Pension funds stand to gain from rate cap review

Treasury secretary Henry Rotich. FILE PHOTO | NMG

Pension funds returns are likely to enjoy a boost through equities and fixed income with the expected review of the interest rate cap, a fund administrator has said.

Investment managers at Zamara say bank stock prices at the NSE are likely to go up further on the expectation of higher margins should the rate cap be reviewed, while other companies are also likely to enjoy the knock-on benefit of improved credit flow to the private sector.

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