What money market funds are
A money market fund (MMF) is a collective investment scheme that holds short-term government securities, bank deposits, and commercial paper. Investors buy units, the fund earns interest, the interest is distributed pro-rata. In Kenya, MMFs typically yield 9 to 15% per annum, paid daily, with T+1 redemption (you can withdraw within 24 hours).
Top Kenyan MMFs (2026)
- CIC Money Market Fund: largest by AUM, broad distribution
- Sanlam Money Market Fund: strong distribution, competitive yield
- Cytonn Money Market Fund: often the highest published yield
- Britam Money Market Fund: paired with insurance products
- Madison Money Market Fund: smaller but consistent
- Apollo Money Market Fund: niche but active
All are CMA-regulated. Compare net yield (post-WHT) across funds before committing. A 1% yield difference compounded over 10 years is significant.
Withholding tax
Kenya levies 15% withholding tax on interest from money market funds. The tax is deducted at source by the fund. Some funds publish gross yield (you do the WHT calculation yourself), others publish net yield (already after WHT). Read the fund fact sheet carefully.