THE NSE AND A TALE OF TWO INVESTORS

 THE NSE AND A TALE OF TWO INVESTORS

I have noticed a big hype over the last few months as regards investing in the stock market. I have also got questions from a number of my friends on how to go about investing in the stock market and hopefully, I answered in a helpful way. Having invested in Nairobi Stock Exchange(NSE) before, am not so much of a greenhorn in this area but maybe to delve more on the subject could be helpful to someone. But first, for the sake of someone who doesn't want to read further, we can hereby summarise this whole story by saying that making money from NSE requires character which we can also call patience. The second thing is understanding the business of the company whose shares one wants to purchase including prospects for future profitability. For patience, if you cannot lock your money for one year without meaningful profits or growth of your investment, maybe the stock market is not for you. Just to explain, KPC has an IPO chance for investors to buy shares until 19th this month and so, at only 9 bob per share. The question is, should someone  buy the shares or not? An understanding of  business will tell you that KPC enjoys monopoly in storage and distribution of petroleum products in EA region and still growing after recent acquisition of KPRL. It could be a good investment but only for the patient. To illustrate  let's take Safaricom as an example. Safaricom IPO was in 2008 and sold a share at Ksh 5. On the first day trading, shares sold at  Ksh.7 but went later on a downward trend hitting a low of Ksh.2.5 for a long time. The share price rose above the initial Ksh 5. only after 5 years. The same share is Ksh 33 today meaning that the patient over the years are reaping the benefits. Simply put stock trading is more of a long term trade unless one has several millions to make substantial gains with even a shilling change in share price. To conclude is a tale of two investors and we start with yours truly. He understood the businesses of around 5 companies that he bought and true to it between 6 months and one year, he sold out all and made on average close to double the investment but truth be told, he had only invested like 200K in it. Happy exit? Yeah. But he still thought a year was too long and alternatively, he invested in other ventures that promised quick short term returns that never was to be. He can now tell you for free that short term ...huge returns... is most of the time a fallacy. We call the second investor John. He is about 70 if not approaching there and has been in stock business for long. John is a billionaire and one of top ten highest individual investors at the NSE. I used to serve him somewhere and he was very knowledgeable sometimes reading the market months before major shifts. He moved around with an old car manufactured in early 2000's and always wore his trademark white photographer jacket which would sometimes get torn after being worn year after year. Maybe that is the extent of the  patience that is required to succeed at the NSE. But he is top ten at NSE with a portfolio of over 2B but in him, you read patience in walk, talk and conduct. He is wealthy but not bent on showing wealth in pomp and color but rather growing wealthy in strategic painstaking stock trades. He is always growing his portfolio, adding and adding, never concerned about quick gains coz his policy, wealth grows slowly with patient strategic purchase of prospective stocks. And so, even with NSE hype, do not try the stock market if you are a short term investor or short of character because to make wealth in NSE, someone has to be vereeerrrrryyyyy paaaaaatttttiiiiiieeennnnnt. Need I say more?

@Stephen Mungai

THE JOSHUA’S UPGRADE

 

THE JOSHUA’S UPGRADE

Through the help of his daughter, Waitherero, Joshua’s brother Mwangi relocated to California USA. Waitherero was already in California for about 20 years. She had been a nurse for the first 15 years working tirelessly for more than 12 hours a day in 3 jobs. By luck, Waitherero had joined hands with another Kenyan, Kioko as well as another lady, Bianca from Bahamas and started an outpatient nursing business. The business had done very well, unexpectedly beyond expectations. Waitherero’s Mother had passed on about three years before and since then, her father had never been the same, turning out to be a little bit more thoughtful and reclusive. Waitherero and the siblings had noticed a big change in their father’s behavior which made her convince her siblings as well as her dad, to join her in California, so that she could take care of him.  Eventually, Mwangi and her four children; Waitherero, Eric, Justus and Nancy agreed to the idea of Mwangi moving to the US. It was not an easy decision especially for the aging Mwangi but sounded like California would be good quality of life for him in his sunset years. However, before Mwangi’s relocation to the US, several decisions needed to be made especially about his home In Kitisuru and his clearing and forwarding business. It was decided that all would meet so that a decision could be made as regards. For both, none of Mwangi’s children was willing to be involved because they themselves were successful in their own chosen fields. The house, no one wanted to live in the same house that they grew up in as Kids. A decision was finally made to sell the house and first, close relatives would be given priority if any were interested. As a result, Mwangi met his brother Joshua taking time to convince him to buy the house and of course, Mwangi was selling it to him way below the market rate with a flexible prolonged payment plan. This would be in addition to Mwangi’s shares in full in the clearing and forwarding company that he co-owned. It took time and consultations with his family but eventually, Joshua agreed to move to Kitisuru. His Kitengela home was to be left for Mike, but he would also pay an agreed amount periodically and eventually buy it off. That money from Mike and more would be used by Joshua to supplement the payment plan for the Kitisuru home. When time came for Mwangi to move, he did and three months after a few look-up changes to the house, Joshua’s moved to their new home in Kitisuru. In the same period, Mike also moved to the Kitengela home, and everything looked like an upgrade for the Joshua Family. Joshua and the wife particularly loved the new environment, which was much quieter, cool and fresh. By the time the Joshua’s moved into the new home, the couple had no children in the house but for weekend visits by their children and grandchildren. The monthly meeting remained and all would gather in their Kitisuru home every second Sunday of the month as was the family’s custom. Ruth was now a form 1 student at Ruchu Girls High school in Murang’a. David was still in 4^th year and was now close to completing his IT degree at KU. Sebuleni restaurants were doing very well. Mike and Hellen were tasked with looking for a new location for yet another branch. And so were Joshua’s on another upgrade.

