The Dark Side of Money Market Funds They Don’t Want You to Know!

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  • Опубліковано 17 гру 2024

КОМЕНТАРІ • 51

  • @miss.sherzz
    @miss.sherzz 2 місяці тому +19

    This information is useful, but the title is very misleading. You'd rather just put it as Disadvantages of MMFs... these clickbaiting titles are not good.

    • @gaichingaesam
      @gaichingaesam 2 місяці тому +5

      Absolutely. We end up perceiving the channel as unserious

  • @JamesM-wq1vr
    @JamesM-wq1vr 2 місяці тому +4

    It’s good to be clear that money market funds don’t hold the money. They are just responsible for investment decision. Funds are held by the custodian who is separate from the MMF.

    • @wealthwise247
      @wealthwise247 2 місяці тому

      This is right. The MMF risk in this regard would be the risk of mismanagement. Making loss making decisions; Nakumatt Bond scenario and Amana Capita

  • @bigeye8902
    @bigeye8902 2 місяці тому +2

    I'd suggest you do a bit more research why most market funds have 2 or more custodian banks behind them and why there is Kenya Deposit Insurance Corporation behind the banks

  • @riyah6989
    @riyah6989 2 місяці тому +2

    Please clarify, you have stated that they are regulated by CMA and that should be a reason for your funds to be protected. So if a company goes down and I lose my money, what is the work of CMA then in this instance.

    • @evansosewe2595
      @evansosewe2595 2 місяці тому +1

      He needs to get his facts straight when it comes to CMA.

    • @kensmoneymatters
      @kensmoneymatters  2 місяці тому +1

      Riyah, the work of CMA is to ensure the company meets certain standards but doesn't insure your money. It ensutes the company follows certain guidelines set by the relevant bodies. KDIC is the one that insures money, but it doesn't cover mmfs. Btw all registered businesses in Kenya are regulated, doesn't mean your money is insured if you invest in them.

    • @janejustin1788
      @janejustin1788 2 місяці тому +2

      there is a difference between regulation and insurance! MMF money isn't insured. Bank and microfinance deposits are insured by the Kenya Deposit Insurance Corporation (KDIC) but only up to 500k for each depositor in a bank or microfinance. Insurance policies are insured up to 250k by the Policyholders Compensation Fund, sacco deposits up to 100k by the Deposit Guarantee Fund (DGF).
      If an MMF company collapses, insurance won't compensate you at all since hakuna insurance fund, if a bank or a microfinance collapses, insurance pays you for all the amounts below 500k even if you had deposited 2 million, sacco unapata 100k pekee and share capital isn't insured

    • @annnduku2978
      @annnduku2978 2 місяці тому

      @@janejustin1788 Wow! So I am the only one without money information here?

    • @steo9285
      @steo9285 2 місяці тому

      ​@@kensmoneymatters @8:10 is the answer. There is a fund manager and a custodian. The FM is not allowed to put more than 25% of the investment in one pot, and the custodian makes regular checks that this rule is upheld. Money transfer charges from banks and even Mpesa charges are way higher, keeping in mind that they don't compound your cash when they have it. MMF does on the daily so either way, MMF is the best investment for us with irregular, low or no income for sure! Money that is just "chilling" on Mpesa account, even if only 500 bob is a waste for sure. Etica is one of the best 👌🏾👍🏾. Cytonn crisis is due to the majority of people not reading the fine print. It was NOT an MMF so let's know the risks before putting in your hard earned cash. Good luck to all 💸💰

  • @TheGoat-yd3ii
    @TheGoat-yd3ii 2 місяці тому

    The money is held in trust by the bank, so how do you loose?

  • @annnduku2978
    @annnduku2978 2 місяці тому

    This is issue of money investing and saving is becoming a headache of late. NOW DO WE GO BACK TO PILLOW SYSTEM OR WE JUST WALK WITH OUR MOBEY IN POCKETS? I HAVE LEARNT A LOT FROM YOUR CHANNEL KEN BUT NOW I AM CONFUSED. MY FEELINGS

    • @kensmoneymatters
      @kensmoneymatters  2 місяці тому +2

      Hey Anne,
      Good morning.
      I understand your frustrations.
      Have you watched the whole video?

