How to Trade Stocks Online in Kenya.

Stocks are collections of shares of a company. And shares are units of the capital of a company.

A company divides its capital into many equal units and sells them to individuals who wish to share in the ownership of the company.

Shareholders share in both profits and losses of the company.

There are so many companies in Kenya and in the world whose shares are listed in the respective stock exchanges.

As an investor, you can then buy such stocks to share in the ownership of such companies.

Trouble funding Olymp Trade?

You will profit from not only price rises but also on dividends given out by the company you invest in.

You can trade stocks online in Kenya with very little starting capital and emerge profitable.

Interestingly, you’ll only need your mobile phone or computer and access to the internet.

To prove how true that is, I will use this guide to show you how to trade stocks online in Kenya. 

Trading Stocks Online in Kenya. What do you need to get started?

  1. Education.

Can you start trading stocks in Kenya without any knowledge of the Kenyan stocks market? Of course, you can, but I guarantee you will fail.

Visit Website
Promo Codes
Learn More
1 Best Brokers in 2019
  • OnPay Bonus - 50% Bonus
  • :DznTaSR - 30% Bonus
  • :xTfugDB - 40% Bonus
  • :UkHUIpt - VIP at Half the Price
We're giving out $1,500 in March.
* Joon Feb contest ends on 8th Feb 2021.

If you ask me, you need to understand at least the basics of stocks and stock trading.

Do you know how stock prices move?

Any idea of what triggers stock prices to move? These are some of the things you should first know before you can think of trading stocks online.

What exactly do you need to trade stocks online?

What platforms should you go for and how much capital is enough? Which companies offer promising stocks in Kenya and beyond?

Those, among many others, are paramount questions to answer before you proceed to trade stocks online.

Keeping your cool on this process will serve the purpose of educating you about stocks and stock trading in Kenya.

Having trouble funding Olymp Trade?
  1. Brokerage.

You don’t just trade stocks out of nowhere.

You need a broker through which you will access the stock market and execute trades.

What should you look for in a broker? Here is a checklist to work with.

  • Choose a broker that charges affordable commissions on stock trading.
  • Brokers who offer enough education and assistance as well as client support.
  • Reputable brokers who have been in operation for a long time and that are performing well.
  • Brokers licensed and regulated in Kenya and listed on the Nairobi Securities Exchange.
  • Brokers licensed and regulated in reputable, trusted, and reliable jurisdictions such as Cyprus.

Here are local Kenyan brokers to choose from:

  • KCB Capital.
  • Equity Investment Bank Limited.
  • Barclays Financial Services Limited.
  • Faida Investment Bank Limited.
  • SBG Securities Limited.

Here are international brokers to choose from:

  1. Local Stock Trading Account.

Do you intend to trade the stocks listed in the Nairobi Securities Exchange (NSE) through local Kenyan brokers?

You must then open a Central Depository System (CDS) Account.

The CDS Account can either be opened singly individuals or jointly by a group. Note that each CDS Account is unique for every trader.

Who can open a CDS Account for you?

You have two options here:

  • A licensed Central Depository Agent (CDA) – this can include commercial banks. Confirm if your bank can do so.
  • The Central Bank of Kenya (CBK).

Open a CDS Account by submitting the following:

  • Filled and signed a CDS 1 form.
  • Filled CDS account specimen signature mandate card.
  • Two colored passport size photos.
  • Copy of your National Identity Card or Passport.
  • Evidence of income such as pay slip or bank statement.
  • Evidence of permanent physical address such as a utility bill or tenancy agreement.

Note that if you are not opening the CDS account at your bank, the above documents must be certified to be true by SBG staff to prevent fraud.

  1. International Stock Trading Account.

Do you intent to trade stocks listed on other exchanges beyond Kenya? Then open a stock trading account with any other broker of your choice. We provided a list of trusted brokers above.

Opening a stock trading account with international brokers actually turns out to be simpler than local brokers.

Here, you don’t travel to any bank but rather, register and open a trading account online at your convenient location.

In a matter of seconds, you will have your stock trading account ready.

Verification of your stock trading account may be required.

Visit Website
Promo Codes
Learn More
1 Best Brokers in 2019
  • OnPay Bonus - 50% Bonus
  • :DznTaSR - 30% Bonus
  • :xTfugDB - 40% Bonus
  • :UkHUIpt - VIP at Half the Price
We're giving out $1,500 in March.
* Joon Feb contest ends on 8th Feb 2021.


At this stage you are required to send scanned copies of the documents requested. You will be ready to trade stocks online after your account is approved.

  1. Account Funding.

Once you open your stock trading account with any broker of your choice, fund that account with adequate money.

How much adequate depends on your intended scale of operation.

  1. Picking the right stocks to trade.

After your account is approved, do you now trade stocks of all the companies that you come across?

Note that you can trade stocks of companies listed on the Nairobi Securities Exchange as well as stocks listed on other exchanges outside the country.

In either case, you must always pick the right stocks, else you will end up a loser.

You don’t want to lose all your capital in the stock market, do you?

Here are key thing to guide you in choosing which stocks to buy:

  • Downtrends in prices of stocks show possible undervaluation of a stock. That may mean that the stock price will rise very soon.
  • Stocks of companies with good business fundamentals are likely to shoot in prices.
  • Stock with less float are more likely to drive more volume, hence high activity and profitability.
  • Companies which consistently make profits and not losses have growing stocks.
  • Stocks with high relative volume have high liquidity and are more profitable.
  • Reputable companies and those with well laid down strategies to grow will imply growth in their stocks.

Final Thoughts.

Once you pick the right stocks, go ahead and trade. Execute trades by buying growing stocks and selling poorly performing stocks – if you have them in your potfolio.

This is done on the broker platform at the touch of a button.

*Risk warning:

The information provided does not constitute a recommendation to carry out transactions. When using this information, you are solely responsible for your decisions and assume all risks associated with the financial result of such transactions.

Start Trading 

Trouble funding Olymp Trade?

Tagged With :

Comment on this post