CIC Asset Management has retained its leading position in unit trusts in Kenya, with a 40.46% market share. The Capital Markets Authority (CMA) 2022 report shows that CIC unit trust scheme market share is the largest unit trust scheme with assets under management at Kshs. 56.9 billion as at March 2022. This is a 1.14% rise compared to Kshs 56.2 billion as at December 2021.
CIC Asset Management Managing Director Mr. Stanley Mutuku noted that the economy was on a growth trajectory as reflected in the firm’s performance. “The positive results in the market performance can be attributed to the nature of the company in ascertaining our clients’ needs and coming up with solutions that fit them,” said Mr. Mutuku.
In the half year results 2022, CIC Asset Management profit before tax increased from Kshs. 225 million (same period last year) to Kshs. 274 million which was attributed to growth of assets under management. There was a growth of 19% in assets under management from Kshs. 89 billion last year to Kshs. 106.7 billion this year.
CIC Asset Management runs collective investment schemes and pension products offered in the Kenyan market. In pension (which revolves around retirement planning), the company has umbrella retirement fund designed for small and medium enterprises (SMEs) and larger organizations willing to set up segregated retirement benefits schemes. The other product is income draw down fund, which allows re-investment of retirement savings.
Under the collective investment schemes, the investment company has six products with the money market fund taking the lead. Owing to its nature of preserving investor’s capital while earning an interest, the product continues to grow in popularity where the business enjoys the leading market position. The other product is CIC balanced fund which is ideal for investors looking for a mixture of safety, income and capital appreciation. The firm invests in the stocks of listed companies for growth and in interest bearing investment options for income. In the same regard, the company’s equity fund invests in the Nairobi Securities Exchange, while the CIC dollar fund invests in dollar currency through fixed deposits and bonds. Finally, the fixed income fund focuses on long-term fixed income instruments such as bonds , while the CIC wealth fund invests in diversified fixed deposits and high yielding interest bearing investment options in the Kenyan market.