Nigeria’s fintech business, Cowrywise has secured the approval of the Securities and Exchange Commission to operate as a Portfolio Management company.
The almost four year old startup disclosed this on Tuesday.
The fintech startup that offers digital wealth management and financial planning solutions raised $3m in pre-Series A funding in January.
The Chief Executive Officer Razaq Ahmed and Edward Popoola as CTO, founded Cowrywise in 2017 to democratise access to savings and investment products in Nigeria.
With the approval, the start-up hopes to usher in Application Programming Interface (APIs) that would help fund managers across the world access our services and open up theirs to serve first-time investors better.
An API allows programs to interact with each other. In fintech and banking, an API would allow a fintech program to communicate with a bank’s server.
For the company, its ambitious plan to introduce 10 million first-time investors to regulated investments by 2025 will be achievable following the development.
Cowrywise said, “This milestone places us as the first fintech to get licensed as a fund/portfolio manager by the Securities and Exchange Commission in Nigeria.
“We’re particularly excited about this because it strengthens our resolve to provide accessible wealth-building tools in Nigeria and across Africa.”
The startup also believes that digitizing the investment management infrastructure was an important next step in its vision to democratise access to investment products.
“These APIs do not just apply to fintechs; any company can embed investment features in their products as our investment API simplifies regulatory, compliance and technical hurdles,” it added.