Nigeria’s Mutual Funds Soar 97% Amid Tight Monetary Policy!

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Olori Uwem

Well-Known Member
Mar 18, 2024
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Nigeria’s Mutual Funds Soar 97% Amid Tight Monetary Policy!

Nigeria’s mutual fund industry is on a remarkable growth streak, with total Net Asset Value (NAV) hitting ₦7.3 trillion in the 10 months ending October 24, 2025—a staggering 96.98% increase from ₦3.7 trillion during the same period in 2024.

This surge reflects investors’ growing appetite for regulated and diversified financial instruments, especially in the face of high inflation and a tightening monetary policy.

Key Highlights:
• Money Market Funds (MMFs) dominate the industry, accounting for 61.61% of total NAV.
• NAV surged from ₦1.5 trillion → ₦4.3 trillion YoY.
• These short-term, low-risk instruments attract investors seeking safety and steady yields from treasury bills, commercial papers, and other fixed-income products.
• Top MMF contributors:
• Stanbic IBTC: 48.83%
• United Capital Asset: 4.33%
• Zenith Capital: 3.11%
• Fixed Income Funds (FIFs) hold ₦1.937 trillion (27.35% of total NAV).
• Real Estate Investment Trust Funds (REITs) follow, with ₦368.8 billion (5.21% of NAV).

The trend underscores a flight to safety and the growing attractiveness of fixed-income investments, signaling a confident yet cautious investor base in Nigeria’s evolving financial landscape.