Here’s a guide to investing in the Nairobi Securities Exchange (NSE) in Kenya + a look at some of the top-performing stocks in 2025 to watch.
🏛️ Investing in the NSE: Step-by-Step
1. Choose a Licensed Broker / Central Depository Agent (CDA)
You cannot directly buy shares on NSE — you transact through a stockbroker or investment bank that is licensed. The broker also acts as your Central Depository Agent (CDA).
2. Open a CDS Account
- You’ll need to fill a CDS-1 form via your broker/CDA.
- Submit your identity documents (Kenyan ID or passport), proof of residence, and often passport sized photos.
- Once approved, you’ll get your own unique CDS account number.
3. Fund Your Trading Account
After your CDS account is active, deposit money into your broker’s trading account. This is the capital you’ll use to purchase shares.
4. Place Buy / Sell Orders
- You place buy or sell orders through your broker (they will submit them on NSE).
- The minimum trade is typically 100 shares (though this depends on the stock’s price).
- There are brokerage fees, transaction costs, and taxes (e.g. capital gains withholding).
5. Hold, Monitor, and Exit
- You can hold for dividends or long-term growth, or trade actively.
- When you sell, the shares are removed from your CDS account, and proceeds (minus broker fees) are transferred to your bank account.
📈 Top-performing Kenyan Stocks in 2025 & Market Highlights
Here are some stocks making waves at the NSE in 2025, based on price gains and investor interest:
| Company / Ticker | Approx Gain / Highlights | Why It’s Noteworthy |
|---|---|---|
| Kenya Power & Lighting Co (KPLC) | +139.09% YTD | Strong performance in the energy sector driving market growth. |
| KenGen | +104.95% YTD | Also part of the energy / infrastructure rally. |
| Sameer Africa Plc (SMER) | +441.67% (Jan → Aug 2025) | Huge jump; partly due to pivoting business operations (e.g. real estate) |
| Nairobi Securities Exchange Plc (NSE) | +119.37% | The stock of the exchange itself is rising. |
| East African Portland Cement (PORT) | +109.17% | Cement & infrastructure sector interest. |
| HFCK (HF Group Ltd.) | +99.43% | Banking / financial sector doing well. |
| Energy / Infrastructure Sector in general | Strong returns | Energy stocks have led gains in 2025. |
Other stocks often mentioned among best performers or favorites include Safaricom, EABL, KCB, BAT Kenya and Centum.
✅ Tips & Strategies for NSE Investing
- Diversify — don’t put all your money in one stock or sector.
- Consider dividends — some stocks pay consistent dividends, providing a passive income stream.
- Follow sector trends — sectors like energy, infrastructure, and banking have been strong in 2025.
- Be mindful of fees & taxes — they eat into profits.
- Stay updated on economic & regulatory changes — new policies, privatization, or government moves can shift markets.
- Long-term vs trading — pick a strategy that fits your risk tolerance.
