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The beginning of the year brings a sense of anticipation and renewed purpose for investors and fund managers alike. As individuals set their financial objectives for the coming months, fund managers are also preparing to share updates on how their funds performed in the previous year. This period serves as an important milestone, allowing stakeholders to reflect on past achievements and strategize for the future.
To provide comprehensive insights and help guide investment decisions for 2026, we will be releasing a detailed summary of all fund performances for the past year. This summary will be made available later in the month, offering an in-depth look at the results and trends that shaped the investment landscape.
In the News…
In January 2026, Kenya’s investment world reached a huge milestone—fund managers now take care of over KES 600 billion! This happened because new and creative funds popped up from companies like Lofty-Corban, Etica Capital, and Sanlam. For example, Lofty-Corban started a fund that lends to private businesses for higher returns and another one that lets you invest in markets around the world to help protect your money from currency changes. Etica Capital launched a fund that mixes stocks, bonds, and other assets, but you need at least KES 250,000 to join. Sanlam also introduced its own mixed-investment fund, making it easier to spread out your investments and aim for steady growth. Basically, there are now more interesting ways for Kenyans to grow their money, not just sticking to the usual money market options.
Alongside these fancy new funds, January also brought more choices for everyday savers. Companies like Swala Capital, Tradiam, and Capital A Rejesha introduced new products that are super easy to join. Swala Capital rolled out a bunch of funds for people who want to start saving and investing without a big upfront cost. Tradiam’s new fund is all about easy access to your cash and keeping your savings safe. Capital A Rejesha launched a unique investment plan with eight different options, letting people invest in both Kenyan Shillings and US Dollars. This gives everyone a lot of ways to protect their savings from currency ups and downs while building a balanced portfolio.
Money Market Funds
At the start of the year, Money Market Funds (MMFs) navigated a declining interest rate environment, mainly due to easing inflation and ongoing macroeconomic stability. This has led to lower yields on short-term instruments like Treasury Bills, which remain popular for their safety and liquidity. Although overall returns have dipped compared to previous periods, the real difference now lies in how well each fund manages its portfolio, duration, and allocations.Investors are advised to look beyond just headline yields and consider factors like consistency, risk management, and capital preservation when evaluating MMFs.
Despite the challenging environment, several funds performed admirably. Arvocap Market Fund led with an average gross return of 11.40% (net 9.69% p.a.), followed by Cytonn, Etica, Nabo, and Enwealth Money Market Funds, all of which maintained stable and competitive returns. Their strong results highlight the value of disciplined management and strategic positioning in today’s market.
| Money Market Funds | |||
| Manager | Name of Fund | Average % | Net Return – Tax % |
| Arvocap | Arvocap Money Market Fund | 11.40 | 9.69 |
| Cytonn Asset Managers Limited | Cytonn Money Market Fund | 11.11 | 9.44 |
| Etica Capital Limited | Etica Money Market Fund | 10.67 | 9.07 |
| Nabo Capital Limited | Nabo Africa Money Market Fund | 10.65 | 9.05 |
| Enwealth Financial Services | Enwealth Money Market Fund | 10.53 | 8.95 |
| Lofty-Corban | Lofty-Corban Money Market Fund | 10.49 | 8.92 |
| Gulfcap | Gulfcap Money Market Fund | 10.29 | 8.75 |
| Jubilee Financial Services Limited | Jubilee Money Market Fund | 9.88 | 8.40 |
| Old Mutual Investment Group | Old Mutual Money Market Fund | 9.88 | 8.40 |
| Kuza Asset Management Limited | Kuza Money Market Fund (KES) | 9.87 | 8.39 |
| Orient Asset Managers | Orient Kasha Money Market Fund | 9.52 | 8.10 |
| Britam Asset Managers (Kenya) Limited | Britam Money Market Fund | 9.40 | 7.99 |
| Madison Investment Managers Limited | Madison Money Market Fund | 9.37 | 7.96 |
| Dry Associates | Dry Associates Money Market Fund | 9.21 | 7.83 |
| Apollo Asset Management Company Limited | Apollo Money Market Fund | 9.07 | 7.71 |
| GenAfrica Asset Managers Limited | GenAfrica Money Market Fund | 9.04 | 7.68 |
| Sanlam Investments East Africa Limited | Sanlam Money Market Fund | 9.02 | 7.67 |
| KCB Group | KCB Money Market Fund | 8.99 | 7.64 |
| Faulu Microfinance Bank | Faulu Money Market Fund | 8.69 | 7.39 |
| Genghis Capital | Genghis Money Market Fund | 8.32 | 7.07 |
| CIC Asset Managers Limited | CIC Money Market Fund | 8.20 | 6.97 |
| ICEA Asset Lion Asset Management Limited | ICEA Lion Money Market Fund | 7.97 | 6.78 |
| CPF | CPF Money Market fund | 7.95 | 6.76 |
| Co-op Trust Investment Services Limited | Co-op Money Market Fund | 7.87 | 6.69 |
| ABSA Bank | Absa Shilling Fund MMF | 7.40 | 6.29 |
| Mayfair Asset managers | Mayfair Money Market Fund | 6.77 | 5.75 |
| African Alliance | African Alliance Kenya Money Market Fund | 6.05 | 5.14 |
| Equity Bank | Equity Money Market Fund | 4.79 | 4.07 |
| Daily Cumulative Average Jan 2026 | 9.97 | 8.47 |
Note: Past performance should not be used as a guide to future investment performance
Dollar Money Market Fund Returns
The Dollar Money Market Funds have demonstrated varied performance among the available options. Leading the category, the Sanlam Money Market Fund USD achieved an average return of 5.66%, resulting in a net annualized return of 4.81%.
