Significant boom in retail investment in financial products like Money Market Funds and Unit Trusts in Kenya, with a 14-fold increase over a four-year span

Kenya's Collective Investment Schemes (CIS) have achieved a new milestone, reaching a total assets under management (AUM) of KES 596.3 billion ($4.6 billion) in the second quarter of 2025. This represents a significant 20.2% increase from the KES 496.2 billion reported at the end of March 2025.

The surge in AUM can be attributed to several factors. Retail participation in CIS has soared, with investor accounts climbing to 2.46 million in Q2. This growth was further boosted by an increase in fixed deposits, which jumped 43.9% to KES 210.5 billion. Offshore listed investments in CIS more than doubled to KES 50.3 billion.

Money Market Funds (MMFs) remain dominant, holding 62.5% of total CIS assets. The AUM of MMFs has seen a notable increase, with the Kenyan wealth-tech startup, Ndovu, launching a Money-Market Fund following regulatory approval.

Approximately 41% of the total AUM is allocated to government securities. However, the specific details about which Kenyan investment fund company ranks first in assets under management in 2025 are not available.

The top 20 leading Savings and Credit Cooperatives (SACCOs) in Kenya are listed on a specific resource. Unfortunately, a massive fraud of approximately $120 million is suspected in some of Kenya's popular SACCOs, casting a shadow over the sector.

Despite this setback, the top five schemes in Kenya's CIS now control nearly two-thirds of the total AUM. Notably, Sanlam Unit Trust made history as the first Kenyan CIS to top KES 100 billion in AUM.

While the growth in Kenya's CIS is promising, it's essential for regulators to address the fraud concerns in the SACCO sector to maintain investor confidence and ensure the continued growth of the industry.

Significant boom in retail investment in financial products like Money Market Funds and Unit Trusts in Kenya, with a 14-fold increase over a four-year span