The Collective Investment Scheme (CIS) landscape in Kenya continues to thrive, offering diverse investment opportunities for individual and institutional investors. A Collective Investment Scheme is essentially a pool of funds contributed by various investors with a common financial goal. The pooled resources are managed professionally, allowing investors to benefit from expertise in the financial markets and enjoy greater returns while minimizing risks.
What is a Collective Investment Scheme?
A Collective Investment Scheme can take various forms, including Money Market Funds, Equity Funds, Bond/Fixed Income Funds, Balanced Funds, or Special Funds. These schemes pool resources from multiple investors, allowing even small savers to invest in securities such as stocks, bonds, real estate, or money market instruments like Treasury Bills. By investing collectively, the schemes achieve diversification, which helps reduce the risks associated with investing in a single asset.
Types of Collective Investment Schemes in Kenya
- Money Market Funds: These invest in low-risk, short-term debt instruments like Treasury Bills, offering steady returns with relatively low volatility.
- Equity Funds: These invest primarily in stocks, offering potentially higher returns but with increased risk due to market fluctuations.
- Fixed Income/Bond Funds: These focus on fixed income securities like bonds, providing a stable income stream with lower risk.
- Balanced Funds: These offer a mix of stocks and bonds to balance risk and return.
- Special Funds: Some funds focus on specific sectors or investment strategies, such as Shariah-compliant funds or real estate funds.
Regulatory Body
In Kenya, the Capital Markets Authority (CMA) is responsible for licensing and regulating Collective Investment Schemes. The CMA ensures that these schemes adhere to strict guidelines designed to protect investors and maintain market integrity.
List of Approved Collective Investment Schemes in Kenya (2024)
As of 2024, Kenya boasts 36 approved Collective Investment Schemes. Below is the full list, providing potential investors with multiple options to choose from:
- African Alliance Kenya Unit Trust Scheme
- African Alliance Kenya Money Market Fund
- African Alliance Kenya Fixed Income Fund
- African Alliance Kenya Managed Fund
- African Alliance Kenya Equity Fund
- African Alliance Kenya Enhanced Yield Fund
- British-American Unit Trust Scheme
- British-American Money Market Fund
- British-American Income Fund
- British-American Balanced Fund
- British-American Equity Fund
- NCBA Unit Trust Funds
- NCBA Fixed Income Fund
- NCBA Equity Fund
- NCBA Dollar Fixed Income Fund
- NCBA Fixed Income Basket Note (KES Fund)
- NCBA Fixed Income Basket Note (USD) Fund
- Zimele Unit Trust Scheme
- Zimele Balanced Fund
- Zimele Money Market Fund
- Zimele Fixed Income Fund
- ICEA Unit Trust Scheme
- Standard Investment Equity Growth Fund
- Standard Investment Fixed Income Fund
- Standard Investment Balanced Fund
- CIC Unit Trust Scheme
- CIC Money Market Fund
- CIC Balanced Fund
- CIC Fixed Income Fund
- CIC Equity Fund
- CIC Wealth Fund
- CIC Dollar Fund
- Madison Unit Trust Fund
- Madison Money Market Fund
- Madison Fixed Income Fund
- Madison Wealth Fund
- Dyer and Blair Unit Trust Scheme
- Dyer and Blair Diversified Fund
- Dyer and Blair Bond Fund
- Dyer and Blair Money Market Fund
- Dyer and Blair Equity Fund
- Amana Unit Trust Funds Scheme
- Amana Money Market Fund
- Amana Balanced Fund
- Amana Equity Fund
- Diaspora Unit Trust Scheme
- Diaspora Money Market Fund
- Diaspora Bond Fund
- Diaspora Equity Fund
- First Ethical Opportunities Fund
- Genghis Unit Trust Funds
- GenCap Hazina Fund (Bond Fund)
- GenCap Eneza Fund (Diversified Fund)
- GenCap Hela Fund (Money Market Fund)
- GenCap Iman Fund (Shariah Compliant Fund)
