LEARN · STEP 3 OF 5
Stockbrokers and CSCS accounts
You cannot buy NGX shares directly — a licensed stockbroker places the order for you, and your shares are held electronically in your CSCS account. Opening one needs your BVN and a valid ID, and many brokers and apps now do it fully online.
What a stockbroker does
A stockbroker is your agent on the exchange: you say “buy 100 shares of GTCO,” they execute it and charge a small commission. In Nigeria, stockbrokers must be licensed by the SEC — check before you hand anyone money. Many now operate through apps (Bamboo, i-invest, Meristem, and others), so “having a broker” increasingly just means having an account on a licensed platform.
What the CSCS is
The Central Securities Clearing System (CSCS) is the electronic vault where Nigerian shares live. There are no paper certificates anymore: when you buy, the CSCS records you as the owner under your CSCS account number and Clearing House Number (CHN). Dividends and corporate-action notices follow these records — which is why getting your details right matters.
Opening an account: what you need
- BVN (Bank Verification Number) — links your identity across the financial system.
- A valid ID — NIN slip, voter’s card, driver’s licence or international passport.
- A bank account — for funding purchases and receiving dividends and sale proceeds.
- A passport photo and a signature, usually uploaded digitally.
First-timers can also enter the market through public offers — the Dangote Refinery IPO, for example, allots shares via a temporary Registrar ID even if you have no CSCS account yet (see our IPO guide).
Quick summary
- A licensed stockbroker (or licensed investing app) executes your buy and sell orders.
- Your CSCS account is where your shares are recorded electronically — guard its details.
- BVN + valid ID + bank account is all it takes to open one; only use SEC-licensed firms.