Bamboo paves way for youth investment in Nigeria’s stock market

Business a.m.

Bamboo Global Inc., Africa’s leading online brokerage firm, has announced that it will now offer Nigerian stocks on its  app to democratise access and attract a new generation of retail investors.

Aiming to bridge the gap between traditional and digital investment, Bamboo’s platform now offers local stocks, including blue-chip corporations such as Guaranty Trust Holding Company PLC, MTN, and Dangote Cement.

With most active NGX accounts currently owned by individuals over 50 years old, Bamboo said it would cater to younger, digitally-savvy retail investors, helping them reap the financial rewards of the NGX while diversifying their portfolios beyond USD-denominated assets.

Partnering with stockbroking companies like Central Securities Clearing System Plc (CSCS) and Lambeth Capital, the digital brokerage firm  promises instant trade settlements and dividend payments to retail customers in the Nigerian capital markets. 

Bamboo’s decision to offer Nigerian stocks on its platform is further bolstered by the NGX’s remarkable performance. In 2023, the NGX experienced a staggering 45.9 percent growth, effectively outpacing inflation and surpassing the returns of the US stock market. This impressive momentum continued into 2024, with the NGX emerging as the world’s best-performing stock exchange in January, boasting a 31 percent year-to-date return.

Commenting on the development, Richmond Bassey, Bamboo chief executive officer and co-founder, said, “We’re thrilled to finally launch Nigerian stocks on the Bamboo platform. Among our investors, local stocks are by far the most in-demand asset class and it’s clear why: the NGX delivers outstanding ROI and allows investors to diversify their portfolios. 

“Not only do Nigerian investors understand local stocks better since they use these products and services daily, but they are more affordable and accessible. We’re incredibly proud to play a role in deepening African capital markets, starting with Nigeria,” he added. 

Tunde Lemo, chairman of Lambeth Capital, expressed enthusiasm for the partnership with Bamboo, emphasising the potential benefits for retail investors.

“By providing access to Nigerian stocks through Bamboo’s advanced technology, Lemo believes that retail investors will be empowered to tap into the immense potential of Africa’s largest economy.

“Together with Bamboo, we are proud to play a pivotal role in unlocking new frontiers for Nigerian investors and fostering the growth of the local capital markets,” Lemo said.

On his part, Haruna Jalo-Waziri, CEO of Central Securities Clearing System Plc, extended congratulations to Bamboo on the launch of Nigerian stocks on their platform. He also emphasised CSCS’s commitment to supporting innovations that enhance investor experience and grow the capital market.