CMA Ranks Cytonn Asset Managers At Position 1

The Quarterly Statistical Bulletin for the quarter ended March 2020 by the Capital Markets Authority (CMA) highlighted Cytonn Money Market Fund (CMMF) as the fastest-growing Unit Trust Scheme when looking at Assets Under Management (AUM).

CIC Asset Managers remains the largest overall Unit Trust Fund Manager with an AUM of Kshs 29.7 bn in FY’2019, from an AUM of Kshs 20.3 bn as at FY’2018 translating to a 46.6% growth in AUM, In terms of growth, Cytonn Asset Managers recorded the strongest annualized growth of 1,042.2%, growing over ten times to AUM of Kshs 717.3mn from Kshs 62.8 mn recorded in FY’2018.

CMMF recorded an annual AUM growth of 837.7%, from an AUM of Kshs 62.8 mn in FY’2018 to Kshs 588.6 mn in FY’2019.

Nabo Africa Money Market Fund had the second-highest growth of 104.6%,

Apollo Money Market Fund with the third-highest growth at 96.8%

During the period under review, the following Money Market Funds had the highest average effective annual yield declared, with the Cytonn Money Market Fund having the highest effective annual yield at 10.9% against the industrial average of 8.7%.

“The digitization of CMMF as a high yielding wallet, immediately available 24/7 over the phone through *809#, which has the features of immediate redemption of up to Kshs 150,000 directly to M-Pesa, and the ability to pay bills, has proven useful to our clients, and this has been demonstrated in the growth achieved,” said Victor Odendo, Principal Officer, Cytonn Asset Managers Ltd.

Amidst the Coronavirus pandemic, we believe that the returns for Money Market Funds will remain stable with a bias to a slight increase upwards should rates on government securities increase. They will also remain the most liquid of all mutual funds providing a short-term parking bay that earns higher income yields compared to deposits and savings accounts.