The year began with a surge in money market fund rates, causing Cytonn Money Market Fund to drop out of the top 5 in terms of daily effective rate returns. The average daily effective rate for money market funds rose to 13% per annum, up from 12.51% in December 2023. This increase was driven, primarily, by rising interest rates in government securities, a key asset class for these funds.
In terms of individual performance, Etica Money Market Fund led the way with an average daily yield of 15.68% per annum. Following closely were Lofty Corban, Apollo, Nabo Capital, and GenAfrica MMFs, with daily average effective rates of 15.26%, 15.05%, 14.89%, and 14.80%, respectively.
Daily Average Yields for MMFs in January
| NO. | FUND MANAGER | FUND NAME | DAILY AVERAGE YIELD (%) |
| 1 | Etica Capital Limited | Etica Money Market Fund | 15.68 |
| 2 | Lofty-Corban | Lofty-Corban Money Market Fund | 15.26 |
| 3 | Apollo Asset Management Company Limited | Apollo Money Market Fund | 15.05 |
| 4 | Nabo Capital Limited | Nabo Capital Money Market Fund | 14.89 |
| 5 | GenAfrica Asset Managers Limited | GenAfrica Money Market Fund | 14.80 |
| 6 | Cytonn Asset Managers Limited | Cytonn Money Market Fund | 14.49 |
| 7 | Enwealth Financial Services | Enwealth Money Market Fund | 13.91 |
| 8 | Kuza Asset Management Limited | Kuza Money Market Fund (KES) | 13.74 |
| 9 | Madison Investment Managers Limited | Madison Money Market Fund | 13.58 |
| 10 | Co-op Trust Investment Services Limited | Co-op Money Market Fund | 13.37 |
| 11 | Genghis Capital | GenCap Hela Imara Fund | 13.12 |
| 12 | Sanlam Investments East Africa Limited | Sanlam Money Market Fund | 13.03 |
| 13 | ABSA Bank | Absa Shilling Fund MMF | 13.02 |
| 14 | Jubilee Financial Services Limited | Jubilee Money Market Fund | 12.81 |
| 15 | Mayfair Asset Managers | Mayfair Money Market Fund | 12.27 |
1. Etica Money Market Fund (15.68%)
Etica Money Market Fund demonstrated continued success, building upon its impressive performance from the previous year with an average daily yield of 15.68%.
For those considering beginning their investment journey with this fund, you will require an initial minimum investment of KES 100 and top-ups of at least KES 100 only.
More features of the Etica MMF are:
- No lock-in period
- High liquidity of funds
- With the daily compounding of interest, which is then credited daily to clients’ accounts, you are able to see your money grow on a day-to-day basis.
2. Lofty-Corban KSH Money Market Fund (15.26%)
Just shy of first place is the Lofty-Corban KSH Money Market Fund, which boasted an average daily yield of 15.26% to climb up from last year’s fifth-place finish.
Key features of Lofty-Corban KSH MMF are:
- Low minimum investment: you can invest as little as KES 1000
- Accessibility: funds are accessible at short notice
- Capital preservation: no loss of money invested
- Compounding: earn interest on interest
- The fund invests in interest-bearing instruments, including bank deposits, Treasury bills, and commercial papers.
3. Apollo Money Market Fund (15.05%)
Defending its third-place rank from the last go-around is Apollo Money Market Fund, a product of Apollo Asset Management Company Ltd., which delivered an impressive average effective daily yield of 15.05% to close out the funds, offering an average daily yield of 15% and above.
Some of the notable features of Apollo MMF that stand out include:
- Initial minimum investment of KES 1,000 and KES 1,000 top-ups
- Top-ups can be made by cheques, cash deposit, standing order, or direct debit order
- The fund invests in low-risk investments with an element of guaranteed returns, such as fixed deposits, T-bills, commercial paper, government bonds, and corporate bonds.
4. Nabo Money Market Fund (KES) (14.89%)
In fourth place is the Nabo Money Market Fund, which posted an average effective daily yield rate of 14.89%. This fund has consistently shown remarkable growth over the past five months, a testament to its financial acumen.
For new investors in the fund, you will require an initial minimum investment of KES 100,000 and subsequent top-ups of KES 10,000 to invest in the fund.
Other notable features of this fund include:
- High liquidity
- Investment period of at least 3 months to allow optimal returns
- Zero initial and redemption fees
- Interest is earned daily and compounded monthly
- Funds are invested in short-term debt securities and instruments.
5. GenAfrica Money Market Fund (14.80%)
The once high-flying GenAfrica MMF has been steadily declining in recent months after recording an effective average daily yield of 14.80%.