    • @annnduku2978
      @annnduku2978 2 місяці тому

      @@kensmoneymatters yes yes, I am trying to understand it though.
      Thank you once again for your insights.

  • @AnnWanjiku-t5p
    @AnnWanjiku-t5p 2 місяці тому +1

    Is zimele safe?

  • @kezyndiba5508
    @kezyndiba5508 2 місяці тому +1

    Ken you have scared us about mmf. So what do you suggest we do. We go bk to banks.

  • @jachuts5953
    @jachuts5953 2 місяці тому +1

    Learn to choose better heading

  • @mannyyankey64
    @mannyyankey64 Місяць тому

    Hello Ken, trust you are doing well. I want to contact you. How do i do that?

    • @kensmoneymatters
      @kensmoneymatters  Місяць тому

      Hello Manny.
      Let's talk here kensmoneymatters.com/

  • @ezramalemo8426
    @ezramalemo8426 2 місяці тому +1

    is etica good and safe please...

  • @muenisue.07
    @muenisue.07 2 місяці тому

    Hey ken i read somewhere that you only loose 25%of you principal amount Wen the money market company goes under. Is it true?

  • @zekef17
    @zekef17 2 місяці тому

    Will cytonn give back our principal?since it was sued for money laundering

  • @kensmoneymatters
    @kensmoneymatters  2 місяці тому +2

    Do you invest in Money Market Funds? Which one(s) ?

    • @nelsonkirwa7410
      @nelsonkirwa7410 2 місяці тому

      I interested on etika mmf and cytonn mmf now it's be2two yrs down line since I started investing with money market funds and so far I can't complain it really works for me

    • @abumagiokiplasma4711
      @abumagiokiplasma4711 2 місяці тому

      Etica MMF

    • @kensmoneymatters
      @kensmoneymatters  2 місяці тому

      ​@@abumagiokiplasma4711🙌🏽🙌🏽

    • @sylviaakinyi310
      @sylviaakinyi310 2 місяці тому

      Etica offcourse

    • @annnduku2978
      @annnduku2978 2 місяці тому

      Zimele Investments

  • @florencewaweru2149
    @florencewaweru2149 2 місяці тому +1

    Etica, Sanlam, CIC and zimele though I hear it's no longer a money market fund 😮

    • @evanswanyanga9648
      @evanswanyanga9648 2 місяці тому

      Etica still has mmf. Don't dwell on hearsays so much do your due diligence

    • @TapestryOfWisdom_Subscribe
      @TapestryOfWisdom_Subscribe 2 місяці тому

      ​@@evanswanyanga9648I think Florence meant Zimele. I saw it's not an mmf but a FIXED DEPOSIT Fund or something like that. The rest are MMFs

  • @mwangisp
    @mwangisp 2 місяці тому +3

    Misleading title Ken. Please do your research before uploading content here. You are misleading individuals who consume your content. Quite unfortunate.

    • @kensmoneymatters
      @kensmoneymatters  2 місяці тому

      Mwangi, what do you mean? Have you watched the whole video?

    • @janejustin1788
      @janejustin1788 2 місяці тому

      Kenyans and reacting without watching or understanding! How is being told MMFs aren't insured misleading? That information is in the public domain. If you did even a basic google search, you would know that

  • @ahosikobonyo3766
    @ahosikobonyo3766 2 місяці тому +1

    Let me stick with Moneyversations. This channel is confusing. An MMF must be regulated by CMA. I don't understand your averment of "properly regulated." I quit.

    • @janemuriungi8447
      @janemuriungi8447 2 місяці тому +1

      Me too my dear. Moneyversation has his research on point. Here we are not being told about custodians and trustees and what their work is in MMF.

  • @martinndirangu7340
    @martinndirangu7340 2 місяці тому

    You are vague and and somehow confusing,,,

  • @dukeobonyo9847
    @dukeobonyo9847 Місяць тому

    Ur videos are too long. U take too long to pass a simple poont. Kindly go straight to the point. Avoid this basic basic explanation

  • @SEGERADORPER82
    @SEGERADORPER82 2 місяці тому

    Title is misleading, 😢