The Venture Codex

Participated · Series A · Jan 2021

Cowrywise provides digital savings and investment products, including savings backed by fixed‑income instruments (treasury bills) and mutual funds, aiming to democratize access to wealth management for underserved Nigerian millennials and the middle class. The platform offers 19 mutual funds (claiming at least 20% of the country’s mutual funds are listed on its platform) through five investment partners and allows users to save or invest with as little as ₦100 (~$0.25). Cowrywise’s savings products are advertised as yielding roughly 10–15% versus banks’ 3–5% rates, and the company also offers advisory services that recommend funds based on risk appetite. Founded in 2017 by CEO Razaq Ahmed and CTO Edward Popoola, the YC alum and Catalyst Fund company has grown its user base from about 2,000 in year one to more than 220,000 today. The product roadmap and recent funding are intended to expand offerings, support more fund managers, and build out investment management infrastructure. The company has faced and addressed customer trust issues publicly and highlights improved service delivery as a driver of adoption. Market context notes roughly half a million Nigerians actively invest in mutual funds compared with over 40 million active bank accounts, indicating significant room to grow in an estimated $3 billion market.