Nigerian digital lender Sycamore has received a fund manager licence from the Securities and Exchange Commission (SEC), marking a major expansion into asset management. With ₦10 billion in assets under management, the fintech company is set to offer diversified investment portfolios across stocks, bonds, and money-market instruments in both local and foreign currencies.
This move responds to increasing customer demand, as many of Sycamore’s 300,000 users including freelancers and small and medium-sized enterprises (SMEs) have expressed interest in accessible investment options.
“Securing our SEC licence is the culmination of years of building institutional-grade compliance systems,” said Babatunde Akin-Moses, Sycamore’s CEO. “We’re not pivoting from lending; this is a strategic expansion that complements our core business.”
Competing in a Shifting Investment Market
Nigeria’s investment landscape is largely dominated by legacy firms such as ARM, Stanbic IBTC, and FBNQuest, alongside newer fintech challengers like Bamboo and Rise. While these platforms have made wealth management more accessible, many still focus on high-net-worth individuals or tech-savvy retail investors. Sycamore aims to serve middle-market; freelancers, SMEs, and everyday Nigerians who need straightforward investment pathways.
To lead its new division, Sycamore Investment and Asset Management Limited (SIAML), the company has appointed Oluwagbenga Magbagbeola, former Managing Director of ARM Securities. Magbagbeola brings 17 years of capital markets experience, having held senior roles at ARM Securities, FBNQuest Securities, and Profund Securities.
Sycamore also plans to launch an upgraded mobile app featuring real-time investment analytics, AI-powered portfolio management, and a multi-currency wallet that supports USD, EUR, GBP, and NGN.
Future Growth and Expansion Plans
With asset management expected to become a key revenue driver, Sycamore aims to generate income through management fees and performance-based incentives. While it has not disclosed specific growth targets, the company plans to raise additional capital in late 2025 or early 2026 to support its expansion across Africa.
Beyond traditional asset classes, Sycamore will introduce alternative investments, starting with Real Estate Investment Trusts (REITs) and a USD-denominated investment product. This positions the company to compete in Nigeria’s fast-growing digital investment sector.
“We’re addressing a major gap in Nigeria’s investment market,” said Onyinye Okonji, Sycamore’s co-founder and CCO. “Traditional asset management has remained out of reach for many Nigerians. Our goal is to change that.”
While Sycamore has built its reputation as a digital lender, Akin-Moses believes asset management represents the next stage of growth for the company.
“We’re democratising access to wealth management solutions that can help more people invest in their desired lifestyle and future financial security,” he said.
With its expanded offerings, Sycamore is positioning itself as a one-stop financial platform for Nigerians looking to borrow, invest, and grow their wealth.
