When most people think about investing in Kenya, they often picture shares, real estate, or business ventures. Yet one of the most reliable and consistent performers in the market remains quietly powerful — the EIB Money Market Fund, managed by Equity Investment Bank (EIB).
Backed by Equity Group Holdings, one of East Africa’s largest and most trusted financial institutions, this fund offers a simple, low-risk way to earn competitive returns while keeping your money easily accessible.
Whether you’re saving for emergencies, managing business cash, or preparing for short-term goals, the EIB Money Market Fund is designed to deliver stability and confidence.
Understanding the EIB Money Market Fund
The EIB Money Market Fund (MMF) is a collective investment scheme regulated by the Capital Markets Authority (CMA) of Kenya.
It pools resources from individual and institutional investors and channels them into short-term, high-quality financial instruments such as treasury bills, fixed deposits, and commercial papers.
According to the CIS Quarterly Report for Q2 2025, the EIB Money Market Fund held an Assets Under Management (AUM) of approximately Ksh 99.2 million as of June 30, 2025.
While smaller compared to dominant funds like CIC and Sanlam, its backing by the Equity Group provides unmatched stability and a strong foundation for future growth.
This fund is ideal for investors who prioritize capital preservation, liquidity, and steady returns over high-risk, high-reward options.
About Equity Investment Bank (EIB)
Equity Investment Bank is a fully owned subsidiary of Equity Group Holdings, the financial powerhouse behind Equity Bank, which serves over 17 million customers across Kenya, Uganda, Tanzania, Rwanda, South Sudan, and the Democratic Republic of Congo.
EIB’s primary goal is to democratize investing — giving ordinary Kenyans access to professional fund management services once reserved for large institutions.
It operates under the group’s mission: “To transform lives, give dignity, and expand opportunities for wealth creation.”
EIB’s operations are guided by strong corporate governance, CMA regulations, and trustee oversight, ensuring that every shilling is invested prudently and transparently.
Key Features of the EIB Money Market Fund
1. Capital Preservation
The fund’s first objective is to protect your initial capital. It invests primarily in short-term, low-risk instruments, including government securities and fixed deposits, minimizing exposure to market volatility.
2. Steady Income
EIB MMF generates consistent daily income, which is compounded monthly. This means your earnings automatically earn more interest every month, maximizing your total return through the power of compounding.
3. Liquidity and Flexibility
You can access your funds with ease, making it a great option for emergency savings or short-term financial goals. Withdrawals are typically processed within a few working days.
4. Professional Management
Your money is managed by an experienced team at Equity Investment Bank, ensuring optimal allocation across safe and interest-bearing assets.
5. Affordability
EIB’s investment philosophy focuses on inclusion. The minimum investment is low — Ksh 1,000 — enabling both individuals and small businesses to participate.
Portfolio Composition (June 2025)
As of June 2025, EIB’s fund allocation was entirely conservative — ideal for stability seekers.
| Asset Type | Allocation | Description |
| Cash & Demand Deposits | 51% | Provides instant liquidity for withdrawals and redemptions |
| Fixed Deposits | 49% | Earns steady returns from short-term deposits in reputable banks |
| Government Securities & Other Instruments | 0% | No direct exposure reported for the quarter |
This balanced mix of cash and fixed deposits highlights the fund’s strategy of prioritizing safety and liquidity above speculative returns.
Fund Performance Snapshot (as of June 30, 2025)
| Metric | EIB Money Market Fund |
| Fund Manager | Equity Investment Bank |
| Fund Type | Money Market Fund |
| AUM (June 2025) | Ksh 99.2 million |
| Effective Annual Yield (Est.) | 10.5% – 11.0% p.a. |
| Risk Profile | Low |
| Minimum Investment | Ksh 1,000 |
| Regulator | Capital Markets Authority (CMA) |
| Trustee Oversight | Appointed independent trustee |
| Compounding Frequency | Monthly |
Note: The yield estimate is derived from Kenya’s 2025 MMF market range and comparable funds.
How the Fund Works
- Pooling of Funds: EIB aggregates investors’ contributions into a collective pool.
- Investment Allocation: Funds are placed in short-term, low-risk financial instruments.
- Earning Returns: Interest income is accrued daily and reinvested monthly.
- Withdrawal Flexibility: Investors can redeem their units at short notice without penalty.
This system ensures that your capital remains secure while your money continues to earn passive income daily.
Advantages of the EIB Money Market Fund
- Safety and Trust: Backed by the financial strength of Equity Group Holdings.
- Consistent Returns: Delivers predictable growth compared to volatile markets.
- Liquidity: Ideal for individuals and businesses needing easy access to funds.
- Low Entry Barrier: Welcomes investors from all income levels.
- Transparency: Regular reporting and compliance under CMA supervision.
- Compounding Effect: Monthly reinvestment of earnings enhances long-term growth.
