top 5 best Hedge fund company in Kenya
This article is about top 5 best Hedge fund company in Kenya. Hedge funds are actively managed investment funds provided by a number of professional investors with the goal of achieving profits or returns regardless of economic news. The funds are accessible only to accredited investors and their strategies may include long or short equities, equity market neutral, merger arbitrage, volatility arbitrage, global macro and convertible bond arbitrage.
- Hedge funds can be structured as a limited liability company (LLC) or a limited partnership (LP).
- To start or manage hedge funds in Kenya, you need to acquire a license from the Capital Markets Authority.
Characteristics of hedge funds in Kenya
- They are only available to accredited investors who meet certain net worth requirements, especially $1 million or have an annual income of $200,000. The value may vary depending on the hedge fund’s policies.
- Hedge funds can invest in anything. They have a large investment base.
- They invest aggressively using leverage or borrowed money to boost returns.
- Hedge funds have a “two winds” compensation scheme that offers the manager of the hedge fund a 2% fund management fee and a 20% incentive of the profits or returns generated annually.
Types of hedge funds in Kenya
- Macro hedge funds
They invest in stocks, bonds, futures, options and currencies, with the aim of benefiting from changes in macroeconomic variables, such as countries’ economic policies, world trade and interest rates.
2. Equity hedge funds
Funds protect themselves from equity market downturns by shorting stock indices or overvalued stocks.
3. Relative Value Arbitrage Funds
These are funds that exploit price differentials or inefficiencies between related financial instruments.
best Hedge fund company in Kenya
Amana Capital has been a fund manager authorized and regulated by the Capital Markets Authority and the Retirement Benefits Authority since 2003. It manages investment funds, pensions and provides wealth management services to individuals and institutions.
Contacts: 0721 700 076, 020 235 1738.
Fanisi Capital targets industries in the agriculture, energy and healthcare sectors, with consistent profits.
Sterling Capital is a leading investment bank in Kenya aiming to serve the needs of institutional, corporate and retail clients by providing inspired financial institutions.
Contacts: 020 221 3914, 020 224 4077.
Savannah Fund is a seed capital fund specializing in investments of US$50,000 to US$1,000,000 in early-stage, high-growth technology startups in sub-Saharan Africa.
Novastar Ventures is a venture capital manager dedicated to finding and supporting the next generation of exceptional entrepreneurs who design and execute innovative business models to profitably serve Africa’s vast markets.
Contact: 0723 930 342.