You bought shares… and now you’re asking:
“So how exactly do I make money?”
Many of you are still on the sidelines, watching others invest
— Frozen by fear and lack of understanding.
Others are already in the market… but gambling.
Buying shares emotionally.
Chasing prices.
Hoping for magic.
And when losses come — reality hits hard.
Here is the truth:
If you do not understand an investment, stay on the sidelines.
But stay there while studying — not while complaining.
Because shares can build serious wealth when approached strategically.
So, how do you make money from investing in shares?
There are two main ways.
1. Dividend Investing
This is where your main interest is income.
You buy shares in strong companies that pay consistent and attractive dividends.
Your goal is simple:
Build a passive income stream that pays you every year when dividends are declared
— Helping you fund your financial goals.
This is a long-term strategy.
You are not shaken by daily or monthly price movements.
Your focus is on one key factor:
— Dividend Return.
Companies on the NSE with strong dividend history include:
- Standard Chartered Bank Kenya
- Stanbic Holdings
- British American Tobacco (BAT) Kenya
- Absa Bank Kenya
- Co-operative Bank of Kenya
2. Capital Gain Investing (Stock Trading)
This is the second way to make money, and sometimes millions, from the stock market.
The strategy is straightforward:
- Buy shares at a low price
- Sell them at a higher price
This requires timing, patience, and emotional discipline.
To win here, you must enter when the market or a stock is bearish (low prices)
And exit when it becomes bullish (high prices).
Most investors make one costly mistake:
They enter when prices are already at the top.
Excitement takes over.
Greed blinds judgment.
They put all their cards on the table.
Then suddenly — prices fall.
Losses begin.
Regret follows.
But the opposite can also happen.
You enter when prices are low.
You wait.
You exit when prices rise — and book serious profits.
Example: Kenya Power
- Around 1st January 2024: Price was about Ksh 1.45
- Around 1st January 2026: Price was about Ksh 17
If you bought 5,000 shares at Ksh 1.45, you would invest Ksh 7,250.
If you sold 5,000 shares at Ksh 17, you would receive Ksh 85,000.
Capital Gain = Ksh 77,750.
That is how money is made in the stock market.
Action Point
Decide your strategy first:
- Dividend income
- Capital gain trading
Then identify the right company aligned with your financial goal.
Open Ziidi Trader on your Safaricom App.
Load funds via M-Pesa.
Buy your shares.
The process is simple.
You can complete it in minutes.
Do not remain a spectator while others build wealth.
Alex Mwangi | WhatsApp 0703472299
