Investing might seem complicated, but platforms like Cowrywise have made it easy, especially with mutual funds!
What is Cowrywise?
Most people must have heard about it or even use it but just incase, CowryWise, is a FinTech application that provides Nigerians access to automated, high-yield savings and investment products such as the mutual fund with minimum deposit amounts of only 100 Naira. The app also includes financial planning tools and a digital wallet that facilitate and encourage use among customers.
Mutual funds are a great way to dip your toes into the investment world without being overwhelmed, think of them as a pool of funds collected from various investors, which are then invested in different assets like stocks, bonds, or other securities. The beauty of mutual funds is that they help you diversify your investment without having to manage everything yourself. [Read all about Mutual Funds here].
In this post, we’ll walk you through practical, easy steps to start investing in mutual funds on Cowrywise. Whether you’re a beginner or you’re just looking to simplify your investment process, you’re in the right place!
Now, let’s get into the steps!
Download and Set Up the Cowrywise App
First things first, you need to get the Cowrywise app. It’s available for both Android and iOS devices. Simply head to your app store, search for “Cowrywise,” and install it. Once the app is downloaded, sign up for an account using your email or phone number. If you’re already a Cowrywise user, just log in.
Complete Your Profile
To make the most out of your investments, Cowrywise will need some details from you. Complete your profile by filling in information like your full name, address, and Bank Verification Number (BVN). Don’t worry, your BVN is only used to verify your identity and ensure the safety of your funds from internet fraudsters.
Explore the “Invest” Tab
Once your account is set up, navigate to the “Invest” tab on the home screen. Here, you’ll find different investment options including Mutual Funds. Click on Mutual Funds, and you’ll see a list of funds available on Cowrywise. These funds cater to various risk levels, so there’s something for everyone, from conservative (low-risk) to aggressive (high-risk) investors.
Choose a Mutual Fund Based on Your Risk Profile
Mutual funds on Cowrywise are categorized based on risk levels, so you can choose one that aligns with your financial goals and risk tolerance, The CowryWise app will help you find your risk level through a quick test. Here are the common categories:
– Low Risk: Perfect for people who prefer safety and are okay with lower returns. These funds mostly invest in bonds and treasury bills.
– Moderate Risk: A mix of both stocks and bonds, offering a balance between safety and returns.
– High Risk: Great for those who want higher returns and are willing to take on more risk. These invest more in stocks.
Cowrywise also provides insights and historical performance data on each fund, making it easier for you to choose.
Fund Your Cowrywise Wallet
Once you’ve picked a mutual fund, the next step is to fund your Cowrywise wallet. This is the wallet you’ll use to buy into the mutual fund. You can fund it using bank transfers or a debit card. It’s a smooth process—just enter the amount you want to invest, and the funds will reflect in your wallet in a matter of minutes, as long as there’s no network or bank problems.
Invest in the Mutual Fund
Now that your wallet is funded, go back to the Mutual Fund section, choose the fund you want to invest in, and click “Invest Now”. Enter the amount you want to invest (You can start with as low as ₦1000) and confirm your transaction. And just like that, you’re now a mutual fund investor!
Monitor Your Investment
One of the perks of using Cowrywise is that it allows you to monitor your investments in real-time. Head over to the “Portfolio” section to track the performance of your mutual funds. You can see how much your investment has grown and withdraw or reinvest your earnings whenever you choose.
Investing in mutual funds on Cowrywise is a simple and effective way to grow your wealth, even if you’re just getting started with getting your money game on. With these easy steps and a user-friendly platform, Cowrywise, makes it accessible to everyone. Whether you’re aiming for a low-risk or high-return fund, the key is to get started today and watch your money grow!
