Britam Asset Managers (BAM) has launched KidNest, a children’s investment account that will allow parents, guardians, relatives, and well-wishers to invest towards a child’s future with contributions starting from KSh 1,000.
While many Kenyan families save for their children’s future, fewer begin investing early enough or teaching their children to harness the power of long-term compounding. KidNest aims to bridge that gap by giving children years of investment growth before they are old enough to make financial decisions themselves.
According to Britam, the investment solution will help families build funds for milestones such as education, healthcare, and other future expenses while encouraging saving and investment from an early age.
Speaking during the launch on August 13, the Britam Group Managing Director and Chief Executive Officer Tom Gitogo said the company views financial planning as a life cycle covering protection, accumulation, investment, preservation and estate planning.
“We think of it as a life cycle. We see the building blocks as protection, accumulation, investment, preservation, and estate planning. It’s a whole ecosystem. That means our job isn’t only to serve today’s investor, but also to shape who tomorrow’s investor will be. And KidNest does exactly that,” the Britam Group CEO said.
Gitogo said this approach means Britam is focused not only on serving current investors but also on helping shape future investors, explaining that the new children’s investment product starts the wealth conversation before children begin earning an income.
The MD said building a stronger investment culture requires financial habits to be developed early rather than waiting until people have already accumulated wealth, describing children as the future investors, entrepreneurs and wealth creators, adding that starting early gives them time to build a financial foundation.
“Today’s children are tomorrow’s investors. They are tomorrow’s entrepreneurs. And they are tomorrow’s wealth creators. Our role is to hand them the one thing money cannot buy: time. And the financial foundation to use it well,” he said.
Gitogo urged parents and guardians to begin investing for their children without waiting for what he described as the “perfect moment.” He encouraged families to start small, noting that an initial investment of KSh 1,000 can be the starting point.
KidNest Investment Features, Interest and Returns
KidNest investment account is available for children aged 0 to 25 years. The minimum initial investment is KSh 1,000, while the minimum top-up amount is KSh 100.
The fund is diversified and low-risk, targeting immediate to short-term investment goals. It invests in low-risk, high-quality short-term instruments and is designed to provide capital preservation, liquidity, and a competitive return.
In addition, the fund is open-ended, meaning there is no lock-in period. Investors can access their funds, with Britam indicating that withdrawals can be made within 48 hours.
KidNest Interest is compounded daily, while the applicable interest rate fluctuates daily depending on market performance. The daily interest is calculated based on the return earned for that day.
Britam states that the published rate is net of the annual management fee but gross of the 15% withholding tax.
The account can be held by an individual parent or guardian or jointly. It can also accommodate investments for more than one child.
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This product also allows age-based transfers, providing an option for investments to be transferred according to the child’s age.
Benefits of the Kidnest Children’s Investment Account
According to Concepta Ayuma, Head of Business Development at Britam Asset Managers, the children’s investment account is designed to encourage disciplined and consistent investment towards a child’s future.
She further explained that regular contributions can help families accumulate funds for important milestones such as education, healthcare, and other future needs.
Ayuma said starting early allows small, regular savings to grow into meaningful long-term funds, helping families build a financial foundation for their children.
“The goal is to start early by transforming small, regular savings into meaningful long-term wealth. It is more than an investment; it is a commitment to giving the next generation the best start in life,” she explained.
What You Need to Open a KidNest Account
Parents or guardians need the following documents and information to open a KidNest account:
- National ID or current passport
- Child’s birth certificate
- Proof of banking details
- Parent or guardian’s tax PIN certificate
- Proof of guardianship income
- Tax exemption certificate, where applicable
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How to Open a Britam KidNest Account
- Open the Britam app and go to the Products section.
- Select Investment.
- Choose the KidNest Money Market Fund.
- Have your national ID or passport, KRA PIN certificate, bank account details, and child’s birth certificate ready.
- Enter your preferred initial investment amount, investment period, and regular top-up amount.
- Select how frequently you want to contribute and indicate your reason for investing.
- Enter your bank and branch details, account number, and account holder’s name.
- Provide the required personal, employment, and identification information.
- Enter your child’s details, including their name, date of birth, gender, and birth certificate information.
- Review all the information provided and confirm that the details are correct before completing the application.
How to Open a KidNest Account
Parents, guardians, and well-wishers can open a KidNest account through a referral link on Bella via WhatsApp, by dialing *778#.
Alternatively, use the MyBritam App or Britam customer portal, or contact a Britam financial advisor for assistance.
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