[Nigeria] Volition Cap secures fund management license from from SEC
Volition Cap announced today that it has secured a fund management license from the Nigerian Securities and Exchange Commission (SEC), as of December 2022.
This license allows the asset management company to operate as a registered fund manager in Nigeria, as it prepares to launch a suite of retail and institutional investment products for Africans living on the continent and in the Diaspora.
According to the African Development Bank, Africa's middle class has grown to 34% over the past three decades, compared to the shrinking average of 60% and 50% in Europe and America, respectively. However, according to a 2019 report on ‘The Investment Potential of Nigeria’s Middle Class’, despite their growing wealth, the majority of the liquid assets of this socio-economic class are primarily held in bank savings and deposits, leaving a vast gap for economic empowerment in developing countries.
Founded in 2018, Volition Cap is an asset manager that leverages traditional cooperatives, a model it created through Volition Cooperative, a licensed multi-purpose cooperative making investing stress-free for its members.
In addition to standard products, Volition Cap enables working professionals in the diaspora to transform remittances to investments, and not just gifts, so they can sustainably finance family upkeep back home and acquire local assets.
Volition Cap also provides services for HNIs and institutional investors, including fund and treasury management, business investment advisory, and individual or family investment plans. Moreover, Volition Cap's experts have trained over 10,000 individuals on investment literacy.
By leveraging technology to distribute products, Volition Cap will reduce the cost of investment services and the challenge of easy access. With the credibility and trust that an SEC license confers, this home-grown business is poised to scale its bespoke products across Africa and the Diaspora.
Subomi Plumptre, CEO of Volition Cap, said, "Our company was founded by entrepreneurs who truly understand the daily struggles of the middle class. From our operation's inception, we have focused on empowering this group to attain financial success. The SEC license is a significant milestone for us as we introduce retail and institutional products to drive economic growth."
With a strong track record of success, Volition Cap has designed and managed a 3,000-member African cooperative, which led to contributors achieving a financial independence rate of up to 75% within three years. The firm has also developed a $30 million private equity fund for agriculture and real estate projects in Africa and disbursed over $250,000 to support local filmmakers through its entertainment and media fund.