The subject of financial investment has been with us for a long time. However, many times people have not embraced the idea to start saving for a financial gain or growth until it is too late. Financial investment is important in one’s life as the resources one invests in today may help when age catches up and one is unable to engage in any gainful activities as before.
In Kenya today there are many avenues one can use to invest smartly for financial growth. Some of the avenues include; savings and credit co-operatives popularly known as SACCOS. One can join a SACCO and then open a savings or share account to save monthly.
The money saved in a shares account is not withdrawable over the counter, thereby enabling the member to accumulate substantial savings over a period of time. Most SACCOs in Kenya have such arrangements and workers or businessmen can join and start long term savings schemes.
Other financial services offered by the SACCO is a term or fixed deposit. A member may open a fixed deposit account and build it gradually through regular deposits over a period of time. Similar services are offered by commercial banks, Insurance companies, stock exchange companies and small and micro enterprises (SMEs) among others.
Before one decides where to invest, there are a number of factors to consider; the returns on the investment, the period after which one can access his/her investment and the reputation of the financial institution.
Unless one does it smartly chances of losing money in the long run are possible. We have had such cases before, where financial organizations emerge with very good promises on returns and benefits but within a short period they go under, leaving customers counting on losses, otherwise the benefits of financial investments are overwhelming.
Other than the main stream banking institutions, savings and credit co-operatives (SACCOS) are among the best financial institutions to consider when one wants to invest in long term financial growth. SACCOs are known for the manner they conduct their business.
They operate based on very fundamental principles among which are; open and voluntary membership, democratic control and return on investment. Joining a SACCO is voluntary and the members are the customers as well as the owners of the organization, hence commanding a great control over the organization’s internal governance.
SACCO members are entitled to sharing of dividends and interest on deposits respectively at the end of every year. If you need to invest in long term financial growth, then think about joining a SACCO today and you will never regret.