Trailing closely, the Nabo Africa Money Market Fund USD also posted competitive returns, followed by the Kuza Money Market Fund USD and the Etica Money Market Fund USD. These funds contribute to the range of choices for investors seeking dollar-based money market solutions, each offering daily performance updates to ensure transparency and informed decision-making.
| Dollar MMF | |||
| Fund manager | Name of the Fund | Average % | Net Return – Tax % |
| Sanlam Investments East Africa Limited | Sanlam Money Market Fund USD | 5.66 | 4.81 |
| Nabo Capital Limited | Nabo Africa Money Market Fund USD | 5.58 | 4.74 |
| Kuza Asset Management Limited | Kuza Money Market Fund USD | 5.45 | 4.64 |
| Etica Capital Limited | Etica MMF USD | 5.38 | 4.57 |
| Dry Associates | Dry Associates Money Market Fund USD | 5.36 | 4.56 |
| Old Mutual Investment Group | Old Mutual Money Market Fund USD | 5.29 | 4.50 |
| Jubilee | Jubilee MMF USD | 5.11 | 4.34 |
| CIC Asset Managers Limited | CIC Money Market Fund USD | 4.65 | 3.96 |
| KCB Group | KCB Money Market Fund USD | 4.54 | 3.86 |
| Britam Asset Managers (Kenya) Limited | Britam Money Market Fund | 4.25 | 3.61 |
| ABSA Bank | Absa Dollar Fund MMF | 4.02 | 3.42 |
| Daily Cumulative Average | 5.03 | 4.27 |
Note: Past performance should not be used as a guide to future investment performance
Fixed Income Funds
The Mayfair Fixed Income Fund recorded an impressive average return of 16.16% (netting 13.73% p.a.), reflecting a consistent significant improvement from the past half of 2025. It was followed by Nabo Africa Fixed Income Fund, Zimele Fixed Income Fund, and Kuza Fixed Income Fund, which posted average daily effective annual returns of 12.03%, 11.40%, and 10.98%, respectively.
| Fixed Income Fund | |||
| Fund Manager | Name Of the fund | Average % | Net Return – Tax % |
| Mayfair Asset Managers | Mayfair Fixed Income Fund | 16.16 | 13.73 |
| Nabo Asset Managers | Nabo Africa Fixed income Fund | 12.03 | 10.23 |
| Zimele Asset Management | Zimele Fixed Income Market Fund | 11.40 | 9.69 |
| Kuza Asset Management | Kuza Fixed Income Fund (KES) | 10.98 | 9.34 |
| Madison Asset Managers | Madison Fixed Income Fund | 10.72 | 9.11 |
| Britam Asset Managers (Kenya) Limited | Britam Bond Plus Fund | 10.63 | 9.04 |
| Gulfcap | Gulf cap fixed income fund | 10.54 | 8.96 |
| NCBA | NCBA Fixed Income Fund | 7.25 | 6.17 |
| Daily Cumulative Average | 11.21 | 9.53 |
Note: Past performance should not be used as a guide to future investment performance.
Investment Opportunities for February 2026
- Active Bonds
The Central Bank of Kenya (CBK) is currently seeking KES 50 billion for budgetary support through the reopening of two long-term fixed-coupon bonds. These are attractive for investors looking to lock in double-digit yields as the market anticipates a potential easing of interest rates later in the year.
| Bond Issue No. | Tenor | Time to Maturity | Coupon Rate | Auction Deadline |
|---|---|---|---|---|
| FXD3/2019/015 | 15-Year | ~8.1 Years | 12.34% | Feb 11, 2026 |
| FXD1/2018/025 | 25-Year | ~17.2 Years | 13.40% | Feb 11, 2026 |
It is important for investors to note that these bonds attract “accrued interest” because they are re-opened issues. This means that when purchasing, you will pay for the interest that has accrued since the last coupon date. However, this amount will be returned to you in full at the next coupon payment. Applications for these bonds are made exclusively through the DhowCSD platform, ensuring a streamlined and secure process for participants.
2. Kenya Pipeline Company (KPC) IPO Summary
Running concurrently with the bond auctions is the KPC IPO, the largest privatization in Kenya’s history. The government is offloading a 65% stake to raise KES 106.3 billion, marking a shift toward “democratizing” state-owned assets. Unlike the bonds, which offer fixed interest, the KPC IPO offers an equity stake in a national monopoly with a projected 50% dividend payout ratio.
The offer is priced at KES 9.00 per share with a minimum requirement of 100 shares (KES 900), making it highly accessible. The offer period closes on February 19, 2026, with the official listing and commencement of trading on the Nairobi Securities Exchange (NSE) scheduled for March 9, 2026.
We are dedicated to consistently monitoring market trends so that you receive timely updates and thoughtful analysis. Our commitment is to offer unbiased and independent information about the range of investment products available, helping you make well-informed decisions with confidence. We maintain objectivity to promote transparency and guide you every step of the way in your investment experience.