These attributes make EIB MMF particularly appealing to conservative investors who prefer security and dependability.
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How EIB Compares with Leading Money Market Funds in Kenya
| Fund Name | AUM (June 2025) | Est. Annual Yield | Minimum Investment | Manager Strength |
| Sanlam MMF | Ksh 92.7B | ~12.5% | Ksh 2,500 | Market leader with institutional focus |
| CIC MMF | Ksh 87.8B | ~12.3% | Ksh 5,000 | Strong retail & SACCO partnerships |
| NCBA MMF | Ksh 19.4B | ~11.8% | Ksh 5,000 | High credibility and scale |
| Nabo MMF | Ksh 4.1B | ~11.5% | Ksh 1,000 | Investor-focused boutique manager |
| EIB MMF | Ksh 99.2M | ~10.8% | Ksh 1,000–5,000 | Trusted bank-backed retail fund |
Although EIB’s AUM is smaller, its institutional strength and digital accessibility through the Equity ecosystem make it a strong contender for rapid expansion.
Mid-Tier Fund Comparison Snapshot (Q2 2025)
| Fund | AUM (June 2025) | Effective Yield (Est.) | Key Strength |
| Arvocap MMF | Ksh 200.7M | 11.5–12.1% | Rapidly growing boutique manager |
| Faulu MMF | Ksh 287.4M | 11.0–11.4% | Bank-affiliated with flexible top-ups |
| Genghis MMF | Ksh 593.8M | 10.9–11.3% | Competitive rates, moderate size |
| EIB MMF | Ksh 99.2M | 10.5–11.0% | Backed by strong financial institution |
This comparison shows that EIB MMF ranks among emerging mid-tier funds — smaller in volume but strong in structure, credibility, and institutional governance.
Risks to Consider
While the EIB Money Market Fund is low risk, investors should still understand potential vulnerabilities:
| Risk Type | Description | Mitigation Strategy |
| Interest Rate Risk | Changing interest rates can affect returns. | EIB invests in short-term instruments to adjust quickly. |
| Credit Risk | Potential default by a bank or issuer. | Funds placed in top-tier, well-rated institutions. |
| Liquidity Risk | Delayed withdrawals during extreme market conditions. | Maintains significant cash reserves. |
| Inflation Risk | Returns may not outpace high inflation. | Best suited for short-term saving, not long-term growth. |
Overall, EIB’s conservative investment policy and strict CMA regulations keep the fund within the lowest risk category in the market.
Ideal Use Cases
The EIB Money Market Fund is versatile and practical across several scenarios:
- Emergency Fund: Keep your cash safe and accessible while earning returns.
- Short-Term Goals: Ideal for school fees, rent, or upcoming expenses.
- Corporate Treasury Management: Businesses can park surplus cash safely.
- Sinking Funds: Save for annual bills or projects without risk of capital loss.
- Portfolio Diversification: Balance higher-risk investments with a stable component.
In short, this fund acts as a financial cushion — it doesn’t make you rich overnight but ensures your money is always working for you.
The Future Outlook (2025 and Beyond)
The Money Market Fund industry in Kenya continues to grow rapidly, surpassing Ksh 372 billion in total AUM by mid-2025 — a 17% rise from Q1 2025.
EIB’s entry into this space aligns perfectly with Equity Group’s digital transformation agenda. With Equity’s massive client base and mobile banking infrastructure, integration between EIB’s fund management and Equity’s retail banking could accelerate adoption significantly.
If EIB enhances visibility through the Equity Mobile App, offers automated top-ups, and continues delivering steady performance, it could easily scale past the billion-shilling mark within the next 24 months.
Conclusion
The EIB Money Market Fund stands out as one of Kenya’s most trustworthy yet underrated investment options. While it’s smaller in size today, it’s anchored by a robust parent company, Equity Group Holdings, known for prudence, governance, and innovation.
This fund is ideal for anyone seeking:
- A safe place to grow short-term savings,
- Liquidity without sacrificing returns, and
- A credible institutional partner for wealth building.
If you already bank with Equity, the EIB Money Market Fund offers a seamless way to begin your investing journey — secure, accessible, and consistent.
Before You Go!
Frequently Asked Questions
What is the EIB Money Market Fund?
It’s a low-risk investment fund managed by Equity Investment Bank that pools investor money to invest in short-term instruments like treasury bills and deposits.
How can I invest in the fund?
You can invest directly through Equity Investment Bank or via the Equity Mobile App. You’ll need your national ID, KRA PIN, and a bank account.
What is the minimum investment amount?
The fund has a low entry threshold — generally Ksh 1,000 and you can top up from Ksh 500..
How safe is my money?
It’s one of the safest regulated funds in Kenya. The EIB Money Market Fund is licensed by the CMA and operates under trustee oversight, ensuring compliance and accountability.
How often are returns paid?
Interest is calculated daily and reinvested monthly, which compounds your returns automatically.
