Where to invest in November 2026: Stocks, fixed income and funds to consider

Investors entering November can still secure income above the latest inflation rate, examine stocks made cheaper by October’s declines, and use mutual funds to access both opportunities without selecting individual securities.

Treasury bills offer a reference yield of about 18.75%, compared with September inflation of 14.63%, while recent commercial-paper offers paid 21%–23%, with additional company repayment risk.

We expect some downward pressure on new rates through year-end, strengthening the case for securing suitable returns now.

In equities, the latest nine-month results should guide purchases. October’s banking decline creates opportunities to reassess prices, while industrial goods’ strong rally makes entry valuations important. Dollar assets can provide income and currency protection following the naira’s October weakness.

The right combination starts with the return being targeted, how long the money can remain invested, and how much loss the investor can afford.

A portfolio targeting 30% will need considerably more growth exposure and risk than one built mainly for predictable income.

What has changed for investors?

September inflation declined to 14.63%, while the CBN’s benchmark interest rate stands at 23% following its September reduction.

These developments support expectations of lower borrowing costs, although rising energy costs could slow further progress

More money is also becoming available for reinvestment. The Financial Markets Dealers Association (FMDA) expects about N13.79 trillion to flow into Nigeria’s financial system in November, mainly as existing investments mature and government payments reach banks.

Much of this is investors receiving their money back, rather than entirely new money entering the economy. They can reinvest it in bills, bonds, stocks, or other assets.

• However, fresh CBN auctions could absorb part of those funds, leaving less available for other investments.
• Currency movements also support keeping part of a portfolio in dollar-denominated investments.
• Nigeria’s gross foreign reserves reached $55.22 billion in October, but the monthly increase slowed to $295.35 million, while the naira weakened from N1,329.50/$ to N1,346/$.

Dollar investments offer currency protection alongside income. Nigerian Eurobonds currently provide around 7% annual yields in dollars, depending on maturity and purchase price.

We see scope for yields to ease if global financing conditions and confidence in Nigeria improve, which could also increase existing bond prices.

For investors with future dollar expenses, however, the strongest reason to hold them is matching those expenses with dollar assets, rather than relying on further naira depreciation.

Meanwhile, the World Bank outlook reported by Nairametrics projects a 7% increase in global food commodity prices in 2027.

• That is not a Nigerian inflation forecast, but it highlights possible pressure on household spending and manufacturers’ cost

If you want a steady return on your money

Treasury bills currently offer returns above Nigeria’s latest inflation rate, strengthening their appeal for investors seeking stability.

• At the October 28 auction, the one-year bill offered an annualized investment yield of approximately 18.75%, compared with September inflation of 14.63%.
• As November begins, October’s auction rate remains our reference pending the November 4 results.

We expect the positive gap to remain through year-end if inflation continues easing and yields decline gradually.

• For illustration, an 18% yield against 14% inflation would leave a four-percentage-point gap, or approximately 3.51% after adjusting for inflation.

Higher food and energy costs could narrow down that advantage. Nevertheless, securing an attractive rate now and holding to maturity protects the agreed income if later offers pay less.

You should match the maturity to when they need their money and compare the return after fees.

Money-market funds offer convenience

If you prefer a fund manager to select short-term investments, money-market funds provide another route.

• The SEC report for October 23 shows selected reported yields ranging from 16.53% for ARM Money Market Fund to 21.30% for First Ally Money Market Fund, with Coronation at 20.36%.

But understand that these are reported yield indications, not guaranteed November returns. If you take the investment, you should confirm fees, withdrawal terms, and how the yield is calculated.

Commercial Papers

Commercial paper offers additional income for investors comfortable lending to a company.

Recent October offers paid 21% from MeCure and 23% from Daraju, compared with September inflation of 14.63%.

That represents a headline gap of 6.37–8.37 percentage points above inflation, before deductions but not a guaranteed purchasing-power gain.

• The extra income also comes with repayment risk. Against the 18.75% annualised yield on the October 28 one-year Treasury bill, Daraju’s similarly dated paper offered about 4.25 percentage points more. MeCure offered a smaller premium over a shorter investment period.

For November and December, our expectation is for some downward pressure on new CP yields if inflation continues easing and funds available for investment remain plentiful.

• MeCure’s reduction from 21.75% to 21% illustrates that possibility; Daraju’s unchanged 23% shows that each company’s funding needs and risk still matter.

So, you can consider securing an attractive rate when a suitable offer opens, provided the company’s cash generation supports repayment, and the money can remain invested until maturity.

A higher rate is worthwhile only if the borrower can pay it back.

Where could growth come from?

Stocks remain an option if you are seeking growth, but October showed why company selection matters.

• Industrial goods gained 16.85%, largely supported by Dangote Cement’s 33.12% rise, while HBM Nigeria and BUA Cement declined.
• Banking lost 10.42%, although it remained up about 60% for the year. The decline offers a chance to reassess entry prices, but a cheaper share is attractive only if the business supports its value.
• The newly released nine-month results help you make that distinction. The preference should be for companies growing their core earnings and generating enough cash to fund operations and dividends. For banks, loan quality also matters.

Brokerage recommendations provide a starting shortlist. Anchoria projects about 24% upside for AIICO, Bancorp approximately 21% for FirstHoldCo, and PAC Research roughly 13% for HBM.

But these estimates should be checked against current prices, the latest results, and each firm’s investment horizon.

• If you prefer professional stock selection, you can consider equity funds. As of October 23, Zedcrest Equity Fund reported a 98.74% YtD return, followed by Zrosk Magna at 69.05% and Halo at 68%.

However, all three declined during the latest reporting week, showing that substantial gains can still come with short-term losses.

• Dollar funds can complement these holdings, particularly for investors with future dollar expenses.

As of October 23, reported YtD returns included 12.47% for Futureview Dollar Fund, 11.12% for Norrenberger Dollar Fund and 7.81% for United Capital Nigerian Eurobond Fund.

These are returns on dollar investments; the investor’s return in naira also depends on exchange-rate movements. Past returns are not guaranteed to continue.

The objective here is to pursue growth while spreading exposure across investments and currencies, with enough accessible money to meet near-term needs.

What could an N10 million portfolio look like?

Overall, the first question is how much you want the money to earn and over what period.

Someone targeting 30% over the next 12 months wants N3 million in profit, which requires a different approach from someone prioritizing predictable income.

• At the rates reviewed, Treasury bills and money-market funds alone are unlikely to deliver 30%. A larger allocation would therefore need to go into stocks or equity funds, where the potential gains come with a greater possibility of losses.
• For illustration, investing N6 million in equities, N3 million in Treasury bills and N1 million in a money-market fund would leave most of the growth responsibility with equities.
• If the bills earned 18.75% and the fund earned 17%, they would contribute around N732,500 before costs.
• The equities would then need to earn 38% to bring the portfolio’s total profit to N3 million.

Some equity funds have exceeded that return this year, but those gains cannot be assumed to repeat. October’s banking decline shows how quickly prices can move against investors.

A 30% target therefore requires willingness to accept substantial price swings and possible capital losses.

If that risk is uncomfortable, the sensible adjustment is to lower the target and allocate more to predictable income.

The portfolio should follow the return objective, the time available and the losses the investor can.