Kenya’s collective investment sector has edged closer to the Sh1 trillion mark as individual and institutional investors channel significant capital into unit trust schemes, according to official regulatory data.

The Capital Markets Authority (CMA) reported that Assets Under Management (AUM) across Collective Investment Schemes (CIS) expanded by 11% to reach Sh948.7 billion for the quarter ending June 30, 2026, up from Sh851.7 billion in the previous quarter.

The regulatory body credited the growth to stronger performance from established funds, new product launches under existing umbrella structures, and heightened marketing campaigns across competitive fund managers.

Market Growth and Composition

The local fund management industry has recorded dramatic long-term growth, expanding by 1,575% from Sh56.6 billion in March 2018 to nearly Sh948.7 billion in mid-2026.

As of June 30, 2026, the CMA recognized 66 approved Collective Investment Schemes overseeing 320 individual funds, with 47 schemes currently active.

“Overall, all the types of funds (money market funds, special funds, fixed income funds, equity funds and balanced funds) registered growth,” the CMA said.

Fund Type Assets Under Management (AUM) Share of Total Industry Quarter-on-Quarter Growth
Money Market Funds Sh460.0 Billion 49.0% Moderate Growth
Special Funds Sh252.8 Billion 27.0% +24.0%
Fixed Income Funds Sh228.1 Billion 24.0% +15.0%
Equity Funds Sh5.7 Billion (approx.) 0.6% +23.0%
Balanced Funds Sh1.9 Billion (approx.) 0.2% -5.0%

Asset Distribution & Manager Market Share

Fund managers continue to allocate the bulk of investor capital toward risk-averse, income-generating instruments. Government securities, including Treasury bills, Treasury bonds, infrastructure bonds, and Eurobonds, formed the single largest asset class, representing 41.3% (Sh391.7 billion) of total industry AUM.

Demand for foreign currency-denominated vehicles (principally US Dollar, Sterling Pound, and South African Rand funds) grew by 15% during the quarter to Sh110.5 billion. The CMA linked this uptick to diaspora inflows, commercial importers, and local investors seeking hedges against currency fluctuations.

Top Fund Managers by Market Share

  1. Standard Investment Trust Fund: Sh188.6 billion (19.9% market share)

  2. Sanlam Unit Trust Scheme: Sh171.4 billion (18.1% market share)

  3. CIC Unit Trust Scheme: Sh105.2 billion (11.1% market share)

The sector’s growth trajectory has also driven an increase in licensing applications at the CMA, as investment banks and institutional players seek entrance into the expanding collective investment market.