Financial experts have identified a lack of clear investment goals, prioritising high returns over capital security, and poor attention to liquidity as key mistakes Nigerian investors must avoid when making investment decisions.
This was disclosed during the Nairametrics Money Fair (WISE 1.0), held on March 18, 2026, at the Landmark Event Centre, Lagos, during a panel session themed “Investing in Nigeria in 2026: Asset Classes, Timing Windows, Digital Tools, and Risk Navigation in a Reformed Economy.”
The discussions reflect the Money Fair’s goal of equipping investors with practical knowledge on navigating Nigeria’s investment landscape
What the Expert said
Speaking during the session, Head of Wealth Management at SFS Capital, Uju Justin, outlined three major pitfalls investors should avoid when making investment decisions:
Justin noted that many investors make the mistake of starting without clear investment goals, often following trends instead of defining their objectives, risk level, and whether they are investing for short- or long-term needs. “First of all, sit down and draw a financial map”
She also warned against prioritising high returns over the safety of capital. She stressed that investors should focus first on protecting their principal, as “the return of your investment is more important than the return on your investment.”
“It is important that your principal is safe. Then you can begin to talk about the interest on your investments”
In addition, she highlighted poor attention to liquidity and placing priority on high returns as a key pitfall.
“A lot of investors prioritize high returns on investment over liquidity. What liquidity does is that it gives you flexibility. So if you’re going to run an investment where you do not have access to your funds when you need them, it’s as good as nothing,” she said
She further cautioned against investing in unregulated schemes, urging investors to verify that firms are registered with the Securities and Exchange Commission (SEC).
Justin said while investors benefited from high treasury bill yields of up to 30% in 2024, rates are now declining as inflation stabilises, urging a shift from chasing returns to rebalancing portfolios.
“The market is dynamic. It moves in cycles. As inflation begins to stabilise, rates will naturally decline. The conversation should shift from chasing high returns to repositioning portfolios for the next cycle,” she said.
On currency strategy, she explained that the rush to dollar-denominated investments is largely driven by the need to hedge against naira depreciation. However, she noted that improving foreign reserves, relative exchange rate stability, and attractive local yields have created a more balanced investment environment.
“It shouldn’t be a war between FX and naira. The question is how much of each makes sense in your portfolio.” She noted that investors with dollar obligations should maintain dollar assets, while also taking advantage of high-yield naira investments.
What you should know
The Nairametrics Money Fair WISE 1.0 is an investment and financial empowerment marketplace, bringing together Nigerians, financial institutions, and regulated investment products.
It is designed to address the growing need for trusted and accessible investment information in Nigeria’s increasingly complex financial environment.
The fair is structured around four key pillars, Wealth, Investment, Savings, and Endowment (WISE), which guide discussions and audience engagement across different segments of the financial market.
This was disclosed during the Nairametrics Money Fair (WISE 1.0), held on March 18, 2026, at the Landmark Event Centre, Lagos, during a panel session themed “Investing in Nigeria in 2026: Asset Classes, Timing Windows, Digital Tools, and Risk Navigation in a Reformed Economy.”
The discussions reflect the Money Fair’s goal of equipping investors with practical knowledge on navigating Nigeria’s investment landscape
What the Expert said
Speaking during the session, Head of Wealth Management at SFS Capital, Uju Justin, outlined three major pitfalls investors should avoid when making investment decisions:
Justin noted that many investors make the mistake of starting without clear investment goals, often following trends instead of defining their objectives, risk level, and whether they are investing for short- or long-term needs. “First of all, sit down and draw a financial map”
She also warned against prioritising high returns over the safety of capital. She stressed that investors should focus first on protecting their principal, as “the return of your investment is more important than the return on your investment.”
“It is important that your principal is safe. Then you can begin to talk about the interest on your investments”
In addition, she highlighted poor attention to liquidity and placing priority on high returns as a key pitfall.
“A lot of investors prioritize high returns on investment over liquidity. What liquidity does is that it gives you flexibility. So if you’re going to run an investment where you do not have access to your funds when you need them, it’s as good as nothing,” she said
She further cautioned against investing in unregulated schemes, urging investors to verify that firms are registered with the Securities and Exchange Commission (SEC).
Justin said while investors benefited from high treasury bill yields of up to 30% in 2024, rates are now declining as inflation stabilises, urging a shift from chasing returns to rebalancing portfolios.
“The market is dynamic. It moves in cycles. As inflation begins to stabilise, rates will naturally decline. The conversation should shift from chasing high returns to repositioning portfolios for the next cycle,” she said.
On currency strategy, she explained that the rush to dollar-denominated investments is largely driven by the need to hedge against naira depreciation. However, she noted that improving foreign reserves, relative exchange rate stability, and attractive local yields have created a more balanced investment environment.
“It shouldn’t be a war between FX and naira. The question is how much of each makes sense in your portfolio.” She noted that investors with dollar obligations should maintain dollar assets, while also taking advantage of high-yield naira investments.
What you should know
The Nairametrics Money Fair WISE 1.0 is an investment and financial empowerment marketplace, bringing together Nigerians, financial institutions, and regulated investment products.
It is designed to address the growing need for trusted and accessible investment information in Nigeria’s increasingly complex financial environment.
The fair is structured around four key pillars, Wealth, Investment, Savings, and Endowment (WISE), which guide discussions and audience engagement across different segments of the financial market.
