Fund managers reap from dejected NSE investors

Fund managers charge fees as their primary revenue line. The fees are capped at two percent for collective investment schemes or unit trusts.

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Retail investors spooked by a long streak of low returns on the Nairobi Securities Exchange (NSE) have shifted their cash to local fund managers, an analysis shows.

The retail investors, while largely inactive in equities trading, have flocked to the capital markets by latching onto collective investment products offered by fund managers to get exposure in money-market funds, fixed deposits, dollar funds, fixed income, and even stocks.

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Note: The results are not exact but very close to the actual.