- GenCap Hisa Fund (Equity Fund)
- Mali Money Market Fund
- Genghis Specialized Funds
- GenCap NSE25 Index Tracker
- GenCap Financial Services Fund
- Sanlam Unit Trust Scheme
- Sanlam Money Market Fund
- Sanlam Balanced Fund
- Sanlam Fixed Income Fund
- Sanlam USD Fixed Income Fund
- Nabo Africa Funds
- Nabo Africa Money Market Fund
- Nabo Africa Balanced Fund
- Nabo Africa Fixed Income Fund
- Nabo Africa Equity Fund
- Old Mutual Unit Trust Scheme
- Old Mutual Equity Fund
- Old Mutual Money Market Fund
- Old Mutual Balanced Fund
- Old Mutual East Africa Fund
- Old Mutual Bond Fund
- Equity Investment Bank Collective Investment Scheme
- Equity Investment Bank Money Market Fund
- Equity Investment Bank Balanced Fund
- Dry Associates Unit Trust Scheme
- Dry Associates Money Market Fund (Kenya Shillings)
- Dry Associates Money Market Fund (US Dollars)
- Dry Associates Balanced Fund (Kenya Shillings)
- Co-op Trust Fund
- Co-op Balanced Fund
- Co-op Equity Fund
- Co-op Bond Fund
- Co-op Money Market Fund
- Co-op Fixed Income Gratuity Fund
- Apollo Unit Trust Scheme
- Apollo Money Market Fund
- Apollo Balanced Fund
- Apollo Aggressive Growth Fund
- Apollo Equity Fund
- Apollo East Africa Fund
- Apollo Bond Fund
- Cytonn Unit Trust Scheme
- Cytonn Money Market Fund
- Cytonn Balanced Fund
- Cytonn Equity Fund
- Cytonn Africa Financial Services Fund
- Cytonn High Yield Fund
- Orient Umbrella Collective Investment Scheme
- Orient Hifadhi Fixed Income Fund
- Orient Kasha Money Market Fund
- Wanafunzi Investment Unit Trust Fund
- Absa Unit Trust Funds
- Absa Balanced Fund
- Absa Bond Fund
- Absa Dollar Money Market Fund
- Absa Equity Fund
- Absa Shilling Money Market Fund
- Jaza Unit Trust Fund
- Boda Riders Money Market Fund
- Masaru Unit Trust Scheme
- Masaru Wealth Management Fund
- Masaru Money Market Fund
- ADAM Unit Trust Scheme
- ADAM Balanced Fund
- ADAM Equities Fund
- ADAM Fixed Income Fund
- ADAM Money Market Fund
- KCB Unit Trust Scheme
- KCB Money Market Fund (KES)
- KCB Fixed Income Fund
- KCB Balanced Fund
- KCB Equity Fund
- KCB Money Market Fund (USD)
- GenAfrica Unit Trust Scheme
- GenAfrica Money Market Fund
- GenAfrica Equity Fund
- GenAfrica Fixed Income Fund
- Amaka Unit Trust (Umbrella) Scheme
- Amaka HOSP Fixed Income Fund
- Amaka Qualified Investor Tenant Purchase Scheme Fund
- Jubilee Unit Trust Collective Investment Scheme
- Jubilee Balanced Fund
- Jubilee Equity Fund
- Jubilee Fixed Income Fund (KES and USD)
- Jubilee Money Market Fund
- Enwealth Capital Unit Trust Scheme
- Enwealth Balanced Fund
- Enwealth Equity Fund
- Enwealth Money Market Fund
- Kuza Asset Management Unit Trust Scheme
- Kuza Fixed Income Fund
- Kuza Money Market Fund (KES and USD)
- Kuza Momentum Fund
- Etica Unit Trust Funds
- Etica Money Market Fund
- Etica Fixed Income Fund
- Etica Shariah Fund
- Etica Wealth Fund
- Lofty Corban Unit Trust Scheme
- Lofty Corban Equity Fund
- Lofty Corban Money Market Fund (KES and USD)
- Lofty Corban Bond Fund (KES and USD)
- Lofty Corban Special Money Market Fund
For investors interested in low-risk, steady returns, money market funds are typically a popular choice. However, for those with a higher risk tolerance, equity funds offer greater potential returns by investing in stock markets. Balanced funds offer a middle ground by combining both equity and bond investments.
If you are considering investing in any of these schemes, it’s essential to evaluate the specific investment objectives, fees, and performance history of each fund.
For more details, you can contact the Capital Markets Authority (CMA) using the information below:
- Address: Embankment Plaza, 3rd Floor, Longonot Road, off Kilimanjaro Avenue, Upperhill, Nairobi
- Contacts: +254 722 207767 / +254 20 2264000
- Email: corporate@cma.or.ke
