Growing up, Dr. Nixon Kitimoi was taught the importance of principles and resilience by his father, who helped him and his siblings form acronyms that served as guiding principles for life. These lessons, deeply ingrained in his upbringing, have shaped Dr. Nixon’s approach to life and investments. Early on, he recognized that the path to success is never straightforward, but rather, it’s about embracing challenges and finding opportunities where others might see risk. This mindset has been the cornerstone of his work as Chief Investment Officer at 1STOCK LIMITED.
For Dr. Nixon, investment decisions are more than just financial moves; they’re about understanding the intricate balance between risk and reward. He thrives on identifying opportunities that others might overlook, believing that, much like a skilled sailor navigating rough seas, true growth and success come from rising above adversity. With a sharp eye on sectors like aviation, where the growing middle class ensures rising demand for travel, Dr. Nixon consistently makes decisions that focus on safety, capital growth, and long-term income. His deep understanding of the financial world reflects his belief that the role of financial services is pivotal in powering economic growth and driving efficient capital allocation. Guided by the principles instilled in him, he continues to make investment decisions that not only drive prosperity but also build a legacy of resilience and strategic growth.
Pioneering Investment Strategies for Sustainable Growth
Dr. Nixon is the Chief Investment Officer at 1Stock Limited, an investment management company headquartered in Kampala, Uganda. Initially starting as a hedge fund, 1Stock Limited has since expanded its operations to include private credit, venture capital, and advisory services. The firm’s core mission is to develop a deep understanding of global market risks and rewards, translating this knowledge into portfolios designed to deliver exponential returns with minimal risk. Their approach ensures that these portfolios can generate consistent returns across various market cycles and conditions.
The idea for 1Stock Limited began in early 2017 when Dr. Nixon sold his first business, a food cart company called Hot Chef Limited, to an events management company, Optimus Events Limited. With the proceeds from the sale, he opened a brokerage account to start participating in capital markets. His journey into the world of investment deepened as he taught himself coding and created a quantitative investment model. After six months of profitability, Dr. Nixon realized that to grow his income further, he would need to attract investors and charge a small fee. In November 2017, he made profitable investments in Bitcoin and Ripple, generating returns of US$6,000.
The name “1Stock” was suggested by a friend who saw potential in Dr. Nixon’s investment model and recognized the possibility of turning it into an investment management company. This friend later invested US$10,000 in April 2018. With soft loans from family and friends amounting to US$370,000, Dr. Nixon’s efforts paid off, generating returns of 38.19% in the first month of operations. Since then, 1Stock Limited has grown to manage over US$107 million in assets under management and capital commitments.
Dr. Nixon is driven by a passion for safety, income, and capital growth. He strives to maximize positive impact for investors, seeking to change the narrative about business in Africa. He is also a strong advocate for sustainable finance, believing it to be a transformative strategy that integrates Environmental, Social, and Governance (ESG) concerns with financial benefits.
One of the pivotal moments in Dr. Nixon’s investment career came when he developed an interest in the aviation industry, particularly given its carbon-intensive nature and growing exposure to severe weather events. He identified several opportunities within the industry, including the growing middle class driving increased travel demand, the green transition and design innovation, and urban air mobility to address traffic congestion. His firm has been involved in investments related to hydrogen fuel cell systems for zero-emission air transport and has continued its investment in the acquiring company. Additionally, 1Stock Limited is invested in specialized funds focused on aerospace and defense, aviation parts manufacturing, and direct or fractional aircraft ownership.
In a bold move towards sustainability, 1Stock Limited was allocated over 100 hectares of land by Uganda’s National Forestry Authority to establish a forest reserve, helping mitigate the impacts of climate change. Through these strategies, Dr. Nixon is not only shaping the future of investments but also contributing to a more sustainable and prosperous future for Africa and beyond.
Strategic Investment for Long-Term Growth and Societal Impact
At 1Stock Limited, Dr. Nixon and his team are dedicated to achieving long-term capital appreciation for their investors. Their approach centers on providing a diverse portfolio of high-quality, well-structured, and efficiently managed companies that demonstrate impressive scale and growing market share. The team actively seeks forward-looking stimuli that will accelerate earnings or enhance company assets. These stimuli can include innovations in products or services, the expansion into new markets, the introduction of new management, or shifts in the economic, financial, political, or regulatory environment that open new opportunities. They also look for strategies that are not yet recognized by the market or competitors but have the potential for significant growth.
