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How to Invest in Kakuzi Shares

Kakuzi is among the best performers of agricultural stocks listed at the Nairobi Securities Exchange

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Investing your money in Kakuzi shares can help you turn money into more money, whether you are planning for retirement, looking to boost personal wealth, saving for a large purchase, or want an avenue for passive income because it is a low-risk option with a promise of long-term appreciation than leaving cash in savings accounts as stock markets often outstrip inflationary pressures.

Rather than putting your money into individual funds, consider buying shares in Kakuzi, among the best performers of agricultural stocks listed at the Nairobi Securities Exchange (NSE) with a market capitalization of Ksh7.20 billion.

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Kakuzi is a Kenyan agricultural company involved in avocado exports to international markets and processing and marketing blueberries, macadamia, tea, and livestock products.

This is not a recommendation to buy, sell, or hold shares in Kakuzi PLC but a trading guide for buying its stocks. Prospective shareholders should be aware of capital risks in the stock market relating to its volatility, and before investing, know that investments go up and down and they may get less than what they put in:

How to buy Kakuzi shares online 

As mentioned, investing in shares or stocks can be an excellent way to build long-term or short-term wealth, depending on your financial goals. Stocks and shares mean almost the same thing: they are financial instruments that refer to ownership of a company, but minimally, shares are units of stocks.

When you buy Kakuzi shares, you become a shareholder and own part of the agricultural company as dictated by the number of shares in your name, and you stand to get dividends based on the company’s performance when financial results are released.

Kakuzi shares, typed in KUKZ ticker on NSE, are one of the higher-yielding stocks in the Kenyan exchange, having an average dividend yield of 6.5%. In its five-year record from 2018 to 2022, it recorded a turnover of between Ksh2.89 billion and Ksh4.44 billion, paying shareholders the highest dividends per ordinary share of Ksh24 in 2022, up from Ksh22 and Ksh18 in the immediate previous years.

A healthy dividend matters in the stock market as it reflects, for the most part, how the company is performing financially, so investing in Kakuzi can be a lucrative venture, but how do you just get started?

1. Open a CDS account

CDS stands for the Central Depository System, an account used to hold and trade fungible securities like bonds, stocks or shares, mutual funds, and other equities listed on the Nairobi Securities Exchange, NSE.

In Kenya, the central depository system is operated by the Central Depository & Settlement Corporation Limited (CDSC), which authorizes and supervises CDS account services providing automated clearing, delivery, and settlement facilities of securities trading on NSE, including Kakuzi shares, on approval by the Capital Markets Authority.

Hence, you cannot buy shares in Kenya without a CDS account. To create one, you need;

* A copy of your original National ID or passport
* Two clear passport-size photographs
* An original certificate of incorporation for companies
* A certificate of registration for organizations

After gathering these documents, move to download the CDS 1 account opening form, fill in the details, advisable before your Central Depository Agent (CDA), which may be your bank or a broker-dealer licensed by CDSC for guidance and accuracy, and sign it before handing it to them with the documents attached on it for seamless securities account registration.

CDAs are all the licensed Members of the NSE and CDSC and are mostly all the major banks like NCBA, Co-operative Bank, Equity Bank, KCB, and others, among several stockbrokers.

When your CDS account will be ready within 24 hours, you can move to the next step of buying Kakuzi shares online;

2. Download the Dosikaa app

How to buy shares online in Kenya kakuzi

The Dosikaa App is a powerful mobile trading platform with a user-friendly interface for buying stocks on NSE commission-free. It is a creation of CDSC, CMA, and other key players in the Kenyan capital markets “to increase retail participation.”

With Dosikaa, which is downloadable on iPhones and Android phones, investors get real-time market news about stocks, indices, and other areas in the exchange and can make their own personalized portfolios for tracking their investment growth within the app.

After downloading the app, sign in with your email address and phone number used during the CDSC-CDS account opening to continue to the last step;

3. Buy Kakuzi shares

Upon accessing your CDS account via the Dosikaa app, you will see the CDA, the bank, or a stockbroker, which helped you during account opening, and you can start buying Kakuzi shares online from your phone.

You can purchase these shares directly by making an order using the stockbroker or the bank, which will transact on behalf of you, the investor. The minimum amount to invest in Kakuzi can vary from one broker-dealer to another but mostly starts at $200, an equivalent of around Ksh28,000 now, worth about 75 units of shares whose price per share is currently swinging between Ksh365 and Ksh375.

The good thing is you can shift stockbrokers within the app using your one CDSC account to choose the most affordable to trade with on NSE. That is how to invest in Kakuzi. Now you know.

>> 10 Most valuable Companies on the NSE and What Fuels Their Growth

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JUSTUS KIPRONO
JUSTUS KIPRONOhttp://www.businesstoday.co.ke
Justus Kiprono is a freelance journalist based in Nairobi, Kenya. He tracks Capital Markets and economic trends, infrastructure reform, government spending, and the financial impacts of state decision-making nationwide. You can reach him: [email protected]
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