Sycamore MD: Fintech and AI Can Multiply Nigeria’s Retail Investors Tenfold in 5 Years
Oluwagbenga Magbagbeola, Managing Director of Sycamore Investment and Asset Management, explained the company’s transition from peer-to-peer lending into regulated asset management. Since 2019, Sycamore has served nearly 300,000 users, and the shift is a direct response to growing demand for wealth-building tools beyond lending. Nigeria’s inflation and currency volatility have driven the need for value-preserving investments, and Sycamore’s SEC license gives it the foundation to offer secure, tech-driven asset management, with N10 billion already under management.
Magbagbeola sees the future of investing defined by accessibility, personalisation, and user experience. Traditional asset managers boast expertise but lag in digital adoption. Fintechs are agile and accessible but lack institutional depth. Sycamore aims to bridge this gap with a hybrid model that leverages data and AI for customised investment strategies. The shift from one-size-fits-all funds to tailored offerings will redefine who succeeds in Nigeria’s evolving capital markets.
Nigeria’s retail investor base can grow tenfold within five years, according to Magbagbeola, if four barriers—access, education, trust, and product relevance—are addressed. He advocates for fractional investment options as low as N8,000, embedded financial literacy within digital apps, transparent practices, and inflation-proof offerings like USD-denominated products. If tackled together, these efforts could create a more liquid, inclusive, and stable capital market.
Magbagbeola believes the new Investment and Securities Act (ISA 2025) will bring consolidation, specialisation, and increased trust through tighter compliance and clearer oversight. While current regulations still lag behind innovation cycles, he emphasizes the need for collaborative regulation. AI is already transforming asset management, from analysing markets to customising portfolios at scale. Combined with mobile tech, these advances are lowering acquisition costs and improving investor experiences.
Looking ahead, Magbagbeola predicts the rise of “embedded investment” – seamless, automated investing integrated into everyday platforms like banking, e-commerce, and payroll apps. He also sees increasing demand for alternative and tokenised assets, global access, and inflation-resistant real assets. Sycamore is designing products that meet these needs while keeping entry thresholds low. Ultimately, Nigeria’s young, digital-savvy population could become long-term wealth builders through everyday micro-investments powered by technology.
Source: Business day