Nigeria’s mutual fund industry expanded to N8.44 trillion in March 2026, reflecting a 2.38% month-on-month increase from N8.24 trillion recorded in February, according to industry data released by the Securities and Exchange Commission (SEC).
The data, which tracks fund performance and investor participation across the sector, highlights sustained investor interest in the market, supported by a high-yield environment and improving sentiment across select asset classes.
During the period, the number of mutual funds increased slightly from 198 to 200, while total unitholders rose from 1.21 million to 1.26 million, representing a 4.08% increase. The growth indicates continued participation from both retail and institutional investors, even as asset allocation remains heavily tilted toward fixed-income instruments.
The industry remains largely dominated by money market funds, although other categories such as equity and balanced funds recorded stronger growth rates, suggesting gradual diversification within the market.
Money market funds maintained their dominance, recording an average year-to-date yield of 16.45% and accounting for N5.45 trillion in March, up from N5.29 trillion in February. This represents 64.90% of the industry’s total net asset value (NAV), reflecting strong investor preference for low-risk and highly liquid investment instruments amid elevated interest rates.
The number of funds in this segment increased from 45 to 46, while unitholders rose from 671,714 to 702,711. Top performers in the category included STL Asset Management Limited’s STL Money Market Fund, which recorded a 20.24% year-to-date yield with a NAV of N10.67 billion, alongside the Trustbanc Money Market Fund, which posted a 19.55% yield and NAV of N15.85 billion.
Other notable performers included the Page Money Market Fund with a 19.31% yield, the Greenwich Plus Money Market Fund with 18.34%, and the Emerging Africa Money Market Fund with 18.21%, reflecting strong demand for stable returns.
Equity-based funds also delivered strong performance despite representing a relatively small portion of the market. The number of equity funds remained unchanged at 20, while unitholders increased from 79,757 to 88,096. Net asset value for the segment rose sharply from N148.19 billion in February to N170.74 billion in March, representing a 15.21% increase.
Despite the growth, equity funds accounted for only 2.02% of total industry NAV, highlighting their smaller share compared with fixed-income dominated categories. However, they delivered one of the strongest performances, recording an average year-to-date yield of 35.64%, supported by bullish sentiment in the Nigerian equities market.
Top performers included the ARM Aggressive Growth Fund, which delivered an impressive 108.83% year-to-date yield, as well as the Zedcrest Equity Fund with 51.86%, the Halo Equity Fund with 44.00%, the Paramount Equity Fund with 38.70%, and the Zrosk Magna Equity Fund with 38.56%.
Bond and fixed-income funds experienced a slight decline in asset value, suggesting mild portfolio rebalancing among investors. Net asset value in the segment declined from N246.07 billion in February to N241.17 billion in March, representing a 1.99% decrease, while the number of funds remained at 39.
Despite the decline, the segment recorded an average year-to-date yield of 8.82% and accounted for 2.86% of total NAV. Leading funds in the category included the DLM Fixed Income Fund, which recorded a 20.31% yield, followed by the Coronation Fixed Income Fund with 19.90%, the Radix Horizon Fund with 19.05%, the Comercio Partners Fixed Income Fund with 18.44%, and the Trustbanc Fixed Income Fund with 17.67%.
Dollar-denominated funds remained relatively stable during the period. Net asset value increased slightly from N1.83 trillion to N1.84 trillion, representing a 0.16% increase, while the number of funds rose from 36 to 37 and unitholders increased from 30,148 to 30,766.
These funds recorded an average year-to-date yield of 2.88% and accounted for 21.76% of total industry NAV, making them the second-largest asset class in the mutual fund market. Top performers included the Lead Dollar Fixed Income Fund with a 12.05% yield, the Comercio Partners Dollar Fund with 9.40%, the FSL Eurobond Fund with 8.22%, the Meristem Dollar Fund with 7.53%, and the FSDH Dollar Fund with 7.12%.
Real Estate Investment Trusts (REITs) recorded moderate growth, with net asset value increasing from N491.07 billion to N493.58 billion, accounting for 5.85% of total assets. The number of funds remained unchanged at six, while unitholders held steady at 223,317.
Among the major funds in the segment was the MOFI Real Estate Investment Fund, which accounted for more than half of the segment’s NAV at N259.16 billion, alongside the Nigeria Real Estate Investment Trust and the SFS Real Estate Investment Trust.
Balanced funds also recorded notable growth during the period, posting an average year-to-date yield of 26.06%. Net asset value increased from N115.75 billion to N122.32 billion, representing a 5.68% increase, while unitholders rose from 83,859 to 87,648.
Top performers in the segment included the Capital Express Balanced Fund, the Coral Balanced Fund, the ARM Discovery Balanced Fund, the Emerging Africa Balanced-Diversity Fund, and the Alpha Morgan Balanced Fund.
Meanwhile, ethical and Shari’ah-compliant funds continued to attract investor participation. Ethical funds recorded a 6.33% increase in NAV, rising from N14.05 billion to N14.94 billion, while unitholders increased to 15,464.
Top ethical funds included the Stanbic IBTC Holdings Plc Ethical Fund, the ESG Impact Fund, and the CFG Ethical Fund.
Shari’ah-compliant funds also posted strong growth, with NAV rising from N104.38 billion to N112.58 billion, representing a 7.86% increase, while unitholders increased to 48,965. Leading performers included the ARM Halal Balanced Fund, the Stanbic IBTC Imaan Fund, and the Lotus Halal Investment Fund.
Overall, Nigeria’s mutual fund industry continues to expand as rising participation and improved asset performance drive growth. However, the market structure still reflects a strong investor preference for low-risk investments, with money market funds dominating the industry’s N8.44 trillion asset base.
At the same time, the strong performance of equity and balanced funds suggests a gradual shift in investor appetite toward higher-return instruments, supported by improving conditions in the Nigerian capital market.