@Stephen Mungai

DAVID’S NEW GIRLFRIEND; SARAH

 

DAVID’S NEW GIRLFRIEND; SARAH

David could not quite wait for Thursday to try and pick a conversation with Sarah. He stayed awed the whole week that followed their encounter in class, by Sarah’s sense of presence and the aura that filled the area between them, that first time they met. Come to the next class the following Thursday, David was about 40 minutes early in class. He was hoping to see Sarah somewhere, but she wasn’t in. A little disappointed and as was his custom, he went straight to the back of the class, found a place and sat. He got his Programming book out of the bag to try and read something, but his concentration was poor. After about 10 minutes, he saw Sarah Walk in. She came straight towards the back but to the other side of the room. David lifted his gaze and could not get his eyes off her. Sarah looked down and when she noticed that David’s eyes were still on her, she raised her hand and waved at him. David waved back but Sarah went to the extreme opposite side of the lecture hall, removed her books and began to flip the pages. David had a difficult time concentrating. Five minutes before the class began, David remained but saw Sarah move to the front. The class ended. Sarah was out again before David would catch up with her. David made up his mind that he would not take more chances the following week. He promised himself to sit next to her, introduce himself and keep the conversation going. So came the following week. David walked into the lecture room 15 minutes earlier, saw Sarah at the back of the room, went straight to her, greeted her and sat right next to her. He introduced himself and they had a chit-chat before Sarah said that she needed to move to the front seats. David said that he would also go with her and try a different sitting place. So, he did. After the class, they both walked out together conversing. They stood outside for a few minutes before saying bye to each other. David was so relieved to have had the courage to talk to her. He was excited. It felt good to be around her. She was truly beautiful, and her personality was also cool, relaxed and relaxing to be around. David had not felt this good ever around a woman. Of course she was beautiful. Talk of the face, the hair, front, back and side curves---the legs, the arms…the whole of her was clearly the work of a perfect sculptor that God is. Apart from her beauty though, there was something amazing about her that David could not quite explain. A special presence that felt good to be around. The weeks that followed were not different. David always sat next to Sarah in that class. A friendship developed between them and not long afterwards, David asked her out for a date which she was agreeable to. That date was special. It was in java house near parliament. They sat at one corner in the evening from around 4:00 PM from where they enjoyed coffee with pieces of cakes. Sarah tried out a black forest piece while David ordered his favorite Carrot cake. They talked a lot about everything and had an excellent time together. More outings followed and they became too close. David eventually asked Sarah to be his girlfriend, which she agreed. They started dating and with time, David started introducing her to his family and friends, especially during events and parties that they went together. Sarah’s family and friends also began to know David. It felt good for the two, but Sarah remained a little skeptical. She had heard so many negative things about campus relationships and men. She hoped that Her’s would be different.

