The instruments investors buy

Module 03 / 5 · 55 min

Understand shares, government and corporate bonds, Treasury bills, collective investment schemes and future derivatives: what each pays, what can go wrong and who uses it.

In this module you will learn to

Explain what a share gives its holder and how shareholders earn a return
Compare government bonds, corporate bonds and Treasury bills by issuer, maturity and risk
Calculate a dividend yield, a bond coupon and a Treasury bill price
Describe collective investment schemes and why derivatives are still a future step in Ethiopia

Built on

Erudite Africa training module: Ethiopian Context, topic 2.a Introduction to Capital Markets, Level 1 (October 2026)
Capital Market Proclamation No. 1248/2021 and National Bank of Ethiopia Proclamation No. 1359/2025
ECMA Directives No. 980/2024 (service provider licensing) and No. 996/2024 (fees); directives on exchanges and OTC (reported as No. 1009/2024) and public offers (reported as No. 1030/2024); draft Foreign Portfolio Investment Regulation (September 2026)
Ethiopian Securities Exchange Rulebook (December 2024)
NBE Directive No. SBB/92/2024 and NBE Monetary Policy Committee release No. 7 (July 2026)

Examples and companies are fictional. Bank practices are shown as typical Ethiopian practice, not as any one bank's policy. Always apply your own institution's approved policy and the current NBE directives.