Nairobi, Aug. 2 -- The growth of collective investment schemes (CISs) or unit trusts in the past 10 years has been phenomenal. It has played a key role in mobilising funds to support the economy.

The legacy 2001 CIS regulatory framework was overhauled, giving way to the Capital Markets (CIS) Regulations, 2023 and the Capital Markets (Alternative Investment Funds) Regulations, 2023.

The structure of a CIS includes a fund manager, a trustee and custodian. A money market fund is a CIS authorised to invest in highly liquid financial assets, specifically in interest-earning money market instruments which have a maximum weighted average tenure of 18 months. These include Treasury bonds and bills and call and fixed deposits in banks and other ...