Safaricom Launches Ziidi Trader: How to Buy NSE Shares on M-Pesa App

Safaricom has officially launched Ziidi Trader, a mobile platform on the M-Pesa app that allows one to buy and sell shares without having a Central Depository System (CDS) account.

The platform was launched by President William Ruto on Tuesday, February 10, and trading is done via an omnibus account that consolidates investments for all customers.

To access Ziidi Trader, one has to download the M-Pesa app.

After downloading the app, open the financial services tab and click on Ziidi Trader. 

Since you do not need a CDS account, you will only need to opt in and answer a few questions (for example, are you employed of self-employed, and what is your source of income - savings, business, etc)

Once you answer the question, you will be able to buy shares. Before proceeding to buy shares, ensure that your M-Pesa has sufficient funds.

Also Read: CSD vs CDS: Two Accounts You Need to Invest in Shares and Bonds

How to Buy and Sell Shares on Ziidi Trader 

1. Once you have opted into the service, you will see a pop-up for ‘Buy stocks’. Click on it, and you will be taken to a tab that lists all available shares being traded.

2. Pick the company you want to invest in and click on buy. 

3. Place your bid/Insert your buying price  ( the amount you would wish to buy the shares at).

“Best Price is the most favourable price available in the stock market at the time you place an order. When buying shares, it means the lowest price a seller is offering. When selling shares, it means the highest price a buyer is willing to pay.

“Own Price is setting your own price at which you want to buy or sell shares, instead of accepting the current market (best) price. When buying, you choose the maximum price you are willing to pay; when selling, you choose the minimum price you are willing to accept.” Safaricom explained 

4. Insert the number of shares you want to buy (e.g., 10, 50, 1000). Once complete, you will be asked to make payments with a pop-up asking you to choose the source of the payments (M-Pesa and Ziidi, which will be introduced on the platform in due course).

5. The performance of the purchased shares can be accessed through the 'Portfolio' tab.

Read more: How Much You Would Spend Buying Just 1 Share From Every Company on the NSE

How to Sell Shares on Ziidi Trader 

1. Open the ZiiDi trader mini-App, 

2. Under Trade, select the security and tap Sell

3. Enter price & quantity of shares to sell 

4. Review the summary and tap Sell Shares, then tap Proceed, tap Sell Shares and confirm with M-Pesa Pin.

“Selling depends on order matching. Funds are disbursed immediately after a matched sell order.” Safaricom noted in its FAQs.

Is the a limit to traders?

Ziidi Trade is only accessible to M-Pesa customers aged 18 and above 

What are the operating hours for Ziidi Trader? 

Users are advised to trade between 9:30 am and 3 pm. Any orders (purchases or sales made past 3 will see the investor get a refund of their money.)

Payment of Dividends on Ziidi Trader

Dividends are cash payments paid to shareholders based on the number of shares held as at the book closure date. Dividends are paid via M-Pesa only. The book closure date is the day the company checks who owns the shares. If you have shares on that day, you qualify to get benefits like dividends.