@Stephen Mungai 

COMMUNICATIONS 101: THE BACKBENCHERS

 COMMUNICATIONS 101: THE BACKBENCHERS

David was in 4th year doing IT and loving it. He had dutifully attended most of his classes save for the times he needed to attend to something in the family business or the Clearing and forwarding business whose shares, the dad had taken over from his uncle, Mwangi. Still to be done though was a mandatory common course, communications 101. He registered for it and began to attend the classes. From his days in primary school, David loved to be a backbencher. This was not only because he loved to do other personal things as the lectures progressed but also that he disliked the Front benchers especially those who asked endless questions or liked conversations with the lecturers.  He was also an early person to class and when he came in, he would walk to the seats at the very back. Sarah on the other hand preferred to come to class one hour or 30 minutes before time either to have a short preparation before class began or to remind herself of what had been taught in the previous class. That way, she always felt part of the class and would be able to follow up during lecture progress. Every time Sarah came into a class, she would go right behind to do her prep thing and then move forward around 5 minutes before the class began. It was at the backbenches of the Communication 101 class that David met Sarah. On the 2^nd week of the class, which was usually Thursdays from 2 to 4 PM, David walked into class and right behind there sat a lady attentively reading something. She had short, unplaited hair. She wore a black, white polka dotted dress, a front buttoned navy blue pullover and some black closed leather shoes. As David approached the back area, Sarah lifted her face to see the gentleman approaching. David had a glance at her beautiful face and was filled with awe. She then buried her head back into her book. David came and sat on a seat an arm’s length distance away. ‘Hallo’ he greeted. ‘Hallo to you, “Sarah replied. ‘Are you here for Comms 101’, David enquired. ‘Yes. But I must finish something before that’, Sarah replied. ‘Okay. Good day then’, Said David. ‘Good day too’ Replied Sarah as she went on flipping her book. David sat there not being able to do much but wishing that the conversation could go on. He was also reading a programming book occasionally stealing glances at Sarah. That was like 20 minutes before the lecture began. As time went by, more students came in in increasing numbers and five minutes before time, Sarah picked up her things as David was looking. ‘I have to move a little bit to the front,’ she said to him. ‘That’s okay, “David replied. So, Sarah moved to the front as David remained at the same place. So, the class progressed and ended some minutes before 4.00 PM. When the class ended, there was a strong urge inside David to follow Sarah out to progress the conversation, but another voice told him to let go. Before he could move out, he noticed Sarah Walk out but there were many students ahead of him and by the time he got out, Sarah was nowhere to be seen. David had no more lectures that day and so went home to his apartment in Kahawa Sukari. He made himself Ugali with scrambled eggs and continued to do the programming work that Eric had assigned to him. He could not well get that lady, Sarah, out of his mind and looked forward to the next comms 101 lecture. Hopefully to see her again.

@Stephen Mungai

THEURI’S FESTIVE CHRONICLES

 THEURI’S FESTIVE CHRONICLES

Good times make good memories. And, now that the festive season ended not long ago, what have you kept for memories?

Theuri family festive days make for interesting moments, and the just ending was not an exception. At 80, Theuri is ageing but credit to him, he has kept his family together since his kids were babies. Every of his 7 children has kids themselves and it is fascinating enough to him, that already 4 of them are themselves grandparents.

The festive week was this time exceptional because everyone made it to come including Aunty Lucia, who had been married in Luhya land and since lived in Bungoma. The plan was to celebrate Theuri, who in November had turned 80. Theuri’s grandchildren made festivities memorable. They did the slaughtering for boiling, roasting and frying to later serve. The ladies cooked the other foods. The cousins worked in groups and preferred to have their parents relax.

Uncle Kinyanjui, Kinyaa, as the cousins fondly called him made the days fun. He would tell them stories of his own childhood and that of their parents too, which the cousins found interesting. Kinyaa is the kind that never leaves home. He was once married, got a boy but his wife left for not being able to stand his alcoholism. He had loved his drink as long as the cousins could remember but now, he seemed frailer, even emaciated for his poor eating habits. Word has it that as early as 5.00 am, he’s the first knocking doors of the squalor dens of liquor or Chang’aa dealers. Nevertheless, he is everyone’s favorite. He seems reasonable, telling honest stories of his life experiences or of the newest brand of liquor and how the new compares with the previous. At such family gatherings, he disappears for a drink when someone gives him a 50-bob note. Some cousins like to accompany him, buy him and taste his favorite drinks too. Without a 50 bob, he would at times be dancing to entertain the guests or making jokes and laughing out loud. Ushago was just not it without Kinyaa.

Aunty Wanjira herself arrived early on 25th. ‘Again’, someone wondered. ‘I thought she wouldn’t come’. Many cousins avoided her, considering her a spoilsport. She seemed to have issues with almost everyone. She would join a group, and all would leave with excuses to go do this or that. She normally took over discussions beginning to preach to the group. She would tell one why alcohol taking was a sin. Another would be told why such music that was played was devilish. Cousin Jane was particularly advised to consider getting married not just degrees as her age was advancing. She avoided aunty but the festive never ended without the lecture. Aunty Wanjira’s son Elisha always told the mother to allow people to lead their lives the best way they knew how, but this conversation seemed never to end.

