Lofty-Corban Investments Limited (L-CIL) has achieved a significant milestone with its Collective Investment Schemes (CIS) Assets Under Management (AUM) surpassing the KES 1 billion mark. This landmark achievement comes just nine months after the firm’s inception in August 2023, reflecting robust growth and market confidence.
L-CIL’s AUM surged from KES 459 million in December 2023 to KES 1.13 billion currently, effectively doubling in a short span. The firm has also expanded its client base, now serving over 2,100 clients.
Stanley Mutuku, Chief Executive Officer of L-CIL, expressed his enthusiasm about this rapid progress, stating, “We are thrilled to have achieved this significant milestone in such a short period since the official launch of our company and the funds. This accomplishment underscores the trust our clients have placed in us and reflects the dedication and hard work of our team.”
L-CIL’s success is partly attributed to its flagship product, the L-CIL KSh Money Market Fund (MMF), which has delivered substantial returns in response to the Central Bank of Kenya’s increased base rates over the past year. As of May 7, 2024, the MMF boasts an effective annual yield of 18.34% and a daily yield of 16.96%.
This remarkable performance comes amid a challenging global financial landscape characterized by persistent inflation and elevated interest rates in advanced markets. These conditions are expected to maintain tight global financing, underscoring the importance of high domestic budgetary financing and elevated domestic interest rates.
Collective Investment Schemes, like those managed by L-CIL, pool funds from multiple investors into a single investment portfolio, overseen by a Trustee, Custodian, Fund Manager, and Auditor, under the regulatory oversight of the Capital Markets Authority (CMA). These schemes include various types such as Money Market Funds, Bond Funds, and Equity Funds, catering to different investment goals like capital preservation, growth, or income.
L-CIL’s offerings are designed to ensure financial freedom for its clients, with a minimal initial investment requirement of just KES 1,000 and flexible top-up options starting from KES 100. This accessibility, coupled with the low-risk and stable nature of MMFs, makes them an attractive investment vehicle, particularly in the face of economic fluctuations. MMFs have consistently provided a reliable hedge against inflation for Kenyan investors seeking secure wealth growth.
The December 2023 report from the CMA highlighted the popularity of MMFs, which constitute 65% of all funds under management by CIS in Kenya. This trend reflects a broader movement among Kenyan investors towards diversifying their savings and investments to mitigate economic uncertainties.
Lofty-Corban Investments Limited, licensed by the CMA, Retirement Benefits Authority (RBA), and the Institute of Certified Investment and Financial Analysts (ICIFA), is committed to empowering clients to achieve financial freedom through professional investment management and advisory services. The firm prides itself on offering personalized solutions tailored to individual financial goals, supported by a team of highly skilled investment professionals with a cumulative experience of over 125 years.
