Just before you learn what Trustees in Nigeria are, what they do and how they can help you make a Risk-Free investment the next you want to put your money down, – and yes they can. I would first mention that so many Individuals and corporate entities have tried to find the path to wealth management themselves. A lot have failed, while others have only succeeded in saving money for eventual spending in the rainy season.
There’s been an uproar from the general public wanting to know if there are any options available for making risk free investments in Nigeria considering the unstable political and economic atmosphere. It’s no longer whether you need a trustee, it’s which Trustee in Nigeria should you engage?
While many individuals and corporate entities are familiar with Trust activities in Nigeria and what their duties are, a research has shown that 75% of individuals still don’t know about Trustees, what they do and who even needs one.
In this article, I am going to address important aspects of Trustees in Nigerian and things you should know about Trust services. I’ll take it from the very basics and advance to the critical part. I’ll share concepts which you might not find anywhere else on the internet. I will show you how Trustees help individuals and corporate organizations make Risk-Free Investments.
Let’s get started…
We’ve all read the stories about lottery winners who are broke again within a few years.
We’ve also heard about schoolteachers who leave millions to charity.
How can someone who receives millions quickly lose it all again; whereas, someone who never made more than a minimum wage accumulate millions over a lifetime?
The answer is simple and is contained in this article. The closest perspective to look at the issue is from their personal financial foundation because that is what determined these varying outcomes.
Todd of FinancialMentor once said. “Building true wealth takes a lot more than simply amassing a certain amount of money – There are key wealth building principles that lead to true wealth”
In other words, Saving and Investing are not the same. In fact, a lot of persons I have talked to who actually think they have been investing have only been gambling.
Now the question is, in your hustle and bustle about becoming financially free, are you gambling, investing or saving. While you decide on the answer,…
I am taking some time to talk about those three because they’ve been most people’s peril – Differentiating those three terms.
I’ve been in some conversations with Investors who often want to make some risk free investments, they need the services of Trustees in Nigeria to do that, and one of the major challenges they have outlined is finding a Trust service provider they can rely on.
I share in their experience to say that finding a reliable Trustee in Nigeria is not exactly a simple process. The challenges you could encounter can be daunting, ranging from finding out which is duly incorporated as trustee, licensed by the Securities and Exchange Commission and truly discharges her Trustees duties effectively.
Trustees and Investment are words that appear together in most scenarios, to properly understand the risk involvements in an investment plan, you need a Trustee. That brings us to the main issue of discussion.
WHO IS A TRUSTEE?
A quick google search of the word “Trustee” will reveal a lot of contextual meanings of the word. However, in summary, a Trustee is a legal term which in its broadest sense refers to any person or organization who holds property or authority for the benefit of another.
A trustee can also refer to a person who is allowed to do certain tasks but not able to gain income. Although in the strictest sense of the term a trustee is the holder of property on behalf of a beneficiary.
In Investment terms, a trustee takes the risk and stress of investment off the shoulders of the beneficiary. What this means is that if you need to invest in Nigeria or you would like to learn about investment opportunities in Nigeria, risk assessment and other ways of becoming financially free, you can get all that information by simply engaging a Trustee in Nigeria.
Though there are issues in Nigeria which is greatly impacted by global financial challenges, Trustees in Nigeria however, have not seized on improving on their services as market becomes even more challenging. As part of efforts to make sure there is sanity within its industry, the Association of Corporate Trustees in Nigeria founded its objective in making sure that Trustees in Nigeria promote a service that is based on trust and transparency.
HISTORY OF TRUSTEES IN NIGERIA
The history of Trustees in Nigeria can be traced informally back to when people started trading by barter. With the old days, friends could stand in for each other to enable them to collect some commodities which they needed to complete some task whether consumption or transaction.
This form of transaction was transferred to the formal financial sector when banks started springing up and began providing commercial and financial services to Nigerians. some subsequently extended an aspect of their services to Trustees. That was how Trustees in Nigeria basically started from an aspect of their owning banks.
This was how corporate Trustee business originated with banks opening up trustee companies. Regulations by the government through the Securities and Exchange Commission along with other financial regulators and the Activities of the Association of Corporate Trustees has led to the growth of the industry within Nigeria. Thus, leading to more companies opening up shops as Corporate Trustees.
Up until recently, when the federal government promulgated a law that mandated all Trustees to be separate entities from the owning banks, almost all Trustees in Nigeria where run by Banks. This new regulation as it is with most government interventions in Nigeria, had a two-fold effect on the industry in that, while it weakened a few Trust companies, it made others stronger.
