5 Ways to Get Rich With 5000 bob a Month in Kenya

We're in the middle of a pandemic and a lot of people's accounts have dried up. But if you have 5000 bob a month to spare, you can change your financial fortunes! This is according to finance and investment gurus Centonomy Kenya. Here are 5 ways to get rich using 5000 bob:

Saccos

A Savings and Credit Cooperative is a type of cooperative whose objective is to pool savings for the members and in turn provide them with credit facilities (UN-HABITAT, 2010). The general objective of SACCOs is to promote the economic interests and general welfare of its members. Investing 5000 bob in a Sacco will go a long way towards your financial stability

Treasury Bills

The way treasury bills work is that you loan the government and then they pay you back with interest. How much you can make varies and it depends on when you invested.

Treasury bills are a secure, short-term investment, offering you returns after a relatively short commitment of funds. Treasury bill rates in Kenya are attractive, providing an excellent investment opportunity that is readily available, as they are auctioned each week. With a 5000 bob investment every month, you're well on your way to owning valuable treasury bills.

Treasury Bonds

These are like treasury bills, with the difference being that bills are short-term borrowing by government while bonds are long term. Anything that is above 12-month duration is a bond, and the repayment period can be as long as even 25 years.

Most Treasury bonds in Kenya are fixed rate, meaning that the interest rate determined at auction is locked in for the entire life of the bond. This makes Treasury bonds a predictable, long-term source of income. The National Treasury also occasionally issues tax-exempt infrastructure bonds, a very attractive investment.

Corporate Bonds

These are issued by companies (as a way of raising working capital) and may or may not be listed on the Nairobi Securities Exchange.

The unlisted ones are riskier but also generate a higher return. If unlisted, you can find out about them from various stockbrokers and investment banks.

Whether you can access them or not depends on availability. People do not usually trade corporate bonds. They like to hold them because of the high returns over a period of time. A 5000 bob investment here will pay off handsomely

Money Market Fund

Money Market Funds are for the risk- averse. Though they generally pay less interest than other investments, the advantage is that they are low risk since the monies are invested in securities which have a fixed and secured rate of interest. The investor is also assured of the principle sum plus interest at any given time. If you have money that you may need at any moment, Money Market funds generally pay higher interest than your bank account but you can still access the funds at any time.