This archive report was first published on 1 November 2019.
On November 1, 2019, a groundbreaking initiative was launched in Kenya, marking the country's first student-backed unit trust fund: the Wanafunzi Investment Unit Trust Fund.
Regulated by the Capital Markets Authority and managed by Nabo Capital, with KCB Group as the custodian bank, this innovative fund aims to instill a culture of savings among university students.
Wanafunzi Investment is a student-friendly platform that enables students to save and start building a foundation for asset growth, a crucial step towards economic and social transformation.
Through capacity-building programs, the platform will teach financial literacy, equipping student investors with entrepreneurial and management skills.
According to Paul Muthaura, Chief Executive Officer of the Capital Markets Authority of Kenya, the platform will empower students to transition from retail investors to collective participants in the economy.
The fund is part of the Ksh 66.3 billion assets under management in collective investment schemes and Ksh 2.3 trillion institutional assets under management in Kenya.
With awareness campaigns across universities and colleges, students will be sensitized to open accounts in the unit trust and continuously save by dialling 483004#.
Wanafunzi Investment Trust Fund aims to raise Ksh 1.5 billion in the next three years, offering an average return of about 8.4%, and allowing subscribers to liquidate their investment after 4 years or earlier.
