The Capital Markets Authority (CMA) has approved eight new Collective Investment Schemes (CIS) and sub-funds in line with the Capital Markets regulations.
In a statement on November 26, the CMA said the approvals form part of the authority’s ongoing efforts to promote product diversification, strengthen investor protection, and expand regulated investment options to deepen Kenya’s capital markets.
“The Capital Markets Authority (CMA) has granted approvals for the establishment of eight new Collective Investment Schemes (CIS) and sub-funds, in line with the Capital Markets Act and the Capital Markets (Collective Investment Schemes) Regulations, 2023,” read part of the statement.
The newly approved schemes and sub-funds include:
- Swala Capital Unit Trust Funds: Swala Money Market Fund, Swala Balanced Fund, and Swala Equity Fund.
- Lofty Corban Unit Trust Scheme: Lofty-Corban Private Debt Special Fund and Lofty-Corban Global Assets Special Fund.
- Sanlam Unit Trust Funds: Sanlam Multi-Asset Special Kenya Shilling Fund.
- XENO Unit Trust Scheme: XENO Kenya Money Market Fund (USD), XENO Kenya International Equity Special Fund (USD), and XENO Kenya Bond Fund (USD).
- Globetec Unit Trust Scheme: Globetec Money Market Fund, Globetec Equity Fund, Globetec Fixed Income Fund, Globetec Dollar Fixed Income Fund, Globetec Multi-Asset Special Fund, and Globetec Dollar Multi-Asset Special Fund.
- Tradiam Unit Trust Scheme: Wekeza Money Market Fund.
- Capital A Rejesha Umbrella Collective Investment Scheme: Capital A Rejesha Money Market Fund (USD and KES), Capital A Rejesha Balanced Fund (USD and KES), Capital A Rejesha Equity Fund (USD and Ksh), and Capital A Rejesha Fixed Income Fund (USD and Ksh).
CMA Clears Eight New Funds as Investment
CMA Chief Executive Officer Wyckliffe Shamiah said the continued growth of CIS products is driving national savings and investment, noting that assets under management in the CIS industry have surpassed the Ksh600 billion threshold.
“These approvals reflect the Authority’s commitment to facilitating market development while ensuring robust investor protection and regulatory compliance,” he said.
The approvals raise the total number of registered collective investment schemes in Kenya to 57, widening the range of investment choices for both retail and institutional investors.
Also Read: CMA Approves EABL’s KSh16.7 Billion Bond Offer After Strong Investor Demand
Recently, the authority also approved Sanlam Investments East Africa to establish a new sub-fund under its existing structure, the Sanlam Special GBP Fixed Income Fund.
CMA also approved ALA Capital Limited to register the ALA Capital Collective Investment Scheme (ALA CIS), which comprised six sub-funds: ALA Balanced Fund, ALA Multi-Asset Special Fund, ALA Equity Fund, ALA Fixed Income (Ksh) Fund, ALA Money Market Fund (USD), and ALA Money Market Fund (Ksh).
At the same time, VCG Asset Management Limited registered three funds under the VCG Offshore Opportunities Special Funds umbrella.
These included VCG Offshore Money Market Fund (Ksh), VCG Offshore Money Market Special Fund (USD), and VCG Offshore Fixed Income Special Fund (Ksh).
Also Read: CMA Responds After Investment Bank Faces Auction Over Ksh 355M Debt
What Are New Collective Investment Schemes?
A Collective Investment Scheme (CIS) is an investment fund that pools money from many investors and invests it in a range of assets on their behalf.
The fund is managed by a professional investment manager, who decides how the pooled contributions are invested.
CIS structures can be open-ended, closed-ended, or a hybrid of both.
These schemes offer investors an opportunity to diversify their investments, access professional management, and benefit from risk spreading.
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