I think you should consider that in when you have rental property despite earning an average of 6% their also capital appreciation of the land the property is sitting on at average of 20% and also its has an hedge against inflation since the cost of building a property now will be totally different from what it will cost you if you build in 5 years from now for instance. An MFF of return of 15% is subjected to 15% withholding tax this reduces the actual return to 12 %
@user-kpkxgtj2 ай бұрын
Capital appreciation looks good when calculating net worth on paper, but isn't of much help when cash flow is the priority. It can only be accessed when one sells that asset (and hopefully it will not be due to an emergency, otherwise they will be forced to dispose of it at less than market value), or borrows against it. There's a lot of value in 12% at hand today vs maybe 20% one day if I have enough time to sell at the right price.
@incbluesail30802 ай бұрын
You're right
@johnomondi3151Ай бұрын
Food is expensive & cost of living keeps on going up. If I buy acres of agricultural land for farming, is it a dead investment?
@bonifaceponda229526 күн бұрын
These is so educative
@benedictaustard5583Ай бұрын
Sir, This is a brilliant discussion .Subscribed, keep educating us!.
@DAVIDNDERITU-g4kАй бұрын
Good one bro
@nelsonkiiru7252Ай бұрын
Very insightful!!
@beenmankenyaasaliasilivent3072Ай бұрын
Truly good financial advise.
@Lulu-po3knАй бұрын
Thank you Jekoniah, very useful info.
@rydergoode69222 ай бұрын
Could you do a video about the debt distress exchange which wanjigi is constantly fear mongering about? It happened in Ghana yes, can it happen in Kenya or is it just fear mongering
@jekokello20392 ай бұрын
I'll cover this in my future video.
@penninamuli8202Ай бұрын
True. Simple mathematics shows me that investing in IFB treasury gives you much more return than a rental unit costing the same
@simonwainaina73602 ай бұрын
How do you go about in investing in mmfs, do you deposit some money somewhere and wait to reap?
@zipporahmaisiba33062 ай бұрын
Good presentation, how does one join these money markets? What is the starting point? Talk about the safety aspects also
@jekokello20392 ай бұрын
text me on 0724612566
@immaculatemutinda54962 ай бұрын
Just walk into any britam, old Mutual and ask to Open an MMF Account... deposit money and thats it.
@stargoldclassic3144Ай бұрын
Good 👍
@CreativeMind00472 ай бұрын
You should avoid Kenya in first place. Thanks
@josphatkiarie85942 ай бұрын
A good one
@gw77682 ай бұрын
So all the 50M+ should leave?😂...
@VNduks2 ай бұрын
😂😂😂
@CreativeMind00472 ай бұрын
@@gw7768 50 million want to leave but nobody wants them. Thanks
@user-kpkxgtj2 ай бұрын
@@gw7768 no, the 1M or so people who are doing well and have managed to prosper here, including about 3000 dollar millionaires, can stay 😅
@bernardmulobi822 ай бұрын
Why can't I build a mansionette in the village if I want it? Not everything is meant to be an investment
@PeterOWere2 ай бұрын
Yes. As much as financial arithmetic is important, sentiment value also has its place in life.
@user-kpkxgtj2 ай бұрын
The issue with that usually is for many people that village castle is all they own. They will sacrifice greatly and pour all their money into building it or paying off a loan to build it (while renting in the city), but don't have anything aside from their job or business putting money into their pocket. They also don't have 6 months to a year of living expenses saved in an emergency fund, so heaven forbid if they have an emergency, they will have to get a loan or borrow from people around them. Or sell that village house. If one has the financial muscle to have a mansion in the village (with all the expenses that go along with it) and still live a full life and be liquid enough to deal with emergencies, then there's no problem building a house that is lived in for barely 2 months in the year. But for most regular people with limited finances, it is not the most prudent financial move and is a pretty steep price to pay for pride and sentiment.
@jekokello20392 ай бұрын
@@PeterOWere what is its real value?
