Cowrywise, a Nigerian fintech startup, has received a license from the Securities and Exchange Commission (SEC) to operate as a funds/portfolio manager.
Cowrywise is a Nigerian-based fintech company democratizing access to investment products for retail investors. Securing a Fund/ Portfolio Management license from the SEC emboldens its ambition of onboarding 10 million retail investors to the formal investment management industry by 2025.
What this means for the startup is that it now offers its services to Nigerians without falling foul of SEC rules and regulations. Before getting its license, Cowrywise operated a trustee structure in partnership with regulated investment companies like Meristem to offer its investments products.
Cowrywise was founded by Edward Popoola and Razaq Ahmed in 2017 to help Africans improve their wealth management habits. The Lagos-based startup has processed more than $1.5 million in savings for users. Earlier this year, the company raised a $3 million seed investment led by Quona Capital.
Having partnered with a growing number of fund managers and on-boarded 21 different mutual funds on its platform, Cowrywise is digitizing the investment management industry and creating easy access to investment products for first-time investors.
More startups in the wealth management sector are also expected to acquire their licenses from SEC soon, following Cowrywise’s acquisition of its license.
