at a multi-million-dollar Nigerian company. While she oversees huge sums at work, her personal investment portfolio is a mix of safe, steady growth. Here’s exactly how she allocates her money, and why.

As told to Aisha Bello

I’ve been investing for over 8 years.

My first investment was in Treasury bills (T-Bills), which is a safe way to lend money to the government and earn guaranteed interest after a few months. I bought them directly from Nigerian banks.

At the time, I was earning about ₦100k/month, so I’d save for a few months and roll that money into a 6-month T-bill cycle.

After three years, I stopped actively investing outside my pension, which was held with a Pension Fund Administrator (PFA). But about four years ago, I returned to investing outside my PFA. 

My investment decisions have also been shaped by my family’s financial prudence, alongside my growing comfort with money as my income increased. The more I made, the more comfortable I felt making money decisions.

How my portfolio is structured

I split my investments into two buckets: 70% are self-directed, where I make investment decisions myself, and 30% are professionally managed. 

My Self-Directed Portfolio (70%)

This is the portion I actively control. Here’s how I’ve allocated the 70%:

• 52% in fixed deposits: It’s low risk and generates steady returns. Think of this as a high-interest savings account.
  
• 48% in individual stocks & Exchange-traded funds (ETFs): These offer higher potential returns, but more risk.
  

Breaking Down My Stocks & ETFs:

Stocks

I currently hold 9 individual stocks diversified across three sectors:

• Finance (4)
  
• Energy (2)
  
• Retail/Consumer Goods (3)

ETFs

I invest in 3 ETFs that track major indexes, such as the S&P 500. 

• These are like buying a basket of many stocks at once

I add money to these investments monthly through a wealth management app.

My Professionally Managed Portfolio (30%)

A closer look at the 30% handled by professionals:

• 80% with my PFA: This is my retirement savings.
  
• 20% managed through a wealth app. This slice is skewed toward technology stocks to further diversify my overall portfolio.
  

Why I chose this allocation

I have a moderate risk appetite. I prefer steady, predictable growth over chasing fast, high-risk returns; losing what I’ve built throughout my career would hurt. However, I’m gradually looking into higher-growth assets.

Compounding is central to my strategy. I believe small, consistent contributions over time add up more than trying to time the market. 

Barriers are lower now. You can invest in fractional stocks, essentially buying pieces of expensive stocks through apps, making it easier to start small.

How my portfolio has evolved

ETFs used to be the core of my self-directed portfolio because of their lower risk. But I started picking individual stocks about 1.5 years ago.

Biggest lesson:
Figure out why you’re investing and what type of investor you want to be. This guides your asset selection and helps you decide if your focus is on capital preservation or growth.

Advice for beginners in their 20s and 30s

1. Build an emergency fund first
   Before you start investing, save 3–6 months of living expenses. Life happens, and you don’t want to liquidate investments in a pinch.
   
2. Think long-term
   Investing is for your future self, not quick money. Day trading isn’t for the faint-hearted.
   
3. Start simple
   Fixed deposits and ETFs are easier entry points. Don’t jump straight into individual stock picking.
   
4. Do your research
   If you venture into stocks, learn from trusted resources, trading platforms, YouTube, or professional wealth managers. Avoid random advice or hype.
   
5. Prioritise stability over excitement
   I prefer boring companies that have weathered time and economic cycles rather than chasing trendy, hot, overly exciting stocks.
   
6. Avoid hype-based decisions
   Market speculation can be volatile. Buying at the peak of hype often leads to losses. A stock’s price doesn’t always reflect its true value.
   
7. Be patient
   Stocks will fluctuate. Don’t obsess over daily price changes. Base your decisions on fundamentals, not emotions or market noise. 

Bottom Line

Investing isn’t about how fast you make money. It’s about building wealth with a strategy that aligns with your risk tolerance and goals.

Also Read: I Moved to Lagos to Chase a Dream. Two Years Later, I’m Back Home With Nothing to Show For It