‍All you need to know about Etica Money Market Fund

The Etica Shilling Money Market Fund (MMF) by Etica Capital Limited is a collective investment scheme designed to offer short-term investment opportunities while protecting capital and providing liquidity. As a regulated product under the Capital Markets Authority (CMA), the fund aims to attract retail and institutional investors seeking stability and daily compounding returns.

Like other regulated MMFs, the Etica MMF invests in low-risk financial instruments, including government securities, fixed deposits, and high-quality commercial papers. The conservative investment strategy aims to protect investor capital while delivering consistent returns.

The Etica MMFoften features in Money254’s coverage of highest paying MMFs, with returns of between 14- 17 % in 2024. According to Etica, their benchmark on the Shilling MMF is 1% more than the prevailing return on 91-Day Treasury Bill. 

Read Also: All You Need to Know About Safaricom’s MMF: Ziidi

Minimum Amount You Can Invest With Etica MMF

• Minimum Investment: Ksh100
• Lock-in Period: None

Etica MMF Management Fees

Etica Capital charges a management fee of 2.0% of interest earned. The interest earned is also subject to a 5% withholding tax. 

Benefits of Investing with the Etica MMF

• Low Entry Barrier: Accessible to a broad audience with a minimum investment of Ksh 100.
• Daily Interest Accrual: Earn interest daily, compounded for faster growth.
• High Liquidity: No lock-in period, allowing investors to access their funds at any time.
• Zero Transaction Fees: Deposits and withdrawals are free of charge.
• Security and Transparency: Under CMA regulation and monitored by trustees, with secure transactions through digital platforms.

Read Also: What to Consider When Choosing an MMF

How to Invest With Etica MMF

Investors can open an Etica MMF account through the following channels:

• Etica Mobile App: Available for both iOS and Android.
• Web Portal: Accessible via the Etica website.
• Physical Application: Submission through authorized representatives.

How to Fund Your Etica MMF Account with M-PESA

•  Paybill Number: 4096483 

Account Number: use your member number

• How to Fund Your Etica MMF Account with a Bank Transfers: 

Account Name: Etica Unit Trust Collection Account 

Account Number: 0180283951027

Bank Name: Equity Bank Kenya Limited 

Branch: Community Supreme 

Branch Code: 018

Read Also: How to Calculate Money Market Fund Returns