If you’ve been looking for a simple, low-risk, and flexible way to grow your savings in Kenya, the Taifa Money Market Fund (KES Option) — also known as the Ndovu Fund — is one of the most accessible and efficient options available today.
The fund operates under the Taifa Unit Trust Scheme, a licensed Collective Investment Scheme (CIS) regulated by the Capital Markets Authority (CMA).
Ndovu, the digital investment platform that distributes the fund, allows anyone — from salaried professionals to entrepreneurs and students — to start investing directly from their phone.
Unlike traditional savings accounts that barely keep up with inflation, the Taifa Money Market Fund provides daily interest accrual, monthly compounding, and near-instant liquidity — meaning you can withdraw your money anytime while still earning steady returns.
As of June 2025, Taifa Unit Trust Scheme managed Ksh 139,357,143 in assets under management (AUM), according to the CMA’s Collective Investment Schemes Quarterly Report Q2-2025.
This reflects a healthy 84 percent quarter-on-quarter growth from March 2025, marking it among Kenya’s fastest-growing digital funds.
Understanding the Taifa Money Market Fund
What It Is
The Taifa Money Market Fund (KES Option) pools investors’ money to invest in short-term, high-quality, interest-earning instruments. Its primary goals are:
- Capital preservation,
- Liquidity, and
- Consistent income generation.
How It Works
The fund invests mainly in:
- Treasury Bills (T-Bills) and short-term government bonds,
- Fixed and call deposits in top-tier Kenyan banks, and
- Commercial papers from financially sound corporates.
Through diversification and active portfolio management, the fund manager seeks to optimize returns while keeping risks minimal.
Key Features of the Taifa Money Market Fund
| Feature | Description |
| Fund Manager | Taifa Unit Trust Scheme (distributed by Ndovu) |
| Fund Type | Money Market Fund – KES |
| Regulator | Capital Markets Authority (CMA), Kenya |
| Assets Under Management (AUM) | Ksh 139,357,143 as of 30 June 2025 |
| MMF Yield Rate | 13.6% (as of 23rd October 2025) |
| Minimum Initial Investment | Ksh 500 |
| Minimum Top-Up | None |
| Interest Accrual | Daily accrual, monthly compounding |
| Withdrawal Period | Typically 1–3 business days |
| Custodian / Trustee | Licensed institutions under CMA supervision |
| Accessibility | 100 % digital via the Ndovu app and web portal |
| Currency Option | Kenyan Shilling (KES) |
Performance Overview
Market Position
According to CMA’s Q2-2025 report, Taifa Money Market Fund ranked among active small-to-mid-sized funds, with AUM of Ksh 139 million, up from Ksh 86 million the previous quarter — a sign of rapid adoption.
Yield and Returns
While Ndovu’s daily rates vary, the fund has maintained yields broadly consistent with Kenya’s overall money market segment — roughly 11 %–13.6 % effective annual yield during 2025.
For perspective, here’s a table overview for the return rate following a one year investment that’s based on an MMF yield rate of 13.6% (as of 23rd October 2025.
| Initial investment (KSh) | Monthly Contributions (KSh) | Total Contribution for 1 Year (KSh) | Projected Return at an MMF rate of 13.6% (KSh) |
| 500 | 500 | 6,500 | 6,960.9 |
| 1000 | 1,000 | 13,000 | 13,921.8 |
| 5000 | 5,000 | 65,000 | 69,608 |
| 10000 | 10,000 | 130,000 | 139,217.97 |
| 20000 | 20,000 | 260,000 | 278,435.95 |
How Returns Are Generated
The fund earns interest from the government securities and fixed deposits it holds. Interest is accrued daily and reinvested monthly, allowing investors to benefit from compound growth.
This model ensures:
- Smooth, predictable returns, unlike stock-market volatility.
- Capital preservation, since underlying assets are short-term and low-risk.
- Continuous liquidity, since securities mature frequently and new deposits replace them.
Why Taifa Money Market Fund Stands Out
Though smaller than legacy players like Sanlam or CIC, Taifa’s growth trajectory demonstrates the strength of its digital model.
The combination of low minimums, transparency, and consistent yields makes it one of Kenya’s most approachable funds for disciplined savers.
It bridges the gap between informal saving and professional investing — giving everyday Kenyans access to a regulated, income-earning vehicle that compounds automatically.
