How To Access Various Types Of Money Market Funds In Kenya
KEY POINTS
Money market accounts pay a variable interest rate, so the rate consumers earn on their money can fluctuate over time. It’s common for these accounts to have tiered rates, meaning higher balances are rewarded with a higher annual percentage yield (APY)
KEY TAKEAWAYS
Money market accounts are similar to savings accounts, but they have some transactional features like checking accounts. For example, a money market account may come with a debit card and checks.
Money deposited into a money market account earns interest, an advantage over standard checking accounts, which typically don’t accrue interest on the account balance.
Do you have a dream or goal you wish to achieve within a certain timeframe? The Money Market fund, MMF, will help you plan your financial goals whether it be setting up an emergency fund, saving for school fees, or saving up for a business project
A money market fund is a low-risk mutual fund that invests only in securities that can be quickly converted to cash. These securities include cash, cash equivalent securities, and high-credit-rating, debt-based securities with a short-term maturity.
Money market funds have good interest rates, are highly liquid, very secure, and well managed. Start investing with the best asset fund managers and earn good yields monthly. If you haven’t invested in Money market funds, you’re wasting the opportunity to earn high yields and create wealth.
People are always looking for the best money market funds provider in Kenya. The number of financial institutions that offer this type of investment has increased over the last few years, and it’s possible to find several different providers with more or less the same rates
Money market funds are considered a good place to park cash because they’re much less volatile than the stock or bond markets.
Read More: Top 10 Best-Performing Money Market Funds In Kenya
Types Of Money Market Funds in Kenya
- Cytonn Money Market Fund
- Nabo Africa Money Market Fund
- Co-op Money Market Fund
- Zimele Money Market Fund
- Britam Money Market Fund
- CIC Money Market Fund
- Sanlam Money Market Fund
- CBA Group Money Market Fund in Kenya
- Genghis Capital Money Market Fund
- Equity Bank Money Market Fund
- UAP Old Mutual Money Market Fund
- NCBA Money Market Fund
- Genghis Capital Money Market Fund
- ICEA Money Market Fund
- Alphafrica Kasha Money Market Fund
- Madison Money Market Fund
- Dry Associates Money Market Fund
- Apollo Money Market Fund
- Dyer and Blair Money Market Fund
- African Alliance Kenya Shilling Fund
- Diaspora Money Market Fund
How do money market accounts work?
Money market accounts are similar to savings accounts, but they have some transactional features like checking accounts. For example, a money market account may come with a debit card and checks.
Money deposited into a money market account earns interest, an advantage over standard checking accounts, which typically don’t accrue interest on the account balance.
Some money market accounts require a minimum deposit to open and may charge a fee if the balance falls below a specified minimum.
Money can be added or withdrawn to a money market account, but depending on the bank or credit union, there may be a limit on the number of transactions permitted each statement period, typically six, the same as savings accounts.
Money market accounts pay a variable interest rate, so the rate consumers earn on their money can fluctuate over time. It’s common for these accounts to have tiered rates, meaning higher balances are rewarded with a higher annual percentage yield (APY).
Money market accounts tend to offer higher yields than typical savings accounts.
- Cytonn Money Market Funds
Cytonn is the best money market fund you would like to invest in. Cytonn Money Market Fund (KSH) is a product of Cytonn Asset Managers Limited (CAML), the regulated affiliate of Cytonn Investments Management Plc. CMMF invests in high-quality interest-bearing investments, fixed deposits, and near cash holdings in the Kenyan market.
This is your ideal investment option if you are looking to build up your savings or for cash, you intend to use to meet your short-term goals. The minimum investment is Ksh 100 with no minimum top-up amount.
To register, dial *809# then Select create an account, enter your details including your name, ID, address, fund your account via M-Pesa or bank. Now you have a CMMF account working
- Britam Money Market Fund
It invests in money market securities with a maturity of fewer than 12 months allowing for a higher-than-average rate of return as well as immediate liquidity. The income that the fund earns is accrued daily and distributed to the unit holders’ net of fund costs. With the fund, you get to earn between 8-10%* in interest as you build your savings.
To register, dial *778#, Select create an account and enter your details including your name, ID, and Address. sign up via MyBritam App available on Google Play Store and App Store and earn 8-10% interest annually.
- Zimele Money Market Fund
The Zimele fund is flexible, convenient, and allows you to save according to the pace that you choose. In other terms, it’s also called a ‘savings plan.’ Zimele pools members’ contributions and invests them in safe high-yielding interest-bearing assets such as Treasury bills, Treasury bonds, and fixed deposits
You only need a minimum deposit of 100 shillings and the fund offers competitive interest rates and enhanced generally keeps the funds safe.
Returns are in the form of