A Money Market Fund (MMF) in Kenya is a type of mutual fund (also called a unit trust fund or collective investment scheme) that pools money from many investors like you and me.
A professional fund manager, from companies like Cytonn, Britam, Old Mutual, KCB, NCBA, Madison, Sanlam, etc., then invests that pooled money on behalf of everyone.
These funds are regulated and licensed by the Capital Markets Authority (CMA) to ensure they follow strict rules, protect investors, and invest only in very safe, low-risk options.
What do Money Market Funds invest In?
They focus almost entirely on short-term, low-risk, and highly liquid instruments that mature in usually less than 1 year. The main things they invest in include:
* Treasury Bills (T-bills) → Short-term government debt issued by the Kenyan government (very safe because the government backs them).
* Fixed deposits and call deposits → Deposits placed in reputable commercial banks.
* Commercial Paper → Short-term unsecured loans/debt issued by strong, creditworthy companies to fund their day-to-day operations.
* Certificates of Deposit (CDs) → Time deposits offered by banks.
* Repurchase Agreements (Repos) → Very short-term loans backed by government securities.
* Other high-quality, short-term debt instruments from the government or highly rated corporations.
The goal is capital preservation (your money doesn’t lose value), high liquidity (you can withdraw your money quickly — often within 1–7 days without big penalties), and steady interest income.
Benefits of investing in Money Market Funds
These apply broadly, though exact yields and features vary by market and interest rates:
- Very low risk — Focus on principal preservation; much safer than stocks or longer bonds.
- High liquidity — Easy to withdraw funds (often same-day or T+1), ideal for emergency funds or short-term cash.
- Better returns than regular savings accounts — Often higher yields than bank deposits, especially in higher-rate environments.
- Stability — Low volatility; short maturities reduce interest rate risk.
- Diversification — Spreads across many issuers, reducing single-bank or counterparty risk.
- Income generation — Regular dividends/interest (taxable or tax-exempt options in some cases)
- Short-term parking — Great for cash you’ll need soon (e.g., upcoming purchases, down payments) or as a safe haven during market uncertainty.
Top Fund Managers / Providers
These are among the largest and most popular based on assets under management, performance, and investor popularity based on interest rates as of 2026.
Top 20 Money Market Funds in Kenya right now
| No. | Fund manager | Interest rate KES (before tax) |
| 1 | Cytonn Money Market Fund | 11.43% |
| 2 | GulfCap Money Market Fund | 11.37% |
| 3 | Nabo Capital Money Market Fund | 11.34% |
| 4 | Arvocap Money Market Fund | 11.03% |
| 5 | Enwealth Money Market Fund | 10.74% |
| 6 | Lofty-Corban Money Market Fund | 10.72% |
| 7 | Kuza Money Market Fund | 10.42% |
| 8 | Jubilee Money Market Fund | 10.25% |
| 9 | Madison Money Market Fund | 10.09% |
| 10 | Etica Money Market Fund | 10.08% |
| 11 | Old Mutual Money Market Fund | 10.08% |
| 12 | Britam MMF | 9.90% |
| 13 | Faulu Money Market Fund | 9.90% |
| 14 | Kasha Money Market Fund | 9.86% |
| 15 | Dry Associates Money Market Fund | 9.65% |
| 16 | GenAfrica Money Market Fund | 9.45% |
| 17 | SanlamAllianz Money Market Fund | 9.27% |
| 18 | KCB Money Market Fund | 9.23% |
| 19 | Genghis Money Market Fund | 9.07% |
| 20 | Apollo Money Market Fund | 8.54% |
If you’re in Kenya seeking higher real returns to combat inflation, local MMFs shine brightest right now.
For those asking, Ziidi’s effective annual yield has generally trended in the 6-9% range in recent months, net of fees but before the 15% withholding tax on interest earnings. Accurately, it is 6.13% and rank 28 as of March 2026.
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