Dr. Nixon and his team are committed to integrating Environmental, Social, and Governance (ESG) factors into their investment process, ensuring that societal and financial value go hand in hand. Their goal is to diversify investments across companies that positively impact people and the planet. These “impact categories” include affordable housing, education and skilling, financial and digital inclusion, public health, safety and security, energy efficiency, electrification, green energy, pollution remediation, sustainable food systems, water conservation, and waste management.
Despite facing challenges like information opacity, low technical and management skills, and a lack of professionalism in some sectors, Dr. Nixon believes these obstacles can be mitigated through the integration of Business Development Services (BDS). By offering BDS either as a component of financing or as a tailored service for each business, 1Stock Limited helps enhance the performance of Micro, Small, and Medium Enterprises (MSMEs), a critical part of Uganda’s economy. These services provide market access, financial advisory, cash management, and connections to traditional banking products, which in turn lead to job creation, income generation, and economic growth.
The team also sees value in strategies like local currency financing to avoid currency mismatches and diaspora bonds to raise capital from overseas communities. They support South-South investment, which promotes self-reliance and knowledge transfer among emerging markets, as well as Vertical Climate and Environmental Funds (VCEFs), which attract additional private sector funding and reduce the cost of capital by sharing risks across multiple countries and sectors.
Through these approaches, Dr. Nixon and his team at 1Stock Limited aim to create lasting value for investors while fostering sustainable growth and development in Uganda and beyond.
Enhancing Financial Expertise and Sustainable Investment Practices
During Dr. Nixon’s tenure as Senior Consultant at Pal and Lisa Associates, CPAs, CPD seminars played a pivotal role in enhancing the skills of finance professionals in South Sudan. The seminars helped auditors in several key areas, including:
- Equipping auditors to assess whether they have completed the necessary procedures to meet auditing standards and gather all required information and explanations.
- Training auditors to ensure that financial statements comply with applicable laws, regulations, International Financial Reporting Standards (IFRS), and other accounting requirements.
- Enabling auditors to provide assurance that the financial statements prepared by management present a true and fair view.
- Strengthening understanding of the accounting and financial management processes within the Government of the Republic of South Sudan.
- Enhancing knowledge of the internal audit process and its functions.
- Promoting professionalism by emphasizing professional ethics for finance professionals, incorporating the International Professional Practices Framework (IPPF) of the Institute of Internal Auditors, ISAs, IFRS/IAS, and IPSAS. It also involved educating professionals on their roles in relation to national audit chambers, audit committees, and the broader internal auditing field.
- Training new public servants by introducing them to the Constitution, laws, and regulations of South Sudan.
- Deepening understanding of taxation and compliance and presenting financial analysis and strategies.
In addition, Dr. Nixon’s team introduced a four-step approach to integrating sustainability into their investment analysis and decision-making process. This approach, which led to more informed investment decisions, included:
- Defining the core investment philosophy (objectives).
- Embedding the philosophy into processes.
- Integrating sustainability into strategy construction.
- Reviewing the strategy regularly.
There was also a growing focus on improving access to finance, where the seminars played a key role in helping finance professionals understand the various financial instruments and sources available to meet strategic investment needs. This holistic approach not only enhanced professional skills but also fostered a broader understanding of sustainable finance practices within the region.
Approach to Venture Philanthropy and Sustainable Investment
Dr. Nixon and his team at 1Stock Limited are committed to boosting the development of operations within Vertical Climate and Environmental Funds (VCEFs). These funds, from inception, have drawn on a range of critical global initiatives that support climate and environmental efforts:
- The Global Environment Facility (GEF), with its broad mandate serving six international conventions related to climate and the environment.
- The Adaptation Fund (AF) focused on supporting small-scale, locally-led adaptation projects, with an emphasis on direct access and country ownership.
- The Climate Investment Funds (CIF), which have a strong track record of collaboration on climate action with six multilateral development banks (MDBs).
