Frequently Asked Questions
Answers across money market funds, bonds, fixed deposits, unit trusts, and more.
Frequently Asked Questions
282 answers across 27 categories
27 categories · select one to explore
KES Money Market Funds
A money market fund (MMF) is a type of unit trust that pools investors' money and invests it in low-risk, short-term instruments such as Treasury Bills, bank deposits, and commercial paper. Your money earns daily interest and remains highly liquid — typically accessible within 1–3 business days.
Key stats: ~16% avg. yield (2025) KES 500 min entry CMA Regulated
Serrari tracks and compares money market funds from Kenya's leading providers, including:
- Cytonn Money Market Fund — high yields, established track record
- Ndovu MMF — minimum entry KES 500, app-first experience
- Sanlam Money Market Fund
- African Alliance Kenya MMF
- Avrocap Asset Managers — Sharia-compliant option, KES 3,000 minimum
Minimums vary by provider:
- Etica MMF: KES 100 (lowest in the market — Shariah-compliant)
- Hela Imara (Genghis Capital): KES 500
- ICEA Lion MMF: KES 500
- Cytonn MMF: KES 1,000 (note: 3-month lock-in on new investments)
- Sanlam Allianz MMF: KES 2,500
- Avrocap MMF: KES 3,000
Most MMFs accept top-ups as low as KES 100–1,000 once your account is open. Always verify current minimums on the fund manager's website before investing.
Money market funds regulated by the CMA are among the safest investment vehicles in Kenya. They invest in highly rated, short-term instruments and are required to maintain a diversified portfolio.
However, they are not government-guaranteed like Treasury Bills. While no regulated Kenyan MMF has lost investors' principal to date, it is theoretically possible in extreme market conditions.
- Choose a fund from Serrari's marketplace and visit the fund manager's website or app (e.g., Britam, Hela Imara by Genghis Capital, Old Mutual)
- Complete identity verification (KYC) — you'll need your National ID and KRA PIN
- Fund your account via M-Pesa Paybill (each fund has its own Paybill number — check the fund manager's site)
- Interest accrues daily from the day your deposit is confirmed
- Withdrawals to M-Pesa typically take same day to 3 business days depending on the fund
Money Market Fund
Pooled fund in multiple short-term instruments. Daily interest accrual. High liquidity (1–3 days). Variable yield. Regulated by CMA.
Fixed Deposit
Lump sum at a bank for a fixed term (3–12 months). Guaranteed rate. Early exit carries penalty. Regulated by CBK.
You don't need a large sum to start investing in Kenya. Here are proven entry points:
- Open a Money Market Fund account — some accept as little as KES 500 (e.g. Ndovu, Etica MMF)
- Start with whatever amount you can consistently commit to
- Automate contributions — set a standing order on payday
- Gradually increase your investment amount as your income grows
- Once you have 3–6 months of savings, explore higher-return options like Treasury Bonds or SACCOs
In Kenya, investment safety generally follows this hierarchy from safest to higher risk:
- Treasury Bills & Bonds — fully backed by the Government of Kenya; capital is guaranteed
- Money Market Funds — CMA-regulated, invest in short-term instruments; no regulated Kenyan MMF has lost principal to date
- Fixed Deposits — CBK-regulated bank products with guaranteed rates for the term
- SACCOs — SASRA-regulated; member funds are protected but depend on SACCO financial health
- Unit Trusts / Shares / REITs — higher potential returns but values can rise and fall
In 2026, the most commonly recommended investment options for Kenyans are:
- Money Market Funds — yielding 12–16% annually, highly liquid, low minimum entry
- Treasury Bills — government-backed, 12–17% depending on tenor and auction rates
- SACCO savings — dividend rates of 8–14% plus access to low-rate loans
- Government Bonds — 2–30 year instruments with semi-annual coupon payments
- NSE shares — higher risk but potential for capital growth and dividends
The "best" MMF depends on what you prioritise — highest yield, lowest minimum, or ease of access. As of 2026, consistently top-performing funds include:
- Cytonn MMF — historically among the highest yields; strong track record since 2014
- Etica Capital MMF — competitive rates with a strong CMA record
- Ndovu MMF — excellent for beginners; lowest minimum entry (KES 500), app-first
- Avrocap Sharia MMF — best option for Sharia-compliant investing
- Sanlam MMF — stable, long-established insurer-backed fund
Kenyan Money Market Funds have delivered some of the highest returns of any MMF market globally. Typical annual yields:
- 2023: 13–16% p.a. (rising interest rate environment)
- 2024: 15–18% p.a. (peak CBK rate cycle)
- 2026 (current): approximately 12–16% p.a. across leading funds
Returns are quoted as effective annual yield — interest accrues daily and compounds, meaning your actual return is slightly higher than the quoted rate if you reinvest.
Money Market Fund
Higher liquidity (withdraw in 1–3 days). No membership required. Yield 12–16% p.a. No loan access. Lower minimum entry (from KES 500). CMA-regulated.
SACCO
Access to loans up to 3× savings at low rates (~12% p.a.). Dividends 8–14%. Requires regular contributions and membership. Less liquid. SASRA-regulated.
The answer depends on your goals: if you need liquidity and a simple investment, an MMF wins. If you need access to affordable loans or prefer cooperative ownership, a SACCO is more powerful. Many Kenyans use both.
Yes — KES 500 is enough to start investing in Kenya today. Several platforms accept this as a minimum:
- Ndovu MMF — minimum KES 500 initial investment, starts earning daily interest immediately
- Etica MMF — accessible with very low minimums
- M-Akiba (Government Bond) — the world's first mobile-based government bond, minimum KES 3,000
Starting small is better than not starting at all. KES 500/month invested in an MMF at 14% annual yield grows to over KES 200,000 in 15 years through compounding.
The right monthly investment amount depends on your income, expenses, and financial goals. General guidelines:
- Minimum target: 10% of take-home pay (e.g. KES 3,000/month on a KES 30,000 salary)
- Comfortable target: 20% aligned with the 50/30/20 rule
- Aggressive (FIRE goal): 40–60% of income
Projected growth at 14% annual return:
- KES 1,000/month → ~KES 230,000 in 10 years
- KES 5,000/month → ~KES 1.15 million in 10 years
- KES 10,000/month → ~KES 2.3 million in 10 years
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