Grow Ksh 40,000 Monthly to 45.8M in 20 Years: The Power of Compounding Interest

Most people will think this is magic. But it’s not. It’s pure mathematics — a reality check.

If you invest Ksh 40,000 monthly for the next 20 years at a net return of 13%, you’ll have Ksh 45,820,766.

Now, guess how much you’ll have contributed? Only Ksh 9.6 million.

That means Ksh 36.2 million is pure interest — money your money made while you slept.

Grow Ksh 40,000 Monthly to 45.8M in 20 Years

For Those Who Think They’ve Missed the Bus

This is for you if you’re 40 years old and feel like you’ve missed the bus to financial freedom.

You haven’t. You still have time.

All you need is to start now. Stay consistent. And never withdraw prematurely.

This is your Financial Freedom Vault — guard it with everything you’ve got.

Ksh 45.8 million will give you a monthly income of Ksh 381,840!

The Role of Fixed Income Funds

We have several investment vehicles that can help you reach your goals even faster. But today, I want to introduce you to a low-risk, moderate-return option: the Fixed Income Fund (FIF).

What Is a Fixed Income Fund?

A Fixed Income Fund works much like a Money Market Fund (MMF). The difference lies in where they invest:

Money Market Funds focus on short-term instruments like Treasury Bills, commercial papers, and bank deposits.
Fixed Income Funds, on the other hand, invest in medium- to long-term instruments such as Treasury Bonds, corporate bonds, and select income-generating assets.

Because of this, FIFs tend to earn higher returns than most MMFs while maintaining a relatively low-risk profile.

Average Returns

Depending on market performance, Fixed Income Funds currently deliver 10%–15% annual returns on average, and in recent months, many have outperformed even the best Money Market Funds in Kenya.

That’s why you should consider diversifying or shifting part of your MMF holdings into a Fixed Income Fund — and let your money earn more while still remaining secure.