So runs festive seasons for Theuri’s, starring Kinyaa and Aunty Wanjira. Who is your favorite? Kinyaa seems lost yet, people’s favorite. Aunty Wanjira tries to bring positive changes to the family, but it looks like people love evil more than good. Or what do you think?

@ Stephen Mungai

MEANINGFUL DAYS

 MEANINGFUL DAYS

The start is always super. Staying awake on new year's Eve enjoying a drink or bite with family as the old year is making the last step out the door. Some people like it while enjoying stage performances from their favourite music or comic acts, to see off the old year with a smile or hearty laughter. Churches also like to fill up with worshipers keen to say a big thank you to God for preserving them over the whole year, as well as say a prayer for divine guidance into the new year. Starting with God if you wish to call it. How did you welcome the new year? Whichever the method, the new year's jump provides a point for reflection, re- thinking and reorientation for our lives. It's a new chance to become what we dream of and to move towards achieving our life objectives. So, do you already have new year's resolutions? Are you already working on your plans? Have you already done a complete successful week? Kudos to all of us who are 100 percent on it. The question is how good we are at keeping our resolutions. How did you perform with your last year's resolutions? Could you have been discouraged making new ones this year due to your poor performance on them last year? The solution may be to make new ones or renew them every 1st day of a new month or every week. Maybe fewer resolutions may be better and easier. Maybe something to do once a month or every two weeks. Or even something to do today. What is most important is beginning and doing. If you fail, it's okay to replan and do another attempt. God wants every of our days to be meaningful and we should endeavour to count our every 'today' as meaningful. For God's help, let's join the psalmist in the prayer of Psalms 90:12, 'Teach us to number our days, that we may gain a heart of wisdom.' That is the way to live as wise people. So help us God.

@Stephen Mungai

MANSION 2026: THE HOUSE OF TREASURES

 MANSION 2026: THE HOUSE OF TREASURES 

A fresh new start begets all of us. A fresh new beginning in life. New thoughts, new hopes and new dreams. Hurray!!!! Happy new year to every one of us. Let's call it the year of the Lord 2026. And maybe we start with a prolonged pause........then ask. Did all of us make it to this big house? The house of treasures. Beautiful mansion. Mansion 2026. The house that holds many of the treasures that we seek and if the treasures of our desire are missing in the house, Mansion 2026 holds all the keys to these treasures. The emeralds, topaz and pearls in the glass display cabinet as you enter the front door and yet, many sets of labeled keys. In the same way stand blue, red and green glass cabinets with precious stones of different shapes, sizes, forms and colours. All the cabinets are properly arranged in different rooms as well as along the walls on the way to the many rooms. As per everyone's desires, so are opals, diamonds, Rubies and sapphire. And of course, the keys. And now that we all fill the living room, it's time to go through the house to cherry pick the treasures of our desires or the keys to the treasures because, Mansion 2026 has all we need. But first, let's all check whether all our family and friends have made it to come to the mansion. 'I can't see Jane. Are you behind there?' 'And where is Nyabuto? Thanks to you Nyabuto for raising your hand. I can see you. We thank God that you made it. The sickness that you had looked like it would leave you behind in that old house 2025. But here you are. Meaning that the treasures you desire are also here' ‘Thanks Nyabuto and all. Let's get down to picking what we want.’  But wait a minute though. This house has some rules which we follow first before we begin to pick. It seems to ride on God's will which we need to discern first. The house rule book in Romans 12:2 says that the only way to discern God's will is to renew our minds. So, shall we renew our minds first, good people? Our reserve therefore becomes what the rule book also says in Philippians 4:8, 'Finally, brothers and sisters, whatever is true, whatever is noble, whatever is right, whatever is pure, whatever is lovely, whatever is admirable—if anything is excellent or praiseworthy—think about such things.' What shall we say then? If something fits these rules, let's go around Mansion 2026 and pick it for ourselves. Be it as big as a tour around the world or as little as new underpants. Be it a new friend or new leisure spots. Be it new hobbies or recipes in the kitchen. I guess that a new set of clothes in the wardrobe or new sets of shoes on the rack would do us no harm. New music genres, new reads or new social voluntary work could also be the magic that we need for the year 2026. And also, let us not forget to try something outrageous like replacing your khaki trousers with a few knickerbockers. All will be a breath of fresh air away from your boring old ways. And why not. Just go around mansion 2026 and pick that which will bring magic to your life. From my desk I say, Happy happy happy new year 2026 my good people. 

@Stephen Mungai