Key features of the GenAfrica MMF include:
- No initial fees
- There are no limitations on withdrawal
- Monthly statement updates via email
- Easy sign-up and top-up via the GenAfrica Unit Trust portal
6. Cytonn Money Market Fund (14.49%)
Dropping from its last month’s second-place standing to end up in the number-six position is Cytonn MMF after recording a 14.49% average daily yield. For every new investor, you will require an initial minimum investment of KES 1000 and subsequent top-ups of as little as KES 100.
More features of the Cytonn MMF include:
- Speedy withdrawals
- No entry or exit fee is charged
- Interest is earned daily and compounded monthly
- Easy sign-up and top-up by dialing *809#
7. Enwealth Money Market Fund (13.91%)
Next on our rankings is the Enwealth Money Market Fund, a product of Enwealth Financial Services, which registered an average effective daily yield of 13.91%.
8. Kuza Money Market Fund (KES) (13.74%)
Kuza Money Market Fund climbed five places from December’s rankings after boasting an average effective daily yield of 13.74% to make its way into the top 10. The initial minimum investment for new investors is KES 5,000, with subsequent KES 1,000 top-ups.
Other features of Kuza MMF include:
- High liquidity
- Preservation of capital
- The fund invests in short-term KES-dominated interest-bearing securities such as T-bills, corporate bonds, commercial paper, bank calls, and fixed deposits
9. Madison Money Market Fund (13.58%)
In 9th place is Madison MMF, which delivered an effective average daily yield of 13.58%. If you’re a novice investor in this fund, you will need an initial minimum investment of KES 5,000 and KES 1,000 top-ups.
More notable features of Madison MMF include:
- No restrictions on tenor
- Withdrawals are processed within 72 working hours
- Monthly distribution of interest
10. Co-op Money Market Fund (13.37%)
Coming in at number 10, we have the Co-op Money Market Fund. The fund recorded a daily average yield of 13.37%. The minimum initial investment to begin your investment journey in the fund is KES 2,000, with no limit on subsequent top-ups.
More features of Co-op MMF include:
- Access your money within 2–3 business days
- Allows M-pesa deposits
- Management fees of 0.9%
- Funds are invested in T-bills, corporate notes, bank fixed deposits, and bank call deposits.
11. GenCap Hela Imara Fund (13.12%)
GenCap Hela Imara Fund lands in eleventh place after shooting up four places from December. The fund posted an impressive average daily yield of 13.12%.
Key features of the GenCap Hela Imara Fund include:
- The minimum investment amount is KES 500. The minimum additional or top-up amount is KES 500.
- Capital Preservation: Investments are made in short-term, secure investments.
- Interest is computed, earned daily, and credited to the client’s account monthly.
- Management fee of 2% per year of funds under management.
- To sign up, download the G-Kuze app from Google Play or the Apple App Store, or dial *895#.
12. Sanlam Money Market Fund (13.03%)
The next top performer in our rankings is Sanlam MMF, which boasted an effective average daily yield of 13.03%. If you’re considering this fund as a new investor, you will need an initial deposit of KES 2,500 plus subsequent top-ups of KES 1,000.
More features of the Sanlam MMF include:
- No initial fees are charged; it is free to set up an account
- Easy liquidity
- Capital retention
- Interest is calculated daily and compounded monthly
- Funds are invested in high-quality interest-bearing assets, fixed deposits, and near-cash holdings in the Kenyan market
- Monthly statement updates are sent via email.
13. Absa Shilling Fund MMF (13.02%)
Rounding out funds that delivered an average daily yield of 13% and above is the Absa Shilling Fund MMF, which recorded an average daily rate of 13.02%. This fund is suitable for investors who seek a low-risk, high-interest portfolio, especially during times of high stock market volatility.
You will need an initial minimum investment of KES 1,000 to start your investment journey with Absa Shilling Fund MMF, and you can top up with whatever amount you wish to save or invest at any time.
More outstanding features of the Absa Shilling Fund MMF include:
- Interest is earned daily and compounded monthly
- Immediate liquidity
- Fee structure: Initial fee – 0%; annual management fee – 2% per annum
- Offers capital stability
- The fund invests in interest-bearing securities and other short-term money market instruments.
14. Jubilee Money Market Fund (12.81%)
Staying put in the 14th spot is Jubilee Money Market Fund after posting an average daily yield of 12.81%.
Key features of the Jubilee MMF include:
- Safety of initial capital.
- Monthly compounded interests.
- High liquidity.
15. Mayfair Money Market Fund (12.27%)
Rounding out the rankings and making its debut in our rankings, Mayfair Money Market Fund, a product of Mayfair Asset Managers, delivered an average daily yield of 12.27%. This fund is suitable for low-risk investors seeking competitive returns over what they would receive in a bank for their savings.
Key features of the Jubilee MMF include:
- Safety of initial capital
- High liquidity: quick access to your savings.
- Monthly compounded interests
- The fund invests in a diversified pool of interest-earning short-term investments such as fixed deposits, call deposits, certificates of deposit, and Treasury bills.