- The Green Climate Fund (GCF), dedicated to investing equally in both mitigation and adaptation strategies, emphasizing direct access, private sector engagement, and scaling impactful projects.
In his approach, Dr. Nixon draws on Dr. Susan Raymond’s model that illustrates the evolution of giving, driven by innovative approaches. This model progresses through the following stages:
- “Give a man a fish” – Traditional resource transfer.
- “Teach a man to fish” – Traditional philanthropy at scale.
- “Assess the fish market and provide technical assistance for a fishing net business plan” – Traditional philanthropic resources demanding market-like results.
- “Provide a program-related investment to start a fishing net non-profit” – Philanthropic resources used in innovative ways.
- “Impact investing in a for-profit fishing net business” – New resources moving into development, focused on long-term impact.
1Stock Limited’s Venture Philanthropy approach aligns with this evolution by offering a unique value proposition to donors. The model allows them to view their grants as charitable investments, reducing concerns about organizations becoming distracted from their core social missions. By integrating a “Double Bottom Line” approach into investment strategies, 1Stock Venture Philanthropy delivers innovative solutions to a wide range of stakeholders.
The goal is to make non-profits stronger, more sustainable, and more efficient in delivering impact. This strengthens the capacity of these organizations, enabling them to better serve vulnerable and at-risk populations, and in turn, optimize the positive outcomes of their work in a more scalable, impactful manner. Through this approach, 1Stock Limited ensures that philanthropic investments not only contribute to financial growth but also generate lasting social and environmental benefits.
Leadership Principles and Values
Dr. Nixon and his team at 1Stock Limited emphasize the importance of the personal values and qualities that contribute to successful leadership and organizational growth. Drawing from his own experiences, Dr. Nixon highlights how rugby helped shape his character, teaching him resilience, effective time management, adaptability, and the ability to make quick decisions—all essential traits for any leader. Rugby also taught him the importance of collaboration, shared responsibilities, and teamwork, which not only improve efficiency but also foster long-lasting friendships and camaraderie among teammates.
In the context of financial services, Dr. Nixon underscores the sector’s pivotal role in driving economic growth. By mobilizing resources for projects and sectors with high potential for success and positive economic linkages, financial services help facilitate capital allocation, support trade and commerce, and stabilize economic activity. He believes 1Stock Limited is uniquely positioned to support sectors aligned with global trends and government policies while driving change in Economic, Social, and Governance (ESG) and impact investing.
For Dr. Nixon, leadership is the cornerstone of organizational success. He often speaks of the “altitudes of leadership,” offering insights on how different leadership levels provide unique opportunities for growth. Integrity is another cornerstone of his leadership philosophy, rooted in the guiding principles his father instilled in him and his siblings. Trust and confidence, he believes, are built through integrity, enabling stronger relationships with investors, coworkers, and stakeholders.
Focus is a key principle in Dr. Nixon’s approach, as he encourages individuals to identify and block distractions to maintain productivity and achieve goals. He also applies the Japanese techniques of Kaizen (continuous improvement) and Kaikaku (radical change) to remain adaptive and forward-thinking. This mindset, combined with a constant drive to learn from new experiences, has made him an early adopter of trends in the investment arena. As he quotes Jalal al-Din Muhammad Rumi: “Sell your cleverness and buy bewilderment.”
Dr. Nixon believes in the power of networks, treating them as communities that can open doors, drive growth, and unlock opportunities. By staying connected and leveraging these relationships, he emphasizes that “opportunity comes to the prepared mind.” He encourages others to recognize and seize opportunities with purpose and passion once they determine their viability.
Finally, resilience plays a crucial role in leadership, particularly in challenging circumstances. Drawing inspiration from Winston Churchill’s speech at Harrow School in 1941—“Never give in. Never, never, never—in nothing, great or small, large or petty—never give in, except to convictions of honor and good sense.”—Dr. Nixon encourages emerging leaders to remain resolute, adapt to change, and maintain composure in the face of adversity.
These principles guide Dr. Nixon’s leadership at 1Stock Limited, as he works to drive impactful change, build trust, and foster resilience in his team and the wider financial landscape.
