The number of teenage investors participating in the Nairobi Securities Exchange (NSE) has more than doubled in nine months, reflecting growing interest in the stock market. According to data from the Capital Markets Authority (CMA), junior equity investors, those aged below 18 years, rose to 497 in September from 236 at the end of December 2025. This represents a 110.6 percent increase. The growth in teenage investors is attributed to a rally in share prices and new listings that have revived interest in the stock market.
The number of teenage investors is also 2.4 times the 207 recorded in September last year and nearly three times the 175 reported in September 2023. This indicates a gradual expansion in the category that has gathered pace this year. The teenage investors own shares estimated at Sh120 million, accounting for 0.003 percent of the Sh4 trillion stock market. Despite their growing numbers, the junior investors' collective financial exposure remains marginal compared with that of established investors.
The junior investors have also made an entry into the corporate bond market, with seven holding accounts in this category up from four in March. There were no such holdings in the prior six years. Minors can invest at the NSE through junior Central Depository System (CDS) accounts opened and operated by parents or guardians until they reach adulthood. This allows them to own listed shares from an early age.
Experts say investing has become increasingly popular among young people, driven by the emergence of mobile apps that charge little to no commission and the abundance of financial content available online. A survey by the World Economic Forum covering 13 countries showed that nearly a third of Generation Z have started investing by the time they reach early adulthood. This is more than any other generation at the same age.
In Kenya, the increase in junior accounts coincides with a strong performance by the NSE, where returns have averaged over 33 percent this year. This makes equities the best-performing investment class. Returns on bank deposits were averaging 6.94 percent at the end of September, while Treasury bills are fetching under 10 percent. The rally has improved the appeal of equities at a time when the exchange is also attracting new listings and a wider pool of investors.
The broader investor base grew by 333,043 in the nine months to September, taking the number of NSE investors to 2.36 million. This was more than three times the 98,063 added in a similar period last year and almost double the 174,400 recorded in the whole of 2025. The market's revival has coincided with the return of major listings, including the March initial public offering of Kenya Pipeline Company and the June listing of Family Bank.
The rise in investor numbers came as the exchange recorded a rise in market value, with capitalisation crossing the Sh4 trillion mark for the first time during the quarter. The market capitalisation climbed to Sh4.12 trillion in September, up from Sh2.94 trillion at the end of 2025. The CMA attributed the quarter's performance to growing confidence and resilience in the capital markets, noting that new investment products could broaden participation and deepen the market.
Key points
- The number of teenage investors holding shares at the NSE has more than doubled in nine months to 497.
- The teenage investors own shares estimated at Sh120 million, accounting for 0.003 percent of the Sh4 trillion stock market.
- The NSE has been on a bullish run since 2024 after snapping a prolonged bear run that had drained investor confidence in the market.
