Nairobi, Kenya 21st December 2021 Cytonn Asset Managers Limited, the regulated affiliate of Cytonn Group has today launched “Cytonn Chama” a new digital feature of their Cytonn Money Market Fund (CMMF) product that aims at tapping into group investments or chamas as they are popularly known. The digital feature will allow groups to come together and invest towards a common goal through a fully digital experience by providing an online platform where members can manage members’ funds contributions, both individually and collectively.
The feature allows a chama member with a CMMF account to log in to the Cytonn Client web platform, register the Chama profile including the name and purpose of the group, invite members, set up a payment preference, and invest instantly. Once set up, members will be able to make seamless contributions and deposits, easy withdrawals by approved members, remove and add members, and issuing of fines among other features that are the hall mark of group contributions. The feature also allows for members to be able to track both their contributions and get both group and personalized statements.
Speaking at the Launch, Wambui Weru, the Principal Officer for Cytonn Asset Managers noted that “In addition to the interest earned, the Chama feature has been designed to provide the members with a variety of convenient options that comes with the Cytonn wallet, a platform that allows for all online transactions when investing in our Cytonn Money Market Fund Product. For instance, Chama members will be able to conveniently pay for the common utility bills such as airtime, DSTV, GOTV, ZUKU (TV & Internet), Kenya Power (prepaid & postpaid), Nairobi water at zero transaction fees” She further added that “members will be able to make use of the Lipa Na Mpesa options both the Pay bill and Buy Goods and Services features, and standing order and funds transfer feature”
The launch also comes at a time where informal Chamas in the country have become increasingly popular owing to the financial benefits enjoyed by the members. Most Chamas usually start as merry-go-round return systems but gradually develop to tap into established savings and investment groups. Digitization of informal Chama groups will bring them a step closer to easy, formal, and transparent administration which will give them access to serious investment opportunities, tailored credit opportunities, and funding for their projects.
