The value of combined assets of Collective Investment Schemes (CIS), such as Money Market Funds and fixed income funds, has crossed the 300 billion mark for the first time in the period ended September 2024.
- •According to data from the Capital Markets Authority (CMA), funds’ assets under management increased by 25.4% to KSh 316.4 billion in the 3 months to September from KSh 254.06 billion in June.
- •Money Market Funds (MMFs) remained the most popular vehicle, accounting for KSh 196.8 billion – 62% of all funds under management, down from 67.4% in June.
- •The other funds were little changed, taking up the remaining 32.6 percent share – Fixed Income Fund (KSh 53.5 billion), Equity Fund (2.3 billion), Balanced Fund (1.3 billion), Other Funds (62.4 billion).
The CIC Unit Trust Scheme remained a leader by assets in the overall Unit Trust fund, taking up 22.3 percent of overall market share with assets totaling KSh 70.3 billion – a 5.3% increase from KSh 66.8 billion in the 2nd quarter of 2024. Sanlam Unit Trust was the second largest collective investment scheme, with assets growing 25.4 percent to KSh 46.8 billion, maintaining a 14.8% market share.
Jubilee Unit Trust Recorded the highest growth in Assets Under Management, increasing 90.7% to KSh 5.1 billion in the 3 months to September 2024 from KSh 2.7 billion in June 2024.
MyXeno Unit Trust saw the largest decline in Assets Under Management to KSh 13.0 billion in September 2024 from KSh 16.1 billion in March 2024. NCBA Unit Trust, British American Unit Trust, Zimele Unit Trust similarly experienced mild declines in assets under management by 0.3%, 2.6% and 6.5% respectively.
New Entrants and Investments
During the 3rd quarter of 2024, 4 new Unit Trust Schemes joined the pact, bringing the total number of active funds to 35 out of the total 54 approved collective investment schemes.
Mansa x by Standard Investment Bank had its funds converted to Mansa x special CIS funds from Mansa x funds. Other new entrants include Stanbic Unit Trust Scheme, Arvocap Unit Trust and Taifa Unit Trust, each pooling KSh 338.2 million, KSh 170.3 million and KSh 11.8 million in assets under management.
In the period under review, the largest chunk of assets under management was invested in government securities at 41.4% with fixed deposits taking up 31.1%. The rest was invested in cash and demand deposits(14.7%), Listed securities (1.9%), Unlisted securities (3.1%), Immovable property (0.9%), other CIS (0.6%) and Off-shore investments (6.2%).
Off-shore investments saw the sharpest increase of 4282% to KSh 19.6 billion invested in the period owing to Mansa x special funds which has a total of Ksh 19 billion offshore investments.
A Collective Investment Scheme (CIS) is an investment vehicle where money is pooled together from investors and invested in a wide range of assets and the portfolio collectively managed by a professional fund manager.
