Special funds are quickly becoming one of the most attractive investment options in Kenya for investors looking for higher returns than traditional investments such as savings accounts or Money Market Funds. These funds are usually designed for investors who can commit larger amounts of capital and are willing to take slightly higher risk in exchange for potentially better returns.
Unlike ordinary unit trusts, special funds are more flexible in their investment strategies. Fund managers may invest in stocks, government bonds, corporate debt, derivatives, and even global markets. Because of this flexibility, special funds can sometimes generate returns significantly higher than traditional funds.
In this article, we explore five of the best special funds in Kenya, highlighting their minimum investment requirements, top-up rules, returns, and key benefits.
1. Kuza Momentum Special Fund
The Kuza Momentum Special Fund is managed by Kuza Asset Management and is considered one of the most accessible special funds in Kenya. Compared to many similar funds, it allows investors to start with a relatively lower amount while still benefiting from strong performance.
Key Details
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Minimum Investment: KES 100,000
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Minimum Top-Up: KES 50,000
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Return: 45.8% in 2024
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Q1 2025 Performance: 2.38% net return
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Management Fee: 2% per year
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Lock-In Period: 6 months
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Benchmark: Absolute benchmark of 12%
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Performance Fee: 20% of returns above the benchmark
Why Investors Choose It
The Kuza Momentum Special Fund is ideal for investors who want high performance with a relatively affordable entry point. Its lower minimum investment makes it easier for investors to build their portfolio gradually through regular top-ups.
2. Mansa-X Special Fund
The Mansa-X Special Fund is offered by Standard Investment Bank and focuses on diversified global investment strategies. The fund uses long-short trading techniques and invests in both local and international markets.
Key Details
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Minimum Investment: KES 250,000 or USD 2,500
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Minimum Top-Up: KES 100,000 or USD 1,000
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Return in 2024: Approximately 19% – 19.5% net
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Average Return Since Launch: Around 17.7%
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Management Fee: 5% annually
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Performance Fee: 10% on returns above hurdle rates
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Lock-In Period: 6 months
Why Investors Choose It
This fund is suitable for investors seeking diversification beyond the Kenyan market. Its global investment approach allows investors to benefit from opportunities in different economies and asset classes.
3. OAK Special Fund
The OAK Special Fund is managed by Faida Investment Bank and is known for its aggressive investment strategy aimed at achieving strong returns.
Key Details
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Minimum Investment: KES 500,000
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Minimum Top-Up: KES 50,000
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Return in 2024: 29.4% net
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Q1 2025 Performance: –4.66% absolute return
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Annualized Q1 2025 Return: About 18.6%
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Management Fee: 6% per year
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Performance Fee: 10% on returns above a 20% target
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Lock-In Period: 6 months
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Fund Manager: Ian Kahangara
Why Investors Choose It
This fund is best suited for aggressive investors looking for potentially high returns. While returns can fluctuate in the short term, the long-term performance potential remains attractive.
4. Old Mutual Special Fixed Income Fund
The Special Fixed Income Fund from Old Mutual Investment Group (Kenya) focuses primarily on stable income-generating assets such as government bonds and corporate securities.
Key Details
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Minimum Investment: KES 1,000,000
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Minimum Top-Up: KES 100,000
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Expected Return: Around 13.4% – 15.5% effective yield (2025)
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Management Fee: 2% per year plus VAT
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Lock-In Period: 6 months
Why Investors Choose It
This fund is ideal for conservative investors who prefer stable and predictable returns rather than aggressive trading strategies.
5. Etica Special Wealth Fund
The Etica Special Wealth Fund is managed by Etica Capital Ltd and focuses on fixed-income investments and institutional-grade wealth management strategies.
Key Details
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Minimum Investment: KES 1,000,000
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Minimum Top-Up: KES 500,000
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Expected Annual Return: Around 15.8% net
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Management Fees:
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Class A: 1.80%
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Class B: 1.65%
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Class C: 1.50%
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Lock-In Period:
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Class A: 6 months
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Other classes: up to 12 months
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Why Investors Choose It
Etica’s fund stands out because of its relatively low management fees and strong institutional investment structure, making it attractive to long-term investors.
Special Funds vs Money Market Funds
Many Kenyan investors compare special funds with Money Market Funds when deciding where to invest.
While money market funds typically generate returns of around 10% to 13% per year, special funds can deliver higher returns ranging from 15% to over 40% depending on market performance.
However, special funds also come with:
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Higher risk levels
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Higher minimum investment amounts
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Lock-in periods
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Performance-based fees in some cases
Because of this, they are often best suited for experienced investors or individuals with larger investment capital.
In conclusion, Special Funds are an excellent option for investors looking to grow their wealth faster than traditional savings or money market investments. With professional management and diversified investment strategies, these funds offer the potential for strong long-term returns.
Before investing, it is important to ensure the fund manager is licensed and regulated by the Capital Markets Authority and to fully understand the fund’s fees, risks, and lock-in requirements.
By choosing the right special fund and investing consistently, Kenyan investors can take advantage of professional asset management and higher-growth opportunities in both local and global markets.