@jekokello20392 ай бұрын
@@user-kpkxgtj Build a mansion in Shagz if you're super wealthy; otherwise, it is a wrong financial investment. Just my thoughts.
@georgeodhiambo5982 ай бұрын
Invest first, then let the cash flows from investments pay for your sentimental, but low or even negative return acquisitions.
@Hobby_trails_family2 ай бұрын
Which money market fund is giving 15%?
@jekokello20392 ай бұрын
Jubilee Money market fund at 16.21%
@prof_emeritus_phd6022 ай бұрын
If you have 5 pairs of shoes, chances are high you only like and frequently use 1or 2 pairs the rest is for show off
@jekokello20392 ай бұрын
yeah, true. It is disrespecting money, if you ask me.
@RaulChenge-xr6fvАй бұрын
umaskini ni mbaya sana, we need more than 20 pairs,more than much clothings,land,houses and this is life,life cares less on profits.
@charlesmuriithi29642 ай бұрын
what happens if the Government collapses yet you have invested 100m? asking for a friend
@jekokello20392 ай бұрын
We thank God, the government is here to stay. But even if it does, we will still have an economy. The incoming government will likely honor the country's financial obligations.
@shrewdson99592 ай бұрын
Isn't that more like taking the leap of faith and risk it all on the hands of corrupt political personnel?
@drcjmureithi62092 ай бұрын
What happens to governments bonds when governments change, like in a military coup detat?
@jekokello20392 ай бұрын
The government that takes over may maintain the current economic structure and debt obligation if they don't suspend the Constitution. It is highly unlikely that the incoming government will default the country's debt.
@coralsky-o3hАй бұрын
@@jekokello2039Really Okello Fitch has already downgraded 3 major banks who lent the govt billions, signaling distrust in the current govt.
@decomezdecomez76392 ай бұрын
Liquidity / Return in investments is directly proportinate to Risk. Ahealthy balance risk diet😎
@jekokello20392 ай бұрын
I agree with you.
@georgeodhiambo5982 ай бұрын
@@jekokello2039That's the theory but one class of high risk investments in Kenya ie stock market also have a very low return. Even negative returns for long periods of time.
@goodlife88232 ай бұрын
Great insight 👌
@ev.patrickmatheka80132 ай бұрын
I have already built the mansion in shags what can I do now?
@jekokello20392 ай бұрын
Learn from that mistake and make better decisions going forward.
@denniskisule81312 ай бұрын
Tell us how money market fund makes money by themselves to boost our confidence and trust in them because huge returns have questions on whether a business makes money
@user-kpkxgtj2 ай бұрын
@@denniskisule8131 money market funds make most of their money through investing in treasury bills and bonds, and a smaller amount through corporate paper. So to determine if the advertised gains are legit, check the prevailing returns on those - the information is freely available in the public domain. Money market fund yields will usually be equal to or a few % below that of the assets they invest in.
@jekokello20392 ай бұрын
Good question. Commercial paper investment earns between 18 and 25%. Bonds earn between 16 and 18%. and Fixed deposits earn between 16 and 19%. That's how these MMFs make money. They invest in these instruments.
@jonniesimiyu5301Ай бұрын
@@jekokello2039is this annually?
@mr.gathuru8282 ай бұрын
Very enlightening...
@honorebelcollinsocollococo2774Ай бұрын
Good job okello
@JohnMwangi-jv3pp2 ай бұрын
Thank you sir
@HhJj-r6r2 ай бұрын
Good talk
@samuelgitau922 ай бұрын
Good one
@augustinetumuti67302 ай бұрын
Thank you
@kenyatop-notchnewstv.2 ай бұрын
I have subscribed
@jekokello20392 ай бұрын
Thank you very much for your support.
@patriciamuchunu63462 ай бұрын
It 7.5% tax
@reginanjihia8502 ай бұрын
✍️
@charityndegwa65532 ай бұрын
Land
@jekokello20392 ай бұрын
Land appreciates with time but the challenge is liquidating it. So, while land is good, I recommend investing in it after building other income-generating assets like bonds, MMfs, and REITS.