WHO NEEDS A TRUSTEE?
If you are still wondering whether you need a trustee or not then I think you should answer the following questions.
- Do your finances feel out of control?
- Are you still having trouble saving money every month?
- Do you have an emergency fund that can withstand the inevitable “rainy day”?
- Are you sure where to start to get off on the right foot toward financial freedom?
- Have you ever executed a traditional financial plan?
- Do you still spend more than you make so there is more month than money and growing debt?
- Is your financial house strong enough to withstand the acceleration phase of building wealth?
If you see yourself in any of these questions, then you need to speak to an Investment Specialist or a Trustee and the good news is there are very good trustee companies operating in Nigeria.
A trust company is hired to act as a fiduciary for the client, therefore, all the investment decisions are made by the trust company, which is acting in the best interest of its client. This is helpful for individuals who are not competent enough to make their own financial decisions.
WHAT ARE THE SERVICES OF TRUSTEES IN NIGERIA
Trust companies offer a variety of services, with the most common being wealth management in the mode of becoming a fiduciary.
Trusts are ways to organize assets so as to benefit a person or group of people. There are lots of reasons why someone might set up a trust. For example:
- To pay for long-term care costs for an older person.
- To provide for a family member with a permanent disability.
- To leave money to a child, and have someone manage it until the child turns 18 (or older).
To delve fully into several aspects of the services of Trustees, I would use One of the Giant providers of Trusts services in Nigeria, STL Trustees as a benchmark.
STL Trustees is operated as an independent Trustee company in Lagos Nigeria. Formally incorporated as EIGB Trustees, the company which has been around for more than 25 years has undergone series of metamorphosis to emerge at its present brand as STL Trustees Ltd.
STL Trustees is amongst the premiere Trustees companies in Nigeria. We were incorporated as a corporate Trustee on the 2nd of May 1991. Licensed by the Securities & Exchange Commission as Trustee and Funds/Portfolio Managers with transactional experience spanning various key sectors of the economy. We provide a wide range of Trustees services to Nigerians ranging from:
- Debenture Trusts (Consortium/Syndicated)
- Bond Trusteeship (Government & Corporate)
- Trust of Collective Investment Schemes/REITs
- Real Estate Trusts
- Endowments/Foundations
- Estate Planning
- Nominee Services
- Funds/Portfolio Management
- Related Advisory Services
- etc
Over the last 25 years, STL Trustees has been the investment brain to thousands of Nigerians across all sectors from private to corporate and even government parastatals.
STL Trustees holds trust funds for government agencies as well as individuals in Nigeria. If you are familiar with the financial services industry in Nigeria, then you may have come across the word.
A lot of businesses and individuals have been able to achieve several goals and targets because they imbibed our simple and efficient investment advice.
We understand that different persons have different financial goals and that is why we create a custom financial package for everybody. Wealth building is simple and only needs to follow well laid financial principles.
HOW STL TRUSTEES DELIVERS HER CLIENT’S NEED.
We have developed products that are flexible and compatible with the investment and income atmosphere in Nigeria. Providing Trustees service in Nigeria has helped us have a one on one interaction with Nigerians and we have developed products that are designed basically for Nigerians or to work well in Nigeria.
As Trusteeship in Nigeria has improved in service, we have also improved the quality of products and the services we provide our clients. Our service path takes three simple steps.
Firstly, Nigerians can choose from our wide range of product specifications that is similar to or conforms with their overall investment goal. We then use that intel to create a completely custom package for the client. We deliver our service by first having an in-depth discussion with our clients to understand their goals and investment priorities as well as their current income structure.
Secondly, we carry out analysis of the product that best suits the client and help them create a flexible and adjustable way of blending into the product in a way that doesn’t distort their current financial or income standard.
Finally, we connect clients with their investment future and watch them live happily. This system have worked for so many Nigerians whom we have rendered Trustees services for in the past and our clients are the happiest set of persons walking the Streets of Nigeria.
SUMMARY
In an environment like Nigeria, it is difficult to understand the right investment plan or the right place to put your money and be sure that you can at least get it when you need it back, not to talk of a place where transparency and integrity are their practicable watchword.
We do not over pride ourselves, but over 5,000 Nigerians can’t t be wrong about us being the brain behind their investment success in Nigeria. For more than 25 years now, we are happy to be the number one Trustee company in Nigeria. All we do is provide service you can trust.