Here are the key reasons to invest in the Ndovu Fund:
1. Low Entry Threshold
Start with just Ksh 500 — far lower than traditional unit trusts.
2. Daily Earnings & Monthly Compounding
Your money earns interest every day, and it compounds monthly for accelerated growth.
3. Liquidity & Flexibility
Withdrawals are processed within 1–3 working days, letting you access cash when needed.
4. Regulation & Safety
CMA licensing guarantees independent trusteeship, professional custodianship, and quarterly disclosures.
5. Digital Convenience
Everything — sign-up, deposits, monitoring, and redemptions — happens via the Ndovu mobile app or website.
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Risks to Consider
| Risk | Description | Mitigation |
| Interest Rate Risk | Declining CBK rates can reduce yields. | Active reallocation to higher-yield instruments. |
| Credit Risk | A bank or issuer could default. | Diversification and investment only in top-rated entities. |
| Liquidity Risk | Heavy withdrawals may momentarily strain cash flow. | Maintaining a pool of short-term T-Bills and deposits. |
| Inflation Risk | Inflation could outpace nominal yields. | Ideal mainly for short-term saving, not inflation hedging. |
Ideal Uses for the Taifa Money Market Fund
| Goal | How the Fund Helps |
| Emergency Fund | Earns daily returns while keeping funds instantly accessible. |
| Sinking Fund | Perfect for saving toward annual expenses like school fees or insurance. |
| Business Float | Lets SMEs earn interest on idle cash between transactions. |
| Short-Term Projects | Park funds safely while awaiting deployment. |
| Transition Savings | Hold cash while considering long-term investments such as REITs or Fixed-Income Funds. |
How to Invest in the Taifa Money Market Fund
- Download the Ndovu App from Google Play or Apple Store.
- Sign up and complete the KYC process.
- Select “Money Market Fund (KES)” from available portfolios.
- Deposit via M-Pesa, Account = your registered Ndovu name.
- Track and redeem your investment through the app; withdrawals take 1–3 business days.
Comparison Snapshot
| Fund | Minimum Investment | Avg. Effective Yield (2025) | AUM (June 2025) | Liquidity | Platform Access |
| Taifa (Ndovu) MMF – KES | Ksh 500 | 11 %–13.6 % | Ksh 139 M | 1–3 days | Fully digital |
| Etica MMF | Ksh 500 | ≈ 12 % | Ksh 10.57 B | 1–3 days | Web & mobile |
| Arvocap MMF | Ksh 3,000 | ≈ 11.5 % | Ksh 200 M | 1–2 days | Hybrid |
| Faulu MMF | Ksh 1,000 | ≈ 11.2 % | Ksh 287 M | 2–3 days | Through Faulu Bank |
| CPF MMF | Ksh 1,000 | ≈ 11 % | Ksh 344 M | 2–3 days | CPF Portal |
Source: CMA Q2-2025 Report and fund disclosures (October 2025)
Also Read: Genghis Money Market Fund Guide
Conclusion
The Taifa Money Market Fund (KES Option) represents a modern approach to saving and investing in Kenya. With only Ksh 500 needed to start, no minimum top-up, daily interest accrual, and regulated oversight by the CMA, it offers the safety and convenience most investors need.
Its performance and steady AUM growth show rising trust among Kenyans who want to preserve capital, enjoy flexibility, and still earn competitive returns. For anyone seeking to build an emergency fund, manage business cash, or grow short-term savings, the Taifa MMF provides a solid, regulated, and easily accessible option for financial progress.
Before You Go!
Frequently Asked Questions
1. Is the Taifa Money Market Fund regulated?
Yes. It operates under the Taifa Unit Trust Scheme, which is licensed and supervised by Kenya’s Capital Markets Authority (CMA).
2. What is the minimum amount required to invest in the Taifa Money Market Fund?
The minimum initial investment is Ksh 500, and there is no minimum top-up requirement thereafter.
3. How often do I earn interest?
Interest accrues daily and is compounded monthly, so your returns automatically earn more returns over time.
4. How long does withdrawal take?
Withdrawals are processed within 1–3 business days to your M-Pesa or linked bank account.
5. Is my money safe with the Taifa Money Market Fund?
Yes. The fund invests mainly in government securities and top-rated banks, ensuring a conservative and secure portfolio focused on capital preservation.
