By Ahmed TAHIRU
Each weekday morning in Accra, while the city stirs to life, millions of cedis quietly shift hands on glowing screens at the Ghana Stock Exchange. Prices blink, bids compete, and ownership changes in seconds. This is not just trading — it is where ambition becomes measurable value.
In Part One, we explored the foundations of Ghana’s investment ecosystem: the Ghana Stock Exchange, the Securities and Exchange Commission, and the Central Securities Depository.
They build the stage. Now, it is time to step onto it. Part Two turns understanding into participation. The stock market is the visible face of investing because this is where it becomes real — where your decisions, not just your dreams, start building wealth.
What is a stock or share?
A stock, also called a share, represents a unit of ownership in a company. When you buy a share, you are not simply handing over money. You are becoming a co-owner of that company. This gives you rights to a portion of its profits, which often come as dividends, and it allows you to benefit from any increase in its value over time.
Think of it as owning a slice of your favorite brand. If that brand grows, opens new branches, and earns more revenue, your slice becomes more valuable.
For example, if you hold shares in MTN Ghana and it expands its network and profits, the market may reward it with a higher share price — and your stake grows with it. Shares transform everyday people into part-owners of the brands they believe in.
How the stock market works
The stock market is like a digital marketplace where buyers and sellers meet to trade shares. At its center is the order book, which records every intention to buy and sell. Buyers place bids, showing how much they are willing to pay. Sellers place asks, showing the lowest price they are ready to accept. When a bid matches an ask, a trade occurs instantly and ownership shifts.
On the Ghana Stock Exchange, this happens through structured sessions. The pre-open session lets investors place and adjust orders without execution. The continuous session is the live market, where orders match in real time and trades happen. The post-close session finalizes and confirms all trades made that day. This structure keeps the market fair, transparent, and efficient — allowing you to confidently enter and exit investments without chaos.
What drives share prices up or down
Share prices rise and fall because of the constant tug-of-war between investor expectations and real-world performance. Company results are often the strongest force. When a business such as GCB Bank reports strong earnings, launches new products, or announces dividends, demand for its shares can rise and push prices higher. When results disappoint, prices may fall as confidence dips.
Beyond individual companies, broader economic currents also move the market. Rising inflation can erode purchasing power and reduce risk appetite. Higher interest rates make borrowing expensive and can shift money from stocks to safer assets like bonds. Currency fluctuations affect companies that import or export goods, altering their profitability and influencing investor behavior.
Even psychology plays a role. Positive headlines or market rumors can trigger waves of optimism, while fear or panic sparked by negative news can cause sell-offs. The market is a living reflection of numbers, news, and human emotion all colliding in real time.
How to buy shares on the GSE
Buying shares in Ghana is far more accessible than most people imagine. It comes down to three practical steps.
Step one is opening a Central Securities Depository (CSD) account. This is your digital vault for storing shares. Visit a licensed stockbroker such as IC Securities or Black Star Brokerage and request to open one. Bring your national ID and a passport photo. Once approved, you receive a unique CSD number — your official identity as an investor.
Step two is working with your broker to begin trading. Brokers like IC Securities and Black Star are licensed by the Securities and Exchange Commission to connect you to the Ghana Stock Exchange. They do more than place orders — they guide you with market research, company updates, and advice matched to your goals and risk appetite.
Step three is placing and monitoring your orders. Through your broker’s online platform or direct instruction, choose the company, the number of shares, and your target price. When your order matches in the market, the CSD updates your ownership instantly. From that moment, you are officially a shareholder. You can monitor your portfolio through your broker’s dashboard, track market trends, and decide when to buy more or sell.
With these steps, investing stops being theory and becomes action.
The role of stockbrokers
Stockbrokers are your bridge to the market. They are licensed by the Securities and Exchange Commission, which ensures they operate with fairness and transparency. This regulation protects you from malpractice and builds trust in the system. But their value goes beyond execution.
Skilled brokers provide market research, track company performance, and offer portfolio advice shaped around your goals. A good broker becomes your co-strategist, guiding you through market noise and helping you make confident, informed decisions.
The way forward – Embrace the investment journey
Investing is not about chasing quick wins. It is about building wealth steadily, securing your future, and contributing to Ghana’s economic growth. Every cedi you invest helps fund companies that create jobs, develop infrastructure, and fuel national progress. Start small. Open your CSD account this week.
Work with a licensed broker who can walk with you through your first trades. Invest an amount you can afford, learn as you go, and stay consistent. The most successful investors are not those who rushed in with large sums, but those who combined patience with persistence and knowledge.
Ghana’s capital market is no longer a gated arena for a select few. It is an open field waiting for bold, curious minds to enter. The path from savings to ownership, from risk to reward, is now visible. You know the system. Now use it. Step into the market, place your first order, and claim your place in Ghana’s investment rise.
>>>the writer is a strategic writer and advocate for financial literacy, governance, and SME growth. With a focus on empowering individuals and communities, he believes financial education is key to sustainable development. Ahmed is dedicated to equipping others with the tools to unlock their financial potential and drive economic progress. Contact: +233 543 460 166 or [email protected] and www.linkedin.com/in/ahmed-tahir
